Case Study: Grantmaking Principles – A Comparison Between Two Foundations

The Bill & Melinda Gates Foundation states very clearly on its website what it will not fund. It does not give grants or donations to individuals and it will not accept unsolicited proposals. Instead the staff at The Foundation proactively identifies the organisations (that must be US tax exempt) that fall within their areas of […]

Structuring Your Giving: 5 Things You Need To Know

There are many different options available to the philanthropist in terms of the vehicle or structure used for giving and the choice made will depend on a number of considerations. However, the key thing is to get proper tax and legal advice so that the tax obligations are clear and there is a shared understanding […]

Deciding How To Give: Differences between Operating Foundations and Grantmaking Foundations

Are you creating an operating foundation, purely grant making, or a mix of both? Are you donating to new or existing organizations? Essentially, the question here is – who will you support? In Africa, most philanthropists tend to set up operating foundations. There are organizations that they create, fund, and execute their own programmes. Unfortunately, […]

Conditions of Grantmaking

Terms and Conditions of Grant-Making Grants are often approved with conditions. These can be conditions relating to the timing of the funding, the ability of the organisation to raise matched funding or any other conditions precedent that are required before funding is released. The funds can be given either in one lump sum or in […]

Developing An Application Process

Developing An Application Process Arguably all donors have some sort of application criteria against which they evaluate and select applications but some donors choose not to write them down, relying on a more flexible approach to initiating the grant relationship, i.e. through conversation and interview, site visits, gauging reputation etc. Most large and long-standing donors […]

Things to Note When Supporting a Cause

What to consider when selecting a focus area: Government policies and objectives about the issue The current state of the issue in the country/ region/ area of interest What is considered by experts to be “best practice” regarding the issue? What are the key constraints and opportunities within the sector? Who are the other funders […]

Key Principles of Grantmaking

Key principles of grant-making: Establish certain general rules or principles that apply to the grants. These principles are typically guided by the donors values and style of philanthropy. Another key issue is the strength and credibility of the grantee organization. A way of managing the governance risk and the risk of fraud or maladministration is […]

The Grantmaking Process

There are a wide variety of options for how to give and the choice the philanthropist makes will be guided by her values, experience and circumstances. The key point is that not all giving makes the world a better place. The care, thoughtfulness and diligence that is applied in how the philanthropist gives will determine […]

Approaches to Giving

The philanthropist could choose to keep things really simple (but possibly not very tax efficient) and make donations in her own name to various causes that align with her values. This provides complete flexibility, quick response times and little administrative or legal obligations. Alternatively, she can decide to do the bulk of her giving in […]