Board composition—Who is on your board & why it matters

Today I'm giving you the INSIDE scoop on stuff I usually share with clients. Save it, share, it, send it to your board. Get a conversation going about board composition. It's important. And it's the first place we start when I work with nonprofits to build their major giving revenue. 

Let me make something clear up front:

Every board member should be a donor. This is non-negotiable. 

Does every board member need to give at a certain level? No.

Do you even need a give/get standard policy? No. I think those are out-dated.

I advocate for an individualized plan for each board member that they co-create with you that leverages their unique strengths and experiences. 

Here's what I recommend for who should be on your board: 

• Ideally 30-50% major gift donors

• Leaders who represent the community you serve

• Local government officials

• Subject matter experts

• Funders - corporate or foundation folks

• Skills-based volunteers

I'll break it down further so you know what I mean. 

1. Major donors

30-50% of your board - so if you have 10 board members, 3-5 of them should be major donors

I'm considering major donor as someone who gives $10k+ annually. 

Here's why: Major donors will bring other major donors to your organization if you activate them. The board is your key to growing your individual giving. I help my clients do this in less time than they usually think is possible. Major donors are the most sustainable funding out there. You have so much more control over the relationship than you do with an institutional foundation or corporation. When a company changes their funding priorities and leaves you in a lurch, their personal relationship with your ED wasn't taken into consideration in that conversation. When you develop a relationship with your donors, you can understand what's going on in their lives and project more accurately what you can expect in terms of their giving.

2. Leaders who represent the community you serve

2-3 board members at least 

This person could be another nonprofit leader or ED who is a partner org or could be a major donor. 

Examples: You org serves incarcerated individuals, no one on your board has ever been locked up, why not? Your org serves families who are food insecure, why do you not have anyone on your board who at one time was food insecure?

Here's why: The communities you serve know what they need. They do not lack solutions. They lack access and opportunity to bring about these solutions. Access and opportunity looks like being invited to serve as a board member in order to help govern decisions, strategy, vision and funding that directly supports their own community. Not only is this the right thing to do, but this is will make your nonprofit more efficient and powerful in furthering your mission. 

3. Local government officials

1-2 board members 

There may be times where you need the help of city council in order to get a permit for a project or connect to potential local funding opportunities. Now, if you are an advocacy organization or are fighting for voting rights, then the number of gov't officials should be higher for your type of org.

4. Subject matter experts

1-2 board members 

For example: Arts education program, should have someone outside of your CEO who is an expert in this field who can speak to trends, challenges in the sector, innovations, best practices, program evaluation, etc.

5. Funders - Foundation or corporate folks

1-2 board members 

For example: If one of your corporate funders is a consulting firm or large bank or corporation and there is a person who volunteers and is passionate about your cause, sometimes firms will give $10k gifts if one of their partners or executives is on your board. It unlocks a corporate gift. If your largest funder is a foundation and you have a great relationship with the program officer there and they are interested in being on the board, then it makes sense for them to be at the table.

6. Skills-based volunteers

30-50% of your board should be these folks 

For example: Accountant who is the treasurer and passionate about the cause, lawyer who looks over contracts with vendors, videographer or photographer who will do staff portraits or create highlight videos twice a year. There are many roles to fill that you could get pro bono help with: legal, website design/development, coaching, fundraising, finances, video editing, etc. that affect your bottom line, meaning that if you didn't have that pro bono help, you would need to hire someone to do it. This affects your budget and allows you to have more flexible funding.

7. Marketers

1-2 board members 

They have a large following, famous, has large platform, highly visible, willing to shout your cause from the rooftops and actually gives. This person must be a major donor. I said what I said. Awareness doesn't pay the bills. Publicity alone does not fund nonprofits. 

Some of these folks will serve more than one role. For example, a major donor could also be a skills-based volunteer who serves as the treasurer and is a CPA. Or a leader who represents the community you serve is also a funder and subject matter expert. 

You need board members who are owners. They own the failures, they own success. They are literally bought in because everyone gives. Even if it's $50 a month. They give according to their passion, their capacity, their willingness to sacrifice. YOU as the fundraiser and founder LEAD them in their giving journey. Not just what they can give monetarily, but what they give from their entire lives. 

I'm an advocate for a diverse board for many reasons. Diversity in every sense. Race, ethnicity, age, gender and gender identity, background, ability, sector or industry, etc. Diverse teams make stronger decisions. If 4 people on your board all went to Dartmouth, (unless you're raising money for Dartmouth!) then you will probably attract a pretty homogenous network into your donor base. You want a diverse board that can open doors, opportunities and relationships for you in different networks and in different spaces. 

What should bring you all together are your common VALUES and MISSION. Because guess what... 

Fundraising is really just mission-rooted friendship.

And when I say friendship - I mean, you let your friends know when they have broccoli in their teeth and when they need to step up and do more, right? You tell your friends, hey - I think you're making a mistake and you should do X instead, right? That's what I mean by friendship. You know each other. You have fun together. You laugh. And you are honest and get real. You tell the truth. You have tough conversations. You ask for help. You offer help, too. Not everyone on your board will be your BFF and that's not what I'm saying. But, if NO ONE is your friend on your board, then that's a problem.