Hear! Hear! Danielle is right on.
I would add that the budget is both a planning tool and an evaluation tool
-are you allocating money to do what you plan to do or just whatever comes
along? At the end of the year did you bring in as much as you spent so the
organization is sustainable? Was the money spent to maximize effect in
meeting your mission or stated purpose?
Unfortunately, too many people on boards who themselves aren't in non-profit
management, don't seem understand how important a budget is. It is not, as
some think, either unneeded make-work, or a hamstring restricting what can
be done. It can be changed as needed with appropriate deliberation, but it
makes the "brain" that is the Board have to act purposefully when they elect
to change directions or do something previously unplanned.
I get a little passionate about it, having been on so many Boards with
individuals who don't 'get it' and seeing them always scrambling to bring in
money then spend it for the next 'good idea' without thinking long term or
big-picture.
Lucy Sperlin
-----Original Message-----
From: Museum discussion list [mailto:[log in to unmask]] On Behalf
Of Stuckle, Danielle L.
Sent: Friday, November 15, 2013 5:56 PM
To: [log in to unmask]
Subject: Re: [MUSEUM-L] Budgets
I would argue that a board without a budget is derelict in their duties.
Not only is it responsible and professional to develop and use a budget, but
it is a tool that will allow you to plan for the future, be transparent, and
respond to changes in circumstances. A budget ultimately makes life easier.
I would be suspicious of anyone who purposely avoids budgeting. What are
they hiding? Is there a problem with how the money is being spent? Is
someone trying to avoid the truth about being in the red--or
worse--potential evidence of theft or misappropriated funds?
It would concern me to not have a budget and/or have a board that actively
avoided the process.
> On Nov 15, 2013, at 5:08 PM, "Beverly Bradway" <[log in to unmask]> wrote:
>
> Are there reasons that a non-profit would avoid developing a budget?
>
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