FAQs:
Types of Projects
What kinds of projects do you fund and where?
We fund projects that result in increased employment and income in all areas of Peru except metropolitan Lima. We prefer projects in rural areas. We prefer projects that have clear and measurable economic outcomes.
Why don't you fund projects in Lima?
Many of Lima's poor face similar issues as the rural poor; however, we believe that by funding projects that provide alternatives to migration and therefore contribute to sustaining communities throughout the country, we can have a more lasting impact.
Are there minimum or maximum grant amounts?
No. However, our average grant is about $75,000 per year and we prefer to make smaller grants the first time we work with an organization.
Is there a minimum or maximum time frame for the projects you support?
No. The time frame should realistically reflect the amount of time it will take for you to achieve your goals.
Do you have guidelines for how much of the budget can be allocated to administrative costs?
No. However, we look favorably on organizations that keep their administrative costs low.
Do you fund infrastructure projects?
We recognize that some productive projects require investments in infrastructure, and some of our funding can be applied to those needs. However, we do not fund pure infrastructure projects and do no contribute to capital campaigns.
Do you provide funding for purchase of land?
Depending on the project, the purchase of land may be required to achieve the economic development goals of the project and can be funded. However, we do not fund purchase of land as a goal in itself.
Process
How long does it take to move through your decision-making process?
It takes anywhere from six to nine months from project profile submission to approval, depending on when in the funding cycle we receive your project profile. We encourage potential applicants to submit proposals well in advance of the start of the project. We normally don't accept requests for emergency funding.
What is your funding cycle?
The Peru Opportunity Fund Board meets three times a year to discuss projects: February, June, and October. We receive proposals on a rolling basis throughout the year; however, projects must go before the Board both in their profile stage and final proposal stage before being approved.
How quickly will we hear back if our project profile has been approved by the Board?
POF Within the first month after we have received your project profile, a member of our program staff will contact you for additional information prior to submitting the profile to the Board. If the project addresses our finding interests, the Board will discuss it at the next scheduled board meeting and we will notify you immediately of the result.
Are site visits mandatory prior to approval of project funding?
If the board approves your project profile, we will schedule a site visit. Following a satisfactory site visit, we will invite you to submit a full proposal. This full proposal will be discussed at the next scheduled board meeting.
Do you only make grants to nonprofits?
Yes. U.S. organizations must have 501(c)3 status and Peruvian organizations must be registered as nonprofits. We do make exceptions for for-profit companies with a social mission. We do not make grants to individuals.
How many years must an organization exist as a registered nonprofit before it can receive funding?
We favor organizations with demonstrated leadership and capacity. However, we do not have a specific guideline on age of the organization.
Policy
What if we have a project that crosses over several programmatic areas?
We like integrated project designs. It is best when describing your project that you clearly indicate the primary objectives but include additional anticipated outcomes and impact. For example, you may have an agricultural program that directly benefits rural producers but also will result in soil and water conservation.
Why won't POF be a sole funder on a project?
We have observed that the most sustainable change occurs when a range of actors has a stake in the outcome: the beneficiaries, private enterprise and like-minded funders.
How much counterpart funding do you require?
We prefer to fund about 30 percent of a project budget and will not consider requests for more than 50 percent.
Will you help us find other funders that may be interested?
We do not take responsibility of fundraising for our grantees; however, we do facilitate the exchange of information that may result in funders learning about your work and becoming interested in supporting you.
What types of funding do you provide?
We provide grants, loans, or a combination of both. We focus on program-related support but also consider requests for unrestricted funding once we have worked with an organization for several years.
What interest rate do you charge on your loans?
It depends on the project and the applicant organization, but it is generally less than the market rate.
If we have already received support from you, can we apply for another grant?
Yes. We are always interested to hear what our valued partners are doing and how we can support them.