Nonprofits rely on a well-functioning board of directors to fulfill their goals. They are seeking directors who have a passion for their mission, have connections with the people they serve and have experience managing business affairs at one point.

Professionals from all kinds of organizations and businesses sit on nonprofit boards. It's a great opportunity to build your network and develop new skills and make a difference on the community.

According to a Korngold survey, 78 percent of board members claimed that their time on a nonprofit board led them to an appreciation for different opinions and perspectives that are not their own. This is particularly important in the context of a nonprofit board where decisions are made with limited resources and the board has to make sound financial management decisions.

Nonprofit board members have many legal obligations and responsibilities, including the Duty of Care as well as the Duty of Loyalty. This means that board members must stay clear of conflicts of interest and not abuse their position by using the money of the nonprofit to gain personal benefits. For instance, if your board is deciding on a salary increase for the executive director, and you own the director's company, you must abstain from voting on the issue due to conflict of interest.

Additionally, many nonprofits have permanent (sometimes called "standing") committees that deal with ongoing issues and special needs as they arise. These committees are led by board members, who must disclose any potential conflicts of interest to other board members.