Michael Clifford was awarded the MBE in 2009 for serving young people
We may be officially out of the recession but voluntary sector groups are still feeling the effects.
The award-winning Wheelbase project aims to reduce crime committed by youngsters by providing educational and vocational training in car maintenance.
The charity said funding has become increasingly difficult to find.
Project Manager Michael Clifford MBE said: "We're always under threat of closure. The struggle for funding goes on. Nobody's safe at the moment."
The core of the project's funding comes from the Learning and Skills Council, and Nottingham City Council, but Wheelbase also rely on charitable donations to top up the money required.
However, during the recession, and since Britain entered the government's so called 'age of austerity', Wheelbase has started to feel the pinch.
"Funding has become difficult to come by now," said Mr Clifford. "[And] people don't give as much to charity.
"Years ago it was all funded by grant aid and you would apply to local government and central government. Those days are over and long gone."
Wheelbase won a National Training Award in 2005 for its work with young people aged between 14 and 25 years.
At the time the former Nottingham South MP Alan Simpson called it "one of Nottingham's great unsung triumphs".
Since it began in 1992 the Wheelbase project say they have turned around the lives of many troubled youngsters.
Some have moved away from a life of crime, and in some cases heroin, towards running their own businesses, serving in the army, becoming pub landlords and even completing degrees.
The funding goes towards the £8,150 needed to support a trainee for one year at Wheelbase.
Whilst, according to a 2009 Audit Commission report, an offending youth can cost the taxpayer £200,000 by the time they reach 16.
Another aspect of the Wheelbase experience is an opportunity for students to take part in grass track racing.
Mr Clifford explained why racing is important.
"The racing element is about getting people socialised and about racing against the public. For the first time in their lives they have something tangible to lose.
"They have to attend so many classes of literacy, numeracy, life and social skills. Be on time, take instruction from others.
"They've got to jump through all those hoops before they get anywhere near becoming a mechanic at one of the races, let alone driving at one."
The money used for racing is provided by private donations.
Film by Joe Mercer-Holland, a media student at Confetti Institute, Nottingham