Using a franchise structure to scale affordable housing internationally

Julie Anne McBride, Eric Oetjen, September 2021

Capital investment as high as US$16 tn is required to address the shortage of adequate and affordable housing worldwide. Market-driven housing approaches that produce quality units, reduce dwelling costs, and provide access to a range of capital sources can help to solve this challenge. This article describes the experience of a social enterprise in Mexico that is taking its proven, market-driven housing solution to countries in Africa using a joint venture franchising company to execute a master franchising strategy. Its experience and the innovative approach it used to scale internationally offer useful insights and lessons for housing practitioners, policymakers, and researchers.

Scaling Social Enterprises Internationally: Leverage Franchising to Address Key Challenges

Franchising offers an exceptionally promising model for scaling social enterprises to benefit underserved or under-resourced communities across the globe. Leaders of these enterprises face important challenges when scaling their work to new countries. Download this whitepaper to learn more about how franchising can help social enterprises overcome common challenges of scaling internationally and read about lessons from a leading affordable housing enterprise.

Using a franchise structure to scale affordable housing internationally, Journal of Enterprise Development and Microfinance

The World Bank estimates that more than 1.2 billion people live in substandard housing globally and projects this number will increase substantially by 2030. One of the key hurdles facing the housing sector is finding viable, market-driven housing solutions that efficiently provide suitable housing and better leverage private capital. This article describes how ECHALE, a Mexican social enterprise, has chosen franchising to expand its affordable housing solution internationally, the benefits of the model, and its experience to date.

The Promise of Social Sector Franchising

Greg Starbird, Fiona Wilson & E. Hachemi Aliouche, Spring 2021

Kidogo: Addressing the Childcare Needs of Low-Income Families in East Africa

Jill Howard, Fiona Wilson, E. Hachemi Aliouche, December 2020
Attachment – Kidogo Case Study 2020

Scaling Social Enterprises through Franchise Models: Rethinking Social Franchise Agreements

Deborah Burand, David Koch, and Katy Yang, 2020
Attachment – Scaling Social Enterprises

Micro-Franchising in the Bottom of the Pyramid Market: Rwanda

Felicia Naatu, Ilan Alon, and Rehema Uwamahoro. Journal of Social Entrepreneurship, April 2020.

Social Franchising: A Bibliometric and Theoretical Review

Felicia Naatu and Ilan Alon. Journal of Promotion Management, June 2019.

Farm Shop: Lessons Learned from Scaling a Social Franchise

Kevin McKague, Karim Harji, and Farouk Jiwa. Cape Breton University, 2018.

Setting the Record Straight on Social Franchising

Julie McBride. Lancet Global Health, June 2018.

Carsey Perspectives: Local Owners Driving Lasting Solutions

Ilona Drew, Fiona Wilson, December 2017

Attachment – Jibu Case Study 2017

Carsey Perspectives: Meeting Farmers Where They Are

Ilona Drew, Abraham DeMario, Fiona Wilson, December 2017
Attachment – Ziweto Case Study 2017

Social Franchising as Rural Entrepreneurial Ecosystem Development: The Case of Krishi Utsho in Bangladesh

Kevin McKague, Jennifer Wong, and Nurul Siddiquee. The International Journal of Entrepreneurship and Innovation, 2017.

How Franchising Can Save the World

Julie McBride. Global Franchise Magazine, May 2017.

Chapter 13: Social Franchising: Strengthening Health Systems Through Private Sector Approaches

Julie McBride, Kim Longfield, Dana Sievers, and Dominic Montag. Social Marketing and Public Health, Second Edition, April 2017.

Education Franchises Growing Rapidly in Countries with Low Public Funding, Inefficient Administration

Dr. Rozenn Perrigot and Muhammad Akib Warraich. International Franchise Association, July 2016.

Fundamentals of Good Social Franchise Design

Julie McBride. MSA Worldwide, July 2015.

Team Microfranchising as a Response to the Entrepreneurial Capacity Problem in Low-Income Markets

Adam Camenzuli and Kevin McKague. Social Enterprise Journal, 2014.

Social Franchising

Edited by Ilan Alon. 2014.

Financial Sustainability in Social Franchising: Promising Approaches and Emerging Questions

N. Beyeler, C. Briegleb, and M. Sieverding. UCSF Global Health Group, 2014.

Access Afya: Micro-Clinic Franchise Designed For Scale
Entrepreneurs and Franchisors Tackle Issues of the Developing World While Turning a Profit

Kendal H. Tyre and Keri A. McWilliams. Nixon Peabody, November 2013.

PSI: Taking a Service Model to Scale

Stefanos Zenios, Lyn Denend, and Stacey McCutcheon. Global Health Innovation Insights, 2013

Can Franchising Be an Economic Development Strategy? An Empirical Investigation

Steven C. Michael. Small Business Economics, August 2013.

CFW Clinics in Kenya: To Profit or Not for Profit

V. Kasturi Rangan and Katherine Lee. Harvard Business Review, August 2011.

Microfranchising: A Business Approach to Fighting Poverty

Deborah Burand and David Koch. Franchise Law Journal, 2010.

Microfranchising at the Base of the Pyramid

David Lehr. Acumen Fund, August 2008.

Franchising Basics

Designing Business Models for the Poor

June 2011. Jason Fairbourne discusses the process of developing scalable microfranchises for third-world economies.

Resources - Conferences

Conferences & Webinars

Growth Financing For Social Franchising

April 13, 2022 RIFC | IFA Virtual Conference on Social Franchising (see video on page)

Scaling Social Enterprises Through Franchise Models: Rethinking Social Franchise Agreements

Oct 13, 2021 RIFC | IFA Virtual Conference on Social Franchising (see video on page)

Realizing The Promise Of Social Franchising

March 24, 2021 UNH / IFA Virtual Conference on Social Franchising
Peter T. Paul College of Business at the University of New Hampshire
Individual presentations within the main video:



Social Sector Franchising Mentoring

From the Social Sector Task Force

Social Sector Franchising FAQs

From the Social Sector Task Force

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