What is an Association Management Company (AMC)?
Imagine for a moment what your organization looks like at its best. What does that look like?
An engaged board?
Sustainable revenue?
Programs aligned with your mission?
Measurable impact?
A high-functioning team focused a common goal?
Not wearing all the hats and instead leaning into your expertise?
For many organizations, the idea of operating at their best is a dream – tight budgets, disengaged boards and teams that spend their time pulled between administrative and strategic tasks leaves little time (or resources) to focus on growth or innovation.
But it doesn’t have to be this way.
Enter the Association Management Company (“AMC”).
One of the best kept (open) secrets in the nonprofit world. Organizations run by AMCs get to live their “best” every day with the right teams and the right resources all focused on growth, innovation and executing on their mission.
What is an Association Management Company?
AMCs – like Abacus - are for-profit entities hired by professional associations and nonprofit organizations to outsource the management and operations of the organization. This partnership allows the AMC to manage the day-to-day operations of the organization so that the Board can focus on its mission and strategic growth.
Full-service management includes:
The team that directly supports the organization and its stakeholders, including: Executive Directors, Programs Managers, Event Planners, Operations Assistants, Development Associates. These team members are employees of the AMC and contracted to work exclusively with the organization. These team members may be part of the AMC or come with the organization when they partner with the AMC.
Access to a wide range of shared services, including: finance, communications, marketing, operations, donor support, human resources, event planning, contract review and negotiation, accounts receivable / accounts payable, and most other operational tasks and areas that are essential to an organization's growth and sustainability. The shared services team exponentially increases the capacity of an organization, providing fractional support in a wide range of areas most organizations couldn’t access on their own.
What are the benefits to hiring an Association Management Company?
AMCs bring a wealth of expertise and resources to organizations.
By consolidating and outsourcing operations, organization benefit from:
Experienced Team
Your team has expertise in your organization and field. By outsourcing operations to an AMC, your organization gains access to a wide range of experts in areas crucial to your organization's success without having to contract for these resources individually.
Growth
Organizations who work with AMCs see increased revenue and net operating income and have 58% greater growth when compared to independently managed organization.
Cost Savings
Independent organizations cost more to run than those managed by AMCs. While the initial fees to outsource to an AMC may be higher than what an organization is currently paying its team, the return on investment is higher than if an organization outsourced all the services provided by the AMC. Further, most organizations cannot afford to hire all the expertise that an AMC provides and therefore the fees paid to an AMC are able to go further.
Increased Engagement
When your team and Board are able to focus on the mission and how you serve your stakeholders, engagement increases.
Innovation and Technology
AMCs provide your organization with access to best practices, innovative thinking and ideas, and state of the art technology.
