Embezzlement continues to be the greatest threat to the livelihood of any booster club, and it pervades in epic proportion. Sadly, too many booster clubs make it easy for dishonest – or potentially dishonest – people to steal. The most common factor – putting one, unsupervised person in charge of all financial duties.
The best way to prevent theft and fraud is to make it difficult to commit theft and fraud. Sounds simple, doesn’t it? Well, as simple as it sounds, this is where many booster clubs fail. They do not build proper checks and balances into their operating procedures.
Transparency is the foundation of a booster club’s financial integrity. Therefore, separate financial roles and reporting among two or more people.
Every booster club should have at least two financial officers: treasurer and bookkeeper. Separating financial duties between the two officers creates checks and balances that make it very difficult to embezzle funds.
As an additional measure, thriving and prudent booster clubs hire a Certified Public Accountant (CPA) to oversee the club’s financial operations. A CPA will provide sound financial advice, help provide continuity of financial leadership, review the organization’s books, and assist in filing documents with the IRS, state government, and the school board.
The Booster Leader
In my book, The Booster Leader: 35 Leadership Essentials for a Thriving Booster Organization, I share many more ideas to promote financial integrity in your club. The Booster Leader consists of…
- Thirty-five proven leadership essentials that are quick and easy to implement
- Eighteen inspirational stories that bring the leadership essentials to life
- A twenty-nine point checklist to help you identify risks that may jeopardize your organization if not properly addressed (and the answers to help you resolve every issue!)
Now is the time to start leading your own thriving booster organization. In The Booster Leader, I show you exactly how to do it!
Question: How does your booster club assign financial duties to promote transparency? You can leave a comment by clicking here.