Certain higher-education institutions are at risk in 2007 and beyond, according to Moody's Investors Service, which gauges colleges' financial health. They include small private colleges with limited geographic draw, colleges with ambitious spending plans to improve their national reputations, and regional public universities that face heavy competition from community colleges. Are those institutions condemned by circumstances to hard times? Or can creative leadership put them on the path to a future characterized by stable finances, stronger reputations, and higher quality? Here, the author dispels three myths about turnarounds: (1) Only money matters; (2) It takes a director; and (3) Faculty members do not play a key role.