Statement of Guiding Principles for Fundraising by tyndale


of Guiding
Principles for

Irish Charities Tax Research Ltd
February 2008
    Background and
    Background                                           Submissions to the consultation
                                                         emphasised that the design and
    This Statement of Guiding Principles                 implementation of Codes of
    for Fundraising has been drawn up                    Practice would need to strike a
    in the context of the publication                    balance between enhancing public
    of The Charities Bill 2007 (not                      confidence while not being onerous
    yet enacted), which proposes that                    on charities with less capacity. In
    the operational and administrative                   particular, the feedback emphasised
    aspects of fundraising would be                      that account should be taken of
    regulated by agreed Codes of                         the needs of smaller organisations
    Practice to be developed with the                    where fundraising is local and
    sector. A feasibility study and public               personalised and where receiving
    consultation was undertaken in                       support depends on community ties
    2006/2007 to explore how the                         and mostly voluntary effort. For
    operational aspects of charitable                    these organisations it was felt that
    fundraising could be effectively                     formalised accountability structures
    regulated through Codes of Practice                  may not add real value but they
    for charitable fundraising.                         would add more bureaucracy.

     The Report on the Feasibility Study on Codes
      of Practice, from ICTR to the Department of
      Community, Rural and Gaeltacht Affairs (2008
      forthcoming). The consultation process was led
      by Irish Charities Tax Research Ltd., an outline
      of which can be viewed on

The feasibility study recommended         In July 2007 a Working Group,
that:                                     the profile of which reflected the
                                          findings of the feasibility study, was
-   The Charities sector, allied with     convened to draft such a Statement
    professional assistance and with      (see Appendix B). The Working
    a strong independent input,           Group initially reviewed Codes from
    should take the lead in setting the   other jurisdictions and from other
    standards.                            sectors (see Acknowledgements),
                                          considered best practice guidelines
-   A Monitoring Group comprising         on regulation and took into account
    a majority of independent             the feedback already received
    members and with an                   from the earlier consultations. An
    independent chairperson should        initial draft Statement was made
    be established to actively monitor    available for public consultation
    usage of the Codes and to deal        in October/November 2007. Based
    with complaints.                      on the feedback received from the
                                          consultation on the first draft this
The findings of the feasibility           final Statement was completed in
study indicated clear support that        January 2008.
this proposed process be modeled
by drafting and consulting on a           The resulting Statement is not
Statement of ‘Guiding Principles for      intended to be a detailed operational
Fundraising’.                             Code; rather it presents a set of
                                          overarching principles and guidelines
                                          for fundraising in Ireland.

    Recommendations of the Working Group
    Through its work in drafting the Statement, the
    Working Group identified some key questions
    that need to be discussed and agreed between the
    charities’ fundraising sector, the state and, when
    established, the Regulator. They are:

    . When, as anticipated, The Charities Bill (2007) is enacted and the
       Charities Regulatory Authority is established, all charities in Ireland
       will be bound to comply with the resulting legal registration and
       accountability provisions of the Bill.

    There is provision in the Bill for “implementing agreed Codes of Good
    Practice in relation to the actual fund-raising operations, while retaining
    reserve powers for the Minister, after consultation with the Authority, to
    make statutory regulations on the manner and conduct of fundraising if
    such an approach proves ineffective”.2

    Recommendation 1

    Those benchmarks that will be applied to determine whether the Codes of
    Practice have been effective (and thus whether the Minister’s reserve powers
    would be applied) need to be established at the outset. This will require
    dialogue and agreement between the Regulator, the Monitoring Group and
    the charities’ fundraising sector.

    2 Section 85 of the Explanatory Memorandum Charities Bill 2007

2. There is a need to agree the relationship and flow of information between
   the Monitoring Group, the Regulator (in time), the charities’ fundraising
   sector and the general public. This can include, for example, agreeing any
   remedial action required for those charities that do not comply with the
   agreed standards of practice, and addressing instances where a member of
   the public contacts the Regulator, rather than the Monitoring Group
   about standards.

Recommendation 2

The modalities of the relationship between the Regulator, the charities’
fundraising sector, individual charities, the Monitoring Group and the public
need to be established at the earliest stage.

3. The standing and authority of these standards is entirely dependent on
   having a credible, independent and active monitoring and compliance
   dimension. The Monitoring Group, which is to be made up of a majority
   of independent members and with an independent chairperson, is to deal
   with questions of monitoring and compliance.

Recommendation 3

The question of how the Monitoring Group is established and suitably
financially resourced needs to be agreed.

