A Plea to Funders

I said that I was off for two weeks, but having taken an interest in all of the articles around Kids Company, I need to get something off my chest before I go.

It seems to me that the high level summary is about Kids Company is:

A long term successful charity needs Good delivery PLUS Good Fundraising PLUS Good Governance PLUS Good administrative systems.

The general media consensus seems to be that Kids Company made a fantastic difference to lots of young people's lives, although there were some practices ("pocket money" allegedly spent on drugs) which have attracted criticism. They also had fantastic fundraising capabilities.

The jury still seems to be out on the governance, the trustees are largely keeping quiet, presumably following due process for directors of a company that is insolvent, we don't yet know what was going on behind the scenes. What it certainly lacked was good financial and administrative systems - monitoring and evaluation of its' work, tracking its' finances, keeping a sensible level of reserves. There seems to have been a mantra that all money should be spent on the kids, not on administrative functions.

Funders are most usually willing to pay for Good delivery. But very often, they are not willing to pay for the other stuff - governance and administration. However, the Kids Company example proves that just being excellent at delivery is not enough. Every sensible funder should understand that a certain amount of money spent on administration is a good thing, not a bad thing. My plea to funders - please bear that in mind when funding charities!