Legal Compliance & Transparency

Icon
Image
  • Articles in a two part series discuss the legal and risk implications of seeking charitable contributions during the giving season. They can also give the reader some idea of how to address the recent trend of institutional funders asking their grantees to describe general and project-specific risk management strategies in their reports or proposals. (Nonprofit Risk Management Center)

  • In this article Dianne Chipps Bailey discusses the legal, ethical, and practical reasons why individuals soliciting charitable contributions for nonprofit organizations should not be compensated based on fundraising results. (Robinson Bradshaw)

    The Legal, Ethical and Practical Pitfalls of Incentive Compensation for Fundraising Professionals

  • Find answers to your questions about Charitable Solicitation License (CSL), who needs it, and how to apply.

    Basic licensing information:

  • Who’s responsible for which kinds of oversight? The Board of Directors has overall legal responsibility for the financial health of your nonprofit. Board members need to understand key financial information and policies, and it’s recommended that they look at the following reports at least quarterly: Fiscal year budget (with comparisons to actual expenditures/revenue). Profit and loss statement (including programs).
  • Charitable solicitation compliance is not optional. It is the law. Charitable solicitation is regulated on the state-level and the requirements vary by state. Forty-one states require registration and four additional states require disclosure statements to be included on solicitations. Charitable solicitation can take on many forms of asking for a donation, including fundraising online. In addition to registration, many states require foreign qualification of the nonprofit corporation and appointment of a registered agent.

  • A memorandum by Dianne Chipps Bailey of Robinson Bradshaw to describe the state and federal rules applicable to the solicitation of charitable contributions by Section 501(c)(3) organizations in the State of North Carolina.

    Charitable Solicitation - Licensing, Disclosures and Acknowledgement (North Carolina)

  • Ethical standards and principles are the foundation for maintaining public trust in your organization and the nonprofit sector as a whole. The Association of Fundraising Professionals (AFP) first published its code of ethical standards for fundraising professionals in 1964, and "believes that ethical behavior fosters the development and growth of fundraising professionals and the fundraising profession, and enhances philanthropy and volunteerism."

  • Smart nonprofits take risks—many risks—every day. Such organizations are creative, inventive, and continue to succeed despite the changing environment. These organizations know that success demands risk-taking, and they create an organizational culture that regularly assesses risk, favors intelligent risks, and mitigates the impact of known risks. (First Nonprofit Group)

    Risk Management: Your Role as a Board Member

  • This article details the importance of having a process in place for recruiting and orienting new board members. By following this process, it becomes evident that recruiting board members is much like hiring a staff position. Orientation is crucial to an effective board and this article dives into what that process could look like. (Free Management Library)

    Recruiting and Orienting New Members

  • Overviews of the general procedure for changing bylaws at a nonprofit organization:

    How to Amend Nonprofit Bylaws by NOLO.com

    How To Amend Bylaws: Everything You Need to Know by UpCounsel.com

    How to Revise Your Bylaws by ForSmallNonprofits.com

Subscribe to Legal Compliance & Transparency