Sustainable Funding Approach

In a single sentence
Why does the Sustainable Funding Project exist?
Why is the Sustainable Funding Project unique?
What does 'sustainable funding' mean?
Are you ready to learn more?

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In a single sentence

The Sustainable Funding Project is the sector's premier provider of tools and resources, encouraging and enabling voluntary and community organisations to develop and implement a sustainable funding income strategy.

Why does the Sustainable Funding Project exist?

We live in a cold climate for charity fundraising. But new opportunities are emerging too. Increasingly charities are being told to move away from grant dependency, become more business like, earn income, develop an asset base and consider loan finance. And opportunities for delivering public services are increasing. Enabling organisations to see the bigger picture and develop the skills and resources to take control of their future is critical.

We offer a range of services to help organisations to consider their full range of options and take practical steps towards sustainability.

Why is SFP unique?

We are ambitious. Our aim is to effect long-term change in the way that voluntary and community organisations are funded.
We are pragmatic. From workshops with small, volunteer-led community groups to conferences with national and international organisations, our approach is tailored to be immediately useful to all sizes and types of organisation.
We work in partnership with other organisations, with infrastructure and with funders so that we can share ideas and knowledge with one another to raise awareness and deliver services at a local level far beyond our own operational reach. We are also able to capitalise on the joint expertise of all the NCVO teams, from Collaborative Working to Governance and Leadership.
We identify and communicate best-practice. We use funders' reach into the sector to raise awareness of the Project's key messages and learning. We also work with statutory and independent funding bodies (through publications, seminars and the website Funding Central) to identify and disseminate best-practice in funding.
We help to shape effective funding policies, by working with policy makers and opinion formers and communicating the practical experience of voluntary and community organisations on the ground.

Find out more about how SFP works.

What does 'sustainable funding' mean?

‘Sustainable funding' is not simply a question of simply getting better at fundraising or locating one ever-lasting source of income.

We promote an approach that encourages organisations to explore income opportunities across a spectrum of opportunities; from charitable donations at one end of this spectrum, through grants, service level agreements and contracts, to social enterprise activity, trading goods and services. This not only spreads risk, but ensures organisations are best placed to take advantage of emerging trends and opportunities and are able to safeguard their financial future without sacrificing independence or mission.

This approach to sustainable funding is underpinned by thorough planning, impact assessment, full cost analysis and understanding of when loan finance can supplement income. Every organisation is unique, but there are ideas, information and sources of practical support for those wanting to broaden their income base and explore sustainable funding - not as a single source of income but as a process and a well-balanced approach. This is what NCVO's Sustainable Funding Project aims to provide.

To get a better idea of what we mean by Sustainable Funding and how we can help you to approach it, take a look at the following tools:

The Income Spectrum (pdf 474kb) shows the range of income options available to voluntary and community organisations

Analyse the breakdown of your income (pdf 2.79MB) and assess whether a more diverse approach could benefit your organisation.

For an introduction to financial sustainability, from strategic planning to understanding available income sources, download the Guide to Sustainable Funding (PDF 632kb) from the Introductory Pack to Funding and Finance.

Analyse your funding mix online - The funding mix questionnaire on the Finance Hub website. The Finance Hub closed in March 2008, however its tools and resources are still available to use online. If you are looking for more up to date information about financial management, see the Financial Management section of our site.