What is Social Franchising?
Social franchising is the use of a commercial franchising approach to replicate and share proven model to achieve greater social impact. It’s becoming a very popular way for non-profit organisations to replicate. It’s all about creating a model that enables other people or organisations to deliver the service under your control.
Social franchising is growing rapidly in the UK and is being used across the globe by a wide variety of social enterprises, charities and public sector bodies.
The originator of the model normally becomes the social franchisor and after a process of initial development work then offers it’s model to franchisees who invest in and run the operation on a local basis. The franchisor normally charges an up-front fee for the initial package of support provided and then takes a royalty or ongoing payment in return for services provided.
Why Social Franchising?
There are many reasons why franchising can be particularly suited to social enterprises and charities.
- Growth in social impact in line with organisation’s mission
- Reduces need for central funding
- Reduces hierarchy within larger organisations
- Shares best practice
- Allows for local ownership, flexibility and tailoring to local circumstances
- Achieves benefits of national organisation (joint purchasing, bidding, policy, communications, etc.) but within a local setting.
- Shares successful models
- Works through genuine partnerships and mutual benefit, under a common identity
- Devolves power and encourages entrepreneurship
- Encourages innovation
- Encourages a wider range of individuals to become stakeholders
Social Franchising Consultancy
We’ve worked on social franchise projects with social enterprises across a range of sectors including mental health, children’s services, domiciliary care, training and education.
We offer a wide range of consultancy services to social organisations considering expansion through a franchise model. This includes a full range of franchise consultancy that’s specific to the not-for-profit sector.
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