CoP on Innovative Finance #3: Performance-based Financing and Social Franchising

Come and join the discussion on Tuesday, July 2!

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How does performance-based financing work? What are its advantages and what are its pitfalls? And are you interested in knowing more about social franchise models for NGOs, but you missed the previous session? Join us on July 2 at the next meeting of our recently formed Community of Practice on Innovative Finance for Development. More subjects and learning events will follow after the summer!

As concluded after February’s session on “How to raise sustainable income streams: the importance of non-profit business” and the first meeting of this CoP in April, in the upcoming months The Spindle will organise a number of sessions on how different organisations are working with innovative ways of financing development. Each session will touch upon on one or two innovative financing instruments that are currently being explored, experimented or implemented. The main goal of these meetings is to exchange on the topic and discuss experiences, success stories, pitfalls and recommendations regarding each financing instrument. While the sessions’ setting is confidential, the main insights and lessons learnt will also be shared through a blog series produced by Han Valk Fundraising Consultancy & Interim Management.

The session of July 2 will focus on performance-based financing and social franchise models. Performance-based financing (PBF) also known as results-based finance, is a financing approach that links payments to performance. In other words, instead of receiving financing beforehand, service providers receive their payments on the basis of agreed indicators and actual, verified output. Cordaid, the first organisation to introduce PBF in the health sector, as well as MaxFoundation, will share their history and experience with this innovative financial instrument.

Social franchising will be one of the topics too, as a follow-up on the previous session of the CoP on Innovative Finance of June 18. Social franchising is the application of commercial franchising to organisations that pursue social missions rather than profit. However, there are different models through which an NGO (or a social enterprise) can create a network of independent, local operators that offer the same services according to a common framework. After Aflatoun, this time it will be up to Dance4Life and RNW Media to present their respective social franchising model.

Curious to discover more and engage in this exchange? Sign up by filling in the form here below!

Practical details
Date: Tuesday, July 2, 2019
Time: 15.00-17.00 (+ networking drinks)
Location: (Spaklerweg 79, 1114 AE Amsterdam).

CoP on Innovative Finance #3: Performance-based Financing and Social Franchising

Please sign up via this form if you want to join the event!

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