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How to ensure your NFP merger doesn’t become an unintended take-over

Mergers and acquisitions have become a natural part of the not-for-profit landscape with more than twice the number of organisations considering a merger than was the case ten years ago. While they bring the promise of greater efficiencies and better service delivery, they also pose the risk of smaller entities being swallowed up by their larger and more powerful merger partners.

 

So how do boards and executive teams ensure their merger doesn’t inadvertently become a takeover, gobbling them up rather than enabling them to become a fresh entity with a shared and exciting new identity?

 

Best practise tips for NFP mergers:

  • Know your WHY
  • Weigh up the benefits and risks
  • Identity the deal breakers early on
  • Don’t scrimp on due diligence
  • Create ‘one’ culture
  • Communicate, communicate, communicate

 

To view the Third Sector article in full, click here.

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