    4. For the standards to be successful, charities will need to be informed
       and educated about the Statement of Guiding Principles for Fundraising
       and other relevant Codes of Practice. Given the profile of the sector, it is
       important that charities, especially those with less capacity, can avail of
       assistance and support to assist them reach the required standards.

    Recommendation 4

    An information and training initiative will be needed to create the required
    level of awareness and skills amongst participating charities so as to enable
    them to meet the required standards. Such training will need to be of an
    approved standard and to recognise the diversity of organisations (larger
    and smaller) and their varied needs.

    5. It is important that the standards are dynamic and reflective of practice.
       The Monitoring Group will work with the charities’ fundraising sector
       on an ongoing basis to ensure that the Statement of Guiding Principles
       for Fundraising and other Codes of Practice are appropriate and are
       updated as required to reflect changing fundraising practices and
       changing circumstances.

    Recommendation 5

    A mechanism should be put in place by the sector to update this Code and
    to devise and agree any further Codes that are identified as requirements in
    the future. Any future Codes agreed by the sector should also come under
    the remit of the Monitoring Group.


9 1                  18 5                   1 9
Section              Section                Section
Introduction         The Conduct of         Monitoring and
                     Fundraisers            Compliance

1 2                  6                    A
Section              Section                Appendix
Who this Statement   Board/Trustee and      Useful Reference
is for               Senior Management      Points

1 3                  7                    B
Section              Section                Appendix
Core Principles      Honest Communication   Members of Working

1 4                 9 8                    C
Section              Section                Appendix
Commitment to        Financial              Steering Committee
Donors               Accountability         Members


    A number of Irish and International   A Donor Bill of Rights, American
    Codes of Practice informed this       Association of Fundraising Counsel,
    draft. They are:            

    Code of Conduct on Images and         Guidelines and Implementing
    Messages, Dóchas        Instructions for nonprofit
                                          organisations soliciting donations,
    Code of Practice, Irish Fundraising   German Central Institute for Social
    Forum for Direct Recruitment,         Issues,
                                          ICFO International Standards,
    Codes of Conduct, Institute of        The International Committee on
    Fundraising,        Fundraising Organizations www. (UK)     

    Ethical Guidelines for Fundraising,   Code of Good Governance
    ISOBRO, (Denmark)       for Fundraising Charities, VFI
                                          (Dutch Association of Fundraising
    International Non                     Organisations)
    Governmental Organisations’
    Accountability Charter, www.

Section 1


This Statement of Guiding                These are general principles and
Principles for Fundraising has been      given that each organisational
drawn up by charity fundraising          context is different, those
practitioners and donors (see            responsible in the organisation
Appendix B) and has been reviewed        will be required to use their
by legal, accounting and other           judgement and to consider how
related professionals (see the list of   these principles are best applied
members of the Steering Group in         within their organisation. Depending
Appendix C).                             on the organisation not all the
                                         commitments may be relevant but
The introduction of standards by         where they are relevant they should
the charities’ fundraising sector is     be applied as is practicable. The
an important act in its own right        commitments contained are not
and provides an opportunity to           exhaustive and may be added to as
build capacity within individual         befits the organisation’s mission.
charities and in the wider charities’
fundraising sector.                      The Statement seeks to go
                                         further than the minimum legal
These principles and guidance            requirements by offering a set of
are intended to be of practical          overarching principles and guidance
use when organising fundraising.         about how fundraising should
The Statement offers donors and          be approached and organised. It
potential donors clarity on what         thereby complements and builds
they may expect from the charity, its    on the existing legal framework
representatives (whether voluntary
or paid) and its management.

     within which all charities operate.3               operations…”. In expectation of
     In order to facilitate an integrated               the enactment of the Bill and the
     approach to the organisation of                    subsequent establishment of a
     fundraising, the Statement refers                  Charities Regulatory Authority, if
     to legal requirements that apply                   this objective is to be effectively
     to fundraising. However the                        realised a robust and ongoing
     spirit of the Statement is that the                engagement between the charities’
     charity shall not be limited to                    fundraising sector and the Regulator
     what is expected in law but will                   is required. This Statement and the
     seek to apply the highest possible                 Irish Fundraising Forum for Direct
     standards. Some useful contact                     Recruitment’s (IFFDR) Code of
     points in relation to legal and other              Practice4 provide a basis for that
     requirements are contained in                      engagement between the charities’
     Appendix A.                                        fundraising sector and the state.

