Sponsors of the Academy programme come from a wide range of backgrounds including, universities, individual philanthropists, businesses, the charitable sector, existing private schools and educational foundations. They may also come from faith groups or the voluntary sector. Some are established educational providers. However, all of them bring a record of success in other enterprises which they are able to apply to their Academies in partnership with experienced school managers.
They also make decisions about the Academy's vision and ethos, and structures for governing and managing the new school. They contribute an essential drive and focus to the Academy governance and bring a refreshingly different and innovative approach to management. Importantly, they also bring a degree of stability and consistency which many of the predecessor schools that Academies have replaced did not enjoy. Through their involvement with the governing body, sponsors will continue to contribute their support as the Academy develops. Sponsors can not make a profit out of Academies.
Sponsors of the early Academies were required to provide 10% of the capital costs of a new building, capped at a maximum of £2 million. These sponsorship funds were not payable "up-front", but over the lifetime of a building project.
In 2006, the endowment model of sponsorship was announced. All sponsors are now expected to establish an endowment fund. A sponsor from the educational sector may bring value to an Academy project through their reputation and expertise in the educational field, but have more restricted access to charitable funding. For this reason, whilst sponsors with a successful track record of running educational institutions (including high performing schools and colleges, universities and sponsors of existing academies) are expected to establish an endowment fund, but are not required to commit any specific sum to the endowment.
Other sponsors joining the programme will, as the norm, establish an endowment fund worth £2m, with a minimum of £500,000 payable in the first year. Payment of the endowment will normally be over five years.
The proceeds of the endowment are spent by the academy trust on measures to counteract the impact of deprivation on education in their local communities.
