Bright Lights: Exploring the Franchising Potential of a Not-For-Profit Organization

Abstract

Bright Lights is a small non-profit organization in Lincoln, NE offering a summer enrichment program to school aged children. Post 9/11, the organization faces challenges in its efforts to sustain financial resources. With enrollment and course offerings on the rise, funding is more important than ever. At the second to the last meeting of the year at which budgets are established, the Bright Lights' Board of Directors asked the Executive Director, Kathy Hanrath, and the Co-Owner/Director of Education Services, Barb Hoppe, to come up with some alternatives for fundraising top present at the final yearly meeting. Kathy has recently attended some sessions on franchising at a local entrepreneurship conference and would like to explore franchising as an option for Bright Lights growth. Kathy feels that franchising might have the potential to both increase performance and funding. This case focuses on issues associated with the exploration of franchising as a method of distribution and capital acquisition for a social organization. It calls attention to the appropriate situations for franchising, the importance of organizational assessment for franchise readiness, and other legal, economical, and organizational considerations.

Citation

Godsey, M. and Sebora, T.C. (2007), "Bright Lights: Exploring the Franchising Potential of a Not-For-Profit Organization", , Vol. 3 No. 2, pp. 162-173. https://doi.org/10.1108/TCJ-03-2007-B006