This is a common model, and in my experience there's a couple of common reasons: - Taxation laws haven't quite caught up to social enterprise. Social enterpris

This is a common model, and in my experience there's a couple of common reasons: - Taxation laws haven't quite caught up to social enterprise. Social enterprises are set up this way to enable the charitable entity to be tax-exempt (the rest of the business is not). I'm not sure of the ins-and-outs, but I believe it allows tax breaks on the donations from the enterprise entity to the charitable one. In short, it makes the whole thing more efficient. - Most of a social enterprise runs like a traditional company, and you generally want a managing director at the helm. However I don't think it's a good idea to have the same person creating the funding and distributing the funding. In my SE, the charitable trust is managed by an entirely unpaid board, which encourages unbiased distribution.