High political and environmental uncertainty, constraints, and increasing societal problems led to an increase in the number of Social Enterprises in recent times. Social Enterprises work toward blended value gains, providing solutions to societal problems and producing economic value. These organizations are focused on creating value and enhancing social well-being by conducting commercial business. Attainment of these social objectives depends upon the governance orientation of the decision maker, which plays an eminent role in the achievement of the desired outcome. We considered two differently grounded theories from governance literature, Agency theory, and stewardship theory. Agency theory adopts an economic approach where the decision-maker acts as an opportunist and individualistic with misalignment in organizational and personal objectives, whereas, Stewardship theory has sociological roots and conceives senior decision-makers as collectivist, trustworthy, and behaving in accordance with organizational objectives. We proposed that Social Enterprise (SE) governance affects social value creation through 1. Improving the performance outcome of SE i.e., efficiency and effectiveness 2. Increasing the social capital that SE creates in the process, and 3. Enabling co-creation (Service-Dominant logic ) to value SE and their beneficiaries by combining beneficiaries’ skills, experiences, and knowledge in the co-creation process. Better SE governance captured by Agency and Stewardship Orientation increases their performance. This is measured by 1. Financial sustainability (PFS), 2. Efficiency (PEF), 3. Social Effectiveness (PSE), 4. Management Effectiveness (PME), 5. Social impact (PSI), and 6. Consistency (PC). Higher performance would increase the social capital i.e., 1. Structural, 2. Relational, 3. Cognitive capital. This increased social capital would increase Service-Dominant logic (SDL) based co-creation of value. SDL orientation is measured by 1. Relation, 2. Ethical, 3. Individuated, 4. Concerted, 5. Empowered, and 6. Developmental interaction. SDL orientation would in turn increase social value creation represented by 1. Life, and 2. Domain Satisfaction. The study revealed the impact of SE governance orientation effects on Social value creation with and without the mediation of performance outcome (social impact), social capital, and Service-Dominant Logic (SDL)-orientation by analyzing field data collected from the senior decision-makers and beneficiaries of 100 SE’s of Pakistan through conducting an online survey. Analyzing the relationships through employing SMART-PLS, we computed the results for the Path model employing the two-stage least square method, ensuring the construct quality and employing Bootstrapping for hypothesis testing. The results suggested that both Agency and Stewardship Orientation have a positive and significant effect on all six dimensions of performance. accept the effect of agency orientation on Efficiency PEF, Management Effectiveness PME, and Consistency (PC). Performance outcome of Social Effectiveness (PSE) in turn seems to affect Relational capital significantly and positively. Individuated and Developmental interaction dimensions of SDL-Orientation also seem to positively affect both domain and life satisfaction hence creating social value. Interestingly, Stewardship orientation seems to positively affect performance outcomes of STC, RTC, and CGC, whereas Agency Orientation seems to affect RTC, and CGC negatively. The concerted interaction dimension of SDL also seems to increase all six performance outcomes. However, Relation interaction has a significant negative effect on PSI, PC., and Empowered interaction reduces PEF. Examination of these variables revealed that decision makers with stewardship orientation are more impactful in managing quality relationships in value networks of Social enterprises, which consequently impacts the Performance outcomes. Whereas, under stewardship orientation; SDL-Orientation becomes impactful on Social value creation. The study empirically approved stewardship Orientation of governance mindset to be best suited for Social Enterprises to perform well in the environment where they operate. The study recommends a legal body of recognition for social enterprises and creating awareness regarding the concept of social enterprise which is relatively nascent. Further, the Quality relationship between Social Enterprises and Academia should be maintained to encourage researchers to the creation of fruitful knowledge in this domain. Moreover, this research study will be of concern to all Social enterprise decision-makers, young social entrepreneurs, academicians, and Policymakers