Above Photo: Anga (African Angels Trust)
Charity Evaluation Process
In international giving, an important role of an intermediary organization is to assume the risks and liabilities of making grants to foreign non-profits. Our evaluation process ensures that the foreign organization is legitimate, is not a terrorist organization or involved in bribery or political activity contrary to US interests, and that the donation is not returning any tangible benefit to a donor aside from the permitted tax deduction. The foreign non-profit need not satisfy all the strict criteria of a US 501(c)(3), but it must have sufficient organizational history and governance to demonstrate its legitimacy and accountability.
The steps involved in charity evaluation include the following:
- The non-profit must be confirmed as existing, duly registered, and in good standing with a national office overseeing charitable activity.
- The charity must not be operating in any countries subject to current US sanctions.
- Applications must include the following documents:
- Proof of registration in the organization’s country of residence
- A completed application form
- Organizing documents and/or bylaws, translated into English
- The most recent audit
- The most recent annual report
- A brief description of current programs
- A list of current Directors and/or Trustees
The AFC staff and Board review these materials, examining the applicant’s mission, administration, programs, governance, and finances. Review of applications is typically completed within two months of submission of materials.