Here are five things smaller credit unions need:

Affordable access to resources, services, and expertise. As a group, the net margin is very thin at smaller credit unions. Yet, they have the same regulatory requirements as larger credit unions, and they have to keep up, the best they can, with new technology. Technology, compliance, human resources, marketing, planning, you name it. Trying to find an affordable provider for these services can be tough.

Seek out and utilize the resources that are already out there. The NCUA Office of Small Credit Union Initiatives is a great resource. The annual capacity-building grants and the economic development specialists provide valuable and affordable resources. The National Federation of Community Development Credit Unions provides affordable and relevant access to development tools, expertise, and alternative financial products. CUNA and our trade associations are focusing more on smaller credit unions with affordable compliance, training and small credit union councils.

Mentors. Many smaller credit unions aren't as well connected as their larger counterparts. I have seen many success stories where a larger credit union took a smaller one under its wing. Their mentorship strengthened the credit union and increased member impact. Two inspiring examples are BECU and State Employees' Credit Union.

Do a better job of sharing their stories. It may be surprising to some but small credit unions are innovative too. There are untapped stories of serving the underserved that need to get to our legislative advocates, nationally and locally. It's inspiring stuff, and it keeps us connected to our roots.

They need to profitably grow if they are to survive. In spite of how they feel or the challenges they face, the reality is that small credit unions must figure out how to profitably grow, or they will eventually die. The good news is there are many small credit union rock stars out there that are among the most innovative, profitable, and fastest-growing. Check out the phenomenal results at Pacific Northwest Ironworkers Federal Credit Union and Greater Abbeville Federal Credit Union. They are small credit unions today, but will not remain that way forever. Struggling small and mid-sized credit unions that want great guidance should check out Filene's "Thriving Mid-Sized and Small Credit Union" study.

The bottom line. We're going to eventually run out of small credit unions. There are not enough new charters formed to make up for the successful small credit unions that become mid-sized, and the small ones that don't make it.

Our primary focus should be on impact, and I believe the greatest impact is made in serving the underserved, overlooked, and lower-income target markets. This is what the smaller credit unions do well, and why they become so important for our collective brand, taxation, and CRA arguments.

Scott Butterfield is principal at the Seattle-based consulting firm Your Credit Union Partner. He can be reached at 253-507-2443 or [email protected].