How much have you thought about fraud?
It’s easy to think it only happens to other businesses and other nonprofits. But tell that to the orthodontist I worked for many years ago – or the retail chain I was the bookkeeper for – or a number of churches and ministries I’ve been associated with in one way or another who were the victims of fraud.
I worked my way through college by being an office manager at a series of small businesses. Because of this I saw first-hand the devastating effects of embezzlement on small businesses working in an environment of tight budgets and time constraints. The same culture is in nonprofits – but with the added challenge of a sometimes inflated sense of optimism about the trustworthiness of people around us.
The Massachusetts Nonprofit Network provides some great questions to ask to help limit your potential to experience fraud. Putting controls into place doesn’t mean you don’t trust people. It’s more that you want to honor them by not putting them in a position where they might be tempted to ‘borrow’ some money. Fraud (especially in the nonprofit arena) typically starts with good intentions of paying the money back – but it’s a slippery slope that very easily gets out of hand. Put controls in place. Everyone will (or should 🙂 ) thank you for it.
Scroll down and you’ll see a full list of articles and posts to help stay up-to-date on trends and topics facing the nonprofit world.
Thanks for all you do to make the world a better place!
Over the past 10 years, technology has evolved to provide a double-edged sword. Greater levels of security can be achieved, but conveniences presented by software and online banking have opened up easier, faster ways to commit fraud. Money can be stolen simply by avoiding bank personnel when cashing a check made to the company at an ATM or on a mobile device.
What can nonprofits do to limit their exposure? Ask these three questions…
Corporate governance is a collective act. The legal corporate entity is the board. The board is a group. The board does governance. Governance only happens when the board (e.g., the group!) is together, virtually or in person. When a board member is missing, he isn’t a good board member. When a board member is missing lots, she’s a lousy board member.
The Fundraiser’s Guide to Lapsers is available. The report is broken down into three sections.
1. Why we did it and our methodology.
2. How the disengagement process works. That’s if there was any sort of relationship in the first place (which is a massive part of the problem, particularly with the use of prospecting and interruption recruitment techniques such face to face and mobile).
3. Ideas of how you can stem attrition (which actually do work).
Sustainable fundraising embodies a year-round dialogue with your donors and isn’t limited to these last two to three months of the year. This is especially important to keep in mind since we know organizations have been facing a negative growth in donors: For every 100 new and recovered donors, 103 were lost through attrition. Your focus over these next few months should be on engaging the donors you have so they continue to give. Here’s what to do: Share, Celebrate, and Don’t Oversolicit…
Nonprofit leaders cite lack of resources as the biggest obstacle to collecting compelling constituent stories. The good news is that you don’t need to give up and swear off writing forever because here are 7 ways to collect them…
A fundraiser studies her craft, reads the results of fundraising tests, and creates a compelling appeal. Then a marketing person gets involved and tries to “fix it.” They use passive voice in an attempt to sound lofty and confident. They put in keywords. They cut out most of the talk about the donor and shift the focus to the nonprofit.
You see, the marketing person has studied his field too. So he’s doing his best with what he knows. Unfortunately, that will cause the nonprofit to lose money! Here are 7 Ways to Improve Your Stories for Fundraising…
We all know why nonprofits want monthly donors — fantastic ROI, high retention rates and higher lifetime value. So, how do we get them? Specifically, how do we sign more supporters up for an online monthly giving program?
First, organize your monthly giving program. Then try out these 6 tactics…