If this is the first time that your organisation is preparing a budget, you should make a list of the items and categories you think you will need to spend money on.

Remember to include those items which you will need in the beginning, but that you will not have to buy again, such as desks, chairs, kettle, filing cabinets, rent deposit, telephone installation, advertising jobs, computer and printer. This is called capital outlay.

Running costs are those costs that you spend on a regular basis to keep the organisation going.

It is important to include a section in your budget on expected income. This means the income that you expect to get from your own fundraising, or membership fees and so on.

You are then telling the funder what your needs are, and also how you expect to pay for these needs.