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trustees do decide to make funds available – either in full or in part (because monies are limited) – and that funding will be made available but subject to certain conditions. This discussion needs to take place in a formal trustees’ meeting and be fully minuted.
If the trustees do decide to fund the project – either in full or in part – they then need to consider the following and communicate it in writing to the generalate or that part of the institute applying for funds:
How much funding are they prepared to give. Often it is preferable when dealing with requests for signi cant funding to agree only to make on- account payments as the project progresses – possibly to cover the following month’s projected expenditure - and to make them based on progress reports and some form of account of the monies spent to date. It would not usually be in the charity’s best interest to transfer signi cant monies at the commencement of a project or before a project is even ready to commence. This is because the funds may not be secure and because, if the project were to be abandoned for any reason after the funds had been transferred, it may not be possible to repatriate the monies back to England
How the use of the funding is to be monitored i.e. what type of reports are required to satisfy the trustees that the monies are being applied for the purpose intended and that the project is being properly managed and in accordance with a budget. Such monitoring may take the form of narrative reports, photographs, accounts or a mixture of all three. The trustees need to make clear that where reports do not prove satisfactory, they reserve the right to decline further instalments until their concerns have
been addressed
A written offer of funding should be made to the generalate and a request made that the generalate formally con rm that it accepts any
conditions imposed
Thereafter, the funding may be made but the terms agreed should be adhered to strictly and enforced by the charity trustees. Ideally minutes should record the fact and how and when the project and its funding is being monitored etc.
WHAT ARE THE KEY CONSIDERATIONS IF WE ARE ASKED FOR REVENUE FUNDING FROM A UK CHARITY?
Let us assume a situation where the charity is responding to an application to
102 Chapter 5
