Nonprofit boards can assume various tasks. They can be the legal governing body of the organization. They also have the ability to ensure that the company is operating in accordance with the laws of state and local governments, improve internal and exterior operations, and keep financial accountability. A nonprofit board should have members with a variety of backgrounds and skills to perform the various responsibilities.
Board members may also be accountable for fundraising for the nonprofit. This may include contacting their own networks of potential donors, or the nonprofit’s list of previous donors to keep asking for donations. Although this may be uncomfortable initially, it’s an a great way to grow and refine your fundraising abilities.
Additionally the board may also appoint committees to concentrate on specific areas of responsibility, like fundraising and budget management. Typically, the chairperson acts as the direct contact for the executive director. The treasurer must be well-versed in the accounting and bookkeeping aspects of the non-profit and be available to offer information and guidance to make informed financial decisions. The secretary should keep exact and precise minutes of meetings.
Nonprofit board members are also accountable for examining and approving every tax document for the organization such as the IRS Form 990, before they are filed each year. This requires them to be familiar with the various tax regulations and the requirements of the organization. The board may also be required and approve contracts, agreements, and other documents related to the purpose of the organization.
