State of Social Enterprise Africa 2025

Figure 3 shows that many social enterprises operate at the micro level, with the largest share earning under $10,000 annually. While this may seem to reinforce a narrative of a financially nascent sector, it must be seen within the broader African economy. The revenue distribution of social enterprises mirrors that of conventional businesses, overwhelmingly dominated by MSMEs. Up to 90% of businesses in sub-Saharan Africa are MSMEs,47 most operating informally with low revenues. This confirms that social enterprises are not inherently smaller than their conventional counterparts; they are embedded within the continent’s economic structure. Moreover, nearly two-thirds (64%) report steady or rising revenues in the three years prior to completing the survey, underscoring resilience and growth potential when given the right support. Distribution of social enterprises by annual revenue FIGURE 3 Distribution of social enterprises by annual revenue and founders’ age group FIGURE 4Less than $10,000 $10,000–$50,000 $50,000–$250,000 $250,000–$1 million $1 million–$10 million62% 21% 11% 4% 3% Less than $10,000 $10,000–$50,000 $50,000–$250,000 More than $250,000Age groupUnder 18 18–24 25–34 35–44 45–54 Over 55100% 87%11% 70%19%8% 58%26%12%5% 54%19%16%11% 45%15%17%24%2% 1%2%Source: Survey data, World Economic Forum Source: Survey data, World Economic ForumNo: did not make a profit or surplusYes: reinvested more than 50%Yes: reinvested less than 50%No: distributed all profits or surplus to private shareholders 36% 29%19%11%5% Yes: reinvested 100%36% of social enterprises did not make a profit 64% of social enterprises made a profit Reinvest based on leadership or group decisions Have a formal policy or internal agreement for reinvestment Legally required to reinvest based on structure or governing documents Other33% 25% 23% 4% The State of Social Enterprise: Unlocking Inclusive Growth, Jobs and Development in Africa 20