Working with consultants and freelancers

Charities and the wider not-for-profit sector fulfil extraordinary work, creating positive, meaningful, and lasting change both in the UK and around the world. But most charitable organisations will, at some point, need some help, advice, or contributions from someone outside their organisation to improve or guide their work. In the UK we are fortunate that there is a wealth of expertise and insight available across fundraising and the not-for-profit sector that they can bring in by working with a consultant, freelancer or agency.

This guidance is aimed at helping develop the best working relationships between fundraising organisations and a consultant.  While many of the principles will be the same for charities contracting with agencies, the relationship with an individual is often different from working with a large agency where there may be an account manager, a creative team, a finance department and a range of in-house expertise. For detailed guidance and advice on working with fundraising agencies, see our guidance ‘Successful partnerships for sustainable fundraising’.

Although this isn’t always the case, fundraising consultants tend to give advice and strategic input, while freelance fundraisers and contracted workers tend to deliver hands-on practical tasks, such as writing funding bids or creating a corporate membership scheme.  However, the terms are often used interchangeably and often consultants, contractors and freelancers will cover all areas.  For clarity and ease we will use the term ‘consultant’ from here on.        

Working with someone outside the organisation can provide the voice of an expert, a critical friend, or insight from a specialist which is not available within your team, and at a cost-effective price. When the relationship works, there is no doubt that consultants provide a hugely valuable and needed range of services for organisations across the UK. 

However, the success of that work does not happen out of the blue – the right foundations need to be in place, on both sides, for the relationship to work well and successful outcomes to be achieved.

• Capital appeals
• Interim support i.e. Head of Fundraising posts
• Support developing a fundraising strategy
• Creative advice and copywriting
• Insight and data 
• Mentoring a member of staff
• Help with a focussed area i.e. a new major gifts programme
• Researching potential new funding areas or donors
• Support evaluating a project

To ensure you find the right person/people with the required skills and experience a written brief is strongly advisable.  This can cover:

• The need(s) of your organisation, including skills and expertise;  for example, are you looking for someone with experience in a specific sector or geographical focus.
• A budget taking account travel expenses etc.
• Anticipated outputs and timescales.
• If relevant,  consider the proposed engagement is integrated with the overall strategy of the client (including business planning, budgeting, other fundraising and public relations).
• If applicable to your work, take a look at projected results. Take account of uncertainties, contingencies and maximum, medium and minimum expectations.  It is always beneficial to be flexible in your requirements as a good consultant can then support you with ideas on how to achieve your objectives and advise on appropriate timescales. 

This is likely to include providing a clear understanding of the background, aims and objectives of the organisation, along with vision for the future.  It also means ensuring time for regular catch up’s and updates so the consultant can effectively fulfil their role.

Fundraising has more success when it is embedded throughout the organisation and this includes involving volunteers, staff and trustees.  A good question to ask therefore is ‘who needs to be involved in the recruitment, induction and ongoing engagement with the consultant’?

Q: Can I pay a fundraiser by commission?

A: The Chartered Institute of Fundraising states that the payment of commission fees should only be paid in exceptional circumstances . 

'You must not use commission payments unless:

• you have explored and exhausted all other sources of fundraising investment;
• you (or senior executives, if you have delegated power to them) approve any payments; and
• there are measures in place to make sure excessive payments are not allowed.'

Standard 2.5.4- Paying fundraisers-  The code of Fundraising Practice 

Your organisation is also responsible for monitoring any commission payments it makes (see standard 2.5.5).

• Before entering an agreement, make sure you have undertaken appropriate due diligence  to evaluate risks , including financial and reputational risks that your charity may incur by entering a partnership with the consultant. Be prepared to discuss risks and how they are to be managed with the consultant before signing a contract.  
• You must have a contract in place before work starts. Details of what should be included can be found here.
• You and the consultant must be aware of and abide by the Fundraising Code of Practice. Your charity is responsible for ensuring that any partner who works with you to fundraise keeps to the code.
• You should discuss any possible conflicts of interests. This should be done at the due diligence stage or at the first opportunity when you become aware of them during the working relationship. The consultant should talk to both clients to resolve any conflicts and agree a way forward.
• The person within your organisation who signs the contract must have authorisation to do so.
• The consultant needs to make a solicitation statement when asking for a donation.

Following these practices will assist with the relationship between yourself and the consultant ensuring a more successful partnership:

• Agree and stick with payment schedules
• Keep to the agreed contract, don’t cancel it once it has been signed or make arbitrary changes part way through.  If the scope of work changes, you need to renegotiate the contract with the consultant.
• Do not expect consultants to bring along a ‘black book of contacts’ for you to solicit donations from.
• If your consultant uses associates, do not approach the associate to try and secure their services directly at a cheaper rate.
• Although rare, things can go wrong so it is important to consider the insurance of the consultant.

• Professional indemnity insurance covers financial loss, personal injury and property damage resulting from your negligent act, error or omission while you're working for a client
• Public liability insurance covers the cost of claims made by members of the public for incidents that occur in connection with your business activities. Public liability insurance covers the cost of compensation for: personal injuries, loss of or damage to property, death.

If you are using an agency that employs staff they may have Employers' liability insurance which covers you and your business for compensation costs if an employee becomes ill or injured as a result of the work they do for you. It's legally required of all businesses with one or more employees.

Consultants can be found:

• Chartered Institute of Fundraising Consultant’s List.
• By asking for a job post on the Fundraising Consultants & consultants UK Facebook group (contact admin).
• By asking the Chartered Institute of Fundraising Consultants Special Interest Group to share a role on their Facebook page. You can email any roles to: consultants@institute-of-fundraising.org.uk.
• Advertisements in the back of Fundraising Magazine
• You could also ask your local CVS or other charities you know work with consultants for recommendations.

• Meet the consultant where possible – or at least by Zoom/phone – it helps to establish a personal relationship.
• Obtain references.
• Ensure the contract is signed by both parties.