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Match Funding Strategies: Finding and Securing Co-Funding

"We require 50% match funding" stops many organisations cold. But match funding requirements aren't barriers—they're opportunities to build stronger, more sustainable projects through strategic partnerships.

Understanding Match Funding Requirements

Match funding (also called matched funding or co-funding) means securing additional resources beyond what you're requesting from a specific funder. Requirements typically range from 10% to 100% of the requested amount.

Match LevelExampleTotal Project Value
25% matchRequest £60K, provide £20K match£80K
50% matchRequest £50K, provide £50K match£100K
100% matchRequest £40K, provide £40K match£80K

What Counts as Match Funding

Different funders accept different contributions:

  • Cash match (always accepted): Grants from other funders, earned income, donations
  • In-kind contributions (sometimes accepted): Staff time, volunteer hours, donated space/equipment
  • Existing resources (varies): Portion of existing staff salaries, use of owned premises

Finding Match Funding Sources

Strategy 1: Multiple Grant Applications

Apply to several funders simultaneously for different components of the same project.

Example: £100K Youth Programme

  • • Funder A: £50K for staff costs
  • • Funder B: £30K for activities and materials
  • • Funder C: £20K for evaluation and outcomes

Each application references the others as match funding, demonstrating collaborative funding model.

Strategy 2: Corporate Partnerships

Local businesses often provide match funding through:

  • Direct financial contributions
  • Payroll giving schemes
  • Matched employee fundraising
  • In-kind support (venue hire, equipment, professional services)

Strategy 3: Community Fundraising

For smaller projects, community fundraising can generate match:

  • Crowdfunding campaigns
  • Local events and sponsored activities
  • Individual donor appeals
  • Parish/community council small grants

Structuring Partnership Funding

When multiple funders support one project, clarity prevents conflicts.

Essential Documentation

Funding Partnership Agreement

Written document confirming each funder's contribution, timing, reporting requirements, and credit arrangements.

Project Budget Breakdown

Clear attribution showing which funder supports which costs, avoiding any double-counting.

Reporting Schedule

Coordinated timeline for reporting to each funder, managing any overlapping requirements.

Communicating Match Funding in Applications

How you present match funding affects funder confidence in your project viability.

Strong Match Funding Statement:

"This £80K project is being co-funded by:

• Your foundation: £40K (50%) - staff and delivery costs
• XYZ Trust: £25K (31%) - confirmed in writing, attached
• Local authority: £10K (13%) - approved, payment scheduled April 2026
• Earned income: £5K (6%) - conservative projection based on 3-year average

Should any confirmed funding not materialise, we will reduce project scope proportionately rather than proceed with insufficient resources."

Match Funding Red Flags to Avoid

  • Circular match funding: Using Funder A's grant to match Funder B while using Funder B's to match Funder A (double-counting)
  • Vague "pending" funding: Claiming match is "under consideration" with no evidence
  • Unrealistic in-kind valuations: Inflating volunteer hour values beyond market rates
  • No contingency plan: Failing to address what happens if match funding falls through
  • Timing Your Match Funding Strategy

    Sequence matters when building multi-funder projects.

    Recommended Sequence:

    1. 1. Secure "first mover" funder: Approach one funder willing to commit early, even if contingent on full funding
    2. 2. Leverage first commitment: Use confirmed funding to approach other funders ("X Foundation has committed £30K...")
    3. 3. Build momentum: Each additional commitment makes next funder more confident
    4. 4. Close remaining gaps: Final pieces easier once project is 70%+ funded

    TL;DR: Match Funding Success

    • ✓ Understand what counts as acceptable match for each funder
    • ✓ Apply to multiple funders simultaneously for different project components
    • ✓ Document all match funding commitments with evidence
    • ✓ Avoid double-counting any resource across funders
    • ✓ Have contingency plan if match funding doesn't materialise
    • ✓ Build funding partnerships sequentially, leveraging each commitment

    Build Strong Co-Funded Applications

    Crafty helps you structure complex multi-funder budgets and present partnership funding arrangements that build funder confidence.

    Start Your Application