Q&As

Getting a nonprofit organization up and running is no small feat. Nonprofit founders invest a great deal of time, effort, and often personal funds, to get their organizations established. Rightfully so, they possess a certain pride of ownership and sense of personal accomplishment. Their creativity and commitment deserves real respect.

Naturally, nonprofit founders feel closely attached to organizations they start. But they do not “own” the organization the same way founders of a small business have personal equity in their companies. In fact, no one “owns” a nonprofit organization. Rather, boards of directors – not the founder alone – are responsible and accountable for the health and future of the organization. Nonprofit founders need to recognize that, ultimately, the buck stops with the board. It is in everyone’s best interest if the founder and the board find a productive way to work together for the good of the organization.

Founders serve their causes best when they build a solid organizational structure. They may serve as a member of the board and/or as chief executive. As a part of the board, a founder can voice opinions during meetings and when voting, like all board members. As the chief executive, he or she manages the operations, reports to the board and, like all nonprofit chief executives, should be evaluated by the board on his or her performance.

Because of their passionate commitment and personal sacrifices, founders exert considerable influence that extends well beyond managing the organization. Many founders have difficulty imagining someone else leading the organization, and it is natural for them to fear losing control as time passes and others get involved. Some founders seek to establish a permanent position for themselves by amending the bylaws. However, “founder” does not fit into an organizational chart and does not have easily defined roles and responsibilities within an organization.

The greatest legacy nonprofit founders can leave — to themselves and the causes they champion — is to create an organization that is able to continue past the tenure of any individual and well into the future.

For more information, see the topic papers Founder's Dilemma and Founder: Chief Executive or Chair?