[From: http://www.boardeffect.com]

“Laws and regulations set the standards for corporations to have boards of directors. Chartered or registered boards fall into the category of corporations, even though they don’t make or distribute profits to their members or stakeholders. What makes things a little confusing is that not all nonprofit organizations are chartered or registered, which means they can have boards, but they are not required to have them. Nongovernmental charitable foundations represent another important sector. They are considered to be nonprofit organizations or charitable trusts with the purpose of making grants to organizations to advance scientific, cultural, religious, educational or other charitable issues. If that’s not complex enough, a few organizations are finding ways to combine the two.”

Read the full article here.