Our Business Model

The CSI model is the product of our collective experience working in the sector. We know that the social mission sector is comprised mainly of small, resource-challenged enterprises, and we saw too many organizations spending money on underused infrastructure, such as photocopiers, fax machines and audio-visual technology. They were also spending too much time hassling with administration instead of staying focused on their mission. Many lacked extra space for meetings or events and had to leave their offices to connect with clients, supporters and partners. Too many organizations were operating inefficiently, in substandard facilities, and in isolation from one and other.

We saw a solution to these challenges: by aggregating the limited resources of a number of organizations, we could achieve economies of scale that would decrease the costs for each individual organization and increase their access to space and amenities. By providing administrative support to manage the whole process, member organizations would be able to focus on what matters most: making an impact in our communities.

A Simple Structure

So we created the Centre for Social Innovation. In truth, our model is quite simple. The Centre secured a five-year lease for 20,000 square feet of workspace at 215 Spadina Avenue - a renovated historic building in downtown Toronto. We subdivided the space into a series of office suites, desk spaces, Hot Desk spaces, meeting rooms and common areas. Tenants pay rent based on the size of their workspace, an equivalent portion of the common space, and a small margin to help cover the salaries of CSI staff. Tenants also pay a monthly amenities fee to cover shared costs of internet access, kitchen facilities, security, cleaning, photocopier, fax machine, and audio-visual equipment. 

Revenue Generation

The margin that CSI generates from these expenses is low enough to make tenancy a compelling option while providing critical revenue for the Centre. The Centre generates additional revenue from the rental of its meeting space to the larger social mission community of Toronto and beyond. This helps to cover operational expenses and brings energy and social capital…buzz… to the Centre and raises the profile of tenants by exposing them to new groups and individuals.

Consulting Services 

Finally, the Centre for Social Innovation provides consulting services to emerging collaborative projects and to other organizations working to develop collocation and co-working facilities. We continue to refine our model and learn about the how best to create spaces that support the social mission sector (email us to learn more about our consulting services). Revenue generated from this work – and from a handful of smaller projects – rounds out the Centre’s business model and makes the CSI a self-sustaining entity.

The Centre for Social Innovation is proud that this model demonstrates how, by working together, the social mission sector can create enterprises that are self-sufficient and serve the community.