Why Churches Need a Conflict-of-Interest Policy

Most churches are ill-equipped to handle conflicts of interest. This is one of the most compelling findings from a national survey of church governance practices conducted by the Evangelical Council for Financial Accountability (ECFA).

When asked to describe their governing board’s conflict-of-interest oversight, nearly half (49%) of churches said they do not have a conflict-of-interest policy. One in ten churches (12%) indicated they “probably” have a conflict-of-interest policy but that the board has not reviewed it for a long time.

Only about one in six churches (16%) said they have a conflict-of-interest policy, refer to it when needed, and require the board and key staff members to annually complete a conflict of interest questionnaire related to the policy.

The importance of properly handling conflicts of interest

So, what’s the big deal? Why is it critical for ...