Abstract
PurposeThrough research and first‐hand experience with more than one hundred nonprofit mergers in the past decade, the firm has developed a variety of tools to help nonprofit organizations determine whether to undertake merger negotiations, how to facilitate these negotiations, and how to integrate organizations post‐merger.Design/methodology/approachThe authors have conducted more than 100 nonprofit mergers. They also interviewed board members and CEOs of nonprofits that have merged.FindingsThe critical differences between mergers in for‐profit and nonprofit sectors occur in the negotiations phase, which is where board members often play a key role.Research limitations/implicationsThis article addresses the merger process, not the business case. More research is needed on the economic benefits of nonprofit mergers.Practical implicationsThe article identifies best practices for nonprofit mergers.Originality/valueThis article alerts volunteer board members from the for‐profit sector to the essential differences they face facilitating mergers in the nonprofit sector and provides them with a step‐by‐step guide to success.
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