Take a good look at a potato. Imagine trying to understand a potato. You can examine it, read about it, read an evaluation of it, and yet fail to get even a glimpse into a potato. To understand a potato, you have to get your hands dirty (literally) and make it into french fries, mashed potatoes, latkes, potato chips, potato salad, or this editor's favorite, hash browns.
In other words, you can't understand a potato without getting inside it and changing it. And how did you learn to understand nonprofits?
This issue: report from the 900-respondent study of nonprofit CFOs, how to hold a meeting via conference call, contest winners, volunteer insurance, humor columnist Vu Le (yay!) and Nonprofit Conference Call Bingo. Have a great autumn. Oh, and Susan Sanow -- Blue Avocado's project manager -- and I love hearing from so many of you. --Jan Masaoka
This survey of 906 nonprofit finance professionals reveals some surprises about these crucial-but-often-overlooked staff, looking at questions ranging from educational backgrounds, workload, board and CEO understanding of finance, and CEO compensation:
Nonprofit finance scandals make for eye-catching headlines: whether about misused public funds, egregiously high salaries, constituents not served, or reserves squandered. But while nonprofit finance scandals make the headlines, the people who manage the funds -- nonprofit finance professionals -- are largely overlooked. And while studies have looked at the tenures and experiences of executive directors (CEOs) and development directors, few have looked at the finance professionals in our nonprofits.
Despite the occasional and highly-publicized problem, the very fact that such problems make the news testifies to the infrequency of such occurrences. Nonprofits are relatively free of financial scandal and abuse, demonstrating both professional expertise and a strong sense of values. But today even the best-managed nonprofits are working not only to steward charitable funds, but to manage earned-income operations, to re-invent their business models, to strengthen the leadership functions of governance, and to maximize the use of funds for mission and values.
Finance professionals are at the core of these efforts.
Dear Rita: I recently read an article that said it was a good idea to have insurance for volunteers. I thought volunteers had immunity in both federal and state laws. Should I be doing something to protect my nonprofit? Signed, Curious in California
Dear Curious: Volunteer immunity laws are common, but they almost always contain a provision that the volunteer's immunity only applies to claims that exceed the insurance policy limits carried by the nonprofit. That means both the nonprofit and/or its volunteers need to have coverage available . . .
Your board meeting is Thursday evening. On Wednesday you start getting the calls. One board member is home recuperating from surgery. Another is traveling. Yet another can’t spare the time to drive in for the meeting. Can they call in via conference call? Most everyone who works with a board or serves on a board has pondered this question. In this article, we give you some tips on how to make conference call board meetings as effective as they can be.
First, is it legal to hold board meetings by conference call?
This morning, I woke up early and realized I was face-to-face with my son Viet, who has been sleeping in the same bed with his mom and me. Looking at our sweet little baby, who was still sleeping peacefully, one tiny hand under his soft and rosy cheek, I was filled with warm fatherly thoughts. Namely: "When is this kid going to get a job and help pay for his keep?" I was tempted to wake him up and say, "You do realize that childcare for you each month is literally more than our mortgage, right? You better enjoy this while you can, little dude, because when you turn 18, you're on your own."
And that makes me think about the issue of sustainability of nonprofit programs. In every grant application, there is the "Sustainability Question," which is basically, "How will you sustain this program or project when funding from the So-and-So Foundation runs out?"
This question seems absolutely reasonable at first glance, but . . .
Truth or Dare, Blue Avocado Style: sitting around a campfire sure makes our readers blurt out funny, sad, silly or gut wrenching stories. Our Truth or Dare game (from the September 2013 bonus issue), gave our readers to the opportunity to tell their tales of woe or whoa!
A small foundation was bringing together community experts to discuss homelessness. With little progress and facing yet another meeting, a board member encountered the best expert of all: a real live homeless person. Imagine the surprise when she brought him to the meeting.
As a board meeting was about to begin, an elderly director mistakenly lowered his chair so low his chin just cleared the table. The chairman immediately did the same saving the other's dignity.