Merger education is the process of learning to correctly understand the pros and cons of mergers then creating a plan around the credit union's stance on merger opportunities.

“With courage you will dare to take risks, have the strength to be compassionate and the wisdom to be humble. Courage is the foundation of integrity.”
Keshavan Nair

The clear market trend is toward intentionally selected mergers that increase member value. In 2005, there were 303 mergers completed across the country...This number is expected to continue to grow in the coming years.

Being larger is more important for credit unions than previously believed. To remain a viable player in the financial services marketplace, credit unions must create the necessary economies of scale. Statistics show that larger credit unions consistently deliver much better growth rates, efficiency and profitability over time. Mergers are the fastest way to gain economies of scale.

It is important that every credit union have a merger strategy—a shared foundation in your credit union’s approach to merges for the CEO, the Board and the senior management team.

Your merger strategy is how, in general terms, the credit union will pursue and address merger opportunities and handle the merger process. It includes a “position statement” regarding mergers and your general desired outcomes along with a certain level of detail about critical aspects of the credit union’s approach to, and perspective about, merging.

Every organization needs to have an M&A strategy since it is part of your Board’s due diligence to fully explore how best to serve the credit union’s membership. Nice will help you build that strategy in a way that brings everyone (Board, CEO and Senior Management) on board.

Through several large-scale mergers such as the T&C/USA merger in Michigan, Nice has developed and will lead you through the educational process required to begin thinking and acting appropriately in the very complex world of mergers.