Table of Contents
How to approach franchising as a program expansion strategy to generate revenue
How to approach the hub and spoke model as a program expansion strategy to generate revenue
How to approach the train-the-trainer model as a program expansion strategy to generate revenue
How to approach expanding to new locations as a program expansion strategy to generate revenue
Using the Social Enterprise Model to Strengthen Your Nonprofit
Nonprofit Social Enterprise in Action
Growing and expanding programs in a nonprofit is important for making a bigger impact, helping more people, and improving services. Scaling programs helps meet changing community needs and strengthens the organization as a whole. However, expanding programs takes a lot of time, effort, and resources from staff, board members, and volunteers. Every step requires careful planning, teamwork, and follow-through to make sure the program is successful and lasts long-term.
Nonprofits often feel pressure to grow their programs quickly, especially when unexpected funding becomes available or urgent community needs arise. Economic uncertainty, funding shortfalls, and changes in leadership can also create pressure to expand or adjust programs, sometimes before an organization is fully ready. Expanding too fast can make it hard to keep the program high-quality and effective. On the other hand, some nonprofit leaders are prepared to launch new programs right away, using strategic opportunities to support their mission and reach more people.
Different Strategies to Scale a Nonprofit Program
Scaling a nonprofit program allows organizations to expand their impact and reach more communities. Depending on the mission, resources, and goals of the nonprofit, there are several effective strategies to grow a program successfully. Here are some key approaches to consider:
Licensing & Replication
This strategy allows other organizations to adopt a proven program under their own brand, expanding its reach without requiring direct management from the original nonprofit.
How to approach licensing and program replication as a program expansion strategy to generate revenue:
Develop clear program guidelines and training materials to ensure quality and consistency.
Establish a licensing agreement that outlines expectations, branding, and reporting requirements.
Offer ongoing support and evaluation to ensure successful implementation.
Examples:
A domestic violence hotline develops a standardized volunteer training program and licenses it to other shelters and organizations to implement under their own branding.
A museum education nonprofit creates a curriculum and sells it to schools or community centers to use in their local programming.
Franchising
Similar to a business franchise model, this approach enables local chapters or affiliates to implement a standardized program while maintaining consistency with the original organization’s mission and brand.
How to approach franchising as a program expansion strategy to generate revenue:
Create a strong operational framework with defined processes and training for local affiliates to follow
Maintain a balance between standardization and local adaptability.
Establish a support network for franchisees to share best practices and troubleshooting assistance.
Examples:
The Boys & Girls Clubs of America operate as a franchise model, where local chapters follow a standardized program with brand consistency.
Dress for Success helps women enter the workforce, and its chapters worldwide operate under the same core structure.
Hub-and-Spoke Model
A centralized “hub” provides expertise, resources, and guidance while supporting local “spokes” (branches or affiliates) that implement the program within their communities.
How to approach the hub and spoke model as a program expansion strategy to generate revenue:
Clearly define roles and responsibilities between the hub and local branches.
Develop a strong communication and feedback loop to support local implementation.
Ensure centralized training and resources are available for consistency and efficiency.
Examples:
Food banks often operate this way, with a central food bank distributing food to local pantries that serve communities directly.
Train-the-Trainer Model
The train-the-trainer model empowers local leaders and professionals by providing them with the skills and materials needed to train others, creating a multiplier effect.
How to approach the train-the-trainer model as a program expansion strategy to generate revenue:
Develop a structured certification process to ensure trainers maintain program quality.
Provide accessible and comprehensive training materials.
Establish an evaluation system to measure trainer effectiveness and program outcomes.
Example:
A nonprofit that provides mental health support creates a certification program for trainers, who then teach the curriculum in their local communities.
A trauma-informed care training programs equip organizations with tools to train their own staff.
Strategic Partnership and Collaborations
Nonprofits can collaborate with businesses, government agencies, and other organizations to scale their impact and implement programs in new locations.
How to approach strategic partnerships and collaborations as a program expansion strategy to generate revenue:
Identify partners whose mission aligns with the nonprofit’s goals, programs and services.
Define clear roles, responsibilities, and expectations for all partners so that there is follow through and commitment
Spend the time building relationships with potential partners
Maintain open communication and regular progress evaluations to ensure mutual benefit
Examples:
A nonprofit partners with corporations to implement its workforce development program in multiple locations.
Habitat for Humanity collaborates with businesses and local governments to build homes at scale.
Expansion to new locations as a way to scale programs
Organizations that successfully run programs in one city or region may expand to additional locations by establishing new sites or chapters.
How to approach expanding to new locations as a program expansion strategy to generate revenue
Conduct feasibility studies to assess community needs and readiness for expansion.
Develop a phased rollout plan to manage resources effectively.
Build strong local leadership teams to ensure sustainability.
Examples:
A nonprofit that provides after-school programs in one city expands to new cities with local teams.
Big Brothers Big Sisters has local affiliates across the country that implement the core mentorship model.
Social Enterprise Model for Nonprofit Leaders
Generating revenue through social enterprise models allows nonprofits to grow services, increase sustainability, and expand their impact. A social enterprise provides a way to diversify funding beyond grants and donations while staying true to the mission. Unlike traditional revenue streams, social enterprises reinvest profits directly into programs, ensuring long-term stability and deeper community engagement.
Using the Social Enterprise Model to Strengthen Your Nonprofit
Align revenue generation with your mission: A successful social enterprise program must reinforce your nonprofit’s purpose while generating income. Looking at examples of social enterprises within the nonprofit sector can help identify models that align with your work.
Build a sustainable structure with clear financial goals: A social enterprise should not just generate revenue but also support your nonprofit’s long-term vision. Studying social enterprise examples from other nonprofits can provide insights into how to balance impact and financial sustainability.
Monitor impact and reinvest profits strategically into program expansion: Unlike traditional funding models, social enterprises exist to advance social good. Reviewing social enterprise examples from the nonprofit world can help refine your reinvestment strategies, ensuring that revenue directly supports your mission-driven programs and services.
Nonprofit Social Enterprise in Action
Many nonprofits have successfully launched social enterprise programs to support their work. A workforce training nonprofit might start a service that hires program graduates, providing both job experience and a sustainable funding source for future participants.
A well-known example of a social enterprise is the Girl Scout cookie program, where revenue directly funds leadership development, educational initiatives, and community engagement for girls across the country. Understanding how social entrepreneurship differs from traditional business entrepreneurship is key for nonprofit leaders looking to integrate earned income strategies without compromising their mission. By exploring social enterprise models, your nonprofit can increase its financial resilience while deepening its impact.
Next Steps
Scaling a nonprofit program requires strategic planning and careful implementation. By choosing the right approach, organizations can increase their impact while maintaining the quality and integrity of their programs and services. Nonprofits have multiple pathways to expand their reach and make a difference on a larger scale.
Upcoming Program Management trainings:
Managing nonprofit programs requires both planning and flexibility. Launching new programs while managing existing ones demands creativity, time, and effort. Expanding services fosters growth, innovation, and impact. Are you looking to scale a program in your organization? Need guidance before committing resources? Program development and scaling take time and collaboration among staff, board members, and volunteers. Scaling could mean launching in a new location or serving more clients in a deeper way.
This workshop will explore strategies for program development, scalability, and sustainability. We’ll cover models like licensing, franchising, hub-and-spoke, strategic partnerships, social enterprise, and collaborations. We'll also discuss how to expand, who to involve, and how to maintain program quality.
The session includes brainstorming, feedback, and action planning to help you scale your programs. Attendees will leave with clear, actionable steps for nonprofit program growth and management.