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Did you know nearly a third of boards don’t have term limits? So why do term limits matter and why are they important?
Ultimately, minutes help to ensure continuity from one meeting to the next and over time to one group of board members and leaders to the next
Learn All About Term Limits and Why They Matter
We’ve published a new eBook entitled Why Term Limits Matter. In this free resource, we explore the value and trade-offs of term limits and consider the impact they have on governance. You’ll also learn:
How and where term Limits are defined
5 key benefits of term limits
The short-term and long-term impact of term limits
Helpful supplementary content on your board’s bylaws and directors’ skillsets
Ultimately, term limits help ensure that a board’s composition reflects its current and forward-looking leadership needs. Use this eBook to learn more and take action today.
The following is an excerpt from Why Term Limits Matter:
Imagine this scenario.
You are recruited to head up a nonprofit organization as its new CEO.
After your first few board meetings, you notice that only a third of the board members actively participate. You begin to consider replacing these board members.
When you raise the issue with the board chair, she empathizes but says there’s nothing you or she can do. “We don’t have term limits. We’ve always brought in new board members when someone steps down on their own.”
This is not a far-fetched scenario. According to BoardSource, the respected authority on nonprofit governance, nearly a third of nonprofit boards do not have term limits.
In this eBook, we’ll define term limits, examine why they matter and their impact, and detail why we recommend having them.
5 Key Benefits of Term Limits
There are five key benefits term limits provide.
Making it easier to bring in new ideas and new perspectives to a board and its decision-making process
Providing a systematic planning timeline and process for replacing needed board skills
Giving a board member a chance to step down gracefully if they are burned out, have family commitments, or are ready to move on
Provide a respectful and efficient mechanism for the exit of passive, ineffective, or troublesome board members
Avoiding the perpetual concentration of power within a small group of people and the intimidation of new members by this dominant group
Additionally, there are several drawbacks to term limits that we recommend bearing in mind.
Potentially losing institutional memory and expertise that has benefited the board over time
Needing to dedicate additional time to re-building the cohesiveness of the board as new members join and old members rotate off
Needing additional resources to help identify, recruit, and orient new board members
Download the Why Term Limits Matter eBookToday
Download the definitive guide to term limits and why they matter. Includes supplementary content on bylaws and board composition.
