Is it just us, or does the nonprofit board room get veeery quiet when the treasurer begins their report?
And the silence that follows, when they ask if anyone has any questions – does it feel heavy… with questions?
If so, it’s safe to say there’s at least a few people sitting around the table who don’t understand your nonprofit’s financial statements. And if they don’t understand the statements, they can’t possibly fulfill their fiduciary responsibilities to the organization and its donors.
We’re not going to dumb it down for anyone – fiduciary responsibilities are a big deal. Keep reading to learn more about them and how you can fulfill yours by understanding a few important nonprofit financial statements.
We asked our friend Lee Wunschel, an accountant with extensive experience working with nonprofit organizations, for his key recommendations for board members. Here’s what he had to say: