so what are restricted funds?

When it comes to non-profits and charities, there can be two types of funds that you receive: restricted funds, and non-restricted funds. Non-restricted funds can be used for any purpose, project, or program, and have no donor restrictions on them. Restricted funds, on the other hand, can only be used for the purpose for which they were specified by the donor. This means that if a member on B1G1 chooses to contribute to build a school, it has to go towards that purpose, and not to build a house or clinic, or to cover organizational expenses. Having restricted funds gives members the assurance that the giving will go towards the impacts they want to make in the world.  In some countries such as the US, there exist guidelines and requirements for non-profits on accounting for restricted funds. 

How does this apply in B1G1?

When you receive your remittance slip, there’s one line right before you have to sign that goes:
We have received from B1G1 Giving the remittance shown below for the above-described activities, and we confirm that these funds will be used for the projects stated.

When we send remittances to you, you’ll see in the Remittance Slip that we’ve listed the exact amount that each project has received.

We expect that you will use these funds for their intended projects. This means that if you have multiple projects and Project A has received US$10,000 while Project B has received US$2,000, this is the exact amount you will use for each project. Even if Project B needs more funds and more urgently, you may not reallocate funds between projects.

This is important because B1G1 has promised our members that the amounts they have donated to their chosen projects will indeed go towards making an impact with that project and we need your support in keeping that promise. This promotes our community of trust and giving, and leads to continued giving! At times, you may find that the scope of your project has changed – perhaps your organization’s needs have evolved or the situation doesn’t allow for use of the funds right now. In such cases, please contact us and together we will discuss if an arrangement can be reached.

If you have any questions about funds usage or other requirements of the Worthy Cause program, please check out our FAQ as well as the Terms and Conditions that define our relationship. We are also always available at for any questions or a chat.