Charities Aid Foundation (CAF)’s Post

Many charity funders focus too much on buying ‘charity impact’. It's time to start supporting charities in a meaningful way and invest in their future. When charities are facing significant pressures, how can funders help? 1️⃣ Prioritise Unrestricted Funding Core costs for charities are rising, and concerningly our research shows around 50% are using their reserves to meet these. Unrestricted funding allows them to allocate resources where they are most needed to ensure their charity’s survival. 2️⃣ Help Charities to Plan Only 1/3 of charities feel their current funding is secure. Providing multi-year unrestricted funding can help charities become more resilient and plan for the future with confidence. 3️⃣ Consider the Effects of Inflation Unlike businesses, charities cannot pass on increased costs to customers. It is therefore helpful to consider increasing grants to allow for these pressures. 4️⃣ Target Needs and Cause Areas Reassess your giving strategy to ensure funds are going where they’re needed most, especially for underfunded issues like homelessness, food poverty, mental health, and debt support. 5️⃣ Be Flexible as Funders Charities need more financial support. This could be in the form of grants or social investment loans and blended finance packages. These provide affordable, flexible funding to help them continue activities, stabilise, and plan for growth. Our experience shows that with the right support, charities can become more resilient. Making sure charities are supported effectively means that they can do even more for the people and communities they serve. #CharityFunding #CharityGrants #Grantmaking #GrantFunding

  • Title reads: How can funders support charities in a meaningful way?' with five tips listed in dark green boxes on a white background. The tips are:

1 Prioritise unrestricted funding
2 Help charities to plan
3 Consider the effects of inflation
4 Target needs and cause areas
5 Be flexible
Monika L.

Certified Foundation Manager (Germany) & Master in Charity Management (UK) Passionate leader with extensive experience in project- and management roles in non-profit, banking and international corporations.

6d

So true! It is not about selfish money distribution

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