68% of nonprofits plan to collaborate within the coming year according to the Nonprofit Finance Fund. In my last article I suggested why you should seriously consider collaborating or merging with a similar nonprofit and becoming part of that 68%.
Here are the key benefits of doing so.
Sustained collaborations help nonprofits preserve and sustain programs, be more effective, serve more people, serve a bigger geographic area, and provide more services to the same people. After all, isn’t that what we are about? Ultimately, it is about growth and change, and about achieving more impact with limited dollars.
You and your organization can benefit from other nonprofit leaders’ experience in your field. You can take advantage of existing infrastructure and upgrade your own capabilities at a lower cost. Do you really need your own Human Resources staff? Why duplicate financial and fundraising software systems?
Another major benefit is that these strategies bring together foundations and other donors who like to see their money maximized to benefit more people. They would prefer not to support five or six nonprofits who provide the same services but have overlapping staffing and operational expenses, They would rather see their funds more effectively utilized in improving and expanding programs and serving more needy people.
A successful example: two child-welfare nonprofits in Los Angeles with complementary strengths came together and created a more significant impact in their field. Doing so freed up $1 million for additional family services after back office and leadership integration. Remember, ultimately, it is about serving our clients’ needs, not about maintaining our own organizational identity for emotional or personal reasons.
Finally, there are funding sources available to explore, confidentially, whether you are ready for such a move and how to proceed. You may get a grant for your nonprofit and a potential partner to retain experts who can assist you with assessing your readiness, both operationally and culturally. And, if you do not execute the plan, there is no financial obligation. Just the knowledge gained from the exercise will be invaluable should you decide to attempt it later.
So, if you are considering joining the 68% of nonprofits who are planning to collaborate, call Mirenda & Associates for a free 30-minute consultation that could help decide your future.