When building your nonprofit board, it is important to ensure that all the members are aware of their roles and responsibility. Keep all board members informed to avoid confusion, and also ensure that your organization is compliant with local and state laws! One way to do this is by setting up committees within your nonprofit board. These groups of board members work together to concentrate on various aspects of your organization, such as fundraising or human resources. This group of volunteers can assist your board in staying well-organized and on top of its game!
The primary responsibility of your board is to provide support and oversight to the chief executive. This includes ensuring that your nonprofit adheres to ethical and legal standards. This also includes providing financial oversight, establishing budgets and directing fundraising efforts. Additionally, your board is responsible to select and evaluate new board members.
Your nonprofit board also has an important responsibility: deciding the purpose of your organization. It might seem like a simple job but it’s vital to stay focused on your mission to prevent mission creep over time and to draw donors to your non-profit. Your board will help you decide the best method to fulfill your mission and create new programs and service that will help you achieve your goals.
Your nonprofit board is accountable for knowing all of the IRS and state regulations that your company must comply with. This is where it is especially important that your board knows and takes seriously their fiduciary obligation to protect the organization. This can be done by having regular meetings to review policies.