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While they may appear to have nothing in common commercial boards and nonprofit directors face similar challenges when it comes to managing board business. Both could benefit from using a management system or a board portal to simplify their tasks. In addition to providing an organization with a central repository of information, these tools can help the board perform more efficiently and effectively as together.

All boards, regardless of whether they are for-profit or nonprofit have the responsibility of ensuring their organizations adhere to the legal and ethical standards. Fiduciary duties include adopting sound financial management and governance policies and ensuring stewardship that is appropriate. The board must also ensure that the company adheres to all laws and regulations relating to its mission and allocates enough resources to accomplish its goals.

Most nonprofit boards are also expected to have some fundraising skills in addition to their governing duties. The board should be willing and able to share their message and use their networks to get access to potential donors and, if it is financially feasible, contribute to the cause themselves.

Many nonprofits have a committee that is composed of the president, treasury, and secretary. These officer positions are required by most states for tax-exempt purposes. Most nonprofits also have several committees that handle similar subjects such as fundraising as well as finance and programs. A separate committee can help the board to divide up its work, and it is also useful in the recruitment of new members who may not feel confident or qualified to join the full board.