Beacon Laundry may operate like a commercial business, but it’s much more about people than it is about profit.

The social enterprise, which opened earlier this year in Bangalow near NSW’s famous beachside town of Byron Bay, already employs more than 70 people who have previously been shut out from work.

It is the second laundry launched by White Box Enterprises CEO Luke Terry, following his successful Vanguard Laundry in Toowoomba. It was when former JB Hi Fi CEO and philanthropist Richard Uechtritz first learned about the Toowoomba laundry, that the idea of Beacon was first born.

"Richard was aware of the positive impact of Vanguard Laundry. He saw a similar need in Byron, recognising the significant inequality and employment challenges in the area, as well as the market opportunity for a commercial laundry," explains Nico Deloux, White Box Enterprises Head of Philanthropy and Partnerships.

"Thanks to Richard's support, we were able to attract additional funders and a customer base to get the business rolling.”

Social enterprises are businesses that tackle social problems, improve communities, and give people access to employment and training. Most of their income is generated by the business rather than from donations or grants.

White Box Enterprises has a particular focus on employment and its Beacon Laundry social enterprise has already changed dozens of lives.

“Our vision is to see a social enterprise in every community, so that anyone who wants a job in Australia can find one. We believe employment is fundamental to an individual's dignity, freedom of choice, control, and their connection to community.”

The power of social enterprises to change society

There are currently more than 12,000 social enterprises in Australia, employing more than 206,000 people with about 58 per cent focused on employment services.

“We strongly believe social enterprises have a role to play in the Australian employment system. They not only deliver incredible social returns, they’re a more cost effective employment model ,” Nico says.

The Federal Government invests more than $2.9 billion annually in Disability Employment Services (DES) and Workforce Australia to help people experiencing disadvantage get back into work, yet only 24 per cent typically remain in a job after 12 months.

A government-supported, three-year Payment By Outcomes (PBO) trial launched in July 2022 by the Department of Social Services and White Box suggests social enterprises can do a better job. It found about 70 per cent of people employed at jobs-focused social enterprises participating in the trial were still employed 12 months later.

White Box has also launched other successful social enterprises which are creating jobs.

Data services business, Australian Spatial Analytics, is now in its fourth year of operation and employs more than 150 people, 80 per cent of whom are neurodiverse.

Last year White Box launched Civik, an infrastructure services social enterprise which trains and employs individuals – particularly First Nations people and former refugees – to pursue careers in construction, engineering and telecommunications. It has a contract with Ventia to work on NBN Co's fibre upgrade program.

But growing such social enterprises takes more work than a traditional business. Success is underpinned by the unique wrap-around employee support that is rolled out with each social enterprise.

“It has a dedicated People and Pathways Manager providing individual support and mentoring. This could involve wellbeing and financial literacy workshops to help people better manage their money, through to helping an employee finding safe housing or transport options to and from work. The supported is varied and always tailored to the individual,” Nico says.

These support structures also come at a significant cost. A well-run social enterprise may allocate 30 per cent of its expenses to wrap-around support services for employees.

The Federal Government recently unveiled a new $21.9 million employment initiative that will see job-focused social enterprises funded to work directly with people with complex barriers, giving them the support they need to get back to work. However, philanthropy has an ongoing key role to play.

White Box Enterprises has received funding from the William Buckland Foundation, which is managed by Equity Trustees, and Equity Trustees’ Equity and Empowerment granting portfolio.

To support White Box Enterprises go to https://whiteboxenterprises.com.au.
You can also contact Nico Deloux at nico@whiteboxenterprises.com.au.