What other important documents should a nonprofit corporation have?

Conflict of Interest Policy: Every nonprofit corporation should take steps to avoid conflicts of interest among its directors, officers, and other employees. A comprehensive conflict of interest policy may establish a baseline presumption of compliance with applicable Pennsylvania laws. In addition, the IRS encourages nonprofits to adopt a conflict of interest policy by asking on Form 990, (a) whether the nonprofit has a written policy; (b) whether officers, directors and key employees are required to annually disclose interests that could give rise to conflicts; and (c) how the nonprofit regularly and consistently monitors and enforces its policy.

Whistleblower Policy: A whistleblower policy ensures there are easy ways for staff and volunteers to report concerns about fiscal management issues. Though not required, the IRS has shown increasing interest in a public charity’s efforts to both encourage and facilitate the reporting of improper activities within the organization.

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