Who is this for?
This content is designed for participants in Anti Entropy's SparkWell fiscal sponsorship program. While some context will be specific to SparkWell and may need more context, we've made these resources public because they may, nevertheless, be useful to others who may be founding or building an organization.
This article and the accompanying template are general guidance only. They do not constitute legal, tax, or accounting advice, and they do not create an attorney-client relationship. Consult a qualified professional about your organization's specific circumstances. Requirements vary by jurisdiction.
About this template
The award letter is a short letter a funder sends to confirm a gift in support of a SparkWell project. It records the amount, names the project the funds are intended for, and confirms the funder's determination that the recipient is a 501(c)(3) public charity.
The legal recipient is Anti Entropy, EIN 88-0967420. SparkWell projects are not separate legal entities, so funders should name Anti Entropy as the grantee in their own records and grants management systems. Anti Entropy issues the gift acknowledgment for tax purposes.
This is not a grant agreement
The letter is a one-way confirmation of a gift, not a contract. Nobody countersigns it, and it creates no reporting deadlines, no milestones, and no obligation to return unspent funds.
Legally, the gift is unrestricted support for Anti Entropy's general operating expenses, with a stated purpose attached. The letter says the funder expects the funds to support the named project, then states that if the project becomes infeasible or funds remain at the end, Anti Entropy may apply them to other work within its charitable mission.
That release language is the point. It keeps the gift unrestricted and preserves the fiscal sponsor's discretion over its own assets, which is a requirement of comprehensive fiscal sponsorship. Removing it would convert the letter into a restricted grant and change how the funds must be tracked and reported.
When to use it
Use it when a funder has agreed to support a project and needs a document to memorialize the gift. It suits institutional funders best, including foundations, companies, and grantmaking organizations, and it should go out on the funder's letterhead.
Individual donors can use the same letter. Remove the title line from the signature block and replace the organization name with the donor's name throughout.
If a funder requires its own grant agreement instead, send it to Anti Entropy before anyone signs. Restrictions, reporting terms, and reversion clauses interact with fiscal sponsorship and need review.
How to use it
Fill the bracketed placeholders: date, recipient name, project name, funder name, gift amount, and the signer's name and title. Leave the substantive paragraphs alone.
The funder sends the signed letter to both the project lead and Anti Entropy. Do not add reporting deadlines, budget pre-approval requirements, repayment or reversion clauses, or a counter-signature line.