The Phoenix Fund:

How the Fund Works

Photo: Joni Kabana for Mercy Corps

Mercy Corps' Country Directors submit proposals to the Phoenix Fund, which are evaluated by Mercy Corps staff and advisors with extensive experience in economic development and business.

Grant approvals are made promptly to provide timely access to funds. Once approved, Country Directors and their staff implement and manage the project, typically in partnership with local organizations and communities

Successful proposals outline how funds will meet critical needs and achieve enduring change. We look for proposals that include:

• Livelihood creation: creation of a significant number of new jobs
• Income increase: higher earnings by a significant number in the community
• Social contribution: positive impact on conflict resolution, health, education, and community development
• Proof of concept: development of clear metrics to secure follow-on government and foundation funding
• Scalability: project can serve as a model for additional funding and in other countries Measurable outcomes: tracking and reporting of economic and non-economic outputs

The annual budgets of most Phoenix Fund proposals range from $25,000 to $75,000 — a small investment in U.S. terms, but a substantial sum in developing countries. If a project is selected for funding, Mercy Corps ensures sufficient resources for that project to achieve measurable results in 12 to 18 months.

Distinguishing characteristics

• The Phoenix Fund puts venture capital into the hands of our front-line managers to test new ideas that can scale and be sustainable over time.
• As Mercy Corps is operational on the ground, we have direct oversight and accountability on all of the investments made by the Phoenix Fund.
• Good ideas have immediate opportunity for replication through our worldwide network of programs.
• As appropriate to the projects, we encourage our donors to lend skills and expertise to Phoenix Fund grantees.