1. Foreword
The first step is to consider whether it is appropriate to seek funding for your association.
Fundraising is a lengthy and demanding process that involves extensive administrative procedures and the preparation of a large number of documents – a full overview of the association’s activities and finances; a budget and description of the proposed project; a financial plan outlining future income and expenditure; the articles of association; minutes from the inaugural general meeting; a list of committee members; etc.
In addition to these preliminary steps, the association is required to provide a number of documents after the event or project — the exact documents vary depending on the funders — to demonstrate that the funds have been used appropriately.
However, grant applications are not the only concrete source of funding available to associations. Here is an overview of other possibilities:
- annual membership fees
- self-financing, such as selling products or running a food or drinks stall (the association generates enough income to cover its activities)
- equipment sharing or re-use
- negotiating free or reduced-price services with partners in exchange for contributions offered by the association
- careful management of expenditures and avoiding major costs
In addition, the new procedure for applying for grants from the City of Geneva has tax implications. Information on taxation for associations is available here.
It is important to take the time to assess whether fundraising is the right financing option for your association, especially in light of the workload it requires.
Reasons for seeking funding
It is useful to recognise the two distinct motivations behind seeking funding:
- assistance with the association’s operating costs, i.e. its day-to-day expenses such as room hire, office rent, office equipment purchases, salaries, etc.
- funding for a specific project that requires external investment. For example, a theatre company might seek funding for the production of a particular set of performances
This distinction between the association’s ongoing operations and specific projects is crucial. In our experience, public bodies, foundations, and companies are generally more willing to contribute to project funding. While projects are clearly time-bound, investment in the association’s operations can continue for as long as the association exists.
Most associations are generally expected to operate independently, while still having the option to receive support for certain specific, larger-scale projects.
2. Deadlines and scheduling
Fundraising for an association takes place once the association is established and operational.
Applications for grants to carry out a specific project must be submitted well in advance. Foundations and public bodies typically meet only two or three times a year to select the projects they will fund, whilst donors generally do not support projects that are already underway.
Some public administrations can make a quick decision on an application if the relevant department has the authority to decide independently. However, this is rare. In addition, for grants awarded by the City of Geneva, procedures and deadlines are strictly regulated; all the necessary information is available on the City of Geneva’s online procedures portal.
It is therefore advisable to allow several months from the date of submitting a funding application. The dates of allocation meetings are sometimes published and can be found on the websites of potential funding bodies. You can also contact these organisations directly to obtain this information. For public administrations (municipalities and cantons), the period from October to December is generally the best time to submit funding applications, as certain budgets must be allocated before the start of the following financial year.
In addition, calls for tenders are occasionally issued by municipalities and the Canton on specific topics, making associations working in these areas eligible for subsidies. One example of this is the City of Geneva’s Agenda 21 Service.
3. Submitting an application
The first step is to prepare a project presentation file, along with a budget outlining expected income and estimated expenditure. It is important to specify all amounts anticipated from potential donors, allowing each of them to assess the project’s likelihood of success and determine the size of their respective contributions.
The presentation file must include the following, at a minumum:
- a presentation of the association
- a presentation of the project and its activities
- an explanation of the target audience
Information about previous editions can be included if the project has already taken place, along with any new development prospects. If this is the first edition, other achievements of the association can be cited as examples.
The following documents are usually required:
- a budget for the project
- the accounts for the last financial year
- a letter from the auditing body for the previous financial year
- the list of Committee members
- the minutes of the inaugural general meeting, signed and dated
- the minutes of the last general meeting, signed and dated
- the latest activity report
Each funder is then free to request a different set of documents. This might include, for example, a specific application form, the association’s projected budget for the current or following year, a financial plan detailing funding requests, estimates for planned expenditure, a payment slip, letters of reference, and so on.
With regard to the provisional budget, attaching any estimates that have already been prepared will help to substantiate the projected amounts.
It is advisable to contact potential sponsors by telephone, clearly stating your objectives from the outset, to identify the appropriate person to whom the application should be addressed.
We invite you to use the template for a funding request letter provided by Lyoxa.
The procedures and deadlines set by public bodies and foundations are strict, so it is important to adhere to them. Smaller foundations or private companies tend to offer more flexibility; for example, it is often possible to resubmit a proposal if no response is received initially.
