Nonprofit boards have the ability to take on numerous duties. They can act as the legal governing body for the organization. They also have the ability to ensure that the organization is in compliance with state and local laws, improve internal and exterior operations, and ensure financial accountability. A nonprofit board should have members with diverse experiences and backgrounds to meet these https://twoboardroom.com/the-relationship-between-the-ceo-and-the-board-of-directors/ diverse duties.
Board members are also responsible for fundraising for the organization. This can include contact with their own networks of potential donors as well as the list of past donors to continue asking contributions. While this can feel awkward initially, it’s an an excellent way to develop and hone your fundraising skills.
Additionally the board may also appoint committees to focus on particular responsibilities such as fundraising and budget management. The chairperson usually serves as the primary liaison to the executive director. The treasurer must be knowledgeable about all bookkeeping and accounting aspects of the non-profit organization and readily available to provide information and guidance to make informed financial decisions. The secretary must keep accurate and detailed minutes of meetings.
Nonprofit board members are also responsible to review and approve every tax document for the organization such as the IRS Form 990 before they are filed each year. They must be knowledgeable of all the tax regulations and requirements for the organization. Additionally, the board may be required to review and approve agreements, contracts, or other documents relevant to the mission of the organization.