Strategy
Grant claim evidence: what to keep when a funder asks for proof
The evidence pack a small firm should hold for a grant claim: invoices, bank statements, timesheets, a numbered index and a six year retention rule.
What to take away
- Build one evidence folder per grant claim and number each item so it matches the budget lines.
- A funder wants three things provedyou were eligible, the cost was real and the activity happened.
- Supplier invoices, bank statements and signed timesheets carry more weight than quotations or screenshots.
- Keep the file for at least six years after the final payment, in case of audit or clawback.
- Close gaps in writing before the funder asks, and keep a copy of every message you send.
Why a claim needs a paper trail
Grant money comes with an audit obligation. Whether the funder is a council, a national body or a charity, someone must show that the money reached the project described in the offer letter.
The offer letter is the rulebook. It names the eligible costs, the claim dates and the evidence the funder will accept. Read it before you spend anything, not after.
Most problems at claim stage come from paperwork, not from the project. A missing invoice, an unsigned timesheet or a bank statement that does not reconcile can stall a payment for weeks.
The core evidence pack
| Evidence | What it proves | Format to keep |
|---|
Core grant evidence pack
- Offer letter and variationssigned PDF
- Supplier invoicesfull VAT invoice
- Bank statementsredacted, full period
- Timesheets and payrollsigned monthly sheets
- Output recordsreports, photos, attendance lists
- Insurance and licencescertificate and schedule
Building the folder, step by step
Good grant record keeping means a reviewer can follow one line from budget to bank statement.
Build the claim folder
- Number each budget line, give it a tab
- File invoice, then paying bank statement, then note
- Ask suppliers for VAT invoice in your name
- Collect signed timesheets every month
- Log budget changes with written funder confirmation
Example: a claim for new equipment
Example: a farm shop fitting a commercial kitchen claims for ovens and extraction. The pack holds the signed offer letter, the equipment invoices, the bank statement showing payment, the installer's commissioning certificate and photographs of the installed units.
The photographs matter because they show the money turned into working assets. A delivery note on its own proves nothing about installation.
Matching evidence to the grant type
Grant funding evidence requirements are not identical across schemes. The Business finance support finder lists national programmes and their claim rules, which helps you see how much proof each one expects.
Rural schemes usually require match funding. Rural business grants in England sit with DEFRA and local lead authorities, so you need a second set of records for your own contribution.
Rates relief is a separate mechanism from a grant claim. Small business rates relief eligibility still depends on evidence of occupation, so keep your lease, rates bill and council correspondence together. The Business rates relief guidance explains the tests a council applies.
Innovation grants ask for a different paper trail. Innovate UK Smart Grants expect timesheets, project diaries and evidence that the work faced technical uncertainty, so daily notes are worth keeping.
If the funder questions the claim
A query is not the end of the road. Reply with the numbered index, name the missing item and explain briefly why it was not filed earlier.
Your grant claim documentation should stand alone, so a reviewer can follow it without asking you questions.
If the claim is refused, you still have options. You can appeal a rejected grant application, request the assessor's feedback and decide whether to correct the file and reapply.
Keep the marketing side tidy too. Some grants fund you to run a programme for other people. If that programme targets women founders, advertising women founder funding brings financial promotion, substantiation and eligibility claims into scope.
Common questions
How long should I keep grant claim evidence?
Keep it for at least six years after the final payment. Audit and clawback windows can reopen, and funders sometimes review a sample of claims years later.
Do screenshots count as evidence?
Rarely on their own. A screenshot can support an invoice or a bank line, but the funder will normally want the invoice and the statement that proves payment.
What if I lost an invoice?
Ask the supplier for a duplicate or a statement of account. Write to the funder before the claim date, explain the gap and offer a substitute document.
Is rates relief the same as a grant?
No. Rates relief reduces your bill through the council, while a grant pays you. Both need records, but they are assessed under different rules.
