With the changing fund-raising scenario and potentials to enter into new partnership types, it is essential that NGOs do understand what they need to do to get funding through CSR partner-ships with companies. The NGOs need to understand the ‘Business case’ in CSR partnerships and contribute to mitigating the business-risks of the companies, in addition to helping them in building brand-equity. Philanthropic foundations also have different expectations from NGOs and new M&E approaches are highly focused on quality of output rather than believing in just numbers.
The recently approved the Companies Act 2013 mandates that companies of a certain size do spend 2% of their net profit on CSR projects. The Acts says that activities need to be implemented in project mode in partnership with NGOs/Firms/Agencies/Govt. Bodies. This opens new opportunities for NGOs to leverage their expertise and presence in remote areas to partner with companies for CSR projects. It is estimated that annually there will be INR 22000 crore inflow in development sector in India through CSR spending by 10000-12000 companies. Further, companies that are not registered in India are also spending huge money on CSR projects to create social equity and promote sustainable development.
NGO Requirements and Eligibility for CSR Funds
1. Identity:
· The NGO should exist and be registered under the appropriate law under which it is governed. It should comply with the provisions of the Act and other relevant laws.
· The organisation has been functioning for a minimum of one year from the date of registration.
· The physical address given by the organisation is verifiable.
· The organisation is registered as a trust or society or Section 25 company.
· Registration certificates and documents issued by the appropriate authority are available upon request.
2. Vision, aims, objectives, achievements:
· The vision, purpose and aims of the NGO should be explicitly stated and be reflected in the activities being undertaken.
· A vision, purpose or mission, which drives the organisation, is articulated beyond the registration documents in the form of activities and projects, etc.
· The organisation has a defined aim and a set of objectives.
· The organisation is able to show performance through defined indicators against stated objectives.
3. Governance:
· There must be a clear commitment towards good governance for the NGO to enhance its effectiveness, serve all stakeholders, and meet the needs of society and to ensure its accountability towards society in accordance with its charter of objects and purposes.
· The organisation has a governing board.
· The organisation follows a consultative and democratic decision-making process.
· There is disclosure of the details of board members viz, name, age, gender, position and occupation. All family affiliations should be indicated.
· The board has at least two meetings a year suitably spaced with quorum stipulated in its own articles of association, reviewing the functioning of the NGO, evaluating the projects undertaken by them and discussing the way forward.
· The organisation is not for profit and its resources are deployed only for accomplishing the objectives for which it has been formed.
· The organisation has attained recognition under Section 12A of the Income Tax Act. (80G of the Income Tax Act is preferable).
· Minutes of board meetings are documented and circulated.
· The board approves programmes, budgets, annual activity reports and audited financial statements.
· The board ensures the organisation’s compliance with applicable laws and statutory regulations.
· All pending legal disputes are declared.
4. Operations:
· Operations refer to the capacity to conduct programmes and administrative activities efficiently and effectively in the public interest. The NGO should have norms in respect to the nature of the programme it undertakes, the nature and style of its management; and the roles and responsibilities of its human resources including personnel and volunteers.
· The activities are in line with the vision, aim and objectives of the organisation.
· The organisation periodically reviews the progress of programmes.
· The accounts of the organisation are regularly maintained and those with an annual income above 50,000 INR are audited by the chartered accountant.
· The roles and responsibilities are defined for all personnel and volunteers.
· All personnel are issued letters of contract and appointment.
· An appropriate HR policy is in place.
5. Accountability and transparency:
· Accountability and transparency are key requirements of good governance and necessary for building trust among stakeholders. This works as a testimony to the fact that the organisation has been working efficiently and effectively.
A financial management policy has been developed and is adhered to.
· Signed audited statements are prepared annually and available on request: balance sheet, income and expenditure statement, receipts and payments account, schedules to these, notes on accounts and the statutory auditor’s report.
· Statement of accounts indicating whether constructed on a cash or accrual basis.
· There are no serious adverse notes on the veracity of the functioning of the organisation.
· There are no material transactions involving conflict of interest between a board or staff member and/or adverse comment and observation relating to operational issues or financial dealing in the record of public authority.
· The organisation’s annual report is distributed and communicated to stakeholders and others and is made available upon request every year, within eight months of the end of the organisation’s financial year.
· The annual report contains a description of the main activities, a review of the progress and results achieved in the year and information on board member names, positions, remuneration or reimbursement as well as brief financial details.
· The NGO shall disclose their funding details i.e. the sources of funds, annual revenue (O&M) and project expenditure. The organisation shall produce timely reports on the use and management of funds which should be made available on request.
· Dovetailing with government schemes will be preferred.
