Grants are the most common form of funding for projects by donor organizations.
There are many definitions and concepts what are donor organizations, funds, grants, programs. A number of them are largely interpreted as the same (or identical). Therefore, our task is to find out, in a concise and accessible form, what donor organizations, foundations, grants and how to work with them, by summarizing the information.
Donors are international organizations, government agencies, commercial entities, public non-profit organizations (religious, scientific, etc.), private charitable foundations or private individuals that provide citizens and organizations with non-profit, non-reimbursable, additional resources of different kinds, for purposes that are directed at for the benefit of the whole society.
In practice there are several donor classifications that can be categorized as follows:
By type of assistance, donors are divided into those who:
• allocates scholarships for studying;
• provides expert (advisory) assistance;
• provides technology, equipment, etc.
In the area of interest, donors are divided into highly specialized (providing support in clearly defined areas of activity, such as the World AIDS Fund, the Global Environment Facility) and universal (whose priorities are diverse social problems).
Territorially, donors are national and international. Although these recommendations are mainly focused on international assistance, we should not forget about domestic donors. Moreover, organizations, within their own programs and large projects, can carry out so-called subgrantation. In this way, for example, the Ukrainian Fund for Social Investments, which on a competitive basis reallocates funds received from foreign financial organizations, works.
By the source of capital, the following main groups of international donors that are available to applicants: intergovernmental organizations, government, social and corporate donors can be identified. Let’s take a closer look into these groups.
1 Interstate organizations. This group of donors includes United Nations agencies (United Nations Development Program (UNDP), World Bank, etc.) and the European Union (European Commission, Council of Europe, OSCE).
2 Government donors. These may include grant programs from individual foreign authorities (USAID, Canadian International Development Agency (CIDA), Swedish International Development Cooperation Agency (SIDA), etc.
3 Public donors can be national (for example, German funds political parties – K. Adenaura Foundation, F. Nauoman Foundation, etc.) and international (for example, PHARE- Democracy Program, International Visegrad Fund). They are constructed on the basis of financial revenues from one or more countries and oblige to report to those whose money they are using.
4 Private donors. This category includes donors of different sizes and types of activities – from such large international organizations as the International Renaissance Foundation of Dzh.Soros and the Rockefeller Foundation to small family funds, the Knut and Alice Valenbergs Foundation, the Raccoon Foundation for the Promotion of Catholic Activities.
5 Corporate donors implement corporate social responsibility programs for large companies (Monsanto Company, Shell Institute for Unconventional Gas).