“There is no universal definition of social enterprise (SE). In general, an SE is a business to achieve specific social objectives such as providing the services (such as support service for the elderly) or products needed by the community, creating employment and training opportunities for the socially disadvantaged, protecting the environment, funding its other social services through the profits earned, etc. Its profits will be principally reinvested in the business for the social objectives that it pursues. In other words, the primary objective of an SE is to achieve its social objectives, rather than maximizing profits for distribution to its shareholders. This above description of SE has been adopted by the Home Affairs Bureau (HAB) for supporting general or sector-wide promotion activities for SE.

Individual Government’s initiatives for providing direct support to individual SE will follow the relevant eligibility criteria. In so doing, it may draw reference from the following which has been adopted by some SE organisations locally and overseas - “An SE is a business targeted to achieve specific social objectives through entrepreneurial strategies and self-sustaining operations, and not less than 65% of its distributable profits are reinvested in the business for the social objectives that it pursues.”