The Gift Trust recently published a blog post with the above title.
“There are plenty of myths and misconceptions about ‘fundholding’ – a growing way of reducing the hoops community groups have to jump through to receive funding.
As many of us who donate to good causes or who work in philanthropy know, our sector thrives on innovation. Funders in Aotearoa are often looking for new ways of working to reduce the hoops that our community groups have to jump through to receive funding. ‘Fundholding’ for community groups is one such innovation.
Fundholding is also known as fiscal sponsorship, auspicing or sitting under an ‘umbrella’ organisation. This is when a charitable organisation receives and holds grant money or donations on behalf of an unregistered group doing work a funder wishes to support. The organisation that receives the grant money initially is called the fundholder and they help the smaller group to account for and track the funds. The Gift Trust runs a fundholding service called Gift Collective, so we know a lot about how this works.
Fundholding has been around for a while, but lately has been picking up the pace. There are mixed opinions in the sector about whether fundholding is an acceptable practice, so we thought it was time to look at some misconceptions regarding this practice …” <Read the full article here>
See also:
Not-for-Profit Focus – GIFT COLLECTIVE – Not for Profit Resource