Guide to Fiscal Sponsorship and Affiliation

Sponsorship: Structuring Your Relationship with a Sponsor

Once you have identified a potential sponsor, the next step is formal affiliation for the purpose of seeking and receiving a grant. How loose or structured your relationship with the sponsor will be depends upon the individual situation and the customary practices of the sponsor. Some will treat you more or less as an employee, requiring you to work on the premises, some as a consultant, some as an affiliate, and some will leave you pretty much alone. Ask about such administrative ties before you make any promises so that you can select a sponsor whose practices in this respect will most nearly coincide with your needs.

Since you may require professional guidance from your sponsor in administering the grant as well as seeking funds, it is always best to avoid surprises. Ask in advance. Secure in writing, if possible, what is expected of both you and the sponsor and who supplies what services in exchange for what, right down to the last pencil.

To avoid being gobbled up by your own sponsor, consider drafting a letter of agreement at the time you decide to affiliate. Better yet, have an attorney do it. Such a letter functions as a contract if you both sign it. It specifies the responsibilities and benefits of both you and the sponsoring organization as a direct result of your joint collaboration. Ordinarily, it sets a time limit on your affiliation. Remember, sponsors will want you to be quite specific about your plans once the grant money runs out.

For sample fiscal sponsorship policies, procedures, and guidelines, visit our FAQ: "Where can I find examples of policies, procedures and guidelines for fiscal sponsorship agreements on the Web?"