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Considered choices for funding decisions: how to calculate the real cost of donor-funded projects; when to say “yes” and when to say “no”

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  • John Cammack

Abstract

NGOs regularly seek funding from a variety of donors, to help them to deliver worthwhile activities. Often the activities work well and a donor covers the full cost. But sometimes a successful funding proposal can make the organisation vulnerable, by committing itself to additional overhead expenditure not covered by a donor. This article looks at a system whereby the financial aspects of project proposals can be assessed earlier, before funding is applied for and accepted – providing a way of knowing the impact on the organisation and its staff, and allowing organisations to calculate the real cost of donor-funded projects. Choix réfléchis pour les décisions relatives au financement : comment calculer le véritable coût des projets financés par les bailleurs de fonds ; quand dire « oui » et quand dire « non » Les ONG cherchent régulièrement à obtenir des fonds auprès d'une variété de bailleurs de fonds pour pouvoir mener des activités louables. Souvent, les activités donnent de bons résultats et le bailleur de fonds couvre le coût total. Mais quelquefois, une proposition de financement couronnée de succès peut rendre l'organisation vulnérable, en l'engageant à encourir des frais généraux supplémentaires non couverts par un bailleur de fonds. Cet article examine un système dans le cadre duquel les aspects financiers des propositions de projet peuvent être évalués plut tôt, avant que le financement ne soit demandé et approuvé – ce qui donne le moyen de déterminer l'impact sur l'organisation et son personnel, et permet aux organisations de calculer les véritables coûts des projets financés par des bailleurs de fonds. Opciones sopesadas ante la necesidad de tomar decisiones de financiamiento: cómo calcular el costo real de proyectos financiados por donantes; cuándo es preciso decir “sí” o decir “no” Cotidianamente, las ong buscan el financiamiento de varios donantes, con el fin de proveer distintas actividades útiles. A menudo, las actividades tienen el resultado esperado y el donante recupera el costo total de su inversión. Pero a veces, una propuesta de proyecto exitosa puede provocar vulnerabilidad para la organización, en tanto se ve en la situación de tener que hacer frente a gastos fijos adicionales no financiados por el donante. El presente artículo examina un sistema que, desde una etapa temprana, permite valorar los aspectos financieros de las propuestas de proyecto, antes de que el financiamiento sea solicitado y se apruebe. Ello permite conocer el impacto que el proyecto tendrá en la organización y en el personal, así como también calcular el costo real de los proyectos financiados por donantes. Escolhas consideradas para as decisões de financiamento: como calcular o custo real de projetos financiados por doadores; quando dizer “sim” e quando dizer “não” As ONGs buscam regularmente financiamento de vários doadores para os ajudar a implementar atividades proveitosas. Frequentemente as atividades funcionam bem e um doador financia todos os custos. Mas às vezes uma proposta de financiamento bem-sucedida pode tornar a organização vulnerável quando esta se compromete a arcar com despesas adicionais em geral não financiadas pelo doador. Este artigo examina um sistema em que os aspectos financeiros das propostas de projetos possam ser avaliados previamente, antes que o financiamento seja solicitado e aceito – apresentando uma maneira de se conhecer o impacto sobre a organização e seus funcionários e, assim, permitindo que a organização calcule o custo real dos projetos financiados por doadores.

Suggested Citation

  • John Cammack, 2013. "Considered choices for funding decisions: how to calculate the real cost of donor-funded projects; when to say “yes” and when to say “no”," Development in Practice, Taylor & Francis Journals, vol. 23(4), pages 589-595.
  • Handle: RePEc:taf:cdipxx:v:23:y:2013:i:4:p:589-595
    DOI: 10.1080/09614524.2013.790943
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