blueprints

When Something Goes Wrong—And It Will | 279
members before making a decision because they may have ideas about how
to weather the storm.
You may not be able to cover all your losses even by pulling your belt
in tightly, so you should simultaneously beat the bushes for new sources of
funding—both emergency grants and additional regular funding lines. The
likeliest sources for emergency grants are individuals who are already committed
to your organization; individuals can be nimble and responsive in a
way that granting organizations aren’t. If you have a little lead time, you
may find foundations that give one-time mini grants in moments of opportunity
or crisis. Meanwhile, cast your net outside your usual list of foundations
and groups for partnerships. Are there new groups coming along
whose missions and values are similar to yours?
Of course, if you lose a major source of funding and you simply can’t
replace it before your event or series, you may need to cut back on the
number of poets—or the number of high-priced poets—you are bringing
in. If you have already made agreements, this is a touchy business, especially
if agents are involved. If you have unpleasant news to deliver, do it immediately
and with due apologies and contrition. Fortunately, your contract
probably includes an escape clause; it might also include a kill fee, which is
some percentage of the poet’s fee you have agreed to pay if you have to
cancel her appearance. A generous and kindly poet may waive the kill fee if
your organization is in trouble, but she is not obligated to do so. If she
doesn’t, pay it if you can.
The worst-case scenario is that your organization is in a financial crisis
because of financial mismanagement or, worse (but fortunately also rarer),
some sort of criminal activity. It’s worth mentioning here that members of
nonprofit boards are responsible for the financial well-being of their organizations,
even if their organizations also have directors and/or CFOs.
However, if no actual malfeasance is involved, this responsibility is mitigated
if the organization was properly incorporated. To avoid malfeasance, board
members need to know what kind of money their organization is taking in
and how much it’s spending and on what. If you are a board member, you
should see a financial report every quarter and a complete report annually.
If it looks to you as if the finances are getting away from the director or
CFO, it is your job to interfere—don’t refrain out of misplaced courtesy. If
you are the director or CFO and the organization is getting into trouble,
communicate with and rally your board sooner rather than later. If you sus-