Strategic Alliances and Restructuring

There's an African proverb that tells us "when the music changes, so must the dance." As government funding dries up and competition for charitable dollars grow, many nonprofits are being forced to step back and examine the dance; which may mean merging, restructuring, or forming strategic alliances with other nonprofits that share similar missions.

Nonprofit Consolidation Strategies

Unlike the corporate world, where such changes are common, nonprofit mergers are relatively rare. One reason is that corporations have the luxury of offering financial incentives to help overcome emotional resistance; an avenue typically closed to nonprofits. No one gets rich when nonprofits merge. Without such tools, negotiating and managing a nonprofit consolidation of any kind requires greater finesse and expertise at understanding the obvious and subtle impacts. Hiring an outside consultant with that expertise is imperative, and the earlier you do so, the less disruptive the process can be.

Long-term Advantages

At LCG, we begin working with nonprofit executives and boards during the earliest exploration phases. Our process can help you realistically assess the situation and determine if an alliance or merger is a viable option and, if so, how to proceed through each step of a structured plan. Our experience and objectivity provides unbiased guidance to help you negotiate terms while avoiding conflicts and roadblocks. Your investment in a consultant who will smooth the path and minimize discord both streamlines the consolidation process and establishes a positive tone that can pay dividends for years to come.

Learn More

If you are involved in or considering restructuring, forming a strategic alliance or merging with another nonprofit, we encourage you to contact us.

Our Expertise

our expertise strategic alliances

Our team includes consultants experienced in successful alliances and mergers of many types of nonprofit organizations. We facilitate a structured in-depth information sharing process that provides participants with the hard facts needed to analyze the risks and benefits, and make an informed recommendation to the board. We know that building trust among the affected organizations and strategic communications with key constituents are crucial to success. We bring our experience and guidance to these areas to ensure the alliance meets your objective.