Five Types of Board Documents

A board of directors rely on various types of documents to fulfill its duties, ranging from legal requirements to internal guidelines and policies. To make effective decisions, boards must have access to comprehensive, accurate and concise information.

Having the right board documents is essential for any non-profit organization to succeed. A board can get overwhelmed by administrative tasks without the right materials and lose focus on strategy. It’s vital to keep these five documents available to ensure that your board is meeting its fiduciary responsibility of accountability.

Board papers are documents that board members read prior to and during the board meeting. These documents are vital because they provide background and context that helps boards make informed decisions. To be effective, the board’s documents should be clear, concise and complete. It is a combination of the three C’s of communication:

Financial Statements

Board board documents members need an easy-to-read snapshot of the company’s financial health to be aware of what is owned, how much money is available and what expenses are authorized by the board. The board should be acquainted with company finances so that they can ask the right questions at meetings and supervise the CEO’s financial accountability.