Paying What It Takes: Funding Indirect Costs to Create Long-Term Impact

Paying What It Takes is a landmark research report collaboratively produced by the Centre for Social Impact, Philanthropy Australia and Social Ventures Australia .

Taking a look at the fraught state of capacity funding in the not-for-profit sector, the research found that not-for-profit organisations are under-investing in critical capabilities, due to a belief that funders will not cover the full cost of impact. This is then creating a ‘cycle of starvation’ whereby funders have an inaccurate expectation of the costs necessary to achieve and assess social impact.

The research calls for a shared approach from not-for-profit organisations, philanthropy, government, the public and media to fund the full cost to build a more resilient sector and to achieve real, lasting impact on social issues.