Legal Question in Business Law in California

Nonprofits, like other money-handling organizations, may need accounting and accountants for two rather different purposes - "keeping the books" on the one hand, and "verifying the books" on the other.

There is nothing wrong with the chairman also being the bookkeeping accountant, if he or she has the time and necessary skills.

On the other hand, when it comes time for the books to be audited, or reviewed, checked or verified to a less-rigid standard, an independent CPA would be the only appropriate person or team to do the accounting and other procedures needed to verify what the in-house people (whether the chairman or a mere part-time bookkeeper) have done.

So, it gets back to the intent and purpose of the accounting.

As a franchise attorney I can tell you many organizations, including non-profits, have persons who wear multiple hats. In fact, your situation may even streamline reporting to the Board on various accounting issues. Consult with a good business or franchise attorney in your area for specific advice.

Mr. Franchise - Kevin B. Murphy, B.S., M.B.A., J.D.

Franchise Attorney

Franchise Foundations APC

If it is a California non-profit it is also subject to limitations on "interested" board members. If he is compensated for his accounting work, you would need to look at that issue. You don't provide enough detail to give any evaluation of that issue here.