New Guide for Nonprofit Board Members: The Role of the Board of Directors in Financial Oversight

As most nonprofit board members know, one of their most important fiduciary duties as a director is providing effective financial oversight of the organization.No matter how essential its mission or how urgently needed its services, an organization whose board fails to perform this critical function can quickly find itself in serious financial trouble.

However, many board members need guidance in understanding the wide range of duties encompassed by this important role.To help both new and continuing board members understand and fulfill their responsibilities, a new manual from the Community Economic Development Project, The Role of the Board of Directors in Financial Oversight, offers a comprehensive overview of the board's vital role in ensuring an organization's current and future financial stability. Key questions addressed include:

• What is the role of the Board in financial oversight?
• How should a Board ensure compliance with the organization's financial controls?
• What is the Board's role in fundraising?
• How can the Board ensure an organization's long-term financial sustainability?
• What is the role of risk management in financial oversight?