The Mission Statement
from Get Ready, Get Set, Center for Nonprofit Management in Southern California
It is important to have a clearly defined mission statement for the organization. This statement should be a short paragraph that quickly and clearly conveys to readers what is unique about the organization. It should contain the major characteristics that define its operations.
A mission statement should address the following questions:
Why?
The purpose or essence of the organization; the change that will occur because of its existence
What?
A brief description of the services provided by the organization that lead to change or impact
Whom?
The target population served by the organization
Who?
The staff and/or volunteers that deliver the service, outlining any distinctive characteristics
Where?
The geographic parameters that define your service area
How?
The method by which the services are delivered
The mission statement should focus on the change that the organization would like to see occur; it should be a goal that stretches the potential of the organization and yet is feasible to achieve within some period of time. The mission statement serves multiple audiences. Internally, it provides the focus and momentum for all activities within the organization.
It is important for board members and staff members to agree with the thrust of the mission statement. Initially, it is important to agree on the general principles, not on the particular wording.
However, if there are significant issues of disagreement, it is important to resolve these rather than adopt an overly broad statement. The mission statement is not fixed in stone; it should be flexible to grow with the organization as circumstances change.
The mission statement also provides outsiders (funding sources, community members, etc.) with a concise statement about the organization from which they can determine if they want to develop a relationship with your program.
From the perspective of funding sources, this statement enables them to quickly view your organization and determine if it is appropriate to consider for funding.
A mistake that many groups make is to reduce their mission statements to the "betterment of humanity." While no one disagrees that that is a worthy goal, it is not specific enough to assess your true mission. By providing specific information on the organization's purpose, you allow potential donors and volunteers to self-select.
As the organization grows, you should monitor its progress against the goals and objectives. An evaluation system should be developed to assess the impact of the organization, as expressed in its mission statement.
After a few years of operating as a new organization, a more formal strategic planning process should be undertaken. The purpose is to assess whether the premises under which the organization was formed are still valid, or if there are opportunities or threats in the larger environment which should be incorporated into the organization's future plans.
The Whats, Whys and Whos of By-laws
from The Board Manual Workbook
By-laws are the rules which the members of an organization agree to follow in carrying out the business of the organization.
Why Are By-laws Needed?
In addition to being required in most states, by-laws are needed to enable an organization to function smoothly and efficiently in working to reach its goals. A poorly organized and operated organization will not be effective and will not attract nor retain members. Also, an organization will usually be asked to submit a copy of its by-laws when applying for financial support.
Who Writes the By-laws for an Organization?
According to the size of the organization a committee of three, five or seven people is appointed to prepare the laws which are simple, brief and flexible. Too many restrictions built into by-laws will act as a straightjacket for the organization.
When ready, copies of the proposed by-laws should be sent to all board members of the organization with the call to a meeting at which they are to be considered and voted upon. The committee should arrange as many meetings as necessary to prepare proposed by-laws.
Who Adopts By-laws?
A majority vote is necessary to adopt the by-laws. A majority vote is also necessary to make changes in the by-laws once they have been adopted. At the beginning of the discussion on adopting the by-laws, a motion is made and seconded to adopt the by-laws as a whole. Under this motion, the by-laws are read an article at a time.
Time is allowed for the discussion and amending of each article before going on to the next one. When the members have discussed and amended each article as desired, the chairman takes a vote on the by-laws as a whole.
When Do the By-laws Go Into Effect?
By-laws go into effect immediately upon adoption. A board can postpone this by setting a "schedule" for when they will become effective. This must be adopted by majority vote when the by-laws are adopted. This schedule may be for one item or section, or for the by-laws as a whole.
What Happens to the By-laws Once They Have Been Adopted?
Once they have been adopted, by-laws cannot be suspended—not even by a unanimous vote. They can, however, be amended and changed to meet new circumstances.
Every member should have a copy of the by-laws, and a part of one meeting each year should be set aside for reviewing the by-laws and a general discussion of the basic procedures of the organization. By-laws may be changed according to the rules for amendment (which are within).
Sample By-laws
from How to Form Your Own Nonprofit Corporation, by Anthony Mancuso
The details of by-laws will differ from one organization to another, but they will usually look something like the following:
Article I—Name and Principal Office
The name of the organization, county and state where the principal office is located.
Article II— The Purpose
A standard statement of purpose (mission statement), specific objectives and purposes. It is wise in your by-laws to go into some detail with your goals, etc. (unlike with your articles of incorporation).
Article III
· Sec. 1—Number of Directors
Insert the number of directors that will serve on your board. Make sure the number you specify is in compliance with the law. For Georgia, you must have one or more board members.
· Sec.2—Director's Term
The term of office for the directors should be set: it can be any number of years and directors may serve successive terms.
· Sec. 3—Quorum
There should also be a statement indicating the requirements for a quorum.
· Sec. 4—Meeting Structure
Additionally, many nonprofits will specify Roberts' Rules of Order as the formal procedure format for proposing, approving and tabling motions. The smaller the organization, the less need exists for this formality.
Article IV—Designation of Officers
This section provides the four standard offices on the board (president, vice president, secretary and treasurer).
Article V—Executive Committee of the Board
This section allows the board to appoint an executive committee of directors to make major management decisions for the organization.
Article VI—Director and Member Inspection Rights
This provision provides for both director and membership inspection of the organization's books and records. With this comes the requirement of filing annual or periodic financial reports to the Secretary of State.
Article VII—Tax Provisions
The various sections in this article contain language that will help you show the IRS and the Georgia Revenue Department that you will qualify for tax-exempt status. For example, your organization would guard against lobbying unless under the appropriate code, or it would protect the organization from private inurement, etc.
Article VIII—In-Effect
This article will state when the by-laws will be in effect.
Article IX—Amendments
Recommendations to change or amend the by-laws should be specifically stated. Usually the change will be in effect after it is approved by a two-thirds vote of the members at a regular meeting of the organization (although this may be set as a majority vote of the board).
Many organizations require that proposed amendments must be sent to all members ten days before the meeting at which they are to be considered for adoption.
If your group has membership or any other such distinguishing feature, it should be stated and provided for in the by-laws. After all articles and sections are agreed upon, the end of the by-laws should also include a statement of approval signed by each board member.
By-laws differ for each organization. However, this format has been offered to stimulate your thinking on the different components that should be included within your organizations' by-laws. Before creating your own, it would be profitable to look at several organizations' by-laws as examples.
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