What is Fiscal Hosting?
What exactly is fiscal hosting and how does it work?
What is Fiscal Hosting?
Fiscal hosting is a service that allows open-source projects to receive financial support while maintaining their independence. It provides a legal and financial framework for projects to accept donations, manage funds, and ensure compliance with regulations.
Our Approach to Fiscal Hosting
At The Modding Foundation, we provide:
- Fund Management: We hold and manage the project's money and provide you the tools to fundraise and create expenses
- Contribution processing: we manage third-party payment processors like PayPal and Stripe, and handle the distribution of funds to the project.
- Financial Reporting: We provide transparent reporting on all financial activities, ensuring that project maintainers have a clear understanding of their funding status.
- Tax and legal compliance: we draft, review and sign agreements on behalf of our hosted member projects.
- Oversight and accountability: we ensure funds are used appropriately and in accordance with the project's goals.
This setup allows you to focus on your project's development while we handle the financial and administrative aspects. Under the fiscal hosting model we have adopted, projects retain their autonomy, but TMF remains responsible for financial oversight and compliance, ensuring that your funds are used in ways that support your initiative.
The Open Collective Platform
TMF uses the Open Collective Platform to manage our fiscal hosting services. This platform provides a transparent and efficient way for projects to receive and manage funds, while also offering tools for financial reporting and compliance.
While transactions are publicly visible, private details (such as emails, names and addresses) are only visible to admins.
If an organization prefers to contribute via an invoice, we can facilitiate that and allocate the funds directly to the project or to your OpenCollective balance.