What Funders Want

by Kris Herbison, III dan
Marketing Subcommittee

I was planning to discuss the three main types of funding sources in this article: the Hillary Commission, Community Trusts, and Gaming Machine Charitable Trusts. However Sport and Recreation New Zealand (SPARC) have recently superseded the Hillary Commission, one of the main funding sources, and we are waiting for them to tell us how they intend to fund sporting groups such as us. As SPARC is a new organisation it is taking them some time to implement the new funding scheme and make the new criteria and application information available to the public. I will therefore discuss the types of things that you should include in an application to a potential funding source.

Making an Application

Funders want to receive a professional, well-organised application from a reliable group who can account for its funds. The funder wants to see that the project is worthwhile so you need to show that there is a need and support for the project. You can show need by including a covering letter describing what the project is for in more detail and the benefits that will arise as a result of completing the project. For example funding for equipment is going to make training safer for the participants, especially puzzle mats, club and regional sparring gear and kicking or focus pads. Without these types of equipment there is an increased risk of accidents and injury to people training and competing. Also having more highly qualified instructors is going to make training safer, as they will have more knowledge of safety issues relating to the specific training involved; the quality of instruction given to students will also increase. So when applying for funding to send instructors and seniors to things such as Instructors Courses and Conferences, training seminars, CNZ courses, First Aid courses, and black belt gradings, you should include these points. You could also ask your Regional Director to write a letter of support describing the benefits to the wider Taekwon-Do community. If your application will benefit other clubs ask them to write a letter of support as well. When reading over the application ask yourself whether it would make sense to someone who is not involved in the project. Ask someone else to look over the application and ask if it makes sense to them; your regional marketing committee representative would be a good person to ask. Most funding bodies have an advisor. Always talk to them about the project so that they are familiar with it and know that you are committed to it.

When planning a project and making an application you might want to take the things that funders like and dislike into consideration.

Although specific criteria may vary with each funding scheme, the majority of funding applications require you to provide similar types of information. As your club or region will be required to supply most of this information on each funding application that you make, you should create a funding file that includes all this information in it.

Funders like you to acknowledge from where you received funding. This is usually to advertise themselves to other potential groups so that they will make applications. They usually ask for acknowledgement in your Annual Accounts and Annual Report. They also like you to acknowledge them in any relevant publicity material such as newspaper and magazine articles, club newsletters and speeches.

Accountability

Every club should have some form of bookkeeping, even just a record of each individual transaction. From these you can create annual accounts. If your club is randomly audited for one of the projects that you receive funding for you will need these records. If you do not have financial records, sometimes a copy of a current statement of income and expenditure or a bank balance sheet from your club is acceptable; talk to the prospective funder about this. If you are not keeping financial records for your club or region you should start thinking about recording where your money is going - it could save you a lot of trouble later on. You should issue receipts for all incoming money as it proves from where the money came and reminds you why it was received. You should keep a record of your deposits to the bank and make sure they balance with the amount in the receipt book. You should have deposit slips in the back of your chequebook, otherwise ask your bank for a deposit book. You should also keep a good record of where you are spending your money. You should usually pay for everything by cheque; never pay out from incoming cash.

Most grants are given for a specific project and should not be spent on another project. If you are not able to spend the grant on the original project for which the funding was received, contact the funder and explain why. Don't spend the money first. If there is a good reason for not being able to go ahead with the original project, most funders will agree to let you spend the grant on another project (usually one similar to the first one), but they may not. You must keep receipts for all expenditure related to the grant (you should be getting and keeping receipts anyway). Photocopy them and send them to the funder with an accountability form and letter stating that you have spent the grant on the approved project. If you cannot account to the funder that you spent the funds on the project for which the money was granted, then you will be expected to return them. If you end up with left over funds you will also have to return the unused portion.

You should now hopefully have a better understanding of what a potential funder wants in an application. If you have any other questions please contact you local Marketing Committee Representative or myself for more information. (See the ITFNZ Taekwon-Do directory in this issue.) Now it is up to you to make some applications for funding: good luck!

Hints:

Obtain application forms well in advance. Prepare your application well before the closing date. Allow enough time to gather all the items you need, such as quotes and signatures. Most trusts and departments have advisory officers who can help you. Late applications are usually not considered.

Information asked for usually includes:

contact details a description of the project a brief description and history of your club, and its aims and objectives the project budget the amount of assistance requested all other sources of funding how your club meets the grant criteria a guarantee that the project will go ahead a guarantee that money received will only be spent on the project copies of the latest annual report copies of the latest and audited accounts a bank generated deposit slip evidence of IRD tax status letters of support.

Funders usually ask these questions:

Does the application make sense? Is the group reputable? Does the project seem worthwhile? How does the number of people to benefit relate to the amount requested? Is there community support for the project?

Funders like:

value for money clear benefit to the group volunteer input evidence of sound planning accountable, well-run group.

Funders dislike:

lateness incomplete applications missing financial information wordiness illegible writing unrealistic requests an "anything will help" request blank forms with "see attached" no acknowledgement in your annual report of the previous year's grant.