6 Warning Signs for a Nonprofit Board to Take Action

by: Mike Burns

The first step often requires an in-depth discussion with the executive director or CEO

What might be indicators that a nonprofit board of directors should sit up, take notice and act? I believe there are six signs or indicators that pose as a call to action for a nonprofit board — with the first step usually involving a discussion with the executive director or CEO:

1. Regulators raise yellow or red flags

2. Clients express dissatisfaction with or cease using services

3. Funders and donors introduce conditions or stop giving

4. Staff turnover is high and/or they frequently complain to the board

5. Rocky board/CEO relationship (where trust is on the decline or absent)

6. Professional advisors identify concerns

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