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Greenleaf Foundation, a registered charitable trust in Pune, runs a programme providing free vocational training to women from low-income households. It wants to be identified as a social enterprise on the Social Stock Exchange (SSE) in India. Which of the following describes the position of the entity's eligibility?

A charitable trust can qualify as an eligible social enterprise on the Social Stock Exchange as a not-for-profit organisation, provided it establishes primacy of social intent and engages in an eligible activity such as skilling or livelihood support. Eligibility is not limited to companies or listed entities.

  1. AA not-for-profit organisation (NPO) such as a charitable trust can be identified as an eligible social enterprise if its primary objective is social impact and it works in an eligible activityCorrect
  2. BOnly companies registered under the Companies Act, 2013 can be eligible social enterprises
  3. COnly entities that have already listed their equity shares on the main board can be eligible
  4. DOnly government-owned bodies can qualify as eligible social enterprises

Explanation

Under the SEBI framework for the SSE, social enterprises are either not-for-profit organisations or for-profit social enterprises whose primary goal is social impact and who engage in one of the eligible activities. Trusts are NPOs and can be registered or listed. Restricting eligibility to companies, listed entities or government bodies is incorrect.

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