This is a discussion about the technical and legal aspects of fiduciary duty as it pertains to management of nonprofits' organizational resources. Nonprofit boards and their designees have an obligation to properly oversee their organizations' resources to ensure they have the ability to carry out their missions, in some cases in perpetuity. We will explore the various ways and means of financial decision-making within organizations, some pros and cons of each approach, and some ideas for establishing best practices. It is in the best interest of the organization to foster successful principles and practices, and can even help with fundraising itself by showing potential donors that your organization is a strong steward of its assets.
What You Will Learn:
You will learn the benefits and drawbacks of financial and investment decision-making solely by individuals (such as a Director of Treasurer), by committees (finance and/or investment), or by the Board itself. You will also come away with best practices for creating structure (establishing and choosing a committee, formalizing the decision process, frequency of review, etc) and policy (such as writing a proper and effective Investment Policy Statement). We will discuss how to institute principles that foster continuity and long-term success, as well as discuss some common mistakes that can befall even the organizations with the best intentions.