building partnerships to enhance your loan product - real solutions
DESCRIPTION
REAL solutions Webinar Training Series - Community PartnershipsTRANSCRIPT
REAL solutions Webinar Training Series REAL solutions Webinar Training Series April 10, 2008April 10, 2008
Building Partnerships to Enhance Your Building Partnerships to Enhance Your Loan ProductLoan Product
Presenters
Bill Myers: REAL Solutions Field Coach, former CEO of Alternatives Federal Credit Union, Ithaca, NY
Lil Dupree: Development Director, Northwest Montana Human Resources, Kalispell.
Jeremy Presta: President/CEO, Park Side Federal Credit Union in Kalispell.
Bill Myers: REAL Solutions Field Coach
Partnerships
PartnershipsWhen going it alone isn’t enoughWhen going it alone isn’t enough
Bill MyersBill Myers
[email protected]@realsolutions.ncuf.coop
REAL Solutions Montana Partner’s Meeting. April 10, 2008REAL Solutions Montana Partner’s Meeting. April 10, 2008
Two Basic Types of Partnerships
Operational PartnershipsEfficiency
- Data processing
Regulatory Compliance- Continuing education
Hours of operation- Call Center
Service Extension- Brokerage- Business Lending- Collection
Mission Partnerships
Same Mission, Different Strengths
When you want “Out of the Box” work with someone not in your box.
"It is not from ourselves that we learn to be better than we are.“
Wendell Berry
Exercise in Translation: No Comparable Terms
Financial Institutions Non-Profits
Return On Assets Grant Coverage
Equity Endowment
Revenue Stream Grant Cycle
Leverage Endowment earning
Scale Replicable Model
Assess your core skills and weaknesses
What does our CU do well?
Business-like approach
Existing Retail Network
Existing Transaction Servicing capacity
Capital to lend
Desire to grow
Capital necessary to growth
Areas CU don’t serve well
New AmericansYouthShort term loansUnbanked
Financial EducationIDA matchesDonations
Anything that diminishes Net Income
Non-Profit Strengths
Education Skills
Client contacts
Grant Support
Desire to have impact
Visibility
Good will
Get to know your partners
Share the VisionWhat is in it for each party?
Understand needs, capacities, constraintsAvoid Culture Clash
Create a Partnership AgreementClarify roles, responsibility, authority, purpose
Say ThanksEvaluate and Celebrate Success
Keep the Fires BurningDo Lunch
Hybrid Products
Youth Credit Union- Schools, PTA, Teachers, Reader’s Digest Wallace
Foundation, Local banksFinancial Counseling - Balance, Cooperative Extension, Neighbor Works,
NYS CDFI, HUD , Housing Authority, Community Action Program, Urban Renewal Agency
Short Term Loans- Donated Loan Loss Reserves, State, County CDBG,
City- Referrals
New Americans- Catholic Charities, Immigrant Resettlement
Individual Development Accounts- FHLB, Neighbor Works, HHS, NYS CDFI
Free Tax Preparation- IRS, Daycare Council, Dept of Social Svcs, NCUA,
National Credit Union Foundation, HSBC
Startup Partnership Questions
What is the purpose of the partnership?Is there a demonstrated member need? Have we had member feedback?Do the partners share a common mission?Do the partners bring different skills to the agreement?Can each side realistically support the partnership?Is there value added for CU members? That is, could members do the same thing without the partnership?Is quality assurance sufficient that the CU's reputation will not suffer?Will the CU make money from the relationship?Will this partnership exclude other members from the same partnership (do we have members in competition with our partner)?How do we get out of the relationship, if necessary?Does the partnership support our mission?
Lil Dupree: Development Director, Northwest Montana Human Resources, Kalispell.
Jeremy Presta: President/CEO, Park Side Federal Credit Union in Kalispell.
Free to Choo$e