Related party transactions


Related party transactions are dealings between a charity and ‘related parties’. These can be people or organisations, such as board members or executive officers and organisations with a significant influence over the charity (e.g. an organisation that appoints one of the members of the board of the charity).

They are defined as a transfer of resources, services or obligations between a charity and a related party, regardless of whether a price is charged. Charities sometimes undertake transactions with related people or organisations. Transparency and carefully managing these types of transactions help build trust.

Conflicts of interest (whether actual or perceived) may arise where a related party has an interest that conflicts with the best interest of a charity. Where there is actual or perceived interests with a related party, it may be difficult to demonstrate acting in the best interests of the charity.


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Integrity, honesty and unbiased assessment are at the core of Giving Guide’s mission. The charity sector is important to the economy and culture of Australia, We believe independently assessing the accountability, transparency and effectiveness of the sector beyond what is currently available is important to it's future.

Giving Guide anticipates enhancing the level of governance and transparency in the Australian charity sector. An independent charity advisor would benefit the sector by helping charities consider exceeding the existing governance standards of the Australian Charities and Not-for-profits Commission (ACNC) to the benefit of donors.

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