4. Funding bodies
4.1 Foundations
Switzerland has many foundations pursuing a wide range of goals. It is important to conduct thorough research to identify those most relevant to your association’s objectives. These objectives should be emphasised when presenting the association or the project. The following platforms allow you to search for foundations by keyword:
- fundraiso.ch
- Répertoire national des fondations
- Stiftung Schweiz
- Carte interactive du milieu philanthropique Suisse
The Loterie Romande, the Hans Wilsdorf Foundation, and the Pour-Cent Culturel are among the most active foundations in the canton of Geneva. They primarily support initiatives taking place in the French-speaking part of Switzerland and, more specifically, in Geneva.
4.2 Private companies
The guidance regarding foundations also applies to private companies, which can be approached for fundraising purposes. However, a few clarifications are necessary.
A private company is usually more interested in supporting a project that gives it some visibility, benefits, or a return of some kind. The relationship works more like a partnership between the association and the company. It can be helpful to offer ways to promote the sponsor, such as through media or communications, and to talk about the potential benefits of working together.
Private companies sometimes provide support in kind, i.e., material assistance rather than money. This can be useful for things like supplies, venues, food, or drinks needed to organise an event. However, it’s important to note that any in-kind contributions from a sponsor, whatever their form, cannot be resold by the association.
4.3 Public authorities
Public entities, such as the Canton of Geneva or local authorities, actively contribute to funding community projects. It is essential that the project takes place within their territory and that its primary beneficiaries are their residents. While not strictly necessary, it is highly advantageous for the project to serve the public interest and contribute to the community. The requirements for project funding are public and can be checked in advance.
4.3.1 The City of Geneva
At the level of the City of Geneva, various departments offer opportunities to apply for financial assistance. For associations, the main options are the Unité vie associative (UVA, Department of Social Cohesion and Solidarity) and the Service culturel (SEC, Department of Culture and Digital Transition), in addition to one-off projects launched on specific themes, as mentioned above.
The Service culturel of the City of Geneva (SEC) awards grants in the following areas:
- For cultural and outreach projects
- For cultural projects in the field of visual arts
- For cultural projects in the field of dance
- For the organisation of multidisciplinary events
- For cultural projects in the field of music
- For cultural projects in the field of theatre and storytelling arts.
In addition, the Agenda 21 Service offers one-off grants for organisations and climate-related initiatives: https://www.geneve.ch/demarches/faire-demande-subvention-ponctuelle-service-agenda-21-organisations-urgence-climatique
The Unité vie associative (UVA) handles grant applications related to youth and social services, for example:
- community activities within neighbourhoods
- funding for social services hotlines
- funding for youth employment integration projects
- funding for projects combating isolation among senior citizens
A few details should be added regarding the submission of grant applications to the City of Geneva across all departments:
From mid-September 2024, the procedure for applying for financial grants from the City of Geneva will change. The new process will centralise grant applications on an online portal that uses the Canton of Geneva’s e-démarches platform.
Using this platform will have several administrative and financial implications for associations, which are detailed in the dedicated framework [hyperlink].
5. Cancellation of a subsidised project
If the event or project for which funds have been granted cannot take place, the donor institution should be contacted to clarify how to proceed with the allocated grant.
Since the requested amount is tied to a budget established for a specific project, its cancellation generally invalidates that budget. As a result, the institution will likely request that the funds be returned so they can be redistributed to other beneficiaries.
The procedure involves contacting the contributing entity in writing to explain the situation and to inquire about the reimbursement process. Some donors do not require a monetary return in the event of cancellation; it may be wise to mention this alternative in the letter in order to open up this possibility.
6. Granting of a subsidy
The steps to follow once a grant is awarded depend on the requirements of each donor, which are communicated at the time the funds are granted.
In all cases, it is recommended to keep accurate accounts, as this is the primary documentation donors will request once the project is completed. All receipts, invoices, and bills should be carefully conserved.
It is also a good idea to conduct a satisfaction survey after the project or event to help support future funding applications.
A thank-you note to all funders, accompanied by photos of the project or event, is always appreciated.
In general, some time should be allocated for administrative work once the project is over.