Organizational Structures for Resident and Subsidiary Companies

October 2023

In response to several member questions about the most effective benefit and governance structures for arts organizations with resident and/or subsidiary companies, ABA fielded a brief benchmark survey to several performing arts centers. This benchmark included questions about benefits provided to resident companies, shared services and governance between parent and subsidiary companies, and overall satisfaction with these relationships.

Seven organizations took part. Findings from the research include:

• Organizations with resident companies have operated with this structure since their founding, and remain generally satisfied with the relationships.

• The most common benefits provided to resident companies include discounted/subsidized rent, priority booking for performance spaces and shared resources (e.g., offices, parking, facilities, security etc.).

• Both organizations with subsidiary companies have governing boards that operate across both the core and subsidiary companies.

Click below to read the full benchmark: