Thank you for this information. I disagree with you about your suggestion that all board members must invest monetarily. This eliminates people with significance and insight but less money from serving on a board. And it is the same as stating that all board members must be wealthy. It would be better to say that all board members must make investments with time or money.
It happens sometimes. Charity boards are expected to be independent and usually have the power to remove fellow directors and Executive Directors/CEOs...even if that person is the founder. Sole member nonprofits can offer some buffer on that, but only if properly established. See our recent video on that subject to learn more.
My biggest fear is board members who won't follow what I set the foundation up for in the first place. The landscape is littered with foundations founded for one purpose that completely changes with board members who vote in another direction. It's scary out there.
Understood, and that's a major consideration for many potential founders. But, there are ways to mitigate that. One is by setting up a private foundation, which can be board controlled by related individuals. Another tool is the sole member public charity, but there are caveats to that, too. See our video on that topic for more details.
If you need help filing for IRS 501(c)(3) status, we’d love to help. Fill out the form at bit.ly/3i6rFxz or give us a call at 888-361-9445.
Thank you for these videos!! SO incredibly helpful!!
We're glad you found them helpful!
Thanks for doing this
Thank you for this information. I disagree with you about your suggestion that all board members must invest monetarily. This eliminates people with significance and insight but less money from serving on a board. And it is the same as stating that all board members must be wealthy. It would be better to say that all board members must make investments with time or money.
I always keep hearing board members oust the CEO. So there is no security in becoming a CEO if they kick them out , is this true?
It happens sometimes. Charity boards are expected to be independent and usually have the power to remove fellow directors and Executive Directors/CEOs...even if that person is the founder. Sole member nonprofits can offer some buffer on that, but only if properly established. See our recent video on that subject to learn more.
My biggest fear is board members who won't follow what I set the foundation up for in the first place. The landscape is littered with foundations founded for one purpose that completely changes with board members who vote in another direction. It's scary out there.
Understood, and that's a major consideration for many potential founders. But, there are ways to mitigate that. One is by setting up a private foundation, which can be board controlled by related individuals. Another tool is the sole member public charity, but there are caveats to that, too. See our video on that topic for more details.