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                                                               EXHIBIT 10.7



                                August 26, 1996



Mr. Lamar Alexander
1114 17th Avenue South, Suite 103
Nashville, Tennessee 37212

Dear Lamar:

       I am writing to summarize the terms of your new relationship with
CorporateFamily Solutions.  These terms have been developed and discussed
following your commitment in March to rejoin our company.  The terms have been
approved by the Compensation Committee of the Board of Directors.  I will inform
the full board at our regular meeting September 5.  To recount our agreement:

       On May 28, 1996, the Board of Directors elected you as a board member.

       You were also elected vice-chairman of the company.  As vice-chairman you
will work at the direction of the chief executive officer:

       -      working with us on our overall business strategy and communication
              plan,
       -      helping to expand our eduction mission,
       -      developing strategies to increase the value of the company to its
              stockholders,
       -      identifying and recruiting strategic partners,
       -      identifying and recruiting new corporate clients and helping to
              expand existing relationships with corporate clients.

       We understand that serving as vice-chairman will be a significant
professional responsibility for you but that this is not a full-time job.  We
are interested more in results than the amount of time you spend.  I will work
with you to set specific objectives and monitor the results.

       This is intended to be an agreement for four (4) years.  For the next
four years, your compensation will be the following:

       -      First, as a member of the board you will be entitled to the same
              benefits other directors are eligible to receive, including a full
              grant of stock options (3,000) for the year 1996.

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Mr. Lamar Alexander
August 26, 1996
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       -      Second, for your leadership role as vice-chairman of the company
              your salary will be $6,000 per month.  In addition, you will
              receive 40,000 options for the four-year agreement at an exercise
              price of $5 per share.  The 1996 options vest immediately.  The
              options for 1997, 1998, and 1999 will vest on January 1 of those
              years.

       We have agreed that although your duties and activities began earlier
this year, you will not be paid a salary until beginning July 1, 1997.  In
exchange for your foregoing this salary, the company will issue you 10,000
additional options at $5 per share which will vest immediately.

       It is understood that you or the company may terminate this agreement at
any time for any reason.  If the agreement is terminated, the company will not
be liable to pay you any salary beyond the date of your termination.
Additionally, consistent with all employee and director stock options, upon
termination of this agreement, you will have ninety (90) days to exercise the
vested portion of your stock options and will forfeit the unvested portion.

       All of us look forward to having you involved again in the company you
helped to found.

                                   Sincerely,



                                   /s/ Marguerite W. Sallee

                                   Marguerite W. Sallee
                                   President and Chief Executive Officer