
Grant evaluation can be a daunting task, especially when you’re focused on delivering your project. Many find themselves in a panic when it’s time to submit evaluations to their funders. This blog post will guide you through what to expect during the evaluation process, how to prepare adequately, and strategies to make the process easier.
Understanding Grant Evaluations
When you receive grant funding, it’s essential to understand that evaluations are a normal part of the process. Funders may request evaluations at different stages: midway through the project or at the end. Being prepared for these evaluations will save you from unnecessary stress.
Many organizations, including the National Lottery Community Fund, conduct midway audits. These audits can catch you off guard if you’re not prepared. If you haven’t spent any money or made progress on your project, you’ll find yourself flagged as a risk.
This could prevent you from applying for future grants. Therefore, it’s crucial to get started as soon as you receive your funding.
Getting Started with Your CIC Project
Establishing a CIC comes with several advantages:
As soon as you receive your project grant, it’s time to pull up your budget and start spending. Here are some key points to keep in mind:
- Pay for Materials Early: If you need materials, buy them in bulk as soon as possible. This helps you avoid delays and can show funders that you’re proactive.
- Be Cautious with Payments: Avoid paying yourself or your staff in bulk. Instead, consider paying in installments, which is more acceptable to grant funders.
- Use Your CIC Account: Ensure that all payments related to your project come from your Community Interest Company (CIC) account. Paying from personal or other accounts can lead to breaches of your grant agreement.
Documenting Your CIC Spending
Documentation is key when it comes to grant evaluations. Here’s how to prepare:
- Maintain Bank Statements: Print off your bank statements regularly. As you go through them, highlight relevant transactions related to your project.
- Organize Invoices and Receipts: Generate invoices for your own payments and ensure that you have receipts for every transaction. This documentation is critical for your evaluation.
- Create a Table of Evidence: Prepare a table that outlines your budgeted items, what you actually spent, and where to find the evidence. This will simplify the evaluation process.
Preparing for CIC Audits
Being prepared for audits is crucial. Here are some strategies to consider:
- Redact Irrelevant Information: Some funders may ask you to redact information from your bank statements. Highlight relevant items and create a code to correlate them with your budget.
- Use Shared Drives Wisely: While it’s convenient to keep your documents in shared drives, funders often prefer that you send everything via email. Make sure to check that all documents are attached to avoid missing anything.
Get your marketing campaign funded.
marketing aceletrator programme
Apply to our marketing accelerator programme to access funding and a network of specialists.
Get Your Website Designed & Funded.
Website
Funding Programme
Apply to our website funding programme to get your business up and running - skipping financial barriers.
Accommodating Diverse Needs
If you struggle with administrative tasks due to disabilities or other challenges, it’s important to plan for this. Here are some suggestions:
- Hire Administrative Help: Include administrative costs in your project budget to hire someone who can handle the paperwork.
- Communicate Your Needs: If you require support due to a disability, don’t hesitate to ask your funder for assistance. Some organizations, like Arts Council England, may provide support.
Simplifying Your Project
Keep your project as straightforward as possible. Complexity can lead to complications during evaluations. Here are some ways to simplify:
- Consolidate Receipts: Instead of collecting numerous small receipts, consider bulk purchases. For example, buy all your workshop materials in one go.
- Limit Volunteer Expenses: Use flat-rate reimbursements for volunteers instead of processing individual claims, which can quickly become overwhelming.
What to Do If You Make a Mistake
Everyone makes mistakes. If you find that you’ve spent grant money on unapproved items, here’s how to handle it:
- Communicate with Your Funder: If you need to make changes to your budget, reach out to your funder for approval. Keep a record of all correspondence.
- Worst-Case Scenario: If you face serious issues, such as being asked to return the entire grant, you may need to consider dissolving your CIC. This is a drastic step, but it can protect you from liability.
About Impact Hive
Fuelling innovative thinkers and removing barriers to drive impactful change
To drive innovative thinkers to the forefront of their industries, disrupting norms to usher in impactful change across multiple sectors, providing them with the tools, opportunities, and information needed for a brighter, innovative future.
Final Thoughts
Grant evaluation may seem intimidating, but with the right preparation, you can navigate the process smoothly. Keep your records organized, communicate openly with your funders, and simplify your project as much as possible. Remember, the goal is to demonstrate how you’ve used the funds effectively and to provide evidence of your project’s impact.
If you found this information helpful, please consider subscribing for more insights on community interest companies, grant funding, and social enterprise topics.
For additional support, consider joining communities of CIC founders and accessing resources that can help you along the way. Your journey to creating change starts now!
Get the impact hive newsletter
Get the most important business news in your inbox each week.
Step 1: Define Your Mission and Objectives
Before you begin the formal process, it’s essential to define your CIC’s mission. Consider the community issues you are passionate about and how your skills can contribute to addressing them. Clear objectives will guide your activities and help attract funding.
Step 2: Choose a Name and Structure
Your CIC needs a unique name that reflects its mission. Ensure that it complies with the regulations set by the Companies House. Additionally, decide on the structure of your CIC, whether it will be limited by shares or limited by guarantee.