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The Families First Coronavirus Response Act (2)
News and Avoiding Scams

What’s New for Nonprofits in 2020

At the close of 2019, Congress passed legislation that has a significant impact on nonprofits. On December 20, 2019, the Further Consolidated Appropriations Act, 2020, also known as H.R. 1865, became law. This act includes two provisions that significantly impact nonprofits:

The simplification of the excise tax on net investment income; and
The retroactive repeal of the unrelated business income tax on qualified transportation fringe benefits.

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virtual board meeting
Starting a nonprofit

Board Quorums, Non-Profit Strategy, and Technological Innovation

Many non-profit’s use the 51% benchmark for a quorum as a concession that directors will not be able to attend all meetings, but having a majority of board members in attendance for official business ensures a representative cross-section of participation which will not simply reflect the will of a very small clique of directors.  However, organizations that value strong hands-on participation by board members may set a higher quorum requirement to encourage meeting attendance and broader participation. 

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Non-Board Members on Board Committees
Governance

Setting up Nonprofit Board Committees for Maximum Effect

The need for committees and which types will vary based on your organization’s age, size, and activities.  Newer organizations may be able to get by with a small working board and few or no committees, while large and established nonprofits would be hamstrung without the robust use of committees. 

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Can your nonprofit Board vote by email
Governance

Can Your Nonprofit Board Vote by Email?

Technology now offers businesses and boards many advantages, including the ability to meet via teleconference, video conference, or even conduct discussion and voting via electronic communications, such as email.  But while email is commonplace among many organizations for its ease of use, especially for busy and geographically diverse volunteers sitting on nonprofit boards, there are several reasons to think twice before using email for your next important nonprofit board vote. 

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board meeting schedule
Governance

How Often Should Your Board Meet?

At a baseline, your board needs to meet with sufficient frequency to adequately carry out your basic fiduciary and governance duties.  This includes hiring the CEO and monitoring the CEO’s performance, creating a vision and direction for the nonprofit, setting goals and monitoring their progress, developing policies and procedures, ensuring sufficient financial resources, and generally safeguarding the organization and its mission.

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How to Start a Non-Profit Organization

Download our free guide to learn about the many elements needed to run a successful nonprofit organization, as well as how to avoid common pitfalls and mistakes.