The board of directors is the principal governing body for non-profits. It champions accountability and transparency, and sets the objectives of an organization. A group of strategic and visionary leaders, the board deliberates on matters of a high level and takes consensus-based decisions that are communicated via resolutions. They also assign responsibilities through committees that function as departments in for-profit organizations like the finance committee, planning and fundraising committees, and the public relations committee.

Nonprofit governance models do not suit all and that is the reason why many organizations adopt a hybrid model. The board should ensure that it is free from other private organizations, regardless of model. Any conflicts of interest that could undermine the credibility or reputation of the charity or put its donors at risk, should be thoroughly scrutinized by the board through a conflict of interest policy.

Nonprofits prefer the model of cooperative governance, which gives each board member an equal amount of voting power and accountability. This is a very democratic approach, and it is effective when board members can demonstrate their commitment to the goals of the organization. It can be a challenge, however, if the board loses their focus on its mission or when morale is deteriorating. Patron governance is another popular model. It is more suitable for nonprofits that focus on fundraising campaigns. Patron board members are typically wealthy individuals who give their name to the charity and leverage their connections to solicit money from their networks.

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