How to Engage Your Board of Directors in Financial Conversations
There has to be a better way!
Nonprofit leaders, can you relate?
You spend half a day anxiously preparing for your upcoming board meeting. Organizing financial information. Preparing board packets. Anticipating questions. Printing. Compiling. Binding. Documenting and reminding.
Then you sit at the head of the table and begin your meeting. It seems to be going okay. You’ve only had to pull one board member back on track so far. But, here comes the presentation of financials.
You look around the table as each member studies the income statement and balance sheet. What they heck are they thinking? You wonder if they are just playing mental sudoku with the numbers. Silence. And more silence. And then, someone asks, “So, how do you feel the organization is doing financially?”
You explain the details but are met with blank stares and generic questions about why last year’s gala made $700 more than this year’s gala.
There has to be a better way. A better way to guide financial conversations. A better way to present the data. A better way to tap into the knowledge, experience and leadership that sits around your board room table. And, a better way to show your board that you are in control of the ship.
Recently our CEO, Chantal Sheehan wrote a guest feature post for Bloomerang that provides real-world actionable advice on how to generate meaningful conversations about money with your board of directors.
Here are some of the highlights from that article:
Ask your board leadership what information they would like to see presented
Conduct an anonymous survey to gauge financial understanding, before and after changes in presentation style
Use dashboard style presentations for easy comprehension and comparison
Make a FAQ sheet to prevent the same questions from being asked over and over
Respond your leadership team’s financial concerns before the meeting to eliminate surprise questions
Read the full article for more tips and advice on how to proactively manage your board meetings, especially the conversations about financials!
Side note: Bloomerang recently added us to their Nonprofit Consultant Directory and we could not be more proud!
