Nonprofit boards have the ability to take on numerous duties. They can act as the legal governing body of the organization, make sure that the organization is operating in compliance to state and local law as well as improve external and internal operations, and ensure accountability for financial decisions. A nonprofit board needs members with a variety of backgrounds and skills to perform the various responsibilities.
Board members can also be responsible to raise funds for the charity. This could include reaching out to their own networks of potential donors or the nonprofit’s list of past donors to continue soliciting contributions. Although it can be awkward at first, it is the perfect way to learn and refine your fundraising abilities.
Additionally, the board might appoint committees that focus on specific duties, such as fundraising and budget management. The chairperson is often appointed as the direct liaison to the executive director while the treasurer must be well-versed in all bookkeeping and accounting aspects of the nonprofit and readily available to offer information and guidance to make sound financial decisions. The secretary must record accurate and detailed minutes of all meetings.
The board members of non-profit organizations are also responsible for reviewing all tax documents, including the IRS Forms 990 prior to when they are filed each year. This requires them to be familiar with the various tax regulations and requirements of the organization. The board might also be required review and approve contracts, agreements as well as other documents relating to the mission of the organization.