Nonprofits Missing the Boat by Not Merging

After the end of the Great Recession, observers of the nonprofit world expected mergers to increase dramatically. Such arrangements could take the sting out of diminished funding, plus pair like-minded organizations and so increase their reach and power.

That never happened, and the first study of Chicago-area nonprofit mergers reveals why. Mergers take time and money. It's tough to find the right partner, determine how to combine boards and staffing, and find common cultural footing. And financial issues can crop up, particularly when one of the organizations is struggling.

These findings are detailed in the Metropolitan Chicago Nonprofit Merger Research Project, released Oct. 20 at a seminar on nonprofit collaborations presented by Chicago-based Forefront.