Nonprofits should consider strategic partnerships and mergers as a tool to strengthen program quality and realize organizational efficiencies. As the public and private funding environments tighten, strategic partnerships and mergers offer opportunities to advance your mission and strengthen your impact. Organizations pursue strategic partnerships, ranging from joint programming to shared administrative functions, where there are mutual benefits while remaining independent. Mergers involves a strategic restructuring that most often includes the creation or dissolution of one or more organizations. Every merger is unique and must take into consideration the cultures, goals, strengths, and challenges of each partner.
- Exploration: Organizations often times want to explore partnership and merger options. Questions that need to be answered include: What do you want to achieve? Who might be an appropriate partner? Is there a strategic fit in terms of mission, services and culture? What are the potential risks and benefits?
- Negotiations: Once organizations feel comfortable that there is a strategic fit and decide to proceed, we will work with the organizations to conduct thorough due diligence and to create a joint partnership or merger plan. Both organizations will need legal representation to review a merger plan.
- Implementation: The legal piece of a merger is oftentimes the easy part. Integration of culture, systems, people and processes is more complex. We will help you develop an integration plan and work with you through the steps (and, sometimes, challenges) to full integration. You will also need appropriate legal representation to ensure smooth implementation.