What Boards and Executives Need to Know: Conflicts of Interest
This resource shares helpful information about conflicts of interest relating to the nonprofit and philanthropic sector. Conflicts of interest are of concern for both private foundations and public charities. While self-dealing is strictly prohibited, organizations have the opportunity to manage conflict of interest situations through policies and procedures. The IRS now requires that foundations file a conflict of interest policy with its application materials, if they have adopted one. In practice, receiving exempt status essentially requires that a conflict of interest policy be adopted and submitted.
The “What Boards and Executives Need to Know” series of resources is designed to address questions of interest to board members and senior leaders of grantmaking organizations. These resources may be particularly useful for orientations, board trainings and general professional development and provide better understanding of key concepts that are necessary for the success of the governance and management of foundations in the field.