Financial Management and Sustainability
The financial management of an association involves the responsible stewardship of resources, developing quality sources of revenue, and preparing for future needs to enable the fulfillment of the organization’s mission. It is the fiduciary responsibility of the board of directors to ensure that the association’s finances are properly managed and its obligations met. An organization’s budget should reflect its priorities and enable the execution of the strategic plan. Chambers and associations operate in an increasingly competitive environment which challenges prevailing business models. Financial sustainability generally requires a diversified array of dues and non-dues revenue sources, financial reserves, and savings to cover unexpected revenue shortfalls or expenses.
