It’s important when fundraising to write effective proposals and sell your project to a funder in language that the funder can understand. Here are some key words and phrases that funders use quite often.
Baseline data – facts about the characteristics of a target group or population and its context, ideally gathered before the start of a project.
Capital funding – money for one-off purchases (e.g. equipment, building costs, materials).
Core funding – direct funding for the central support costs of your organisation including central overheads, often salaries, management / administrative staff costs
Development funding – money for the internal infrastructure costs of an organisation to enable it to grow and develop.
Earned Income – money that can come from membership fees, selling expertise, services, or products, rent (from other organisations using your premises), investments.
Full cost Recovery – this means that when you have costed a service you have included all the direct and indirect costs that can be reasonably attributed i.e. a proportion of rent, management salaries, IT and phones, evaluation and monitoring etc.
The Fundraising Standards Board – the regulatory body operating across the UK that benevolent bodies, including charities, may join. You can contact the FRSB to raise any concerns about fundraising, to ensure charities are accountable for their fundraising, and to improve fundraising standards.
Impact – broader or longer-term effects of a project’s activities, outputs and outcomes.
Inputs – resources put into a project to carry out an activity. Inputs may be human, material or financial, or can be expressed as time.
Institute of Fundraising – has Codes of Practice and guidance that cover most areas of fundraising
Intermediate outcomes – steps along the way to end outcomes. They are often smaller changes that need to happen before the final, desired outcome can be reached.
Loan finance – securing a loan as an alternative to a grant – This is usually sought when there is clear potential for future earned income or there is a need to cover a gap in funding that is already secured.
Monitoring – the routine, systematic collection and recording of information about a project, mainly for the purpose of checking its progress against its plans.
Office of the Scottish Charity Regulator – independent regulator and registrar for Scottish charities.
Outputs – all the detailed activities, services and products you do or provide.
Outcome indicators – pieces of information that show whether expected outcomes have occurred. They can be qualitative or quantitative.
Outcomes – the changes, benefits, learning or other effects that happen as a result of your work.
Project funding – a discrete and defined piece of work with a beginning middle and most important for the funder, an end, after which they no longer have to support you. A project has its own stand-alone budget but can be related to the larger organisational budget.
Pump-priming – start up grants for new, innovative projects (sometimes known as seed, or seedcorn, funding)
Qualitative – qualitative information is descriptive and is presented in words.
Quantitative – quantitative information is given as numbers.
Revenue funding – expenses and costs that occur on a regular basis i.e. rent, salaries.
SLAs or Service level agreement funding (contracting out) – an agreement, usually with statutory organisations, to fund a voluntary organisation to provide an agreed service over a period of time to a specific client group or service users
Targets – a defined level of achievement that an organisation or project sets itself to achieve in a specific period of time.