A well-structured board presentation is a critical component of effective governance in a not-for-profit organization. Board members rely on financial leaders, particularly the Chief Financial Officer (CFO), to distill complex financial data into clear, actionable insights that support strategic decision-making. However, the challenge lies in balancing the depth of financial detail with the need for simplicity and clarity.
Board members, who often serve on a volunteer basis, may not have the time or expertise to analyze extensive financial reports. Therefore, a successful presentation should be clear, easy to understand, and focused on the key performance indicators (KPIs), financial trends, and strategic priorities while avoiding unnecessary complexity.
This article explains what to include in a board presentation, what to leave out, and how to make it as effective as possible.
What You Should Include in a Not-For-Profit Board Presentation
A well-structured board presentation should focus on the most important financial and strategic details that help board members make informed decisions. Here are the key things to include:
1. Key Financial Statements
Board members need a high-level view of the organization’s financial health. The three most important not-for-profit financial statement presentations to include are:
- Statement of Cash Flows: Shows how money is moving in and out of the organization.
- Statement of Financial Activities: Provides a summary of revenue and expenses over a period of time.
- Statement of Financial Position: Highlights assets, liabilities, and net assets to show the financial strength of the organization.
These statements should be presented in a simple way, with a short explanation of key trends and numbers.
2. Visual Summaries of Data
Since many board members are not financial experts, visuals like graphs, charts, and trend lines can make financial data easier to understand. For example:
- A line graph showing revenue vs. expenses over time.
- A pie chart breaking down funding sources.
- A bar chart comparing program costs year over year.
Using technology to create templates for these visuals can save time when updating data for future meetings.
3. Key Performance Indicators (KPIs)
Board members need to see how well the organization is doing. Focus on the most important metrics, such as:
- Revenue and Expense Trends: Are income and spending in line with the budget?
- Cash Reserves: Does the organization have enough cash to cover expenses?
- Fundraising Performance: How much has been raised compared to goals?
- Program Impact Metrics: Are programs achieving their intended results?
4. Context and Explanations
Numbers alone don’t tell the full story. Provide clear explanations to help board members understand:
- Why certain numbers are going up or down.
- How financial performance compares to past years.
- What external factors (like grants, donations, or economic conditions) are affecting the organization’s finances.
5. Risks and Challenges
Board members should be aware of any financial risks or challenges that may impact the organization. These could include:
- A funding shortfall due to lower-than-expected donations.
- Rising costs that could affect future budgets.
- Any unexpected expenses or financial risks that need attention.
Being transparent about financial challenges helps the board take action and make better decisions.
6. Recommendations and Action Items
A board presentation should also guide the board on what decisions need to be made. Be clear about what you need from the board, such as:
- Approval of a budget change.
- A decision on funding a new program.
- Guidance on financial strategies or investments.
7. Alignment with the CEO and Finance Committee
Before the board meeting, review the presentation with the CEO and the Finance Committee. This ensures that everyone agrees on the key points and avoids surprises during the meeting.
8. Summary and Supporting Documents
End the presentation with a short summary of key takeaways and next steps. If board members want more details, provide extra documents like full financial reports separately instead of including too much in the main presentation.
What Not To Include in Your Not-For-Profit Board Presentation
Here are also some of the common mistakes to avoid when preparing a board presentation:
1. Too Much Financial Detail
Board members do not need to see every number or financial report that the finance team uses. Avoid:
- Full financial statements with every line item.
- Multiple pages of spreadsheets with raw numbers.
- Detailed accounting notes or explanations.
Instead, provide summary-level financial statements with only the most important numbers and add a few key notes to explain them.
2. Overly Complex Data
If board members cannot understand the numbers quickly, the presentation will lose its effectiveness. Avoid:
- Data without context. Do not just show numbers; explain what they mean.
- Too many graphs or charts. Pick a few visuals that clearly show trends.
- Unnecessary financial jargon. Keep language simple and clear.
3. Long, Unstructured Slides
Slides should be clean and to the point. Avoid:
- Slides overloaded with text. Too much information makes it hard to follow.
- Unorganized content. Make sure the flow is logical and easy to understand.
- Repeating the same information in different formats. Stick to key points.
A good rule is to keep slides simple, use bullet points, and make sure each slide serves a purpose.
