The members of the board of a nonprofit organization have many responsibilities. However, governance is among the most important. It is accountable for making sure that the charity is in compliance with laws, has sound financial management policies, and stays on track in order to reach its goals. Nonprofits are not owned by a single person like for-profit businesses. They depend on volunteers to ensure that they are effectively managed and are financially viable in the long run.

Non-profit organizations have a variety of board governance models. Some might even mix several to suit their needs. The right model to choose is crucial to building a strong board. It helps an organization stay focused on its mission and help establish a culture that is based on accountability, transparency and innovation.

The Management Team Model is the most popular form of governance for boards in non-profit organizations. In this model, the board delegates tasks to staff members and committees that cover a range of responsibilities such as finance, human resources planning, human resources, and programs. However, the board retains the role of a leader in terms of hiring and managing the Executive Director.

A Patron Board Model is another common model. This type of board has an abundance of wealthy donors that act as the board and have high levels of trust and confidence in the CEO of the company to run the business. The board is not involved in the day-today operations but they do meet regularly to ensure that the CEO keeps them updated on the company’s activities.

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