The quality of life of the population is a multifaceted indicator of the level of development of any state. The foundation of modern society is comprised of four spheres of public life: economic, social, political and spiritual. Each of these spheres has its own constituent elements that determine the tasks of state regulation. The state's management of the quality of life of the population is carried out through the use of appropriate tools, namely the implementation of certain policies and the guarantee of compliance with life support standards in designated areas. The improvement of the quality of life of the population depends on the coordinated work of the mechanism for implementing a set of certain tools in all of the listed spheres of society, which are interconnected, complement each other and ensure mutual functioning. The modern understanding of quality of life encompasses not only the provision of material goods but also the possibility of free expression in society. This should be considered when implementing social projects aimed at improving quality of life. The article hypothesises that the solution to a number of problems of social and spatial development of new constituent entities of the Russian Federation is possible through the organisation of a business incubator for social projects. In order for a business incubator to function effectively, it must be able to fulfil additional functions that are not typical for it. These include the generation of ideas and the design of business models for their implementation, taking into account the specific political and economic circumstances of the region in question, as well as the low level of entrepreneurial activity in the social sphere of the Donetsk People's Republic.