FBC Manby Bowdler’s expert in charity law is encouraging voluntary organisations to be more transparent about the difference they are making with their work.
Stuart Rea, head of the Charities and Not For Profit Team, said recent research by the Charity Commission has revealed that more than half of the small charities scrutinised did not reach the required public benefit reporting benchmark. Stuart commented that whilst this is alarming its own right, reporting failures might be costing charities more than they realise.
Of the organisations examined, 54 per cent failed their reporting requirement as they either did not describe the difference that their charity had made or did not include a statement that they had complied with the public benefit requirements and read the Charity Commission’s guidance.
Stuart, who advises on a range of charity related issues, said that too many charities are missing out on an important opportunity to tell the public why their work matters, and what difference they are making.
“Not only does better reporting satisfy the requirements of the Charity Commission but it helps a charity to explain to its supporters exactly what it is doing. That, in turn, will help with the on-going success of the organisation as research also shows that donors want to know how charities are spending their money. This should be seen as an opportunity”
Stuart added: “The Charity Commission produces useful template accounts to help charities ensure they provide good quality accounts and communicate their stories more effectively.”
For further advice, Stuart Rea can contacted on firstname.lastname@example.org or 01743 284159.