Hub and Spoke Franchising – Social Entreprise Growth Model

hubIn the wake of renewed interest in social entrepreneurship in Africa, the next stage for the social enterprises being created every day is to spread their wings. This is in line with the core principle of social entrepreneurship of maximizing the social impact to community through having a wide reach.

As the social enterprises scale up, there is a need to have more branches and to reach the masses in the rural Africa. By single-handedly relying on one’s own resources, the rate of growth can be very limited ad thus the need for an alternative growth strategy.

This is where the “hub and spoke” franchising model comes in to ease and hasten the growth rate. The model works just like the hub and the spokes of a bicycle. You have a central controlling point and many other terminals in the rural areas franchised to other people interested and/or in the same social enterprise you are in.

The model works in total cohesion with a synchronized supply chain management system, uniformity in branding and quality of products and a total control of the whole value chain. Management roles, branding, marketing, training, production and procurement are centralized and hence cutting down on costs which would result from duplication of such services.

The greatest benefit of the hub and spoke model in social entrepreneurship is the fact that more people interested in having the same social impact in the community actually get to combine their energies. The rewards from the synergy created can never be over-emphasized; especially through efficient management, quality assurance and control of the whole value chain in a collective and comprehensive manner.

If you are looking for faster growth in your social enterprise, you could try out the hub and spoke franchise model and it could work wonders for you!


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