How do entrepreneurial directors shape financial reporting quality in non-profit organizations?

Sicen Chen, Shuping Lin, Yalin Luo and Pengdong Zhang

International Review of Economics & Finance, 2025, vol. 99, issue C

Abstract: This paper examines the relationship between entrepreneur directors and financial reporting quality in non-profit organizations (NPOs). Our findings reveal that NPOs with entrepreneur directors exhibit significantly higher financial reporting quality. We argue that the impact of entrepreneur directors on financial reporting quality is contingent on their willingness to engage in oversight and their concerns about reputation. Furthermore, our analysis indicates that the influence of entrepreneur directors on financial reporting quality is more pronounced when there is at least one female entrepreneur on the board or when the average age of entrepreneur directors exceeds the mean. This positive relationship is also strengthened when NPOs maintain higher levels of transparency. However, the presence of government officials on the board weakens this positive association. This study contributes to the literature on NPO governance by providing new evidence on how entrepreneur directors impact financial reporting practices in the non-profit sector.

Keywords: Non-profit organization; Financial reporting quality; Entrepreneur director; Corporate governance (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S105905602500156X
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:reveco:v:99:y:2025:i:c:s105905602500156x

DOI: 10.1016/j.iref.2025.103993

Access Statistics for this article

International Review of Economics & Finance is currently edited by H. Beladi and C. Chen

More articles in International Review of Economics & Finance from Elsevier
Bibliographic data for series maintained by Catherine Liu ().