     The Charities Bill 2007 has the                    The charities’ fundraising sector
     stated objective of “…implementing                 may in the future identify other
     agreed Codes of Good Practice in                   fundraising areas and agree detailed
     relation to the actual fund-raising                operational Codes to address
     3 A number of bodies currently play a role         4 At the time of writing (January 2008) the only
       with regard to various aspects of charities,       example of a currently operational Code of
       including the Attorney General, the Revenue        Practice devised and operated by fundraising
       Commissioners, the Commissioners of                practitioners is that of the Irish Fundraising
       Charitable Donations and Bequests for Ireland,     Forum for Direct Recruitment (IFFDR). The
       An Gárda Síochána, the Director of Corporate       IFFDR was invited to and agreed to put that
       Enforcement, the Registrar of Companies, the       Code forward for inclusion as part of the
       Valuation Office and the Probate Office. See       submission. A copy of the Code can be viewed
       Appendix A for contact details.                    at

particular fundraising practices         Annual Report and the Statement
(similar to the IFFDR’s Code of          of Annual Accounts and other
Practice); these too should form part    relevant published material. In
of the future dialogue.                  that statement, the charity should
                                         either confirm that it complies
It is essential that this Statement be   with these principles, or where it
updated based on experience and          does not, provide an explanation.
feedback, and taking into account        This ‘comply or explain’ approach
future developments, particularly        provides flexibility to enable
those that improve accountability        organisations interpret it to suit their
and transparency. Similarly the          particular circumstances. It is for
IFFDR Code of Practice has already       stakeholders and others to evaluate
been and shall continue to be            the organisation’s statement.
informed by developments and
changes in fundraising practice and      Although it is anticipated that many
will be updated accordingly.             charities will aspire to implementing
                                         the Guiding Principles, applying
                                         such standards will be progressive in
Complying with the Statement             nature and likely to be phased in as
                                         the organisation grows in size and
This Statement is not a legally          more formal fundraising practices
binding Code but sets out best           are employed.
practice in its main and supporting
principles. Charities that subscribe
to these principles should make
a statement to that effect in the

     Section 2

     Who this
     Statement is for
     The purpose of this Statement of                     the public may choose to apply these
     Guiding Principles for Fundraising                   principles.
     is to provide a set of agreed and
     accessible standards that can be                     The Statement is of
     applied to charitable fundraising
     strategies and projects.
                                                          particular value to:

     The Statement is available to be
                                                          Fundraising Practitioners:
     applied by charities that fundraise
     from the public.5 It does not apply
                                                          The Statement offers a set of
     to organisations that fundraise and
                                                          principles and guidelines to assist
     who are not charities, or to those
                                                          fundraising practitioners (voluntary
     charities that do not fundraise
                                                          or paid), in their efforts to raise
     from the public. However any
                                                          funds for their organisation’s causes.
     organisation that fundraises from
                                                          In some cases it also refers to the
     5 Until the Charities Bill 2007 is enacted there     legal requirements that apply.
       is no legal framework for the registration of
       charities in Ireland. The Office of the Revenue
       Commissioners, Charities Section maintains
       a database of organisations to which they
       have granted charitable tax exemption. To be
       eligible an organisation must be constituted and
       operated exclusively for charitable purposes.
       While there is no legislation defining what is
       legally charitable it is generally determined by
       considering whether a particular purpose comes
       within one of the four broad categories: ()
       the Relief of Poverty, (2) the Advancement of
       Education, (3) the Advancement of Religion, and
       (4) other purposes beneficial to the community.

Charity boards/trustees and               Charity donors or
senior management:                        prospective donors:

The Statement will be of value to         The Statement clearly indicates the
charity boards/trustees and senior        standards that charity donors or
management, who are ultimately            prospective donors can expect from
responsible for the activities of those   charities seeking their support, and
associated with the charity, as well      it outlines the channels for redress
as those responsible for financial        that they can avail of if required.
accounting and reporting. It should
also serve to help charities build
their own capacity by developing
appropriate practice and standards.

     Section 3

     Core Principles

     Respect                                    honestly all reasonable questions
                                                about its fundraising activities and
     The charity shall respect the rights,      fundraising costs and it will do so
     dignity and privacy of its supporters,     within a reasonable timeframe.
     clients and beneficiaries. It shall
     not put undue pressure on anyone
     to make a gift and where someone           Openness
     does not want to give or wishes
     to cease giving, that decision will        The charity will make information
     be respected. The charity will not         about its purpose and its activities
     represent their clients or beneficiaries   freely available. It will be
     in a disrespectful way in their            transparent about who it is, the
     promotional activities, and where          work it performs and how any
     possible and appropriate, clients or       support is used. The charity will
     beneficiaries will have an input into      be accountable and will provide
     the charity’s promotional strategies.      a number of ways whereby
     The charity will take care not to cause    those interested can contact
     unreasonable nuisance or disruption        the organisation and receive a
     in its fundraising efforts.                reasonably timely response. The
                                                charity will have a procedure to
                                                address complaints, a copy of which
     Honesty                                    will be available on request.

