<![CDATA[Waste Bank Social Enterprises (WBSEs) are crucial for addressing urban waste challenges in Indonesia but struggle with scalability and financial sustainability. Many fail to move beyond micro-scale operations, limiting their social impact. This study identifies the business model characteristics that enable WBSEs to sustainably scale. It analyzes the evolutionary process of their business models over time. A 36-month longitudinal, mixed-methods study was conducted on twelve urban Indonesian WBSEs. We combined quantitative performance metrics with 72 semi-structured interviews to analyze their scaling trajectories. Findings reveal a stark divergence. Most WBSEs stagnated, trapped by a precarious aggregation-only model. The Rapidly Scaling enterprises were universally differentiated by a strategic pivot: adopting value-adding processing. This transformation allowed them to exit the low-value commodity trap and secure stable, high-value industrial contracts. Sustainable scaling is contingent upon a fundamental business model transformation from a passive collector to an active producer. This evolution from a community project to a market-integrated social enterprise is essential for financial resilience and amplifying social impact.]]>
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