Organizational values can cloud best practices at nonprofit organizations

February 21, 2014

Organizational values can cloud best practices at nonprofit organizations

A lack of communication, control and procedures can be the downfall of any organization, according to Nonprofit Quarterly. When discussing the demise of one nonprofit in Alaska, NPQ cited the biggest takeaway for other nonprofits is to make sure organizational values do not eclipse good business practice.

Nonprofits face many issues regarding leadership, employee roles
From the board all the way down to volunteers, there is no shortage of challenges for nonprofit organizations. In some cases, board members are concerned about getting involved at numerous levels and asking too many questions of the employees. On the other hand, employees may find themselves overwhelmed and treading in unfamiliar territory, but afraid to speak up.

Nonprofits understandably want to operate organizations that run off of trust and a group consensus regarding goals and best practices. However, leadership is key and if board members recognize a problem within the organization that appears to require further analysis, they begin asking questions. A leader is most important when organizations find themselves in crisis, so sitting on the sidelines and watching is not where board members should find themselves

Calling in experts for help early
Early in a crisis, or preferably before one occurs, organizations should turn to professional consulting groups for help with the complex issues surrounding nonprofits. Nonprofit financial consulting services provide a number of options to prevent crippling debt and a lack of financial control:

  • A review to determine the effectiveness of a nonprofit's current financial reports and advice on how to improve them for better budget development in the future
  • Supervise or fully assume the roles of the nonprofits accounting department
  • Conduct fraud prevention audits because nonprofits are often considered easy targets for financial scams
  • Work with management to ensure controls are in place to reduce errors within the organization
  • Training, governance and succession development programs for an organization's board members

Content presented by First Nonprofit Group, the leading provider of state unemployment insurance solutions for 501(c)(3) nonprofit employers.


Ready to chat?
Get in touch today to request a no-obligation savings evaluation.


Working with Marshal Whittey at First Nonprofit has been a great experience. He handles our request as a priority and goes above and beyond to resolve any issues we have in a timely manner. Marshall follows through to the end and ensures our needs are met. He has been a great resource for LSC and our “go to” for any tax questions we may have. With LSC transitioning several facilities into one federal tax identification number, First Nonprofit was able to assist and provide guidance with best practices resolving claims to each entity. Additionally First Nonprofit provided knowledge (information materials) and one on one training to HRS group with best practices to handle claims state adjudicated, fraudulent claims, and appeals. And processing information in the First Nonprofit [unemployment claims] system allows for timely information can be collected.

Lutheran Services Carolinas, Salisbury, NC

My experience with FNP has been wonderful. Unemployment in general is quite confusing and FNP has simplified the process for us. Everyone we have reached out to or worked with has been very helpful and follows up to be sure we understand the information. I am so happy we made the switch to FNP!

Stone Valley Community Charter School, Huntingdon, PA

First Nonprofit smoothed the unemployment perils for our organization during Covid. Without the ability to cap our UI exposure, we would not have been able to weather the storm. The program worked perfectly and we have come out of the pandemic ready to forge on. Thanks FNP!

Jewish Silicon Valley, Los Gatos, CA

My experience with the FNP has been fantastic. The idea of setting funds aside for the unemployment tax liability is a bedrock for nonprofit organizations like mine, namely ASHBA; what is even more advantageous is having the FNP as a custodian of those funds. 100% recommended!

American Saddlebred Horse & Breeders Association, Inc., Lexington, KY

I would like to comment on my experience with FNP….to date our District has saved $1,000’s of dollars by being enrolled in the First Nonprofit program. My only regret is that we did not know about this method of paying unemployment tax years ago….as I had figured about five years

ago, had we enrolled 15-20 years ago, we could have saved our small school district upwards of $500,000 in payments to IDES. Also we would have had a pretty hefty sum of money in our Reserve Account. Thankfully I attended a workshop hosted by First Nonprofit back in 2015 which got the ball rolling!

Beardstown Community Unit School District 15, Beardstown, IL

I have worked with the First Non-Profit Team for many years, and I appreciate the quick response and care that Cecilia and the team provides anytime I have questions. While there are other providers that may provide like services, First Nonprofit will always be my first choice! I appreciate you!

Innovative Services, Inc., Green Bay, WI

First Nonprofit has been easy to work with and makes the administrative process easier and smoother. We enjoy working with you.

Visually Impaired Preschool Services, Louisville, KY

Luckily for us, our interactions regarding any issues with staffing has been very minimal! I can say that all other interactions with regards to billing, 941 reporting, etc. have been extremely pleasant, accommodating and easy to work with. Kim Ghanayem is always prompt, professional and friendly. Thank you so much!

Neurologic Music Therapy Services of Arizona, Phoenix, AZ