     The charity will always act in an
     honest manner and will be truthful
     in all its dealings. It will answer

Section 4

Commitment to
The charity shall agree and make       Use of donations
known its own Donor’s Charter
which will include the following       In raising funds, the charity will
commitments. The charity may           accurately describe its activities
expand on these commitments as         and needs. The charity’s policies
befits their organisation’s mission.   and practices will ensure that any
                                       donations received will be used
                                       solely to further the organisation’s
Donors                                 mission. Where donations are made
                                       for a specific purpose, the donor’s
Donors have the right to be assured    request will be honoured. If the
that their gifts will be used for      charity invites the general public to
the purposes for which they were       donate to a specific cause, then the
given. Fundraising charities shall     charity will have a plan for handling
respect the rights of donors to be     any shortfall or excess.
informed about the causes for which
the charity is fundraising; to be
informed about how their donation      Disclosure
is being used; and to have their
names deleted from mailing lists or    Donors have the right to be
databases if so requested.             informed of the status and authority
                                       of those soliciting donations; for
                                       example, donors will be informed
                                       if fundraisers are employees of the
                                       organisation or third party agents.

     Organisational Independence              Volunteer fundraisers

     The charity will record and publish      The charity’s board and management
     in the Annual Report and the             shall ensure that the organisation
     Statement of Annual Accounts             has a policy for its activities
     details of individual gifts, including   involving volunteers, including the
     gifts-in-kind; where the charity         relationship and communications
     judges that those gifts may be           with volunteers and how volunteers
     construed to have the potential to       are managed.
     influence the independence of the
     organisation’s decision making.
                                              Complaints and feedback
     While an organisation is not obliged     procedure
     to accept anonymous donations,
     where anonymity is requested by          The charity will put in place
     a donor this will be respected if        procedures to enable interested
     the donation is accepted, however        parties to notify the organisation
     the other details of the gift will be    of their wishes, comments and
     recorded and published (such that        complaints. These procedures will
     anonymity is preserved).                 include systems to ensure that
                                              all feedback (including especially
                                              any complaints) are responded to
     Third party fundraisers                  and addressed within a specified
                                              timeframe. Public or donor queries
     The charity will seek to ensure that     or complaints should, in the first
     any donations sought indirectly,         instance, be addressed to the charity
     such as through third party agents,      in question. Where the charity’s
     are solicited and received in full       response does not satisfy the
     conformity with the charity’s own        complainant, s/he will have clear
     standards and practices. This will       information about the next level of
     normally be the subject of written       the complaints procedure, which
     agreement between the parties.           will be directed to the Monitoring

Group (see Section 9). All matters      Equality
of illegality should be addressed
immediately to An Garda Siochána.       The charity will adhere to any
                                        equality legislation and will not
                                        tolerate discrimination in any form.
Financial controls

The charity’s internal financial        Appointment of external auditor
control procedures will ensure that
all funds are used effectively and      The charity’s board (or, in the
will minimise the risk of funds being   case of an association, the general
misused. The charity will follow        meeting of members) shall appoint
the principles of best practice in      an external auditor or independent
financial management. An Annual         examiner as appropriate to audit/
Report and a Statement of Annual        examine the annual accounts.6
Accounts figures will be freely
available to the public (see Section
8, number 2 for an outline of the
content of an Annual Report and a
Statement of Annual Accounts).

Human resources

The charity’s human resource
                                        6 It is a requirement of the Revenue
policies will conform fully to            Commissioners that charities with an annual
relevant national and international       income of €00,000 or above must have audited
                                          accounts and this audit threshold is also applied
labour regulations. These policies        in the Charities Bill 2007. There is provision
will seek to apply best practices in      in the Charities Bill 2007 that charities below
terms of employee and volunteer           this threshold will not be obliged to have fully
                                          audited accounts but will have to have their
rights and health and safety at work.     accounts examined by an independent person
                                          approved by the Regulatory Authority.

