Inperium exists to help other nonprofits do what they do best.
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If you have followed my past articles, you are already familiar with the nonprofit I founded in 2016. In a nutshell, Inperium is one of the largest nonprofit orchestrators and consolidators of health and human services providers in the country, having formed what we refer to as a constellation of affiliates. Our model ensures affiliates gain the stability, resources, and financial strength of a larger enterprise without compromising what makes them unique. We’re viewed as a different kind of animal, both within and outside the nonprofit community, and it’s this last element—ensuring our affiliates don’t have to compromise what defines who they are—that creates most misconceptions among those considering affiliating.
Not Your Typical M & A
Among for-profits and nonprofits alike, any discussion of mergers and acquisitions creates the instant reaction that they always result in the big fish swallowing the smaller fish. Inperium truly has tipped that thinking on its head and has even been the smaller fish in some of our past affiliations. In most transactions, affiliates retain their name, their board, and their leadership team, and always retain their mission. That’s the whole point. We exist to help other nonprofits do what they do best. While it’s true that we have affiliated organizations that had fallen into problematic financial conditions and others that had become bloated by inefficiencies, we consistently found that those organizations demonstrated tremendous integrity and capability in serving the people who depend on them.
I understand the skepticism when those that recognize the need for change and inquire about Inperium ask, “What’s the catch?” At our core, we’re a nonprofit just like they are. Every member of our executive leadership team has experience working directly for human services providers. The desire to expand mission is baked into our collective DNA, so when we are exploring a new affiliation and circumstances challenge our intent to retain its identity by keeping its name or leadership, we’re matter-of-fact from the outset. We have encountered cases where an organization’s reputation has been tarnished to the point that its name conveys only negative connotations, cemented by bad press or by leaders’ behavior contrary to the organization’s values. There have been instances when past leadership so badly mismanaged responsibilities that they placed their organization’s finances and reputation at great risk. These have been the exceptions, not the norm.
When there is no realistic way forward for mission sustainability without a fresh start, we’ve made the necessary changes, but our experience has taught us that, even in organizations harmed by poor management practices, employees are dedicated to the mission and highly skilled. Nearly without fail, we have come across exceptional staff members who were never heard, but once given a voice and elevated, proved to be of great value to mission continuity. As a result, not only do most staff remain with the organization, many receive opportunities they might never have received without an Inperium affiliation. Our model is focused on using scale to the advantage of our affiliates and creating efficiencies that produce significant cost savings that can then be better deployed to programs and mission. We’re not the sort of entity that enters a new relationship armed with a sheath of pink slips. Talented back-office personnel may see our management company’s name on their paychecks post-affiliation, but they also discover opportunity to add to their skill set and advance their careers.
Because we steadfastly believe in a board’s duty to fulfill its governance role, a vital element to every nonprofit’s success and sustainability, we always attempt to enhance an affiliate board’s capacity, which means honoring existing legacy, albeit under our high standards of preparation, participation, and engagement. We provide oversight by adding an Inperium member to every affiliate board and sometimes gain additional benefit by adding an affiliate’s legacy board member to the Inperium board. The only instances in which we have experienced legacy board turnover upon affiliation have been when board members self-determined that they had been remiss in their duties or were not prepared to meet the standards and expectations required as a result of the affiliation.
The affiliation process itself is not a one-size-fits-all template. We recognize that every organization is unique. We work together in advance of closing the affiliation to create agreements tailored to the organization’s specific needs. Transparency is one of our core values. We share our past, open our books, and bring those considering affiliation into our constellation-wide meetings so they can interact with those who have already joined the constellation. We’re invested in innovation through collaboration, not hostile take-overs.
One of the most rewarding parts of “charting” this constellation we call Inperium is witnessing healthy skepticism give way to belief, which is why our affiliates become Inperium’s greatest cheerleaders.