Are You Making Effective use of Resources? Keep Your Charity on the Right Track

We have now reached the halfway mark in our 12-month governance journey for Charities. Month six of our guide looks at how you can make effective use of your organisations’ resources, particularly around investment, banking and property.

Month 6 – Are Charities Making Effective Use of Resources?

In the guidance provided by the Charity Commission to help new and existing trustees understand their role and what is required of them (CC3 The Essential Trustee), initial emphasis is placed on the prudent use of resources. Trustees have a stewardship role which means ensuring that resources are used for charitable objectives and not put at risk unnecessarily. However, trustees are not just responsible for the safekeeping of resources, there is also a duty to use them effectively.

Checklist for Month 6:

  • Set up a regular review of investment activity
  • Consider if ethical investing or social investment might be a more effective use of charity resources
  • Review the costs of banking to your charity and balance them against the benefits received
  • Review how property is used, consider moving if it is not fit for purpose
  • Link these reviews to the risk profile of the investment activity for the charity
Read month 6

You may also be interested in reading the first 5 months of the guide:

We worked with our Charity and Not for Profit colleagues across our national association MHA to produce this guide. If you have any queries about this month’s topic or charity governance in general, please contact our Not for Profit team on 01903 234094.

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