Nonprofit boards are crucial to the success of any organisation. They are accountable for overseeing finances, ensuring that nonprofits have the resources to meet their objectives, and also ensuring that they adhere to legal guidelines. They also play a role in fundraising efforts. In addition, board members have a fiduciary duty to treat the assets of the non-profit as like their own. They are not allowed to make decisions to gain personal advantage or favor the nonprofit.
Nonprofits should be looking for board members who possess the following characteristics:
Passion: Board members should be enthusiastic about www.twoboardroom.com/nonprofit-boards-role-in-human-resource-management/ the mission of your non-profit and feel a an urgency to take action. If your board does not have this, it is likely to struggle to achieve its goals.
The commitment of a successful nonprofit requires the commitment of its volunteers and staff. In addition your board needs to be prepared to invest time, money and energy.
Skills: A reputable board of directors will have expertise in areas such as governance, strategic planning, and oversight of organizations. It should also be able identify talent and recruit the necessary people for leadership roles.
A nonprofit must have a policy regarding conflicts of interest and all of its members must adhere to the policy. Failure to adhere to the policy could result in fines from the IRS and state-level “Sunshine Laws.” This is a crucial issue and that’s the reason many nonprofits require their board members to sign conflict of interests agreements.