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Nonprofit Board Trends for 2026

Recently, our Executive Director had the opportunity to participate in a panel discussion focused on emerging trends and challenges facing nonprofit boards in 2026  (Nonprofit board agenda 2026:Key trends and strategic priorities). The conversation brought together sector leaders to examine governance, talent, fundraising, and technology through a board-level lens, with a strong emphasis on practical oversight and risk management.


While the discussion covered a wide range of timely issues, several themes resonated strongly with board members and nonprofit leaders alike. Below are some of the key discussion points that continue to shape how boards should be thinking about governance and organizational leadership in the year ahead.


A full recording of the panel is available, featuring insights from all panelists as well as thoughtful questions raised during the live Q&A session.



The Persistent Myth: Board Service Is “Light” or Part-Time

There is still a persistent myth in the nonprofit sector that serving on a board is an easy or part-time role. In reality, board service is a serious commitment—an honorable one, but effectively another job. As nonprofits head into 2026, this myth is becoming increasingly dangerous.


Many boards spend the majority of meeting time focused on fundraising, programs, and financial reports, while governance procedures are treated as secondary or revisited only when problems arise. That approach is no longer sustainable. Governance is the infrastructure that allows boards to withstand scrutiny, navigate leadership transitions, and govern with legitimacy—especially in a rapidly evolving technological environment.


Governance in a Digital World

Digital governance is no longer optional. Boards are making consequential decisions via Zoom, email, and electronic consent, yet many governing documents still assume in-person meetings, paper records, and informal decision trails. Without updated procedures, boards risk invalid actions, poor record retention, and inconsistent application of authority.


At the same time, procedural drift has become normalized. Many boards believe they are “high functioning” because meetings are efficient and conflict is avoided. In practice, this often means quorum rules are bypassed, motions are skipped, or dominant personalities substitute for formal authority. These conditions may work—until they very suddenly do not.


Without clear, consistently applied governance procedures, boards expose both individual directors and the organization itself to legal, financial, and reputational risk. Funders, regulators, auditors, and the public increasingly expect demonstrable oversight. Decision trails, conflict disclosures, policy enforcement, and meeting minutes are all subject to scrutiny during audits, investigations, and litigation.


Recent examples across the sector illustrate this risk clearly: misuse of restricted funds, failure to distribute grant dollars appropriately, commingling of funds, and lack of transparency have resulted in investigations, halted funding, lawsuits, and in some cases, dissolution. Board term limits do not shield directors from accountability for past decisions—governance procedures are the mechanism by which fiduciary duties are fulfilled.



Practical Steps Boards Can Take Now

One of the most practical governance steps boards can take is regularly reviewing their governing documents. Bylaws and policies are often outdated, overlooked, or only addressed when problems arise—creating disruption at exactly the wrong time.


Importantly, review does not automatically mean revision. Over-editing bylaws without professional guidance can create confusion and internal contradictions. The goal of regular review is understanding: ensuring that both the executive director and board members clearly know the rules they are governed by, including financial reporting obligations, meeting requirements, codes of conduct, and conflict-of-interest standards.


Boards should also be thinking proactively about policies related to emerging tools, including artificial intelligence. AI can streamline operations and reduce workload, but boards must also consider how much data the organization is willing to share, how confidentiality is protected, and what guardrails are in place for responsible use.


Talent Challenges—Staff and Board

Talent remains a major challenge in 2026, particularly for startup and small nonprofits. Skills gaps, competition with for-profit wages, and uncertainty around how and whom to hire continue to strain capacity. One often-overlooked opportunity is students—who can provide research, survey support, and administrative assistance while gaining valuable experience.


At the board level, engagement remains a critical issue. Many nonprofits fail not because of lack of passion, but because of weak governance, unclear mission alignment, poor fundraising strategy, or compliance failures. A “yes board” that meets briefly and avoids hard questions is just as risky as a disengaged one.


Strong boards are intentionally composed. Diversity of perspective and skill matters. A healthy board includes members with financial literacy, governance and administrative expertise, fundraising capacity, and mission understanding—rather than a concentration of professionals from a single field.


Beyond technical skills, the most critical attributes boards should prioritize are teamwork, adaptability, curiosity, patience, and integrity. These qualities allow boards to navigate uncertainty and change effectively.


Fundraising, Technology, and AI

While total charitable giving has increased globally, donor participation has declined—meaning fewer donors are giving more. Digital giving continues to rise, with startups often adopting online tools more quickly than established organizations. Boards should be asking whether their fundraising strategies reflect how donors actually give today.


Technology and automation also deserve board-level attention beyond AI hype. Many nonprofits are paying for overlapping systems without fully understanding their capabilities. Evaluating existing tools, streamlining platforms, and automating low-effort processes—such as board calendars, document management, and basic workflows—can free up significant capacity for strategic work.


The biggest AI-related risk boards should be discussing right now is confidentiality. Boards must set clear expectations around data sharing, prompt use, and responsible engagement to protect sensitive information.


The Path Forward

If a board realizes its governance processes are lax, the first practical step is a governance audit or board assessment. Governance should be treated as a living framework, not a crisis response.

When boards invest in clear procedures, informed decision-making, and strong communication between the executive director and board, meetings become spaces for action—not information overload. In 2026, the most effective nonprofit boards will be those that take governance seriously, modernize thoughtfully, and lead with intention.


Watch the full video here:



Meeting with Jessica
45min
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