Fiscal sponsorship can “reduce barriers to entry for would-be do-gooders.”
— Wendy Paris, Inside Philanthropy
What do philanthropists think about fiscal sponsorship and do they really understand our field? It’s been more than a year since a major article in the Chronicle of Philanthropy approached fiscal sponsorship from the funders’ perspective. Another publication recently took a stab at it: “Inside the Murky, Labyrinthine World of Fiscal Sponsors” in the December 16 edition of Inside Philanthropy.
Despite the article’s headline suggesting fiscal sponsorship is characterized by obfuscation and tangled operations, IP reporter Wendy Paris has written a well-balanced piece that hits all the salient notes and does it in an economical 1,700 words.
She defines our field’s benefits but doesn’t ignore criticisms we sometimes hear, such as inadequate transparency or oversight. In response, Craig Cichy, executive director of Social Impact Fund, told her, “I think it’s stronger oversight because the fiscal sponsor has an experienced board and is already going through audits every year. You as a project can also enjoy all that, knowing you are at a place [that’s] very safe and compliant.”
“Fiscal sponsors allow individuals and groups to address problems they see that might otherwise go ignored due to overwhelming logistics.” Colvin said. “It’s kind of like the venture capital secret of the nonprofit sector.”
In addition to Cichy, Paris interviewed staff of San Francisco Study Center and attorney and author Greg Colvin.
“Fiscal sponsors allow individuals and groups to address problems they see that might otherwise go ignored due to overwhelming logistics.” Colvin said. “It’s kind of like the venture capital secret of the nonprofit sector.”
Paris gave the final word in her article to Study Center executive director Geoff Link The sponsor’s job, he said, is to help its projects succeed: “Each one is out there, working their hearts out for a neighborhood or community. It’s a wonderful feeling to work with them.”
Marjorie Beggs, Fiscal Sponsor Directory Manager and Senior Writer and Editor, San Francisco Study Center
Photo: © Ivan Dzyuba, Dreamstime.com