Nonprofit boards are vital to the success of any organization. They are responsible for overseeing the financial aspects of the organization, ensuring the nonprofit is able to achieve its goals, and also ensuring that the organization operates within the legal guidelines. They also play an important role in fundraising initiatives. Board members also have a fiduciary obligation to treat the assets of the non-profit as if it were their own. This means that they should not make decisions that are based on their the interests of their own or on favoritism and must be honest in their interactions with the organization.
Non-profits should seek out board members who possess these traits:
Passion: Board members must be passionate about the mission of your organization and feel a an urgency to act. If your board lacks this, it will struggle with productivity.
Commitment: A successful nonprofit requires the commitment of its staff and volunteers. Your board must also be prepared to put in time, money, and energy.
Skills: A good board of directors must have abilities in areas such as governance, strategic planning, and oversight of organizational structures. It should be able identify the best talent and attract people for leadership roles.
All employees of a non-profit must adhere to a conflicts-of-interest policy. Infractions to this policy could lead to penalties and fines from the IRS or the state-level “Sunshine Laws.” It is the reason many nonprofits require board members to sign agreements on conflicts of interest.
