These days, in business, it’s all about waste reduction, belt-tightening, and fat-cutting. In the grantmaker space, seamless compliance is the key to maintaining continual and active management of your program. You want to make sure that when you disburse funds, they are going to the organizations that have the highest potential for benefitting the common good. That’s the entire drive behind a grant program. Being responsible for accurate and responsible funds use, in alignment with disbursement guidelines, is called grant compliance.
Grant compliance is following the standards and regulations outlined by your organization, local or state oversight boards, and the federal government. While the standards may differ from one case to another, most will require formal rules for the grant use, as well as requirements for eligibility. There is also a significant burden of documenting the progress, processes, data gathering and aggregation, and their impact.
Compliance is essential to keeping your funding stream open, and to being allowed to continue investing in programs that help to further or advance your program’s mission. Proper compliance can also help maintain fund eligibility by showing that your organization can fulfill requirements and make impacts. Here are some of the leading best practices for grant compliance.
While each grant program will have a unique checklist for compliance, common things to include on a federal research grant, for example, will include:
By now you should have a solid idea of why compliance is so important when it comes to grants and your organization, and our checklist should give you an actionable resource to use. To best achieve top levels of compliance it’s often best to partner with a company that can provide an easy-to-use software platform that can handle many of the management tasks automatically.
SmarterSelect can help simplify grant management so that you and your team can focus on compliance. Get a free demo now!
1. What are the best practices for grant compliance?
The best practices for grant compliance include thorough understanding of grant requirements, effective financial management and documentation, timely and accurate reporting, strong internal controls, proactive monitoring and evaluation, clear communication with grantors, and staff training on compliance obligations.
2. Who is a grant compliance owner?
The grant compliance owner is typically a designated individual or department within an organization responsible for ensuring adherence to grant requirements and overseeing all of the grant compliance efforts.