The board of directors is the main governing body for non-profits. It champions accountability and transparency and defines the goals for an organization. The board is a group of visionary and strategic leaders who deliberate on high-level issues and reach consensus on decisions. They communicate these decisions through resolutions. They also assign responsibility to committees that function in the same way as departments in for-profit corporations for example, a finance committee fundraising committee, planning committee and public relations committee.
Governance models for non-profit organizations aren’t one-size-fits-all, which is why the majority of organizations eventually adopt a hybrid approach. The board must ensure it is independent of other private organizations, regardless of model. The board must be vigilant about any conflicts of interest that could undermine the credibility the nonprofit or its reputation, or put the donors at risk. This is done by implementing the implementation of a policy on conflicts of interest.
Nonprofits often choose the model of cooperative governance which grants each board member equal voting rights and a common level of responsibility. This is a very democratic model and can be successful when board members demonstrate their commitment to the mission of the organization. It can be challenging, however, if the board loses the focus on its objectives or personal morale declines. Another popular model is the patron governance model, that is more suitable for non-profits that focus on fundraising campaigns. Patron board members are wealthy individuals who lend the nonprofit their name and utilize their connections in order to solicit donations.