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Due diligence guide to help charities cut costs
The National Council for Voluntary Organisation (NCVO) has published a guide on due diligence designed to help charities cut costs and curb consultancy fees.
Due Diligence Demystified, created by the council’s Collaborative Working Unit, is set to help voluntary organisations carry out the appropriate risk assessments before embarking on a merger or significant partnership.
The guide aids third sector firms to gauge the financial stability of prospective partners, assess the severity of any risks involved and save funds by carrying out as much due diligence in-house as is prudent and cost-effective.
“Often there is a bit of ‘detective work’ that needs to take place before embarking on a new partnership,” explained Kate Aldous, manager of the Collaborative Working Unit at the NCVO.
“It’s essential that all parties know that the other organisation or organisations are sound before embarking on a merger or partnership and that their aims are realistic.”
The NCVO represents more than 4,900 English charities and voluntary organisations, from national bodies through community groups to local development agencies and volunteer bureaux.
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