Buying from a Verified Social Enterprise matters. Here’s why

Our wallets hold the power to move markets and shape realities. We, as consumers, have the chance to make choices aligned with our values and the world we want to see, now and in the future. But, is it hard to find these kinds of businesses? Not anymore. Social enterprises are out there, delivering positive impact across different areas of society. And buying from them matters. Here’s why.

In a world full of false claims, we have a vote in our pockets

With nearly 42% of European companies advertising “green” claims that lack sufficient proof, we have the power to back businesses that genuinely deliver impact. That impact can take different forms—whether it’s ecological benefits, better education, enhanced mental health, inclusive mobility, or biodiversity protection.

Take Uptraded, the clothes-swapping movement against fast fashion

Founded by Anna Greil, Kayla De Leon, and Oi Leng Cheong, the Uptraded app is known as the “Tinder for Fashion.” Since its launch in 2022, it has matched people to swap clothing they both like, bringing positivity (and a clear conscience) to our closets. Secondhand clothing is the most sustainable form of fashion, and Uptraded aims to fuel the slow fashion movement. With its latest revamp, it’s expanding offline to make an even bigger impact.

 

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Another example is EOOS Social Design

This industrial design studio and social enterprise strives for positive change by designing technologies with circular economy principles in fields like mobility, health, water, and electricity. From eco-friendly toilets to the ZUV (a zero-emission vehicle), their work impacts SDG 6: Clean water and sanitation, and they contribute to sustainable mobility. They collaborate globally with universities, research institutes, social enterprises, and NGOs to improve the quality of life for those in need.

 

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So, how do we know these companies aren’t greenwashing?

It all comes down to certifications and transparent reporting. Since the EU Green Claims Directive was introduced earlier this year, businesses in the European Union must disclose sustainability claims that are verifiable, transparent, and backed by scientific evidence.

Do we really have to do constant research?

Staying curious and a little skeptical is one approach, but we don’t all have the time for continuous research. This is where labels and certifications come in. For the purpose of this post, let’s focus on the Verified Social Enterprise label, awarded by AWS after a thorough review by an impact board.

How Verified Social Enterprises Ensure Transparency

Verification bodies such as the Austria Wirtschaftsservice, hold social enterprises to high standards, requiring documented proof of impact across areas like ethical sourcing, sustainable practices, and fair employee treatment. Certification involves regular evaluations, ensuring these companies maintain transparency and accountability. Many enterprises are even required to publicly disclose metrics on their environmental and social initiatives, so we can trust that their claims are meaningful and verifiable. Up to this date, 11 of november 2024, they have verified 45 businesses in Austria. 

The Bottom Line, Verified Social Enterprises are trustworthy choices for a positive future

As demand for sustainable products grows, so does the need for transparency. Greenwashing remains an issue in Europe, but supporting verified social enterprises offers a clear path forward. Certification ensures these enterprises are committed to measurable impact, allowing us to trust that our money supports real change. While regulations like the EU Green Claims Directive are pushing for a more transparent marketplace, choosing certified social enterprises lets us make an immediate difference.

When you buy from a verified social enterprise, you’re supporting a company that doesn’t just promise change—it delivers it. So next time you’re making a purchase, look for the certification. If you want to learn more about this label, read here!