Questions trustees should ask during a recession - new guidance from the Charity Commission

Charities are increasingly feeling the impact of the recession - and doing nothing is no longer an option according to the Charity Commission. Its Chief Executive, with the support of the CBI, recently launched an initiative – the Big Board Talk – to get all charities to ask themselves some serious questions.

The Big Board Talk is ‘the conversation all charities need to have’, and the direct result of an extensive four-month programme of outreach and research by the Commission.  It covers the key areas where charities are most vulnerable and asks 15 key questions to help trustee boards look at both the options and opportunities available to them, right now.

No organisation, whether business or charity, will survive difficult economic times without those in charge seriously looking at their financial health, direction, and whether they’re making the best use of resources.

Andrew Hind, the Charity Commission’s Chief Executive, said: “The survival of our charities depends on their having the courage to ask themselves some fundamental questions. All charity boards need to make this a priority. Asking these key questions will help trustee boards review their options, make the hard decisions and enable them to have a clear understanding of the challenges they face and the best ways to tackle them.’

Commenting on the Charity Commission’s initiative, CBI Director-General Richard Lambert, said: “Businesses up and down the country are having to make tough decisions about the measures they need to take to ensure they survive the recession and emerge from it stronger. That means stripping out the nice-to-haves and focussing on core activities. Charities are no different in this sense.

“However, they do face a particular challenge that demand for their services is likely to be at its highest at a time when income is most under pressure. The Big Board Talk provides sound advice that will help trustees take the steps necessary to protect the vital services they offer. I would urge trustees to take part in this worthwhile initiative.”