In-kind contribution

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In-kind contributions are a sub-category of third-party funding. They comprise everything others have provided for free to your project. As it is a support for your project the equivalent of such a contribution can be estimated and counted as a revenue with a monetary value in the budget and financing plan. It will then be documented in the list of third-party funding.

For most of the donors it is important to have an information of the in-kind contributions for the project they are supporting. Although the concrete values assigned to in-kind contributions are subject to negotiation and estimation.

[edit] Material

  • A travel agency participates with a special discount for participants: the difference to the normal price
  • A book-store donates notebooks and paper: market price
  • Copy- or Fax: Costs for acquisition or rent and use of the device.
  • Rental costs for a room that usually would be paid.
  • Bread from the bakery: market price

[edit] Voluntary Time

  • Time and service for the benefit of an activity provided by your and other people, like the number of person-months or person-years of time being donated to the programme by personnel from a national NGO.
  • Special services you provide that would cost a lot of money normally can be put here: programming a website, accomodation etc.
  • an expert in a given field, donates his expertise, knowledge and time: a salary figure that a similar professional would be paid if it is hired to do the same work in a programme;

[edit] Effects of in-kind contribution on the project concept

In-kind contributions increase the total financial volume of the project. 

This is the more important if a donor apports only a certain percentage of your project costs. Besides, in-kind contributions inform about the project team's success in activating non-financial ressources for the project.

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