In this difficult economic climate charity trustees should remember that help and advice are available.
As charities of all sizes grapple with the cost-of-living crisis, a rising demand for their services, staffing issues and the threat of falling income, it’s important to not only keep fundamental legal and governance issues in mind, but also the potential benefits of partnership and collaboration. When charities with similar values, goals and charitable purposes work together, they have the capacity to cut costs, improve outcomes and reduce duplication – the latter being a topic which is mooted in the press regularly.
Safety – or solutions – in numbers
These are worrying times for charity trustees, whether you’re on the board of a sports club, a community group or a national charity. But the important thing to remember as you face these challenges is that you’re not on your own!
Other third sector organisations and their advisers are probably going through very similar challenges, and they may just be able to help. Indeed,
Scotland’s charities have repeatedly shown a willingness to work together to tackle different issues. With this in mind, it’s worth getting together with peers and advisers to discuss challenges and options. Facing the idea of a merger can be a reactive strategy, but on the other hand collaboration can be part of a more proactive strategy. Working together can meet beneficiaries’ needs more effectively, have greater influence and perhaps expand on the range of services or support provided. The following five points could be useful discussion points.
- Leadership is essential at all stages of collaboration, therefore good governance should not be underestimated. Make sure that trustees and senior management are aware of their responsibilities and fulfil them if meaningful discussion on partnership or collaboration is to happen.
- If your charity is facing in a redundancy or restructure situation, ensure that your process is fair and transparent. Take no chance sand if in doubt, seek legal advice.
- Communicate clearly. If you don’t, yourisk leaving yourself exposed to problems. Everyone–staff, trustees, advisers–needs to know what’s expected of them.4
- Innovate. That applies in everything you do, from operational matters to fundraising. By combining your resources, skills and knowledge you can help solve problems and maximise your public benefit. The need to be effective and creative has never been greater.
- Evaluate. Developing a collaboration can take time. Circumstances may change and the desired benefits may not be achievable in the end. Therefore, it is important to review the shared objectives periodically
And finally, we would advise you to talk! Little good – mentally or professionally – comes from bottling up the issues facing you or your organisation, so ask for help and ideas. There are plenty of advisers and peers ready to support you.
Helen Kidd, Partner & Head of Charities and the Third Sector.
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