For anyone who thinks their reserves could be working harder.

Many charities adopt a conservative attitude when it comes to reserves. Rather than viewing them as an asset to be actively managed, reserves are often seen as a resource that should be protected and preserved.

Charity and economic landscapes are changing rapidly. The global economic crisis has meant the last few years have been the worst economically. It’s easy to argue the ‘rainy day’ scenario has been upon us – but research has shown that many charities still haven’t used reserves. This begs the question – what are they here for? Could charities utilise their reserves more effectively? And how do you convince others – particularly trustees – to adopt a more dynamic approach?

Published in 2012

The content of guides is correct at the time stated above but inevitably legal changes, case law and new financial reporting standards will change. You are therefore advised to check any particular actions you plan to take with the appropriate authority before committing yourself. No responsibility is accepted by the authors for reliance placed on the content of this guide.