“A unica, realamente, razão para empreender é impactar”

“The ONLY real reason to be an entrepreneur is to create impact”

In Spanish and Portuguese, there is not only a noun for entrepreneur (empre(e)ndedor) but a verb (empre(e)nder). To empre(e)nder in Latin countries and Brazil is a verb, meaning an action needs to occur. And according to this video, that action is creating impact.

‘Vai que Da’ is a new video developed by Endeavor Brazil that tells the story of six entrepreneurs in Brazil who are using their actions and entrepreneurial abilities to create scalable change. When we talk about the ‘new-era business,’ as we have for the last several months, this is what we are talking about.

The new-era business is hybrid between a social enterprise and traditional business, a combination between old-school principles and new-school technologies. It’s designed to help reinvent the way businesses create value for society and repurpose the actions of the individuals within the company, all the while earning a profit.

And a few of the entrepreneurs from this movie are leading by example. As a sample, here are two of those with innovative offerings who are profiled in the preview:

QMagico

The QMagico dream is to live in a Brazil where everyone has access to education. The company was started by four co-founders in 2011, and recently won Brazil’s Startup World in 2012. The idea came from co-founder Thiago Feijão, who felt inspired to bring a new experience in education to Brazil.

QMagico is a blended-learning platform for K – 12 that combines both online and offline learning, which according to many studies is the optimal way for kids to learn in today’s world. It is an innovative way of teaching that leverages the power of technology to deliver students a more individualized and interactive learning experience.

+ www.qmagico.com.br

Minha Vida

Entrepreneur Daniel Wjunski started Minha Vida (My Life) in 2004 with the goal to create a community of consumers linked together in an online health and well-being portal. By delivering informative content, health services and community tools, Minha Vida has become the top health and wellness portal in Brazil.

Their mission is to democratize information about health and well-being, thus making life better for the people. They have more than 10 million registered users and the founder was selected as Entrepreneur of the Year in the Emerging category in 2011.

+ www.minhavida.com.br

The other entrepreneurs in the preview have developed different businesses to varying levels of innovation, with some being more impactful than others (Solidarium > We Do Logos). But the general theme of the series (yet to be released) is simple – to be an entrepreneur, your focus needs to be on creating an impact in your market.

The key is to start thinking about the purpose of the company and aligning the activities of the business BEFORE entering the market. Not running a business that churns out profits in whatever way it can and then starts to slice a few slivers off to donate to charity (ie. the North-American business model). Whether big or small, the business itself doesn’t need to be revolutionary or reinvent the wheel, but it should stand for something that benefits humanity if it is successfully executed.

For all-intensive purposes, the concept of what an entrepreneur SHOULD do has been lost in our (Western) society. Maybe that has something to do with the fact that we don’t have a verb in English for being an entrepreneur?

The action of being an entrepreneur should be defined and measured by the direct impact of the CORE business – and that’s the message in the ‘Vai que Da’ preview delivered by entrepreneur Horacio Poblete:

“The ONLY real reason to be an entrepreneur is to create impact”

And remember, we are not talking about charities or non-profits here, these are real businesses. They have a scalable business model, high-level teams behind them and are built using innovative business strategies. That’s what the New Era of Business is all about.

What do you think?


+ Business Model Breakdown – ASTA
+ ReImagine. ReDesign. ReConnect.


Building Blocks – PLAN – the Business Model

2013 has arrived, and with it a fresh feeling of hope, optimism and energy. It’s time to blaze new trails and spark the fire of a new generation of enterprises. In China it may the Year of the Snake, but here it’s the Year to Shake-It-Up.

While there were many exciting developments and new paradigms that emerged in 2012, the business-as-usual mentality continues to define how business is done for the majority. Reckless decision-making and a cavalier attitude about what matters most belie the claims that business is a force for good in society. It’s time to start down a new path and reinvent the world of business.

It’s time to ReImagine, ReDesign and ReConnect.

ReImagine

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We need to reImagine new possibilities about what businesses are capable of and what they can achieve.

It is rare that we see business leaders who are imaginative and inspiring. Instead we see swaths of C-Level execs who possess superior competitive and analytical capabilities, yet don’t have an imaginative or inspiring bone in their body.

Imagine that a little over 10 years ago Elon Musk was building PayPal now he is overseeing the development of an electric car company (Tesla Motors), a residential solar provider (SolarCity) and the first company to successfully launch a private rocket into space (SpaceX).

We don’t need another crop of enterprises built to incentivize excessive consumption and industrial growth. We need entrepreneurs to imagine a set of new possibilities and build solutions to real problems that advance the interests of humanity, not a select group of shareholders.

ReDesign

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We need to reDesign the way businesses are built and how incentive schemes are structured.

The old business-school mentality still defines how the great majority of businesses are created. Find a big-money opportunity, raise capital, grow as fast as possible and tie executive and employee compensation directly to the company’s profitability.

Recently the B Corporation (B Corp) was created as a legal entity in the US as a new structure for businesses. To become a certified B Corp a company must generate a certain amount of public benefits (a perfect score is 200, the minimum is 80), and in return they receive tax, investment and procurement incentives. Companies earn points within five categories (environment, community, employees, consumer and governance) and are audited to ensure compliance. One of the most innovative elements of the B Corp is that stakeholder consideration is included in the articles of incorporation, thereby requiring certified companies to be accountable to stakeholders by law.

A new era of businesses are being born out of a need for impact in society. Like everything else in life, businesses can be designed to achieve a certain outcome. The old-school business was designed to be purely profitable, the new school business needs to redesigned to deliver impact and profitability.

ReConnect

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We need to reConnect a business’s profitability to the value chain without generating large-scale social and environmental externalities.

The lines between profitability and value creation have been blurred beyond recognition. Billions and billions of dollars are rewarded annually to companies who simply push paper or create advertising opportunities, and the great majority of companies who are immensely profitable create the biggest socio-environmental problems.

Brazilian luxury fashion label Osklen, founded in 1989 by designer Oskar Metsahaht, proved that high-quality design and social-environmental responsibility go hand in hand. The company produces clothes that are both stylish and sustainable, made possible through the use E-Fabrics, which were developed to meet strict environmental standards. The Founder recently agreed to sell a 30% stake to textile manufacturer Alpargatas S.A. for approximately $35 million USD, valuing the company at $110 million USD.

Connecting to the value chain without generating massive social and environmental externalities is not only possible, it’s profitable. Companies that reConnect their core activities to the interests of society will build a loyal following without having to bury controversial corporate activities in the footnotes of their financials or pay high-priced attorneys – trust is a valuable commodity.

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The opportunities are infinite for those who dare to march to a different drumbeat and start rethinking the way business is done. Strides are being made in every direction, but it takes a mob to make a movement. With a new year comes a blank slate and a fresh set of possibilities, it’s time to make it happen.


+ The Collab Economy – Inspiration from Spain
+ The Small Business Finance ®evolution()

Crowdfunding Strategy – Summary


Building Blocks – PLAN – the Business Model