     Section 5

     The Conduct of
     Fundraisers and fundraising charities         themselves and the charity they
     commit themselves to the highest              represent;
     standards of good practice and to
     ensuring that all their fundraising        3. Act according to the highest
     activities are respectful, honest,            standards and visions of their
     open and legal. Any information               organisation and profession;
     obtained in confidence as part of
     the fundraising process must not           4. Disclose if they are employees of
     be disclosed without express prior            the organisation or third party
     consent.                                      agents;

     The following commitments are not          5. Not knowingly or recklessly
     exhaustive and may be added to as             disseminate false or misleading
     befits the organisation’s mission.            information in the course of their
                                                   professional duties, nor permit
     Fundraisers and their organisations           their subordinates to do so;
     commit to:
                                                6. Not represent conflicting or
     . Conduct themselves at all times            competing interests without the
        with integrity, honesty and                consent of the parties concerned;
        trustworthiness. They will act at all
        times openly and in such a manner       7. Not knowingly, recklessly
        that donors are not misled;                or maliciously injure the
                                                   professional reputation or
     2. Respect the dignity of their               practice of other members of the
        profession and ensure that their           fundraising profession;
        actions enhance the reputation of

8. Not knowingly act in a manner        Responsibilities of
   inconsistent with these standards,   Fundraising Management
   or knowingly cause or permit
   others to do so;                     Those responsible (or their
                                        designate, whether voluntary
9. Not exploit any relationship with    or paid) for organising specific
   a donor, prospect, volunteer or      fundraising campaigns or
   employee for personal benefit or     fundraising activities, or who are
   misuse their authority or office     responsible for managing others
   for personal gain;                   who organise such fundraising
                                        campaigns have a range of
0.Comply with the laws of the land     responsibilities in order to meet the
   which relate to their professional   commitment to donors and fulfil the
   activities, both in letter and in    principles and standards. Amongst
   spirit;                              those responsibilities, Fundraising
                                        Management must:
.Advocate adherence within their
   organisation to all applicable       . Be responsible for ensuring that
   laws and regulations.                   fundraisers are aware of and
                                           can generally communicate the
                                           purpose of the organisation and
                                           of the specific fundraising efforts
                                           they are involved in;

     2. Be responsible for ensuring           the charity until after the fact,
        that fundraisers are aware that       the charity will work with that
        they must disclose if they are        fundraiser to ensure they are
        employees of the organisation or      aware of the standards expected
        third party agents;                   and that the fundraiser will apply
                                              them to any future events they
     3. Provide, where possible, clear        hold for the charity;
        and adequate, written or verbal,
        information to the public about    7. Where donations are raised
        any relevant follow-up including      through electronic means, for
        telephone procedures;                 example through charities’
                                              websites, the level of security
     4. Have procedures to ensure that,       applied to such websites shall be
        wherever possible, particular         of a sufficient standard to protect
        caution is exercised when             the confidentiality of donors
        soliciting from people who may        credit card and other personal
        be considered vulnerable;             details;

     5. Ensure that, where paid,           8. Be responsible for ensuring that
        fundraisers are remunerated by        paid fundraisers are remunerated
        such methods that will avoid          within the minimum wage
        the incidence of pressure on the      regulations;
        potential donor to donate;
                                           9. Ensure all public collections have
     6. Where events organised in the         a Garda permit, or where no
        charity’s name are not known by       permit is necessary, permission

   from the relevant authority              Fundraising and with any legal
   (such as for collections in church       requirements that apply;
                                         4.Ensure that appropriate training,
0.Ensure there is signed                   education and information
   confirmation that data are kept          is available to fundraisers to
   securely and confidentially and          enable them perform their roles
   in compliance with the Data              effectively;
   Protection Acts 988 and 2003;
                                         5.Be generally responsible to
.Ensure that the recruitment              explain to the public how
   process screens potential recruits       fundraising is organised and to
   to indicate suitability (subject to      help educate the public about the
   data protection regulations);            realities of resourcing charitable
                                            organisations. Where specific
2.Where remunerated, ensure                questions are received these
   fundraisers are legally entitled to      should be answered openly
   work in the jurisdiction;                and honestly. The principle of
                                            informing the charity in advance
3.Be responsible for ensuring              and adhering to these standards
   that, where paid, all fundraisers        will be highlighted as much as
   and third party agents are               possible by the organisation.
   given appropriate contracts, to
   include a clause stipulating their
   compliance with this Statement
   of Guiding Principles for

     Section 6

     Board/Trustee and
     Senior Management
     The ultimate responsibility for          . By promoting the existence of the
     meeting the standards of the                Statement of Guiding Principles
     Statement of Guiding Principles for         for Fundraising and other
     Fundraising lies with the charity’s         relevant Codes to the public,
     Board or Trustees and through them          donors and supporters;
     with the senior management of the
     charity. The Board/Trustees and          2. By ensuring a feedback
     Management are responsible for              mechanism is in place whereby
     ensuring that their charity is able to      anyone can comment on the
     and does fulfill its commitment to          fulfillment of the standards
     best practice in fundraising.               outlined in the Statement;

