How to Build a Nonprofit Board of Directors

How to Build a Nonprofit Board of Directors

One of the most important first steps to starting a nonprofit is the creation of a board of directors. A nonprofit board of directors is the governing body of an organization. It is made up of a group of people that meet regularly to discuss and make decisions for the organization that they serve. In a nonprofit’s case, these people are typically unpaid volunteers.

Nonprofit boards and nonprofit board member engagement are an important part of the overall success of an organization. In addition, most states require you to have a board established before you apply for incorporation, and register with the IRS. Therefore, it is one of the first things you must do when building your nonprofit.

Starting your board is exciting! But it also needs to be handled with care. That’s why, we’ve gathered some important info about boards to help you in the process.

Table of Contents

  1. Different Types of Nonprofit Boards
  2. How to Form your Nonprofit Board

Guide to Fundraising During COVID-19

Different Types of Nonprofit Boards

There are two different types of boards you can choose between, based on what fits your organization best. You can choose between a governing board or a working board.

Governing Board

A governing board is probably what you mostly imagine when you think about a Board of Directors. A governing board oversees operations, finances, legal issues, and so on. They usually have outside careers and mostly limit their participation to meetings and decision making. Governing boards are common in larger, established nonprofits that have paid staff to perform daily tasks. They exist to oversee and ensure everything is running smoothly, rather than to participate in routine operations.

Working Board

A working board is very hands-on, and more involved in daily operations. They do the bulk of the work for your organization and carry heavy responsibilities like fundraising, project management, and more.

An example of a member on a working board is a treasurer who also is the accountant, a fundraiser chair who also applies for grants and sponsorships, or a communications chair that also handles marketing, social media, etc.

For this type of board, it is vital that the people on your board are committed to doing the work, not just attending meetings and making decisions. This type of board is common with new or small nonprofits that do not yet have the resources to hire professional staff.

How to Form Your Nonprofit Board

1. Decide on the size of your nonprofit board

The IRS generally requires at least three board members for each nonprofit. Sizes vary from organization to organization, but it’s often recommended not to have a board that exceeds 15 members. Once you get 15+, it can be difficult to keep everyone engaged and get everyone’s input.

You should have an odd number of members on your board, so that decisions won’t come to a tie in a vote. When deciding on your board size, keep in mind the size of your organization and your needs. If you are a smaller-scale nonprofit, 5 or 7 members is probably enough. If you are a larger-scale nonprofit that needs a lot of strategic planning and decision making, going up to 9-13 might be right for you.

2. Identify your nonprofit needs

It’s important that you enter your Board recruitment process with a clear idea of what your needs are. What variety of skills do you need to be represented on your board? We recommend doing a needs assessment of your organization to know the type of people that will be best for your board.

You will benefit by recruiting board members with expertise in certain fields that will be helpful, such as law, accounting, development, or social services. Or you may know you need things like human resource skills, or event management help. All of your board members, regardless of their specific skills and expertise, should be passionate about your mission and committed to fulfilling their duties.

3. Choose your nonprofit board candidates

There are lots of things to consider when choosing your candidates for Board members. Having done a needs assessment will help you know what skills and expertise you need represented. Hopefully, you’ll realize you have connections with a variety of people who can fill these needs.

When making your choices, you’ll want to consider personal characteristics as well. It’s not enough that they have the know-how to help you navigate certain situations. You’ll want to find people who are passionate about your cause, have a strong work ethic, a positive attitude, and are flexible enough that they have time for committing to your cause.

When making these choices, don’t forget that the only way to get a true variety of perspectives is to have a variety of people from different backgrounds. Pro tip: If you’re serving a particular community with your nonprofit, having people who are from and connected to that community on your Board will offer some very valuable insight, and help keep you accountable to your mission.

4. Recruit your nonprofit board members

Once you are clear about who you want on your board, you can start recruitment! When reaching out to potential candidates, we recommend personal, face-to-face requests. Rather than just a phone call, try and set a meeting. This will set a good precedent for the type of commitment you are asking them to make.

Be positive when reaching out to potential board members. Be clear about why you have specifically chosen them for your organization. And convey how being a board member will be a benefit to them as well! Make sure to clearly communicate the time commitment, so that they can make an informed decision.

If you feel like you don’t know who to recruit for your board, you may need to consult your local volunteer center, city website, or community centers to look for potential candidates. There are also many online resources to help you, including Board Match, and BoardStrong.

Word of mouth also goes far. Reach out to people in your community or even your personal circle to gauge interest. Referrals can help you find potential colleagues, volunteers, community activists, and philanthropic business people who may be interested in joining.

Avoid conflicts of interest when you are recruiting. For example, recruiting a family member to your board may be tricky because emotions can sometimes get in the way of strategic planning and decision-making. You should also avoid asking someone who is deeply involved in another nonprofit, as that can be a conflict when it comes to soliciting donations. With that said, if you are confident that people in your community, personal, and professional life would be good candidates, reach out to them!

Guide to Fundraising During COVID-19

And there you have it! These tips are sure to help you build a strong Board of Directors for your new nonprofit. Starting with a strong Board of Directors will greatly pay off in the long run, and help you as you navigate the joys and challenges of your new nonprofit organization.

Here are some more resources that will help you as you are building your nonprofit organization: