Conflict of interest is a topical area of challenge for donors and grantmakers along with the thorny issue of the Management Expense Ratio (MER) - the percentage of funds that is spent to administer and manage grants, says Genevieve Timmons in her new book ‘Savvy Giving’, commissioned by the Australian Communities Foundation.

Here we publish an extract from the book which offers guidance on the art and science of philanthropy for the beginner as well as the seasoned giver.

Conflict of interest is a topical area of challenge for donors and grantmakers. Board members and decision makers are expected to bring personal talents, ideas, networks and experience to the grantmaking table, to help inform the granting decisions.