Understanding & Accessing Philanthropic Grants. Vanessa Meachen Lark Philanthropy
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1 Understanding & Accessing Philanthropic Grants Vanessa Meachen Lark Philanthropy
2 Today s discussion What is philanthropy? What does it fund? How does it fund? How can the ANHCA DGR Fund help? How do we approach philanthropic bodies? What do we ask for? How do we build the relationship & work together?
3 Philanthropy is... The planned and structured giving of money, time, information, goods and services, influence and voice to improve the wellbeing of humanity and for community good. Philanthropy can be from charitable trusts and foundations, companies or individuals Generally grants will come from trusts/foundations and companies
4 So what are foundations? Independent, not-for-profit entities Generally endowed have a large investment, the interest of which is used for grants & operations Managed by independent board of trustees Quite free from government control
5 Philanthropic organisations No convenient public reporting requirement we re just guessing Estimated over 5000 foundations in Australia and the number is growing Approximate total granting: $600m - $1b per annum across Australia Some international foundations fund in Australia mainly issues of global impact like environment, medical research They need educating about ANHCA s DGR Fund learning curve for them too
6 Nature of foundations Foundations are independent entities which don t need to please customers, voters or shareholders They are influenced by community benefit not publicity or perks Foundations are all different Most foundations do not and cannot easily change their mission They like to know how their funds will be used Foundations like to co-fund Many will not fund what they regard as a government responsibility
7 So what do they fund? Everything as per the Trust Deed or Will of each individual trust Some areas are more popular than others e.g. welfare, education, youth May be legally limited to only make grants to: DGR - deductible gift recipients and/or TCC Tax Concession Charities Generally grants must be made direct to eligible charities auspicing is not permitted BUT this is where the ANHCA DGR Fund comes in!
8 The ANHCA DGR fund DGR status by special listing in tax law Administered by subcommittee who must be majority ATO defined Responsible Persons Subcommittee are responsible for funds All donations belong to ANHCA legally Can only be used to support ANHCA s purposes including to support the activity and work of the Neighbourhood House & Centre Sector in Australia
9 ANHCA s DGR Fund Best option since a DGR category for NH was not possible but work continues with government ANHCA DGR Fund is legally responsible for donations and legally owns them that s the law The fund will take donors expressed wishes into account which is as far as they can go legally Will hopefully become sustainable currently ANHCA carries it & 5% of donations is deducted as admin fee but remember 95% of something is better than 100% of nothing!
10 What can the DGR fund do? A tax deductible conduit Offer the chance for donors to the fund to get a tax deduction Donors can nominate a preferred House/Centre and/or project Philanthropic trusts and foundations can fund the ANHCA Fund for particular projects/houses/centres You can get your project pre-approved by the ANHCA DGR Fund
11 What can t the DGR fund do? Cannot provide individual houses with other tax benefits (ie, salary packaging) Cannot guarantee legally that funds will be applied to particular projects Cannot write applications or do research for you (lack of resources)
12 How does it work? House or Centre seeks approval from ANHCA Fund of project/purposes it is raising funds for ANHCA and House/Centre complete MOU House/Centre carries out fundraising activities, Funds are donated into sub-account of ANHCA DGR Fund Donor can request funds applied to particular project and gets tax deduction Funds are paid out to House/Centre less 5% admin fee
13 How does it work with foundations? House or Centre seeks approval from ANHCA Fund of project/purposes it is raising funds for ANHCA and House/Centre complete MOU House/Centre writes application using the ANHCA DGR Fund ABN and contact details ANHCA signs off on & submits the application Grant is made to sub-account of ANHCA DGR Fund Funds are paid out to House/Centre less 5% admin fee House/Centre must report as required to both ANHCA and foundation
14 How do foundations fund? Tap on the Shoulder E.O.I. Formal Application General Application
15 Finding the foundations Some foundations have websites where you can download their guidelines The Australian Directory of Philanthropy lists foundations OurCommunity.com.au Funding Centre lists grants Many foundations are very private Creative Googling can help: Looking for a grant ; How to apply ; In the community
16 Contacting the foundations Contact them by phone if there is a phone number Be brief and polite (think soundbytes) Give them a quick overview of the project and how much it will cost Ask if it s worth your while applying Ask any questions that are not answered in their guidelines including timelines, $$ amounts Information on ANHCA DGR Fund is available for them including the Assistant Treasurer s letter
17 Application overview Guidelines are there to help you self-select and conserve resources Follow the suggested structure and keep it short! Foundations are lean on staff, so be concise Add attachments for further information & clarification Don t rely on emotion The person reading the submission is not the sole decisionmaker Don t tug the heartstrings the foundations base their decisions on community benefit not personal feelings
18 Budgets Approach several foundations if necessary Let them know who else you ve approached for funding Inform them when full or partial funding comes through Always ask for a set amount and let them know how it will be spent Itemise the budget who is being paid for under salaries and for how long? Attach quotes if applicable Don t ask for too much or for too little!
19 Impact The important thing to the foundations is that the work goes ahead and succeeds Show both numbers (how many helped) and less concrete results (changes in attitude or behaviour) How will you show you ve made a difference? How will you share any knowledge that has come out of this project? If there were problems or issues document them honestly Foundations are reasonable provided they are kept informed
20 Relationship building Keep them informed if something happens that will affect the project delivery If you need to change timelines or outcomes, let them know ASAP Document any unexpected positive outcomes Leftover funds generally not a problem, but apply them to something related & let the funder know Foundations need you to do the work as much as you need them to supply the money It s the community work you will carry out as a result that counts!
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