What are the benefits of using a fiscal host?

Not sure what a fiscal host is? Check out our other blog on fiscal hosting.

There are lots of reasons why movements, groups and projects can benefit from using a fiscal host. Here’s our top 3:

 

You can apply for grants and funding opportunities

Have you ever gone to fill out a grant application but realised you’re not eligible because of your legal status? Before funders can give out grants, they require a level of accountability that’s normally provided by a legal status, e.g. a registered charity.

A fiscal host acts as a guarantor for groups that are not formalised in this way. In acting as a guarantor, fiscal hosts provide funders with legal assurance that money will be spent according to agreed terms.

 

You can manage your money in a transparent and equitable way

Many groups can’t have a bank account unless they become a registered entity. That means that many activists hold their group’s money in their personal bank accounts. This can cause a lot of headaches. Not only can the money be taxed as personal income, but it can also create trust issues, as well as being a burden for the person responsible.

A fiscal host offers you the chance to hold your money in their bank account, while allowing you to access it when you need it. Some fiscal hosts (like us), provide you with a platform where transactions are transparently logged, meaning you don’t have to spend your time on reporting. For bigger groups, a fiscal host can help with other back office administration tasks, like managing payroll.

 

[Find out more about our Fiscal Hosting Service]

 

You can spend less time on admin, and more on creating change

Many grassroots groups emerge through the need to respond quickly to a crisis. Registering as a nonprofit can take several months and cost precious time and money. Many groups don’t want or need to become charities to do the type of work they want to do and many just want to get on with serving their communities.

 

Even if you plan on becoming an incorporated group in the long run, a fiscal host can offer immediate credibility and support while you’re getting started.

 

Whatever your reasons for needing support from a fiscal host, we can help. At The Social Change Nest, we handle the admin, so you can focus on the impact. Get in touch with a member of our team to see how we can support.

October 23, 2023

Learn more about how we can help

Get in touch with a member of our team to see how we can support.

Recommended reading from our blog

What is risk? Why does it matter?

If we’re going to solve some of society’s biggest challenges we need to think about risk differently.

Using a disused pub to feed the local community

An interview with Cambridge Community Kitchen.