     The Board/Trustees and                   3. By ensuring that the charity’s
     Management of the charity are               commitment to best practice in
     accountable for the charity’s               fundraising is communicated in
     fundraising activities as follows:          all public policy statements by
                                                 stating same in relevant public
                                                 communications (annual reports,
                                                 website, policy statements,
                                                 governance documents, leaflets
                                                 and communication materials etc);

4. Where relevant by putting in         Fundraising exists only to support
   place training and development       the overall mission of the charity
   opportunities for relevant staff     in question. Therefore the Board/
   and volunteers;                      Trustees and Management of the
                                        charity are accountable to the
5. By ensuring that all relevant        organisation’s beneficiaries, service
   suppliers and contractors are        users, clients, donors, funders,
   informed about and contracted        volunteers and staff for the charity’s
   to adhere to the standards in the    overall performance. The Board/
   Statement in their fundraising       Trustees and Management shall
   work for the charity;                therefore ensure:

6. By assessing the charity’s
   fundraising strategy on a regular    . That the activities of the
   basis according to the guiding          organisation are focused on
   principles of this Statement;           achieving the objectives set out
                                           in the organisation’s charter, and
7. By including reference to               that these are translated into
   adherence to the Statement in the       a vision, policy, strategies and
   guiding principles of the charity;      budget;

8. By ensuring that senior              2. The organisation’s expenditure
   management take responsibility          is handled in a transparent,
   for implementing and adhering to        effective and efficient manner,
   the Statement;                          in line with an agreed annual
                                           plan and budget, and according
9. By being open to the charity            to a predetermined process for
   engaging in setting sector              evaluating and taking decisions
   standards, including feeding            on the allocation of funds;
   back their experience on these
   standards and participating in the
   development of future standards;

     3. Fundraising is handled in a
        transparent, effective and
        efficient manner, in line with an
        agreed plan and according to
        methods that are deemed socially

     4. The organisation has adopted
        a policy for activities involving
        volunteers, including their
        relationship and communications
        with volunteers and the method
        of managing volunteers;

     5. The organisation has the means
        to adequately control the way it
        functions and to alert it to, and
        to cope with, any risks in good

Section 7

Communications between the               3. The organisation’s name, logo,
charity, the public and potential           address, telephone numbers, web
donors shall be governed by the             address and charity registration
following guiding principles:               number, as well as its general
                                            purpose, shall always appear on
. There shall not be any incidence         fundraising material;
   of misleading and/or ambiguous
   information in any of the charity’s   4. Where more than one
   fundraising communications;              organisation is collecting
                                            together, the names, logos,
2. It shall be made clear at all times      addresses, telephone numbers,
   as to whether the fundraising in         web addresses and charity
   question is for the organisation in      registration numbers of all
   general or for a specific purpose.       organisations must appear on the
   Where examples are mentioned             material in question and must
   in relation to the general purpose       be made known to the donor or
   of the organisation, they shall be       prospective donor;
   clearly highlighted as examples.
   There must be a close relation to     5. Donors or prospective donors
   those examples that are used and         must be made aware if fundraisers
   the actual cause for which the           are employees of the organisation
   organisation is collecting;              or are third party agents;

     6. In the case of personal                  request of the prospective donor;
        approaches in a public place,
        where the prospective donor is        9. In the case of face-to-face,
        not known to the fundraiser,             door-to-door and telemarketing
        the fundraiser shall carry visible       fundraising, the individual
        identification which includes            fundraiser should have a general
        the organisation’s name, logo,           knowledge about what the
        telephone number and charity             organisation works for. It is
        registration number, as well as          not required that the individual
        the name of the fundraiser, so           fundraiser possesses a detailed
        that the donor will never be in          knowledge about projects,
        doubt about the organisation s/he        governance or administration etc
        is donating to;                          but s/he must be able to inform
                                                 the prospective donor of where
     7. In the case of telemarketing,            they can find the supplementary
        the individual fundraiser must           information;
        inform the prospective donor of
        the organisation’s name, as well      0.Particular care must be taken
        as be in a position to disclose the      when fundraising from children
        name of a contact person in the          and young people;
                                              .Compliance with data
     8. At all times in the case of              protection legislation in the
        face-to-face, door-to-door and           Data Protection Acts 988 and
        telemarketing fundraising, the           2003 (and any future Acts) and
        individual fundraiser shall be           the guidelines issued by the
        able to state the purpose for            Data Protection Commissioner
        which the funds will be used. In         relating to direct and inter-active
        the case of face-to-face and door-       marketing, including direct mail,
        to-door fundraising, this can be         telemarketing and fax, SMS text
        in the form of printed material          etc shall be followed at all times;
        that is given free of charge at the

