Funding governance

Governance development is a key part of the effective running of voluntary and community organisations.

However, there is evidence that many organisations are not adequately costing and budgeting for reviewing the governance and developing good governance practice.

Why should funders care about governance?

Funders needs to be sure that the money they give to an organisation is accounted for and well managed. Sound governance structures and practices in organisation provide assurance that your funds are being properly handled and put to the best possible use.

More on why funders should care about governance.

Strategic Issues for funders

Governance and Workforce Hub research shows that funders need to consider the vulnerability caused by short term funding faced by voluntary and community sector organisations. Full cost recovery has been adopted by some agencies but is treated with caution by others.

More on strategic issues for funders.

How can funders support governance development?

Funders will benefit from understanding the governance funding needs of a voluntary of community organisation that is applying to it. In return, funders need to recognise the importance of funding provision that enables organisations to be effectively accounted for and managed.