John Herron always knew he could build a business on a mission.
“We provide opportunities to people,” said Herron, founder and chief executive officer of Harbor City Services in Baltimore. “We have two types of customers ? the customers that we serve and the customers who work here.”
Herron?s company is a “social enterprise” nonprofit that supports itself through a commercial venture. Harbor City Services employs substance abusers and the mentally ill to work in its document storage, shredding, commercial moving and warehouse divisions.
While providing services to more than 180 customers, the $600,000-a-year nonprofit, with a staff of about 50, helps its employees gain work skills and experience as well as address their personal problems.
“I?ve always known these folks can work,” said Herron, a psychiatric social worker. “I wanted to design a company that can continue to operate if an employee needs to miss a few days of work [due to mental or relapse reasons].”
The plan has worked for Herron and his employees. Herron said about nine former Harbor City Services employees have been hired by some of the company?s customers.
“Social enterprise is kind of an odd duck, in that we all have the burdens of a small business,” Herron said, “but the good news is it can be done.”
The social enterprise movement is gaining momentum in the business community and will be the subject of a daylong conference this Friday, hosted by University of Baltimore?s Entrepreneurial Opportunity Center.
Jim Kucher, executive director of the entrepreneurship program at the University of Baltimore?s Merrick School of Business, said social enterprise themes have become more prevalent in business because there?s less grant money available for nonprofits and more businesses have become socially responsible.
“You can really do both, and that?s why it?s catching on,” Kucher said.
The University of Baltimore has become a leader in the social enterprise movement, training about 40 nonprofits in the region in the last four years on how to support their causes with commercial ventures.
“Nonprofits are becoming more and more commercialized,” Kucher said. “I know it?s cliche to say this is a win-win, but it truly is the best of both worlds for businesses.”
For more information on the Friday conference, visit www.ubalt.edu/opportunity or call 410-837-4973.
