The 5 Things Nonprofit Boards Want the Executive Director to Deliver

A talented, active, committed board can be a powerful force for a nonprofit organization. From gaining the commitment of major donors to raising awareness in the community to assisting in strategic execution – there’s no denying the positive impact your board can have.

When board members engage with your organization, they are hitching their reputation to yours. Before they use their influence on behalf of the organization, they want to feel confident about the competency of the organization.

The 5 Things Nonprofit Boards Want the Executive Director to DeliverHere are the 5 things nonprofit boards want the executive director to deliver:

1. Professional Business Operations
2. Sound Data
3. Fraud Prevention Measures
4. Continuous Improvement/Forward Progress
5. Program Efficiency and Effectiveness

They want these things in order to do more in their capacity as a board member. They believe in your mission and want to see you succeed and thrive. But without the right talent, expertise, and technology applied to your accounting procedures, these can seem like unattainable goals. Let’s take a closer look.

The 5 Things Nonprofit Boards Want the Executive Director to Deliver

1. Professional Business Operations – Chaotic operations do not build confidence. This includes your back-office accounting practices.

Are you applying the right level of talent and technology to your organization’s accounting?

If the answer is “We don’t have the budget to do either” we encourage you to take a serious look at outsourced accounting services. It’s the most budget-friendly way to apply the best nonprofit accounting technology and talent to your operations.

2. Sound Data – Your board signed on to help. They can’t help if they don’t have accurate financial information from which to work.

Access to timely and accurate financial reporting allows for better collaboration and effective action. In other words, accountability and transparency begin with sound data.

Confidence about program and organization financial data helps your board members tell a more compelling story and exert more influence when fundraising and building awareness.

3. Fraud Prevention Measures – Fraud can cripple an organization. Your organization is hurt in two ways: the funds lost to date (due to fraudulent activity) and the incalculable future impact of lost donations and funding due lack of confidence in your organization.

There’s a danger in thinking that it can’t happen to you. The sobering truth is that one in four nonprofits have been a victim of fraud. Some nonprofits simply have not been able to recovery from the one-two punch of financial loss and damaged reputation.

Most fraud can be averted by applying accounting best practices and taking advantage of the security aspects of nonprofit accounting software. Best practices would include documenting internal controls and separation of duties. Nonprofit accounting software allows for permissions to be assigned (who gets access and what information can they have access to). Combine the two (best practices and technology) and you’ve already done a lot to protect your resources and reputation.

Outsourcing your accounting to Unalp CPA Group allows you to gain the benefits of accounting talent, best practices, and AICPA-endorsed nonprofit accounting software – all for a monthly fee that is usually less than what you would pay in salary and benefits to a full-time employee.

4. Continuous Improvement/Forward Progress – Outsourcing your accounting gives the organization the operational continuity that is so critical to continuous improvement.

If securing funding wasn’t challenging enough, nonprofit executive directors must also combat high employee churn rate. The entire sector suffers from a high employee turnover rate.

When you outsource, you maintain continuity. Your team at Unalp CPA Group doesn’t quit, requires no sick days, doesn’t retire or go on vacation. Week in, week out; year in, year out; you can rely on your accounting to be addressed consistently and completely without interruption.

On this foundation, you and your board will be best poised to best deliver on your mission’s promise. You can act quickly and effectively armed with accurate, real-time information.

5. Program Efficiency and Effectiveness – Better accounting means you won’t underspend and potentially limit the number of constituents served. Or conversely, accurate accounting information means you won’t overspend and then scramble to try and find funds to cover the expenditures.

But there’s a larger benefit that comes with optimal stewardship.

Imagine the possibilities that come with complete visibility into a program’s expenditures and outcomes! Once you’ve solved the chronic accounting and reporting shortcomings and can provide your board with precise information, you can collaborate on the steps necessary to take the organization to the next level.

You and the board are now equipped with compelling data that supports the positive impact your organization has for its constituents and community. You and the board are in a much better position to receive additional grant awards and gain the commitment of new donors.

Outsourcing accounting operations allows nonprofit executive directors to deliver what the board wants – the control, clarity and confidence that comes with excellent financial practices.

We hope we’ve piqued your interest with ‘The 5 Things Nonprofit Boards Want the Executive Director to Deliver’.

Delight your board – take the first step by contacting us to explore how your organization would benefit from outsourcing nonprofit accounting. We’re here to help.

We also invite you to download our eBook ‘8 Myths of Nonprofit Accounting Outsourcing Uncovered