Monday, December 2, 2013

Direct Interview with the Donor: STARS Foundation Gives Insights on How to Apply for Impact Awards 2014

-By Development Network-
FundsforNGOs is launching a new series of articles that will provide insight direct from grant-making representatives. This week we spoke to Alessio Kolioulis, Programme Assistant for Africa and Middle East at the STARS Foundation. We got together to discuss the recently announced Impact Awards 2014 designed to reward the best children focused interventions over the past twelve months.

2014 will see the Awards offered in Latin America and the Caribbean for the very first time besides continued funding in other regions. Four Awards of $100,000 each plus additional media support are guaranteed to be released to local NGOs in the region. Don't miss this exciting opportunity to access unrestricted funding to support your NGO.

RT: First off, tell us a little bit about the STARS Foundation and what it hopes to achieve.

AK: The STARS Foundation was established in 2001 by the Al Dabbagh Group as its philanthropic arm. The Foundation works to transform the lives of children globally by partnering with local NGOs who they believe are best placed to respond to the needs of children in their care. The Foundation is going through a tremendously exciting period as we've launched an ambitious plan to scale up in the next years to reach at least 20 million children by 2020.  In 2007 the Foundation launched the first Impact Awards in Africa, expanding to Asia in 2009 and the middle east and pacific regions in 2010. 2014 will see the Awards available in the Caribbean and Latin American for the first time.

RT: The Foundation has recently launched the 2014 Impact Awards. What do they offer to NGOs seeking funding?

AK: The Awards are designed to recognize outstanding organisations working to improve the lives of disadvantaged children in countries with the highest rates of under-five mortality. 24 Awards will be split between the three regions where the Awards are available (Latin America and the Caribbean; Africa and the Middle East; and Asia – Pacific) and the four issue categories of Health, Education, Protection and WASH (Water, Sanitation and Hygiene).

There will be four winners per region that will receive $100,000 of unrestricted funding together with a bespoke package of consultancy, PR support, and media training. Runners Up will receive up to $50,000 of unrestricted funding in addition to consultancy support.

RT: Unlike most funding that is available to NGOs, the Impact Awards provide rewards for past work rather than future projects, why is that?

AK: The Awards are designed to support organisations that have already demonstrated excellence in the delivery of interventions that make a significant impact on the lives of disadvantaged children. This means that we are able to support organisation's to continue their excellent work and help them to reach more young people than before.

RT: Another distinct feature of the Impact Awards is that you offer unrestricted funding, something that is quite rare in grant circles. Why is that.

AK: The STARS Foundation works to recognize excellent organisations that have proven that they are capable of delivering life changing projects. Our rigorous evaluation process ensures that organisations must demonstrate that they have sound management  structures and processes that provide outstanding  Strategy and Leadership, Finance and administration, Innovation and flexibility, Stakeholder investment and accountability and Human resource management.

Therefore we have confidence in the organisations we select to put the Award money to the best use within their NGO. We believe that local NGOs are best placed to decide upon their own needs to support the growth and development of their organisation that will enable them to better support disadvantaged children. Our considerable experience has shown us that restricted funding often hampers NGOs ability to expand or meet critical needs, whilst it is always exciting to us to see NGOs spend the Award money in different ways.

The Award can be put towards any activity, including planning for future sustainability, covering core running costs or delivery of programmes, as long as it ultimately benefits disadvantaged children. In previous years organisations have used this unrestricted funding to build up capacity by making investments in fundraising and communications as well as contributing to core costs and purchasing capital items such as vehicles or new facilities. Ultimately, the STARS Foundation believe in rewarding local NGOs because they respond better to the needs of their beneficiaries.

RT: What should organisations consider before applying to the Impact Awards?

AK: As with any other funding application, it is absolutely crucial that prospective organisations thoroughly check the eligibility criteria before committing to apply. Like many Foundations, we receive applications from organisations that do not meet the eligibility criteria. This represents time that could have been better spent elsewhere and consequently we strongly encourage organisations to double check the Award's eligibility criteria. The most common failure of this type is that NGOs fail to fulfill the minimum annual income requirement of $200,000. The Foundation chose this figure as a threshold as it shows that the applicant has sufficient experience to manage the Award money effectively and reduces the risk that the funding will be used inappropriately.

Another key elements of the Impact Awards eligibility criteria is that projects need to have been in existence for at least two years  meaning that nominated projects should have been operational in 2011. NGOs must be autonomous to be eligible which means that they will have their own constitution and board of directors.

We encourage multinational NGOs to apply but they must be sufficiently devolved on a local level to have their own autonomy to make their own decisions.

RT: The Impact Award winners will also receive a bespoke package of consultancy, PR support, and media training.  What do you hope these additional benefits can help NGOs to achieve?

AK: The STARS Foundation has been operational for over a decade whilst many of our staff have been in the development industry for a substantial amount of time as well. Our shared experience has taught us that many of the local NGOs we work with have under-developed fundraising and communication strategies which limits their ability to develop and become sustainable. This financial allocation has proven to be extremely successful at assisting NGOs to overcome these fundraising and communications challenges that are so common.

We have seen NGOs use the funds and expert resources to innovate the framework of their organisation, develop new communications materials such as websites and develop  business strategies that have enabled them to do more than would be otherwise possible. Many NGOs, understandably, focus on delivering the best possible services to their beneficiaries and spend less time investing in management systems, strategies and communications. The Foundation particularly recognizes the value of NGOs with effective communications as they are better placed to reach different sectors of their community, secure support from local key decision makers, raise more money from local people and generally to raise the profile of their organisation among stakeholders throughout their community. We believe that if we can assist some of the great organisations that we work with to have a higher profile that it will have a significant positive effect in attracting new donors and supporters that will have a long term benefit to the NGO.

RT: Lastly, any tips for applicants when completing their application to the Impact Awards 2014?

AK: As mentioned before, meeting the eligibility criteria is fundamental. We've tried to make our supporting documentation for the fund as accessible as possible with NGOs able to follow a simple ten step eligibility checklist which is available on our website. It is important for applicants to consider how and why they deliver their programs in a particular way, how they have innovated within their local environment and how they have worked to secure the involvement of stakeholders. I would also strongly advise that potential applicants check the official glossary for the Impact Awards that clarifies all of the terminology that the Foundation uses.

Discover more about the STARS Foundation's Impact Awards and how you can apply by visiting their website here.

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