2.If it is not intended that collected      be communicated to donors
   items such as clothing or other           generally, and, where practical the
   articles be sent directly to the          specific donor or donors (or their
   clients or beneficiaries of the           designates) should be informed.
   organisation but for example are
   to be sold instead, this must be
   made clear to the donors;              Images and Messages

3.Where all of the proceeds of an        Best practice in communications
   event are not going to the cause/      affects the entirety of the
   charity this should be made clear      organisation, and not just
   in the language used;                  fundraising. Accordingly, in all
                                          public communications and where
4.In the case of a project reaching      practical and reasonable within the
   the maximum requirement of             need to reflect reality, the following
   funds, then the organisation and       principles shall be applied:
   its fundraiser(s) shall clarify what
   any eventual surplus will be used      . Choices of images and
   for;                                      messages used in fundraising
                                             communications will be made
5. In the case of the charity being         based on the paramount principles
    in receipt of funds restricted           of respect for the dignity of the
    to certain purposes or projects          people concerned and a belief
    and where the charity cannot             in the equality of all people.
    realistically apply the funds            The charity will strive to choose
    within a reasonable timeframe            images and related messages based
    to that purpose or project,              on values of respect and equality,
    the charity may allocate those           and to truthfully represent any
    funds to a purpose as close as           image or depicted situation both
    possible to the original intended        in its immediate and in its wider
    purpose. This change should              context;

     2. The charity will avoid images       5. The visual images chosen to
        and messages that potentially          represent a fundraising project or
        stereotype, sensationalise or          campaign will be consistent with
        discriminate against people,           the other messages about the
        situations or places. The charity      project;
        will use images, messages
        and case studies with the           6. All promotional material shall
        participation and permission           be presented as clearly and
        of the subjects (or the subjects’      accessibly as possible, following
        parents / guardian);                   appropriate best practice
     3. The charity will ensure that,
        where possible, those whose         7. The fundraiser will be familiar
        situation is being represented         with the standards and guidelines
        have the opportunity to                of the Advertising Standards
        communicate their stories              Authority which stipulates that
        themselves;                            all communications should be
                                               legal, decent, honest and truthful.
     4. The charity will, where possible,
        establish and record whether
        the subjects wish to be named
        or identifiable and always act

Section 8

Financial accountability goes to          . The charity must produce an
the heart of transparency and is a           Annual Report and a Statement
dimension of fundraising and charity         of Annual Accounts;7 it must be
management that is understandably of         made publicly available every year.
great public interest. It is reasonable      The draft Bill proposes publication
to expect that when charity regulation       within ten months of year-end;
is in place the regulator’s remit will
focus considerably on financial           2. The Annual Report and the
accountability. At the moment, some          Statement of Annual Accounts
charities voluntarily apply financial        shall give a summary overview,
reporting standards, namely the              and depending on the nature
Charities Standard of Recommended            of the work, may contain
Practice (Charities SORP). Charities         information where applicable
that are companies limited by                about the previous year’s
guarantee must comply with company           development, with regards to:
law and some unincorporated
charities voluntarily comply with         -   Significant income and expense
those standards.                              items

As part of financial accountability       7 It is a requirement of the Revenue
                                            Commissioners that charities with an annual
and in preparation for the proposed         income of €00,000 or above must have audited
legislation, charities that are not         accounts and this audit threshold is also applied
                                            in the Charities Bill 2007. There is provision
companies limited by guarantee              in the Charities Bill 2007 that charities below
should consider applying the following      this threshold will not be obliged to have fully
financial reporting standards:              audited accounts but will have to have their
                                            accounts examined by an independent person
                                            approved by the Regulatory Authority.

     -   Significant balance sheet items       5. Any contribution which may be
                                                  construed to have the potential to
     -   Number of members of staff and           influence the independence of the
         of volunteers                            organisation’s decision making
                                                  shall be disclosed in the Annual
     -   Number of local, national or             Report and in the Statement of
         international activities, including      Annual Accounts;
         a representative indication of the
         types of activities carried out       6. The charity should be in a
                                                  position, on request, to provide
     -   Number of paid subscribers /             net income figures for their major
         members                                  public fundraising events;

