Social Enterprise Development Initiative (SEDI)

The Social Enterprise Development Initiative (SEDI) was announced in the 2023-24 budget. SEDI is part of the Targeting Entrenched Disadvantage package. This commits $11.6 million to support the growth of the social enterprise sector.

SEDI aims to support social enterprises to be more efficient and effective. It helps them to deliver social benefits to vulnerable Australians.

The SEDI will support social enterprises by providing:

  • grants of up to $120,000 to social enterprises
  • online education and connections hub
  • communities of practice
  • peer support networks for social enterprises and the organisations that support them.

Engaging with the sector

We worked with Social Enterprise Australia (SEA) to gather social enterprise sector views. SEA collected ideas and views through workshops and surveys. Read the summary of the views collected by SEA.

How SEDI works

The department has partnered with 2 organisations from the sector to deliver SEDI:

  • Impact Investing Australia (IIA), who will administer SEDI Capability Building Grants
  • Social Enterprise Australia (SEA), who will be the Education and Mentoring Coordinator. They will draw on input from the sector to develop an online Hub. SEA will also help coordinate communities of practice and peer support networks.

Working with these organisations means we can be more flexible and creative in how the SEDI works. It also will help embed SEDI in the sector.

The department, SEA and IIA will work together to bring all the parts of SEDI together into one program. The interests of social enterprises, intermediaries and investors will all be represented in this SEDI team.

SEDI Grants Administrator

After an open, competitive grant round for the SEDI Grants Administrator, the department chose Impact Investing Australia (IIA) for the role.

IIA has the experience and connections with the sector to administer capability-building grants.

As the Grant Administrators, IIA will provide capability building grants to social enterprises. Each grant to a social enterprise will be up to $120,000 which can be used to buy capability building support, such as:

  • business planning
  • financial management
  • contract negotiation
  • legal support
  • outcomes measurement and evaluation
  • help to access finance such as investment loans or grants.

Applying for a SEDI Capability Building Grant

The department will work with IIA to finalise the grant application process. We expect the first round of grants to be available to enterprises in mid-2024. Information on how to apply for a capability building grant is available at Looking for investors: Impact Investing Australia.

SEDI education and mentoring activity

The SEDI online education and mentoring activity will help develop and grow the sector.

The department has chosen SEA to be the SEDI Education and Mentoring Coordinator. We chose SEA because they were created by the sector to represent the interests of the sector. SEA's mission aligns with what we are trying to achieve with the SEDI Education and Mentoring activity. Partnering with SEA means social enterprises will have a voice in SEDI.

SEA will coordinate and help deliver:

  • a Social Enterprise Information and Connection Hub (the Hub). The hub provides a space for information, tools, and training materials for everyone. An online hub ensures that a wider audience can access support.
  • a way-finder tool to help the sector find and connect with each other.
  • support for facilitated communities of practice and peer networking groups.

As the Education Coordinator, SEA will coordinate the development of the Hub but will not create its content. SEA will work with the sector and other experts to commission and buy content and resources for the Hub.

Scam Alert - Social Enterprise Development Initiative (SEDI)

The Department of Social Services has received reports of an email scam where a scammer posing as a representative of the department has emailed members of the public offering a $120,000 grant under the Social Enterprise Development Initiative program. The scammer requests the victim’s contact details, and then sends through a false ‘grant certificate’ to notify them they have been selected, which includes a falsified signature of a senior department officer. To gain access to the payment, victims are then told they need to pay a $250 fee to unlock a debit card. 

What to do if you are contacted by a scam attempt

The Department does not contact members of the public through social media or email to offer grant opportunities.  Legitimate grant opportunities are published on GrantConnect at www.grants.gov.au. Legitimate grants will never require the recipient to pay a fee to access the amounts, and debit cards are not used to disburse grant payments. 

If you are contacted by one of these scam attempts, do not provide any personal or financial information.  You can report it to the relevant government department via contact details on their website. For the Department of Social Services, contact fraud@dss.gov.au.

For further advice on scams is available from the National Anti-Scam Centre: Scamwatch

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