This document provides information on building an effective nonprofit board of directors. It discusses the roles and responsibilities of boards, including hiring and evaluating the executive director, securing funding, monitoring finances, and establishing policy. It outlines skills that boards need, such as leadership, governance, expertise in areas like finance and law, and connections to resources. The characteristics of good board members are also presented. The document provides steps for organizing an effective board, including utilizing board committees and recruiting and selecting new members. It concludes with tips for building a strong board culture through orientation, mentoring, and retreats.

1. Building an Effective
Board of Directors
GoodCity presents

2. Objectives
● Gain a clearer understanding of
roles and responsibilities of
nonprofit boards, board service,
and individual board members
● Exposure to finding, recruiting,
and engaging nonprofit board
members
● Increase interest in joining a
board

3. 53%
of non-profit directors do not believe their fellow board members understand
their obligations well or very well.
Source: 2015 Stanford survey of Board of Directors of Nonprofit Organizations

4. What are the hallmarks of a good board?
● Hire and evaluate the executive
director
● Secure adequate funding for the
organization
● Monitor finances
● Adopt key operating policies;
approve contracts as appropriate
● Select and support the
organization’s board officers
● Establish policy
● Approve corporate strategy
● Create and update a long-range
plan for the organization
Advises Provides oversight

5. What skills does a board need?
● Long-range
planning skills
● Risk identification
and mitigation
● Media contacts
● Political contacts
● Contacts with
professional and
service organizations
● Fundraising ability
● Access to foundations,
corporations and
individual
philanthropists
● Legal expertise
● Financial expertise
● Communication
skills
● Marketing skills
● Program expertise
specific to the
organization
● The ability to lead
● The ability to govern
Leadership &
Governance
Expertise Strategy Connections Resources

6. What are the characteristics of a good board member?
Brings professionalism
Demonstrates commitment
Are able to give their time
Can contribute financially
and in other ways
Shares your organization’s
vision and passion
Understands and accepts the
legal responsibilities
Source: http://www.nonprofitpro.com/article/6-qualities-to-look-for-in-your-nonprofit-board-members/

7. An honest evaluation: Are you willing to commit to a board?
❏ Could I attend board meetings regularly and participate in discussion at
these meetings?
❏ Am I informed about the mission and vision of the organization and do I
support this mission and vision?
❏ Do I contribute time and money to this organization to the best of my
ability?
❏ Do I serve on committees and task forces when invited?
❏ Do I encourage others to support this organization and serve as a
spokesperson when asked?

8. Additional
Resources ●

9. How do I organize my board?

10. Optimizing your board with committees
Most nonprofits accomplish their leadership work through board-appointed committees, made up of a
combination of board members and other volunteers. The committees that every organization should
have in place include:
● Board resource committee
● Development committee (fundraising)
● Executive committee
● Finance committee
● Program committee(s)
● Public relations committee
● Strategic planning committee (may be an ad hoc committee)

11. 5 steps to building an
effective board

12. Step 1: Utilize your Board Resources Committee

13. Step 2: Develop a board position description
The position description should include a statement of the purpose of the board,
board term limits, roles and responsibilities, and a requirement to sign a conflict
of interest statement.

14. Step 3: Ask for suggestions of potential directors
Tip: Consider board demographics.
● Does the board’s ethnic mix represent the community it serves?
● Is there gender diversity?
● Is there age diversity
What other groups are important to the organization and should be represented
on the board?

15. Step 4: Develop a compelling recruitment packet

16. Step 5: Interview and select new directors

17. 3 tips to building a strong
board culture

18. Host an
orientation for all
your new board
members

19. Pair new board
members with a
mentor

20. Schedule annual
board retreats