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![Page 1: Introduction to Nonprofit Strategic Restructuring: Mergers, Partnerships & Alliances Presenter: Jean Butzen Mission + Strategy Consulting Blogging at:](https://reader036.fdocuments.net/reader036/viewer/2022062300/56649dd55503460f94acd005/html5/thumbnails/1.jpg)
Introduction to Nonprofit Strategic Restructuring:Mergers, Partnerships & Alliances
Presenter:
Jean Butzen
Mission + Strategy Consulting
Blogging at: www.MissionPlusStrategy.com“Like” Mission Plus Strategy on Facebook
Follow us on Twitter: JeanButzen
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1. The environment is driving nonprofits to consider mergers and partnerships.
2. There is a wide variety of creative, diverse partnership models.
3. Mergers, alliances, and partnerships can make nonprofits stronger and increase impact.
The three main points of the workshop:
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What are the environmental drivers for mergers and partnerships today?
How many can you name?
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KEY DRIVERS FOR RESTRUCTURING:
1. Economic forces like the recession2. Pressure to raise unrestricted funding for back office
expenses3. Government moving to more managed-care contracting4. The shift to measuring results in nonprofit organizations5. More competition from nonprofits and for-profits6. The impending leadership gap in management7. The political push for smaller government8. Complexity of social issues that clients bring to the table.
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What are the creative ways nonprofits are partnering, in
addition to mergers?
How are nonprofits benefiting from these structures?
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JOINT VENTURE PARTNERSHIPGOVERNED BY A 501(c)(3) BOARD OF DIRECTORS
Board of Directors
plus Board Chairs
NoraCentral Square
Theatre (501 (c)3 nonprofit
corporation)
URT
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MANAGEMENT SERVICE ORGANIZATIONS501(c)(3) Nonprofit Corporation
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SHARED SERVICE ALLIANCE
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PARENT CORPORATION
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NONPROFIT MERGER
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The Role of Foundations in Nonprofit Mergers & Partnerships
Jim Lewis, Chicago Community Trust
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STEPS TO ORGANIZING A PARTNERSHIP
• 1. SWOT analysis• 2. Identify prospects• 3. Reach out• 4. Prepare a letter of intent• 5. Write a memorandum of understanding• 6. Create legal documents• 7. Implement your partnership• 8. Evaluate your partnership
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Questions and Answers:
If you were to try and share this presentation with someone tomorrow, what parts are you not confident in?
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ǀ 15
THE NEW NONPROFIT
ABC NonprofitPARENT CORPORATION
(providing back office support)
NPO #2
NPO #1
A product of two or three
strategic mergers over a period of time
Shared Service Alliance
For Joint Purchasing
FOR-PROFITSUBSIDIARY,Joint Venture
Partnership w/XYZ Nonprofit
ADVOCACY ALLIANCE
FOUNDATION
NPO #3
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CLOSING COMMENT
Make this information useful – use it.
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• To read about more actual collaboration cases, check out the Foundation Center Collaboration Database:
http://collaboration.foundationcenter.org/search/searchGenerator.php• See the Mission + Strategy Bibliography and
my web page: www.MissionPlusStrategy.com
WHERE TO GO FOR MORE INFORMATION: