LESSON 24 - Ministry Fundraising 101 for Board Members

Welcome to Lessons From the Nonprofit Boardroom Blog, a 40-week journey through the new book, Lessons From the Nonprofit Boardroom, by Dan Busby and John Pearson. Each Wednesday, we're featuring a guest writer’s favorite snippet from the week's topic. Scott Rodin is our guest blogger this week for the third of three lessons in "Part 7: Boardroom Best Practices.”

LESSON 24 OF 40 - Ministry Fundraising 101 for Board Members

Could your board members pass a pop-quiz of fundraising practices?

THE BIG IDEA FROM THE BOOK: In Lesson 24, we are reminded of the importance of why board members must be aware and knowledgeable of how funds are raised for their ministry. As keepers of the fiscal integrity of the non-profit, board members are accountable for not only the quantity of funds raised to balance the budget, but the means by which they are raised, and how they align with the ministry’s values and mission. 

MY FAVORITE INSIGHTS from Lesson 24, pages 120-124: 
• “The board should ensure that the ministry’s fundraising practices are ethical and reflect well on the ministry and its mission.”
• “The ministry’s most valuable asset is its good name. If a ministry engages in questionable fundraising practices, it can quickly forfeit a good name that took years to build.”
• “For a ministry that receives a significant amount of charitable gifts, few board responsibilities are more important than providing oversight of the fundraising process.” 

MY COLOR COMMENTARY:
There is an important underlying assumption in this chapter that we must not miss. It’s not only important that our ministry raises the funds needed for sustainability and strategic growth, it is also important, maybe even more important, the way these funds are raised. In fundraising for ministry, the end never justifies the means.

As board members, we must understand the ideology/theology behind our development strategy. That will drive our desire for funds to be raised according to Biblical ethics, and used as the giving partner requests. It ensures the integrity and witness of our ministry, and reflects our own integrity as a board. That is the importance of this little chapter and it must not be missed if we are to be a board that does God’s work, God’s way for God’s glory.

THIS WEEK’S QUOTES & COMMENTARY BY SCOTT RODIN:

Scott Rodin (PhD, University of Aberdeen, Scotland) has a passion for helping God’s people discover the freedom and joy of the life of a faithful steward. He is president of The Steward’s Journey and Kingdom Life Publishing and runs Rodin Consulting, Inc. He also serves as a Senior Fellow for the Association of Biblical Higher Education. Dr. Rodin has authored 14 books and he blogs weekly at The Steward’s Journey.

TO-DO TODAY: 
• Distribute, review and affirm your Gift Acceptance Policy.
• Ask your development leadership to produce a “Theology of Fundraising” document that describes the Biblical approach they take to raising funds for your ministry. (Editor’s note: See the six-page example in Development 101 by Scott Rodin and John Frank).  

NEXT WEDNESDAY:
On May 9, 2018, watch for Erika Cole's commentary on Lesson 25, "Align Board Member Strengths With Committee Assignments. Leverage the Three Powerful S's."

Subscribe to this blog by submitting your email (just above the date/day). Visit the Lessons From the Nonprofit Boardroom webpage and order extra copies for your board members.

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LESSON 22 – The Most Underrated Board Position

Welcome to Lessons From the Nonprofit Boardroom Blog, a 40-week journey through the new book, Lessons From the Nonprofit Boardroom, by Dan Busby and John Pearson. Each Wednesday, we're featuring a guest writer’s favorite snippet from the week's topic. David McKenna is our guest blogger this week for the first of three lessons in "Part 7: Boardroom Best Practices.”

LESSON 22 OF 40 - The Most Underrated Board Position 

The position of the board chair is pivotal to a healthy board.

THE BIG IDEA FROM THE BOOK: Election of the board chair should be based on the same criteria used in the selection of deacons in Acts 6—good reputation, practical wisdom, and filled with the Holy Spirit. Good reputation is required because the chair is always the face of the board and in times of crisis or change, the face of the institution or ministry. Practical wisdom is essential for keeping the Big Picture before the board as issues are debated, initiatives are considered, and outcomes are assessed. First and foremost, the chair must be filled of the Holy Spirit in order to lead by discerning the mind of Christ, assuring the guidance of the Spirit, and obeying the will of God. 

MY FAVORITE INSIGHTS from Lesson 22, pages 110-114: 
• The board chair must have the character of being first among equals in integrity, trust and humility.
• The board chair has no inherent authority or power. The board itself authorizes the chair to speak or act on its behalf. 

MY COLOR COMMENTARY:
A board member once told me that an organization has a choice between a strong chair and weak CEO—or a weak chair and a strong CEO. Experience often proves him right. But should it be? Isn’t the goal for the most effective ministry to have a strong chair and a strong CEO? Have you been a part of that kind of team, or know of a ministry, that modeled that partnership? If so, was the board more efficient in its process and the ministry more effective in its outcomes? If you had no other choice, would you choose a strong chair and a weak CEO—or a weak chair and a strong CEO? Why? If a strong chair and a strong CEO is your preference, how can you work to achieve and maintain that goal?
 
THIS WEEK’S QUOTES & COMMENTARY BY DAVID McKENNA:

David McKenna is the retired President of Spring Arbor University, Seattle Pacific University, and Asbury Theological Seminary. He is Chair Emeritus of the Spring Arbor University Board of Trustees and Founding Chair of Bakke Graduate University. Author of more than 35 books, his ECFAPress book, Call of the Chair: Leading the Board of the Christ-centered Ministry, is a primary source for the selection, leadership, and assessment of the board chair in Christ-centered ministries. Board members will also appreciate the wisdom in Stewards of a Sacred Trust: CEO Selection, Transition and Development for Boards of Christ-centered Organizations.

TO-DO TODAY: 
• Review the criteria and process for the election of your board chair.
• Read “Maestro,” the final chapter in Call of the Chair.

NEXT WEDNESDAY:
On April 25, 2018, watch for Steve Moore's commentary on Lesson 23, "Focus on Mission Impact and Sustainability: The 'dual bottom line' equips boards to address dead horses and sacred cows (or goats)."

Subscribe to this blog by submitting your email (just above the date/day). Visit the Lessons From the Nonprofit Boardroom webpage and order extra copies for your board members.

ORDER THE BOOK