In Sphere, all gifts received from donors must be allocated to a fund.
If you plan to export gift information to a General Ledger (GL) using Financial Link, you also need funds as you will assign them to GL accounts.
Sphere comes with a default fund, called the Sphere Default Fund, which is created to ensure that every transaction is associated with a fund.
A fund designation puts a marketing face to a fund, and enables donors to explicitly state what their charitable gifts are to be used for. For example, a donor can explicitly state that his/her gift is to be used to support Lung Cancer. The user can make this selection from a form in a CMS Web site or event page, or you can enter the designation in Sphere (via Gift Entry or Import Center). You need to first create a fund before you can create designations for that fund, and you can create as many designations as you need. When you first create a fund, it will be undesignated. You can later create designations for the fund. If a fund designation is not specified during gift, the gift will be flagged as undesignated in the database.
A fund type enables you to categorize a fund (e.g., Restricted, Unrestricted, or Temporarily Restricted). These categorizations enable you to determine how the fund will be used by your organization.
To be able to select a fund or fund designation during the gift entry, you need to set it to active.