Every board member signs a conflict statement and there is a code of conduct statement that every director signs. Personally, I do not believe that conflicts should be based solely on financial gain. For example, if a KCBS board member is also on the board of MBN, that could potentially be detrimental to both organizations.
As a person in a barbeque business and serving on the board of KCBS, I have done my utmost to keep separate my business life and KCBS. I've had many business associates not be aware of my position with KCBS until they join and read the Bullsheet. Until I am off the board, my company will not advertise with KCBS in any fashion.
In my opinion, greater potential for conflict arises from directors who make money in/at KCBS events. Since most board members are contest representatives, who as independent contractors are paid for their services, that by definition is a conflict. But all directors do sign a conflict of interest statement and being a contest rep is disclosed. Directors can and do abstain from vote and discussion on any issue with personal conflicts.