This designation recognizes a nonprofit with sound business practices and accountability for results. To attain this status, the organization’s volunteer board attests that the nonprofit follows five key practices of effectively managed charities:
- STRATEGIC PLANNING: The nonprofit organization has a strategic and/or operating plan(s).
- MEASUREMENT: The strategic and/or operating plan(s) include measures and achievements that are reviewed by the Board of Directors at least annually.
- EXECUTIVE ACCOUNTABILITY: The Executive Director’s performance is reviewed annually.
- BUDGETING: The organizational budget is approved by the Board of Directors annually.
- FINANCIAL ACCOUNTABILITY: An independent financial audit is performed yearly and is available for public inspection, or an independent financial audit is not performed yearly, but financials are reviewed by the board regularly.
Nonprofit organizations that have not yet attained Impact Nonprofit status can strengthen the accountabilities listed above by participating in Impact Institute training programs and utilizing nonprofit resources found on this website.