Michigan's Hanon McKendry, a public relations and advertising company, recently announced that it will merge with an out-of-state firm called The CSK Group, adding that the combined company will be adopting the new name of DoMoreGood. The moniker comes from a website and book-in-progress from one of Hanon McKendry's co-founders, both of which promote the idea of "purpose-driven" marketing and adverting that promotes charitable and altruistic goals. The leaders of both companies say the merger will allow the companies to make optimal use of their combined reputations for building clients' brand identities and positive public images.
The four-year-old CSK Group will bring 28 employees to the new firm, though it will keep its current out-of-state office space and staff. DoMoreGood's human resources and financial divisions will be located in Michigan. Hanon McKendry, which was founded in 1994, will contribute 25 employees to the combined business, as well as 30 employees with a subsidiary web development company known as Mindscape. Hanon McKendry and Mindscape will both relocate to a new office upon the merger's finalization. The company's top leadership will be composed of executives from both CSK and Hanon McKendry.
Prior to the merger, CSK and Hanon McKendry frequently competed for the same projects, a rivalry that eventually led to the firms joining forces. Hanon McKendry's co-founder met with CSK leaders in 2012 after losing a large advertising contract with Focus on the Family. Officials with both companies reportedly saw an opportunity to combine the unique strengths of each firm and better handle increasingly drastic changes in the marketing industry.
DoMoreGood plans to thrive on increasingly popular marketing strategies that promote positive and "purpose driven" brands. Hanon McKendry's co-founder denies suggestions that this shift marks a simple or short-lived trend. "It's a seismic shift," he explained.
If your company is considering a merger, contact an attorney who specialized in this area of business law. You must ensure your company's interests are protected at all times and your attorney will do just that.
Source: MLive, "How Grand Rapids, Colorado ad firms merged: 'Do you want to buy us or do we want to buy you?'" Jim Harger, Aug. 01, 2013
