Many small colleges in the United States are in trouble. Low endowments, high debt, weak retention and dwindling enrollment have collided with the demographic cliff, the AI revolution and the college loan crisis. Two small colleges in Massachusetts recently announced upcoming closures. Another announced bankruptcy without closing — yet. 

The closure of a small college is not the end of a region’s educational and economic future. With bold leadership, it can be the beginning of something far bigger and create an institution with greater reach, deeper community impact and a more durable economic role than a small college ever played. 

I taught for over 25 years, mostly at La Roche University, and for most of that time it was one of the best jobs in the country. That era isn’t coming back, and that’s OK. The things that made those institutions special — the people, the buildings, the community trust, the regional relationships, the accreditation infrastructure — can now do something much bigger than they ever did as a college. 

Forbes studied college finances and in 2024 gave 18 Pennsylvania schools D grades, the lowest rating and reflecting “serious financial vulnerability.” Based on the federal data the magazine used, which covered the fiscal year 2021-22, four universities in Allegheny County were at risk, plus five others in Western Pennsylvania. The conventional framing treats this as an economic apocalypse with lost jobs, dried-up student spending, hollowed-out main streets, hard-to-repurpose campuses. All true, if the schools simply close. 

But what if they don’t simply close? A small college serves maybe 1,500 students between 18 and 22, four years at a time. A regional workforce and creative development catalyst, built on the same campus, with much of the same talent, could serve multiples of that enrollment, from high schoolers to retirees, from job seekers to entrepreneurs to professionals retraining for the AI economy. It could run apprenticeships with named regional employers, house a small-business incubator, operate AI literacy programs, and host creative studios for film, design, music and fabrication that double as economic engines. It could partner with K-12 districts to build pipelines starting in middle school. 

This isn’t a wild-eyed radical pipe dream either. Many of these ideas are germinating in places like the Marygrove Conservancy (formerly Marygrove College) in Michigan and would fit in at workforce and human capital development meetings happening across in the country. 

What’s described above is not a college. It’s a true workforce and creative development catalyst for a town and a region. It reaches more people, across more life stages, in more useful ways than a small liberal arts college ever could. And a struggling college is uniquely positioned to become a workforce hub. The campus is there. The trust is there. The relationships are there. What’s missing is the imagination and the courage to stop preserving the old thing, let go of the org chart and the ego, and start building the new one. 

The alternative is waiting for the demographic cliff to be somehow gentler than projected, then announcing closure in a press release thanking everyone for “150 years of service.” That isn’t a strategy. It’s a forecast. 

Towns and regions don’t need their small colleges to survive in their current form. They need them to lead a transformation into something with greater reach and greater purpose. The boards and presidents who see that clearly, and act while they still have runway, are the ones who get to write a different ending and a new story for the whole community. 

The work will be hard and, inevitably, traumatic. Yet, building a flexible, collaborative and community-centered organization designed for the 21st and 22nd centuries is the only way forward. That transformation must begin now. 

Jeff Ritter is a retired professor and ed-tech entrepreneur who is the founder and chief learning officer at TransformLearning, and can be reached at jeff@yourclassroom.ai.

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