4. Irrelevant or Outdated Information
Board members need current and strategic information. Avoid:
- Historical financial data that is no longer useful. Unless it shows a trend, old numbers are not necessary.
- Unimportant program details. Focus on financial performance and strategic impact.
- Side discussions or internal debates. The board meeting is for decision-making, not brainstorming operational issues.
5. Unclear Requests or No Action Items
Board members need to know what is expected of them. Avoid:
- Presenting numbers without a clear purpose. Make sure it’s clear why the data matters.
- Leaving out decisions that need to be made. State what board members need to approve or discuss.
- Not connecting the data to the organization’s goals. Always explain how financials impact the mission.
10 Helpful Tips for Preparing a Successful Not-For-Profit Board Presentation
Here are 10 specific tips to enhance the effectiveness of a not-for-profit board presentation:
1. Set Clear Objectives
Before starting, define what you want to achieve with the presentation. Board members should walk away with a clear understanding of the financial situation, key challenges, and any actions they need to take. Focus on what is most important rather than trying to cover everything.
2. Keep the Structure Simple and Logical
A well-organized presentation makes it easier for board members to follow along. Start with an introduction that outlines the purpose of the meeting, then move into financial highlights, challenges, and strategic recommendations. End with a summary and next steps. Jumping between topics can confuse board members, so keep the flow structured and easy to follow.
3. Be Concise and Stay Within the Time Limit
Board members have limited time, so stick to the most important points. If you are given 20 minutes, aim to present in 15 minutes, allowing time for discussion.
Use the “10-20-30 rule”:
- No more than 10 slides.
- Keep the presentation under 20 minutes.
- Use at least a 30-point font size to keep slides concise.
Long, overloaded presentations lose engagement—keep it short and impactful.
4. Prepare for Board Questions in Advance
Board members will likely have questions, so anticipate and prepare responses.
Common areas of inquiry include:
- Budget variances: “Why did expenses increase in this category?”
- Revenue changes: “What caused the drop in donations this quarter?”
- Future financial risks: “How will upcoming funding changes impact operations?”
Prepare for these questions in advance so you can answer them confidently. If possible, meet with the Finance Committee beforehand to identify potential areas of concern.
5. Use Real-World Comparisons for Better Context
Numbers are more meaningful when placed in context. Instead of simply stating, “We have a $150,000 deficit,” explain what that means for the organization. Does it affect programs? Staffing? Compare financial performance to past years or industry benchmarks to help board members understand trends.
6. Align Your Presentation with Leadership Priorities
Before presenting, ensure that the CEO, Finance Committee, and key stakeholders are on the same page. Schedule a pre-meeting to review key points. Resolve any differences in interpretation beforehand and confirm if everyone agrees on financial priorities and strategy. A unified message avoids contradictions or surprises during the board meeting.
7. Engage Board Members with Interactive Discussion
A board meeting should not be a one-way presentation. Encourage discussion by posing questions or seeking input on key decisions. Instead of just presenting financial challenges, ask for board members’ perspectives on solutions. Engaged board members are more likely to contribute effectively.
8. Provide a One-Page Summary for Quick Reference
Since board members are busy, offer a one-page summary that includes:
- Key financial highlights (revenues, expenses, cash flow).
- Major challenges and risks.
- Important strategic recommendations.
- Action items requiring board decisions.
This helps them review essential points quickly before the meeting.
9. Practice Delivering the Presentation
Even with strong content, poor delivery can weaken the impact of a presentation. Practicing in advance helps improve clarity, confidence, and pacing. If possible, run through the presentation with a trusted colleague or the Finance Committee to get feedback on how to make it clearer and more engaging.
10. Engage, Involve, and Follow Up
During the presentation, engage with the board by asking for their input and addressing their concerns. This involvement fosters a collaborative atmosphere and encourages the board’s active participation in financial governance. After the meeting, be sure to follow up on board input and provide answers to questions and concerns that weren’t addressed.
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Frequently Asked Questions about Not-For-Profit Board Presentations
How do you lead a nonprofit board meeting?
To run a nonprofit board meeting well, the leader should follow a clear agenda, keep discussions focused, and make sure rules are followed.
How long should nonprofit board meetings be?
Nonprofit board meetings usually last between one and two hours, depending on how much needs to be discussed.
What should nonprofit board meeting minutes look like?
Meeting minutes should include who attended, decisions made, action steps assigned, and any follow-ups needed.