Description

REDpreneur offers business skills and enterprise development support to the Red Cross Red Crescent Movement and beyond for more impact, innovation and sustainable service delivery. This global program by the Austrian Red Cross (AutRC) provides social entrepreneurship trainings, mentoring and networking in both online and hybrid formats, empowering staff and volunteers from RCRC National Societies (NS), local NGOs and entrepreneurs.

Context

The humanitarian sphere is experiencing an escalation of multiple crises, driven by factors such as climate change and widening socioeconomic disparities. These challenges are increasing in both frequency and complexity, putting immense pressure on traditional funding mechanisms. The gap in Sustainable Development Goal (SDG) funding is widening, with Official Development Assistance (ODA) and philanthropic contributions falling behind in addressing these escalating needs. This is putting organisations like the Red Cross and Red Crescent National Societies under pressure to explore new approaches to financial sustainability.

Furthermore, the global challenges are not only global but also deeply interlinked, meaning the humanitarian system cannot tackle them alone. It requires collaboration with allies from within the private sector, that also prioritise social and environmental outcomes over profit. However, there is a significant gap in the market for impactful, investable opportunities—particularly in bottom-of-the-pyramid markets where Red Cross and Red Crescent National Societies operate, which are often perceived as too risky for traditional investors.

Technical details & Operations

REDpreneur consists of four main components: Inspiration Sessions, an online Training Academy for Social Entrepreneurship, a hybrid Master Class for social enterprise development and a REDpreneur network.

Inspiration Sessions are one-hour webinars to ignite potential participants’ interest and entrepreneurial spirit. They facilitate the generation of first business ideas and serve to inform all stakeholders about the design of the REDpreneur programme. The inspiration sessions are free of charge and may also include experts from the Movement.

The Training Academy is a 2-month basic online training. It is designed for individuals involved in RCRC NS, Civil Society Organizations (CSO) and high-impact start-ups seeking to incubate or accelerate a business idea, or to bring their existing business to funding readiness. Its primary tools include a ten-page business plan and a 4-years financial plan with a Profit- and Loss Account and Cashflow Statement: the former guides participants in transforming their existing humanitarian projects into viable social business ideas. At the same time, the latter teaches them to consider both costs and income streams, tailoring revenue sources to different customer groups. It further enables them to simulate the financial viability of their business case. The course culminates in an online pitch event, where participants refine their storytelling skills to present their business ideas to potential funders effectively.

The Master Class is the second part of the REDpreneur program. The 3-month hybrid training is open to teams of intrapreneurs and entrepreneurs who have successfully graduated from the REDpreneur Training Academy. It prepares participants for the next stage of their Ventures, focusing on refining strategy, increasing impact, improving go-to-market approaches, and enhancing financial planning through a mix of online sessions and workshops. The culmination of the Master Class is a final session where graduates come together to pitch their ventures in front of an expert panel.

Finally, the REDpreneur network serves as a long-term support system that enhances knowledge sharing and fosters partnerships. It keeps intrapreneurs from the Red Cross/Red Crescent Movement, local civil society organizations (CSOs), and social entrepreneurs connected, facilitates the personal growth of alumni through monthly online check-ins, and offers curated one-on-one matchmaking sessions with potential funders, along with further follow-up guidance through its growth support.

Deployment & Impact

To date, through a successful pilot in Eastern and Southeastern Europe, a global cohort, and a dedicated Ukraine cohort, REDpreneur has empowered 183 participants—75% of whom are female—by strengthening their business and financial planning skills. This has equipped them with the knowledge to run their organizations in a more financially sustainable way. The services and products they developed are not limited to the lifespan of individual projects but are designed for long-term sustainability, allowing them to reach more beneficiaries over time and provide improved services and products that enable people to lead safer, healthier lives and access greater opportunities to thrive.

One example of impact achieved is the North Macedonian Red Cross Patient Transport Service. During the Training Academy, the team identified Skopje’s lack of qualified medical transport services as an opportunity to develop a social business. They created an initial business and financial plan simulating costs and income, which demonstrated the service’s potential to cover expenses. In the subsequent Master Class, they refined these plans and developed a go-to-market strategy. With financial support from the Austrian Development Cooperation, the team conducted a six-month pilot operation to validate their plan and are now offering the service as part of their regular activities. The hybrid business model they designed—combining revenue from paying customers with governmental cost reimbursement—proved successful, enabling them to sustain operations through their own income, and this also allows them to offer the same high-quality service free of charge to those in need.