Capitalism is not bad.  It seems to have become fashionable to denounce capitalism as the root of all our problems, but the socialist model is just as bad.  Any organization is defined, and its culture shaped, by its people and the weak ones are driven by greed and the lust for power. We have created this myth that business success demands profit (preferably huge) when all it really needs to do is achieve its mission – the purpose it was created for without making, unsustainable, losses.  We tend to automatically label these as charities or perhaps social enterprises, forgetting that these are still non-governmental private organizations still concerned with profit or surpluses.

Definition of capitalism (Oxford English Dictionary) “an economic and political system in which a country’s trade and industry are controlled by private owners for profit, rather than by the state”

Profit becomes the problem when the people running the business create a culture and values where profit, greed, power, and arrogance become priorities or all consuming.  There is no law compelling maximization of profit but it is a wonderfully convenient sham to blame our woes on. Consider this next time a business tells you their main concern is to give you the best value or service – is it really true or are they more focused on their profit and bonuses?  And is it any wonder when we ‘motivate’ people with bonuses and commission so they try so hard to sell us unneeded and expensive add-ons like extended warranties, loan insurance policies, and credit cards? It is, at best, unhelpful to talk of having more than one ‘bottom line’ – how can you realistically have more than one thing as the bottom?  There would have to be compromise and it would be a rare company that chooses people or planet over profit. With Spaice the solution is quite clear.  Our purpose is to serve our society and communities by doing what is right for our planet.

1. Our profits will be used to serve our society; at least 60% of our profits going directly to the good causes addressing the important issues and up to 40% of profits being used to expand Spaice so we can reach more people and support more projects.  Our shareholders can expect a return of their investment with interest but there won’t be any dividends or windfalls.
2. Our culture is one of fairness; all salary grades will be published and capped at 10 times the lowest wage, itself a ‘living’, not minimum, wage.  No one is going to join Spaice to become rich but they can earn a good salary and do something useful that makes a real difference.
3. Our ideology is driven by sound business principles and tools; we’re not using partners to boost profit, and we’re not trying to run a business on the power of wishful thinking.
4.  Governors oversee our business operations; to make sure our success never blinds us to our purpose we have a board of governors to protect the values and mission of Spaice and its partners.  These governors will always be people that have proved themselves to be beyond the temptation of money and power – with a deep devotion to the issues that matter.

I can resist anything but temptation. - Oscar Wilde

Now that we’ve removed the temptations that corrupt our businesses, at Spaice we are free to understand and solve the actual problems of our supporters instead of trying to sell them stuff they don’t need. Spaice isn’t about unregulated capitalism, bureaucratic socialism, or a muddled compromise it’s about common sense and a third, better, way of wisdom, conscience, and empathy that takes the best of both – a social enterprise with only one bottom line and no conflict between people and planet. We want to be part of a collaborative and supportive world, not one where profit and greed are supreme, and hope you will join us.  So follow our blog by subscribing and do contribute your thoughts below. And don’t forget to share this post and follow us on Facebook, and Twitter (@SocialSpaice)! Speak to you soon, Vipul