Financial transparency is critical in every student organization

Embezzling from a student organization is remarkably easy. It's a shame, too, because when a dishonest officer steals from his/her organization – or uses funds in an inappropriate way – it takes away from the mission of the group and violates a very special trust.

When I traveled for my fraternity many years ago, I found stolen or misused funds in almost 20-percent of the chapters I visited. Sometimes, it was something as simple as a treasurer giving himself an unapproved loan or buying himself a new printer for his computer. In any case, the members of the chapter had no idea. If I hadn't come through and demanded a look at the books, the members would have been no wiser.

The best answer to this potential threat is transparency. Your members need to see the group's financial account, even if they don't care and aren't asking for it. At least once a month, the treasurer of your organization should give your members a printout of all financial activity for the month: what checks were written, how many people paid their dues, what money was raised or spent from that last event, etc. Most of all, your members should see the balance in their account. It's their money, right?

Ideally, your executive committee will review the statement for errors before it is presented to the members. This is also a great way to make sure your treasurer is doing his or her job properly. When more eyes are examining the books, mistakes are avoided, and the possibility of misappropriation goes down.

When you make financial stewardship everyone's business, your organization grows stronger, people pay their dues on time, and better choices are made about the use of your group's resources.

Here's my challenge... Can your members guess your group's checking account balance within $500? If not, you have a problem. Make them pay attention. Even if they roll their eyes and feign sleep when you talk about numbers, it's an important lesson to learn now when the stakes are lower. Someday when they catch an employee stealing, or prevent embezzlement from their homeowners association, they'll thank you.

Who are your ideal members?

The beginning of the new school year is a big time for bringing in new members. Whether you're a sorority chapter, the marching band, a campus religious group, or a group of competitive table tennis enthusiasts, the months of August and September are prime time for picking up some new faces. You have hundreds (or thousands!) of new folks coming to campus, all looking for a place to belong.

Some of them belong in your organization.

If you've struggled with finding new members, the first thing you need to do is ask yourself this simple question: "Who are our ideal members?"

It is basic target marketing. You don't put yourself out to the entire campus if you're looking for a specific type of person. If you're recruiting for the band, you need musicians. If you're recruiting for a sorority, you might be looking at women with high GPA's and a commitment to service. If you're searching for a new player for your Tuesday night poker group, you want a terrible player with lots of cash and a drinking problem.

That's a joke... I think...

"Who is our ideal member?" It's a basic, critical discussion to have with your existing members RIGHT NOW. Start the discussion before everyone gets back to campus.

If you ask the question and no one has an answer, you've found a fundamental problem. If there's wide disagreement, that's another. Talk it out until your members can clearly describe your ideal member.

Because here's a recruitment basic: It's easier to spot a potential member if you know what you're looking for.

In the classic leadership book, Good to Great, author Jim Collins talks about "getting the right people on the bus." Once you know who the right people are, then you can begin to figure out how to find them, introduce yourself and your organization to them, and ask them to join.

How often should you meet with your advisor?

Got a question today from a student. "How often, ideally, should I meet with my advisor?" This particular young man is an IFC president, and his advisor is a busy Assistant Dean of Students.

First and foremost, I strongly recommend a standing appointment. If you're trying to catch each other on a hit-and-miss basis, whenever both of you happen to have spare time, it's not going to work very well. If you only meet when there's a crisis or problem, then you're not making the most of the potential relationship.

Some students reject the idea of a standing appointment "because I'm in the student activities office all the time and see my advisor almost every day anyway." Sorry... not the same as a set time where you both focus on your mutual needs and the needs of your organization.

I recommend a standing appointment at least twice a month. If you are the leader of a particularly busy organization, then once a week is a reasonable expectation. For many student leaders and advisors, a half-hour standing appointment once a week can yield a lot of good.

Communicate with your advisor and tell him/her that you'd like to establish a standing appointment. If your advisor is an on-campus professional, ask if there's a certain time of the week that tends to be slow. Shoot for that time. It's not great if your advisor is squeezing you in between the end of a staff meeting and lunch. You won't get his/her full attention. Find a time when he/she has a clear mind and a quiet phone.

Back when I was a student, I had a standing appointment with my dean on Friday mornings at 7:30 a.m. We both happened to be morning people, and I had no competition for his attention at that time. It was also two days before my weekly meeting, and I liked being able to run ideas by him prior to our meetings and other social events planned for the weekend. It worked great for both of us.

I've seen student leaders and their advisors who worked out together, discussing group dynamics over squats at the gym. Whatever works for you.

I recommend getting away from his/her office, even if that just means the coffee shop on the corner. Expect to pay for your own coffee, and every now and then, pay for his/hers, just to say "thanks for the time." Don't expect your advisor to travel all the way across the campus to meet you. Find a convenient location near his/her home or work place.

Busy advisors will want to do the standing appointments in their office, because that's easy and convenient. If that's the case, start with that, and then try to convince him/her to get out of the office after a few appointments. Most people are happy for an excuse to escape their offices anyway.

If you need to cancel a standing appointment for any reason, be sure you're professional about it. Give your advisor notice, and don't make cancelling a habit. Advisors hate it when student leaders cancel on them constantly. It throws off their whole day, and you never know what else they cancelled to respect your appointment. You need to show the same level of respect.

It's a good idea to come with a few issues to discuss. They don't have to be huge and Earth shattering. Just some discussion starters. Your sessions with your advisor should have some unstructured time so he/she can ask you a few questions, dig a little, and suggest things you didn't even come asking for.

These appointments can also be phone appointments, if your advisor lives further away. There's nothing wrong with phone or IM appointments, if that's what works best for the two of you.

Bottom line: force yourself to commit to that advising time. By asking for a higher level of engagement, you solidify that important resource that a strong advisor provides. If your advisor rebuffs your request for a standing appointment, you need to find a better advisor. 30 minutes once a week – or twice a month – is a very reasonable request.

The 70-percent budget

The new school year is about to start, and for many fraternity and sorority chapters, that means a new round of begging. Begging your members to pay their dues. At least 30-percent of your members will likely be unable to pay, unable to pay in a timely way, or just won't want to pay. No one likes to write that big check.

Assuming that you don't use one of the third-party financial providers like GreekBill or Omega Financial, this is an annual ritual that makes leaders crazy.

So, try this. Begin the year with two budgets: the 100-percent budget and the 70-percent budget. The 100% budget is the one that you will begin using when everyone has paid their dues. The 70% budget is the one you'll use until then. You can guess which budget will have more of the fun stuff in it. When people complain, let them know that they should be complaining to the brothers or sisters who haven't paid their dues.

What if only 80% of the members pay their dues? Well, then, you've got a nice savings from that extra 10% to cushion your chapter when you toss out all the losers who wouldn't support their organization the way they promised when they were initiated. Use that extra tiny bit of cash to help you recruit better, more responsible members.

Whatever you do, don't make the amateur mistake of giving your members the benefits of a 100% budget until they've earned it. That includes you, as officers. No retreats or conference registration fees until everyone has paid. Role model to your brothers and sisters the frugality that is necessary until everyone carries their weight.

The first year (or semester) of trying this usually brings some growing pains. But, the benefits down the line are tremendous. Less stress and begging on the part of future treasurers is chief among them.