The Network - February 2010

What You Should Know About Restructuring

Strategic Restructuring Does Apply to You

In this time of increased opportunity for environmental progress and a weakened economy, organizations are looking for creative ways to continue to succeed in the long term. ICL’s newest publication, “Creating an Environment for Success: Mergers and Other Partnership Structures for Environmental Nonprofits” gives you detailed information about a range of restructuring options, four case studies, and lessons learned.

Restructuring should be on your mind, even if you know that your organization is stable, and maybe even thriving. Here’s why:

  • Partnership can create new opportunities that would otherwise be missed
  • You may be approached by another organization (maybe with whom you have no current relationship) interested in merging with your group
  • Your financial situation could change tomorrow, next week, or in six months
  • Restructuring could create a better economy of scale for your organization
  • Donors and foundations may look favorably on new organizational structures
  • Restructuring done well helps to refocus and sharpen your organization’s mission
     

Read the rest of the article to learn about five common types of restructuring.

 

Think Ahead: Restructuring

Build awareness and consensus about strategic choices within your organization. Your board and staff leadership may not be thinking about restructuring, whether it is your own organization approaching potential partners or another organization approaching yours. Involve board and staff leadership in thinking about what the options are (i.e., reading the restructuring article or identifying local case studies) and discussing advantages and disadvantages.

Know your own organization well. This sounds obvious, but in order to partner with others effectively, it is important that you can clearly articulate the core work of your organization. Identify your strengths and resources, as well as your needs in the type of relationship you are seeking. Doing so will help you decide who to approach and who not to approach.

Get the rest of the tips here.
 

 

ICL Resources: 

Creating an Environment for Success

$0.00
Resource Type: 
Publications
Topic: 
Strategy & Planning

ICL's publication, "Creating an Environment for Success: Mergers and Other Partnership Structures for Environmental Nonprofits," shares four success stories illustrating different forms of partnerships. The monograph covers five options for strategic restructuring (merger, joint venture, parent-subsidiary structuring, management services organization, and fiscal sponsorship), plus offers pointers and resources for groups exploring partnership possibilities.

$0.00