· The NGO should give out accurate information regarding their projects i.e. survey reports, target population, location, sustainability of the projects, their success ratio, etc on request.
The organisation should be ready to submit an affidavit by the authorised signatory attesting to the authenticity of the information given.
Online platforms for NGO fundraising in India
Please Enroll/Register your NGOs in this NGOs and NGO Platforms for CSR funds and fundraising for your NGO.
1. GiveIndia (http://www.giveindia.org): GiveIndia is a donation platform that allows companies to support a cause of choice from about 200 NGOs that have been scrutinised for transparency and credibility.
2. Voluntary Action Network India (http://www.vaniindia.org): Voluntary Action Network India works towards building a society where voluntarism and voluntary organisations play a dominant role in social cohesion, economic empowerment and nation-building.
3. Charities Aid Foundation (http://www.cafindia.org): CAF India provides strategic and management support to corporates, individuals and PSUs in order to ensure greater impact of their philanthropic and CSR investments.
4. Oxfam India (http://www.oxfamindia.org): The Oxfams are rights-based organisations that fight poverty and injustice by linking grassroots programming (through partner NGOs) to local, national and global advocacy and policy-making.
5. Confederation of Voluntary Associations (http://covanetwork.org): COVA works in the areas of communal harmony, peace and social justice through sensitisation of all sections of society and empowerment of the marginalised and the poor.
6. Partners in Change (http://www.picindia.org): PiC focusses on building sustainable partnerships between the corporate sector and social development initiatives in India. PiC’s goal has been to become an organisation that is recognised both by companies as well as civil society as a reliable facilitator for building partnerships for social development.
7. Credibility Alliance (http://credibilityalliance.org): Credibility Alliance’s mission is to build the credibility of the voluntary sector through the creation and promotion of the norms of good governance and public disclosure.
8. Samhita (http://samhita.org): Samhita provides a platform for NGOs to showcase their work and attract donation.
9. Indian Confederation of NGOs (http://www.icongo.in): iCONGO is a collective of various credible, transparent and accountable NGO members registered as promoting members and privilege members.
10. GuideStar India (http://www.guidestarindia.org): GuideStar India is India’s leading provider of NGO information. Their portal provides a fully searchable
For information’s on Fundraising, Impact mapping, CSR partnerships and development sector events etc…, please visit: www.NGOBOX.org
For More information on CSR funding please visit:
http://csrforngos.blogspot.in or http://odishangos.blogspot.in or
For CSR Consultancy for your NGO please email at: pkgngo@gmail.com
The recently approved the Companies Act 2013 mandates that companies of a certain size do spend 2% of their net profit on CSR projects. The Acts says that activities need to be implemented in project mode in partnership with NGOs/Firms/Agencies/Govt. Bodies. This opens new opportunities for NGOs to leverage their expertise and presence in remote areas to partner with companies for CSR projects. It is estimated that annually there will be INR 22000 crore inflow in development sector in India through CSR spending by 10000-12000 companies. Further, companies that are not registered in India are also spending huge money on CSR projects to create social equity and promote sustainable development.
NGO Requirements and Eligibility for CSR Funds
1. Identity:
· The NGO should exist and be registered under the appropriate law under which it is governed. It should comply with the provisions of the Act and other relevant laws.
· The organisation has been functioning for a minimum of one year from the date of registration.
· The physical address given by the organisation is verifiable.
· The organisation is registered as a trust or society or Section 25 company.
· Registration certificates and documents issued by the appropriate authority are available upon request.
2. Vision, aims, objectives, achievements:
· The vision, purpose and aims of the NGO should be explicitly stated and be reflected in the activities being undertaken.
· A vision, purpose or mission, which drives the organisation, is articulated beyond the registration documents in the form of activities and projects, etc.
· The organisation has a defined aim and a set of objectives.
· The organisation is able to show performance through defined indicators against stated objectives.
3. Governance:
· There must be a clear commitment towards good governance for the NGO to enhance its effectiveness, serve all stakeholders, and meet the needs of society and to ensure its accountability towards society in accordance with its charter of objects and purposes.
· The organisation has a governing board.
· The organisation follows a consultative and democratic decision-making process.
· There is disclosure of the details of board members viz, name, age, gender, position and occupation. All family affiliations should be indicated.
· The board has at least two meetings a year suitably spaced with quorum stipulated in its own articles of association, reviewing the functioning of the NGO, evaluating the projects undertaken by them and discussing the way forward.
· The organisation is not for profit and its resources are deployed only for accomplishing the objectives for which it has been formed.
· The organisation has attained recognition under Section 12A of the Income Tax Act. (80G of the Income Tax Act is preferable).
