The idea of a nonprofit organization taking over a for-profit business is a whole different matter, one that would sound impossible or unthinkable.
However, in “Unlikely Takeover: A Third Way to Scale Social Enterprise” that appears in the Fall/Winter 2013 edition of “The Nonprofit Quarterly” Jon Huggett urges abandoning blanket assumptions and considering ways by which converting commercial enterprises to nonprofit operations are not just feasible but also beneficial.
Huggett uses the example of ABC Learning Centers, a business in Australia that went bust, was taken over successfully by a consortium funded by the nonprofit venture philanthropist Social Ventures Australia (SVA). Huggett offers four lessons that were learned and that would benefit anyone contemplating a similar move.
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