A forum where grant applicants and grantmakers can discuss issues that each face, is long overdue and should be established immediately by the Institute of Fundraising and the Association of Charitable Foundations, a new report recommends.

The report, Inside the mind of a grantmaker, is the product of numerous interviews with people from grantmaking trusts and foundations, conducted by researchers from nfpSynergy. The funders included BBC Children in Need, the Big Lottery Fund, Sainsbury Family Charitable Trusts and the Tudor Trust.

It was written with the Institute of Fundraising (IoF) and is nfpSynergy’s second report on grants fundraising, following Taking nothing for granted which was produced last year following interviews with charities.

The new report lists the hallmarks of a great grant application, makes specific recommendations for both charities and funders that would improve their common relationship, and makes three calls to action to help the two parties work better together.

Code of practice

First, it suggests devising a code of practice for grantmakers and charities – “or at least a code of worst practice to be avoided”.  The section on trusts in the Institute’s code could be developed into an equivalent code for ACF members, the authors suggest.

Secondly, they say that funders and applicants need a forum to discuss issues.

“Grantmakers meet together thought the ACF and discuss issues through the Intelligent Funding Forum, while charities discuss trust fundraising, for example through the IoF’s special interest group.

“A forum where grantmakers and charities can meet, discuss issues and move the overall relationship forward is needed. We believe the ACF and the IoF need to develop one.”

Lastly, the report recommends that an awards programme be established to praise and promote best practice in grantmaking.

The authors also say they “would like to see the two sectors focus more on what they have in common rather than on what separates them”.

Joe Saxton (pictured), driver of ideas at nfpSynergy, urged grantmakers to take note of the recommendations, and added: “The current approach is ignoring the substantial benefits and cost-savings which we believe could go to both charities and grantmakers.”

IoF and ACF response

Both the IoF and the ACF welcomed the “helpful ideas” in the report and said they would explore them further.

David Emerson, chief executive of ACF, said: “Recognising the diversity of grantmakers and their varied experience, the report helpfully draws out some important common themes and issues aimed at improving the collaboration between grantmakers and funded organisations. We welcome the added dimensions it brings to current thought and practice.”