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nonprofit leadership development

How You Can Learn to Stop Worrying and Love Your Board

Dr._Strangelove“Honestly, some days I think I would be so much better off without a board,” said an exasperated executive director to me recently.

Wrangling a group of volunteers who have competing and often conflicting interests is an exhausting job. It’s no wonder that nonprofit leaders often want to throw up their hands and soldier on without the rag tag group that’s supposed to further, as opposed to impede, the work.

But it doesn’t have to be that way. An “engaged board” is not an oxymoron. It is actually attainable. But you don’t get there by cajoling, guilting, ignoring or dismissing your board.

You get there by marshaling this critical army to grow your resources, your community of supporters, your results. Because an engaged board raises more money, recruits and trains other engaged board members, connects your nonprofit to key people and organizations necessary to achieve the mission, puts your nonprofit above their self interest, and ultimately leads your organization to greater results and impact.

There are very clear steps you can take to build an engaged board:

  • Create a clear idea of the specific skills, experience and networks board members should possess
  • Continually focus the board on the big picture
  • Get them ALL to raise enough money
  • Help them embrace money as an effective tool
  • Make them understand and be able to articulate the impact of your nonprofit
  • Create a commitment among them to build the organization
  • Encourage them to ask hard questions
  • And more…

You can help them become the board of directors they were meant to be.

An engaged board understands and fully embraces their charge. They have extremely high standards, and they hold themselves, their fellow board members and their nonprofit to those standards. They are constantly pushing, striving, and building the nonprofit to whom they are devoting their service. An engaged board may be an anomaly, but it doesn’t have to be.

Nonprofit BoardIf you want to build an engaged board, the Build an Engaged Board Tool Bundle can help you get there. The Bundle includes:

  • The “Getting Your Board to Raise More Money” Webinar
  • The “10 Traits of a Groundbreaking Board” E-book
  • The “How to Create a Groundbreaking Board” Webinar

Here’s what some people who have already downloaded the board tools had to say about them:

“This was very concrete and actionable – gave specific suggestions regarding engaging board members. This was very useful. Well done.”

“This really opened my eyes to new possibilities – thank you so much!”

“This was one of the best and most helpful and informative webinars I’ve been on. It was exactly what I was looking for in terms of beginning to get our board energized and on track and I will use the slides to help me prepare for our upcoming board retreat.”

An ineffective board is not just a frustration for the executive director. Sadly it is a HUGE missed opportunity. Your board could be so much more. When you effectively engage your board of directors, you grow your resources and ability to create social change exponentially.

You can download the Build an Engaged Board Tool Bundle here.

Photo Credit: Dr. Strangelove

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Can We Move Beyond the Nonprofit Overhead Myth?

mythEver since last year’s Letter to the Donors of America from GuideStarCharity Navigator, and BBB Wise Giving Alliance there has been a growing movement to debunk the “nonprofit overhead myth,” the notion that donors should evaluate nonprofits based on the percent they spend on “overhead” (fundraising and administrative) costs.

More and more articles (a most recent one here) are cropping up explaining the overhead myth and highlighting donors who overcame it. And even fundraising journal Advancing Philanthropy is devoting their entire Spring issue to the topic.

But at the same time we have very obvious examples of the continuing strength of the overhead myth. The latest is nonprofit darling Charity:Water, which is often held up as the gold standard of innovative fundraising and nonprofit strategy, claiming that 100% of their donations go “directly to the field.” And thus the overhead myth lives on.

Will we ever be rid of the idea that nonprofits can somehow achieve a nirvana where very little (or no) money goes to boring things like salaries, technology, infrastructure, fundraising, leadership development, planning, R&D?

I wonder if we could gain more traction by talking less about the negatives of an overhead myth and talking more about the positives of nonprofit organization building.

For example, one of the things that is often considered “overhead” and rarely gets funded is nonprofit leadership development. But in the for-profit sector, leadership development is viewed as an incredibly important and worthy investment. According to a recent article by the Foundation Center, the business sector spent $12 billion on leadership development in 2011, whereas the nonprofit sector spent $400 million, or viewed another way, businesses spent $120 per employee on leadership development, whereas the nonprofit sector spent $29 per employee.

And leadership development can have such a positive return on investment. A stronger nonprofit leader can:

  • Recruit, train and manage a more productive and effective staff
  • Engage a more invested board of directors
  • Use money and other limited resources more strategically
  • Open a nonprofit to bigger and better networks
  • More effectively manage to outcomes
  • Create an overall more highly performing nonprofit

So what if we refocused the overhead myth discussion on the power of nonprofit organization building? Beyond leadership development, investing in nonprofit organization building means money for things like: talented, effective fundraising staff; smart long-term planning; performance management systems; effective technology.

At the core, organization building is about creating a smart, strategic nonprofit that can actually realize the outcomes it was set up to achieve. Organization building can make the difference between a nonprofit that is just getting by and a nonprofit that is actually solving problems.

If you want to learn more about funding nonprofit organization building, download the Power of Capacity Capital E-book or the Raising Capacity Capital Webinar.

Photo Credit: liquidnight

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