Board Members’ Responsibilities

Posted by Security Vault

From food banks to recreation centers to cancer charities, nonprofit organizations wouldn’t exist without the volunteer contributions of dedicated board members. They are required to act in the best interests of the organization, and disclose any potential conflicts of interests that could compromise impartial decision-making.

Your best ambassadors will be the most enthusiastic and passionate board members. They should be proactive in promoting the organization through their professional and personal networks, and try to spark that same enthusiasm in others. This means spreading the word about your organization, attending events, and supporting the mission through their charitable giving.

As the board’s ears and eyes should be, they must review and revise business strategies to ensure that they are strong and flexible, as well as in line with the company’s overall goals. This often means taking a look at and reducing risks including operational, financial, legal, and reputational threats.

This is a very important duty for board members and it requires an enormous amount of time and effort. The board should be able identify the major areas of risk that need to be addressed and prioritize them within the context of the company’s overall strategy.

The board needs to be aware of state-level “Sunshine Laws” and other regulations, that affect the way that nonprofits conduct their business. It should also be able to explain the significance of these laws to the organization’s everyday operations. It is also crucial that the view board has a clear knowledge of the organization’s tax status and its implications.