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01. The fundamentals of charity governance
Governance is the system by which organisations are directed and controlled. It encompasses the structures, processes, and practices that enable effective decision-making, oversight, and accountability.
The Charity Governance Code outlines the recommended practice for good governance. Trustees should meet each area of the code or provide an explanation what is being done or why it is not applicable. The seven core principles of the Charity Governance Code are:
- Organisational purpose
- Leadership
- Integrity
- Decision-making, risk and control
- Board effectiveness
- Equality, diversity and inclusion
- Openness and accountability
02. Ethical fundraising: maintaining trust
Fundraising is vital for charitable organisations to sustain their important work and create positive change. However, fundraising activities must be conducted with complete integrity and transparency. The Fundraising Regulator Code of Practice set the standards expected of all charitable fundraising organisations across the UK.
03. The role of trustees and board members
04. Managing risks and fraud
05. Governance and risk resources
Industry bodies advising on governance
- The Charity Commission: the independent government department that registers and regulates charities in England and Wales.
- Chartered Institute of Fundraising: professional body for fundraising with resources on ethical practices and standards.
- Fundraising Regulator: the independent, non-statutory body that regulates fundraising across the charitable sector in England, Wales, and Northern Ireland.
- National Council for Voluntary Organisations (NCVO): umbrella body offering guidance on governance and leadership.
Governance guides
- The Charity Governance Code: a practical guide for charities to uphold good governance principles.
- NCVO Charity Ethical Principles: principles to use alongside the Charity Governance Code.
- The Directory of Social Change (DSC) Governance App: a tool for your board of trustees to review and improve their governance, together.
- Charity Commission Guidance: Charity Boards and Governance
- Charity Commission Guidance: Trustees and Fundraising
- Chartered Institute of Fundraising: Trustees and fundraising: a practical handbook
- Kingston Smith: A toolkit for Good Governance
Risk management resources
Risk Management
- Charities Commission: Charities and Risk Management
- NCVO: Managing risk | How to complete a risk assessment
- Sayer Vincent: Risk assessment made simple
- Kingston Smith: A toolkit for effective risk management
- Institute of Risk Management: Risk management for charities
- Lloyds Bank Foundation guide: Risk management toolkit
Insurance
- Charity Commission: Guidance on insurance for charities
Risk register
NCVO members can access its Risk Register Template. Use this template as a starting point for your own risk register and adapt it for your organisation.
Fraud and cybercrime
Every charity and not-for-profit is susceptible to fraud and cybercrime. Charities need to be aware of the risks and take steps to keep their money, people and data safe. Additional resources on preventing fraud and cybercrime can be found on the Prevent Charity Fraud website, Fraud Advisory Panel, and NCSC Cyber Security Small Charity Guide.
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