· Minutes of board meetings are documented and circulated.
· The board approves programmes, budgets, annual activity reports and audited financial statements.
· The board ensures the organisation’s compliance with applicable laws and statutory regulations.
· All pending legal disputes are declared.
4. Operations:
· Operations refer to the capacity to conduct programmes and administrative activities efficiently and effectively in the public interest. The NGO should have norms in respect to the nature of the programme it undertakes, the nature and style of its management; and the roles and responsibilities of its human resources including personnel and volunteers.
· The activities are in line with the vision, aim and objectives of the organisation.
· The organisation periodically reviews the progress of programmes.
· The accounts of the organisation are regularly maintained and those with an annual income above 50,000 INR are audited by the chartered accountant.
· The roles and responsibilities are defined for all personnel and volunteers.
· All personnel are issued letters of contract and appointment.
· An appropriate HR policy is in place.
5. Accountability and transparency:
· Accountability and transparency are key requirements of good governance and necessary for building trust among stakeholders. This works as a testimony to the fact that the organisation has been working efficiently and effectively.
A financial management policy has been developed and is adhered to.
· Signed audited statements are prepared annually and available on request: balance sheet, income and expenditure statement, receipts and payments account, schedules to these, notes on accounts and the statutory auditor’s report.
· Statement of accounts indicating whether constructed on a cash or accrual basis.
· There are no serious adverse notes on the veracity of the functioning of the organisation.
· There are no material transactions involving conflict of interest between a board or staff member and/or adverse comment and observation relating to operational issues or financial dealing in the record of public authority.
· The organisation’s annual report is distributed and communicated to stakeholders and others and is made available upon request every year, within eight months of the end of the organisation’s financial year.
· The annual report contains a description of the main activities, a review of the progress and results achieved in the year and information on board member names, positions, remuneration or reimbursement as well as brief financial details.
· The NGO shall disclose their funding details i.e. the sources of funds, annual revenue (O&M) and project expenditure. The organisation shall produce timely reports on the use and management of funds which should be made available on request.
· Dovetailing with government schemes will be preferred.
· The NGO should give out accurate information regarding their projects i.e. survey reports, target population, location, sustainability of the projects, their success ratio, etc on request.
The organisation should be ready to submit an affidavit by the authorised signatory attesting to the authenticity of the information given.
Online platforms for NGO fundraising in India
Please Enroll/Register your NGOs in this NGOs and NGO Platforms for CSR funds and fundraising for your NGO.
1. GiveIndia (http://www.giveindia.org): GiveIndia is a donation platform that allows companies to support a cause of choice from about 200 NGOs that have been scrutinised for transparency and credibility.
2. Voluntary Action Network India (http://www.vaniindia.org): Voluntary Action Network India works towards building a society where voluntarism and voluntary organisations play a dominant role in social cohesion, economic empowerment and nation-building.
3. Charities Aid Foundation (http://www.cafindia.org): CAF India provides strategic and management support to corporates, individuals and PSUs in order to ensure greater impact of their philanthropic and CSR investments.
4. Oxfam India (http://www.oxfamindia.org): The Oxfams are rights-based organisations that fight poverty and injustice by linking grassroots programming (through partner NGOs) to local, national and global advocacy and policy-making.
5. Confederation of Voluntary Associations (http://covanetwork.org): COVA works in the areas of communal harmony, peace and social justice through sensitisation of all sections of society and empowerment of the marginalised and the poor.
6. Partners in Change (http://www.picindia.org): PiC focusses on building sustainable partnerships between the corporate sector and social development initiatives in India. PiC’s goal has been to become an organisation that is recognised both by companies as well as civil society as a reliable facilitator for building partnerships for social development.
7. Credibility Alliance (http://credibilityalliance.org): Credibility Alliance’s mission is to build the credibility of the voluntary sector through the creation and promotion of the norms of good governance and public disclosure.
8. Samhita (http://samhita.org): Samhita provides a platform for NGOs to showcase their work and attract donation.
9. Indian Confederation of NGOs (http://www.icongo.in): iCONGO is a collective of various credible, transparent and accountable NGO members registered as promoting members and privilege members.
10. GuideStar India (http://www.guidestarindia.org): GuideStar India is India’s leading provider of NGO information. Their portal provides a fully searchable
For information’s on Fundraising, Impact mapping, CSR partnerships and development sector events etc…, please visit: www.NGOBOX.org
For More information on CSR funding please visit:
http://csrforngos.blogspot.in or http://odishangos.blogspot.in or
For CSR Consultancy for your NGO please email at: pkgngo@gmail.com
