As a response to the failure of existing international systems to address escalating environmental challenges and social inequalities, the need for innovative bottom-up approaches capable of driving transformative change is evident. This empirical study investigates the decision-making processes of social entrepreneurs (SEs) in the creation of community enterprises (CEs). Social entrepreneurs, characterised by their dual focus on social and economic goals, play a crucial role in addressing socioeconomic challenges at the community level. By conducting think-aloud verbal protocols (TAVPs) with founders of successful social enterprises, eight guiding principles were identified, such as Soil and Seed, Fortress of Tomorrow, Community: the Expert’s Compass, Umbrella of Confidence, Collective Prosperity Wave and Be Square, and Butterfly Effect. These principles constitute the framework which highlights how SEs balance community needs, innovation, and long-term sustainability. This dissertation contributes to the field of social entrepreneurship by proposing a decision-making framework specific to the creation of CEs, providing insights for both practitioners and policymakers on fostering sustainable community development.