I just received a delightful email from a chap who was setting up a new grants scheme for somewhere in Sub-Saharan Africa. He had read my rant entitled Preposal Prepostery, and wanted to know what advice I would give to a donor wanting to do the right thing. My dream come true: a chance to design the ideal donor!
Here are ten tips I gave him. Please suggest more in the comments, and I’ll pull the best together into a second piece.
- Offer funding that is presumed to continue (unless there is a bad evaluation or something) rather than presumed to stop (but where you can apply for follow-on funds). Obviously your ability to do this will be constrained by your own funder(s) – you don’t want to make promises you cannot keep – but maybe this is the kind of innovation which might make you more attractive if sold to them in the right way. This doesn’t mean promising to fund projects in perpetuity, but there should be a sensible strategy to achieve long term sustainability (handing over to the local government does not count!) either because need for the external assistance will eventually subside (e.g. farmers will have learned the new techniques being promulgated) or because alternative funding can be found. But these should be long term issues to be reviewed and gradually refined over the length of the project, not something to be dreamt up for the initial proposal.
- Give 100% funds upfront at the beginning of each year. If you feel the need to incentivise report production, do it through personal perks like invites to lesson-sharing workshops. Never let grantees suffer funding gaps!
- Keep budgets short. I reckon 10 different budget lines should generally be enough. Don’t demand ridiculous levels of detail in financial reporting, but do demand proper audits. Even ask to be consulted over the auditing process so you can ask auditors to look for specific issues of concern to you. (You might have to pay extra for that.)
- Don’t get too hung up on large proportions of budgets going on certain things. Maybe the grantee needs that. In particular a high % going on salaries might mean they are employing high calibre staff which is about the best indicator of success I can think of.
- Consider funding 6 month inception phases as a matter of course. After 3 months the grantee should submit a full project document setting out their plans in a lot more detail. This can be further negotiated, until satisfactory. Funds release beyond the 6 month inception phase is dependent upon a satisfactory agreement over the detailed project document. This can be repeated every year so long as the grantee has at least 3 months funds carry-over so they can keep on working in the meantime. Major asset purchases should be held off until after the inception phase. Inception phases are really useful where you’re not sure about an applicant: maybe they just don’t have the writing skills to prepare a good application, and you can offer support to the applicant to this phase, assessing for yourselves what needs to happen. Conversely don’t demand highly detailed proposals before the inception phase.
- Require applicants to complete a risk analysis together with how they intend to address these risks. This should be reviewed annually.
- Focus on impact / outcomes over outputs / immediate objectives. Grantees should clearly communicate what’s important; that way when things go wrong (as they always do) you can hope they focus on the impact and not on which outputs they promised to deliver.
- Beware of box ticking exercises. A logframe is no substitute for a clear strategy, and if you have a clear strategy the log frame is relatively unimportant. (Tho some people may find it useful in both formulating their strategy and communicating it.) Equally, SMART objectives are all very well but sometimes can get a bit silly, e.g. time-bound should simply be assumed to be by end of project unless otherwise stated. On the other hand they do force the indisciplined to get properly specific.
- Allow for free-form proposals with some suggested headings, making it clear applicants should feel free to add their own, and exclude any that are not applicable.
- Be very careful about your call for proposals: restrictive calls simply force people into straitjackets, writing proposals for what you want to fund rather than what they want to do. Even quite general restrictions can have this effect. E.g. I recently review applications for a small conservation grant which required applicants to include a local communications / outreach component. There were some good proposals which suffered from having this bolted on where it didn’t make full sense.
And here’s an eleventh I just thought of:
11. If you must demand certain issues be mainstreamed, then allow applicants to mark them as not applicable without that being a black mark against them.