     -   Identify salaries, rental costs and   7. If terms such as “Fundraising in
         any other significant operating          full goes to…” or “All monies
         expenses                                 raised go to…” have been used in
                                                  a charity’s fundraising campaign,
     -   Other significant key figures;           those funds must be accounted
                                                  for separately by the charity;
     3. In relation to the Annual Report
        and the Statement of Annual            8. The charity shall make a
        Accounts, management shall be in          statement on its application
        a position to clarify the accounting      of the Statement of Guiding
        practices detailed therein;               Principles for Fundraising, either
                                                  confirming that it has complied
     4. Any contributions from parent             with the Statement’s principles,
        organisations, collaborative              or, where it does not, providing
        partners or public grants shall be        an explanation.
        disclosed in the Annual Report
        and in the Statement of Annual

Section 9

Monitoring and
To be meaningful the standards          In the context of the establishment
must be actively monitored and any      of a Monitoring Group the
cases of non-compliance addressed       following approach is recommended:
promptly and proportionally.
                                        . Each charity should establish
The feasibility study is                   a complaints procedure.
recommending that a Monitoring             Complaints from the public
Group, made up of the charities            or donors on the operational
sector with a majority of                  aspects of fundraising should in
independent members and an                 the first instance be addressed to
independent chairperson, should be         and investigated by the charity
established to actively monitor usage      involved.
of the Codes of Good Practice and
to deal with complaints.                2. Where a complainant is not
                                           satisfied with the charity’s
                                           response to their complaint, they
                                           may take the complaint to the
                                           Monitoring Group, who will
                                           investigate the complaint and
                                           propose remedial action.

     Appendix A

     Useful Reference

      Organisations                               Contact Details
      Office of the Revenue Commissioners,
      Charities Section
      Office of the Attorney General    
      Existing charities legislation    
      An Garda Siochána                 
      Department of Community, Rural and
      Gaeltacht Affairs
      Companies Registration Office     
      Commissioners of Charitable Donations and
      Bequests for Ireland
      The Valuation Office              
      Director of Corporate Enforcement 
      The Equality Authority            
      The Probate Office                
      Data Protection Commissioner      
      Ombudsman for Children            

     8 This is an indicative list only.

Other Codes of Conduct                         Contact Details
Dóchas’ Code of Conduct on Images and
Irish Fundraising Forum for Direct   
Recruitment’s Code of Practice
Institute of Fundraising (UK)        
ISOBRO (Denmark) Ethical Guidelines for
International Non Governmental                www.
Organisations’ Accountability Charter         ingoaccountabilitycharter.
American Association of Fundraising Counsel’s
Donor Bill of Rights
German Central Institute for Social Issues’
Guidelines and Implementing Instructions
The International Committee on Fundraising
Organizations’ International Standards
VFI (Dutch Association of Fundraising
Organisations) Code of Good Governance for
Fundraising Charities

     Appendix B

     Members of
     Working Group
         Name                         Organisation
         Siobhán McGee9               Fundraising Consultant & Centre for Nonprofit
                                      Management, Trinity College
         James Howe                   Concern
         Mark Mellett                 Focus Ireland
         Thora Mackey                 UNICEF Ireland
         Joan Ward                    Roscommon Home Services
         Catriona Hogan               Cork Counselling Services
         Judy Dunne                   The Consumers Association of Ireland
         Lillian Sullivan             The Alzheimer Society of Ireland, Limerick
         Niamh Sheeran                Niamh Sheeran & Associates – Fundraising
         Liam Manning                 Saint Vincent de Paul Society, Dundalk area
         Geraldine O’Sullivan         Kerry Volunteer Centre

     9 Siobhán McGee was contracted by ICTR to lead the process between July and December 2007.
       Other members of the Working Group took part on a voluntary basis.

Appendix C

Steering Committee
A Steering Committee was established to oversee the research study and
approve the outputs. The members were chosen for their expertise and
served on the Steering Committee in a personal capacity.

Name                    Organisation
Andrew O’Regan          Centre for Nonprofit Management, Trinity College
Caitriona Fottrell      The Ireland Funds
Freda Donoghue          Centre for Nonprofit Management, Trinity College
James Cassidy           (previously Irish Cancer Society)
Mary Moorhead           The Mater Foundation
Niamh Sheeran           Niamh Sheeran & Associates – Fundraising
Oonagh Breen            School of Law, University College Dublin
Paddy Maguinness        Niall Mellon Township Trust
Philip Smith            Arthur Cox Solicitors
Richard Dixon           Concern
Siobhán McGee           Fundraising Consultant & Centre for Nonprofit
                        Management, Trinity College
Teresa Harrington       PricewaterhouseCoopers
Sheila Nordon           Irish Charities Tax Research Ltd
Peter Cassells          Independent consultant and Chair of the National
                        Centre for Partnership and Performance

Irish Charities Tax Research Ltd
0 Grattan Crescent
Dublin 8

Phone: (0) 400 200
Fax:   (0) 453 862

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