ModeratorNicole Roach

Marketing Coordinator

CharityNet USA

Key Speaker

Melanie Swift M.N.M

Director of Nonprofit Services

CharityNet USA

• CharityNet USA: A “One-stop” resource

center for nonprofit organizations

nationwide!

• Key Speaker: Melanie Swift

• Questions

• Recorded Webinar Available At:

http://www.charitynetusa.com/webinararchive/index.php

• About Boards of Directors (BoD)

• Twenty Best Practices for BoD

• Conclusion

• Questions

Boards of Directors have many

responsibilities and fill various roles:

– Such as

• Provide leadership as a governing body

• Approve annual budgets

• Ensure sufficient available financial resources

• Fulfill legal obligations

• Responsible to stakeholders for organizations’

achievements and shortcomings

• Generally elected

• Roles, responsibilities,

and powers are usually

outlined in bylaws

• Members may have diverse backgrounds,

although usually share common goals

Governance Hat

Worn only when in a properly called meeting

Volunteer Hat

Worn when advising the Executive Director, fundraising, and helping staff

Implementer Hat

Seldom worn, as program implementation is usually the responsibility of staff

The following practices are general guidelines, and should be tailored to meet your specific needs.

Organization characteristics to consider include: • Size• Location• Industry • Population served• 501 status • Business mindedness• Other unique factors

20. Stay Mission Driven

Shape and uphold the mission; articulate a compelling vision

Maintain consistency with mission, vision, values in decisions, policies, and actions

“Keep the Dream Alive”

19. Strategic Thinking

Allocate time to what matters most

Continuously monitor the environment to hone direction

18. Develop a culture of transparency, consistency, and accountability.

– Ensure that donors, stakeholders, and interested members of the public have access to appropriate and accurate information regarding finances, operations, and results.

17. Be Results-Oriented

Continuously measure progress toward

mission fulfillment

Evaluate efficiency, effectiveness, and impact of major programs and services

16. Remain Independent Mainly volunteer

Lack of relationships

15. Plan for Revitalization

Understand the

importance of fresh

perspectives

Energize the board

through planned

turnover and thoughtful,

continuous recruitment

14. Develop a Conflict of Interest policy

– Be sure members abstain from voting when

there is a potential conflict of interest

– Ensure arm’s length negotiations

13. Develop and adopt a Whistle Blower policy

– It’s important for employees to know they will be protected if/when they protect the organization

12. Boards of Directors should meet at least once per quarter.

11. Documentation is crucial

Meetings, decisions, presentations, and so forth should be documented appropriately

Examples of documents: minutes, receipts, and handbooks

10. Charity should begin at the office

– As leaders of the organization, members should make it a point to donate their time and money to their organization

– 100% Contributing Boards ideal

9. Fundraising Accountability

– Members often raise funds and garner resources

• Often have an extensive network

• Accountable to their word and for their efforts

8. Sustain Resources

Link bold visions and ambitious plans to

financial support

Approve activities that can be realistically

financed with existing or attainable

resources

7. Always have financials audited by an

outside organization.

Change auditors/auditing organization

every five years.

6. Board members should be aware of current

laws and policies

This will help keep the organization out of

legal trouble

5. Ensure Compliance

As part of ongoing strategic planning, be

aware of all federal, state, and local

compliance issues

4. The Board of Directors should

comply with the Duty of

Loyalty

– In other words, Boards of

Directors needs to look out

for the best interest of the

organization

– Never use information or

resources obtained as a

member of the board for

personal gain

3. Fulfill the SOX Act audit standards

– The Sarbanes-Oxley Act of 2002 is mandatory.

– Focus on, and tailor appropriate organizational response to meet SOX requirements.

– Created to protect against accounting crimes by outlining new standards for accountability.

**For more information, please see: www.soxlaw.com

2. The Board of Directors and the organization’s

Executive Director should have a strong

working relationship.

1. Continuously

review your Board

of Directors’ best

practices and

board

effectiveness

• Members should be chosen carefully, and understand their roles and responsibilities

• It is crucial for members to follow legal regulations and work for their organization’s success, even when it means making difficult decisions

• Every organization should have a formal Board Policy Manual

• Developing a Strategic Plan: 6-17-2010 3pm EST

• CharityNet Nonprofit Services

• 501c3 Prep

• Grant Writing

• Strategic Planning

• Website Development

• Graphic Design

• Marketing

• Bookkeeping & Accounting

• One-on-Consultation Time

• Contact Us

• Nicole Roach: Nicole@bizcentralusa.com

• Melanie Swift: Melanie@bizcentralusa.com

• Visit www.CharityNetUSA.com or Call 407-857-9002

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CharityNet USA