Finding Funders that Fit
Grant Prospecting Tips
Written by: Susan Butler Allison
Senior Fundraising Consultant
If you’re responsible for grant writing, this next story might sound familiar: I had just met with the board members of a small local nonprofit, asking them to introduce us to people they knew at prospective foundation funders—we were making great progress! Then, I got a follow-up call from one member: “Hey! I just read about this huge grant that Oprah Winfrey gave a nonprofit—you should call her!” You won’t be surprised to learn that he did not know Oprah or have her phone number!
As a grant writer, you’ll receive a variety of well-meant suggestions, especially at times when your organization is facing financial challenges. You might receive long lists of foundations to research, only to find out that they aren’t a fit for your organization. Or, you may hear comments like: “We should only be focusing on the really big grants.”
However, in a small to medium-sized nonprofit, you and your organization must decide how to use your resources most effectively. Smart grant prospecting will help you maximize the funds raised. A strategy is critical and provides guidance for others who want to support your efforts.
Here are five suggestions to help you set priorities for your organization and win more grants.
Review the guidelines: If you are collaborating with someone new to grant writing, they may not realize that some funders provide specifics about their funding interests, the geographic area they serve, etc. Also, if an application form is required, do you have the information needed to answer all of the questions?
Consider the awardee percentage: Consider the percentage of applicants who are funded—you may see this information on a foundation’s website. You don’t want low-percentage funders to dominate your prospect list.
Apply to smaller, local foundations: If you are a smaller nonprofit, it’s tempting to think you could find one large grant to cover your budget. However, you’re more likely to receive funding of varying amounts from multiple sources. Consider dedicating some time to applying to smaller, local foundations with a strong interest in your mission. Collectively, these can provide significant ongoing funding.
Leverage your network: Can anyone associated with your organization introduce you to a potential funder? Even if that’s not the case, an increasing number of foundations are open to pre-application meetings, or hold virtual meetings for potential applicants, to help you determine a fit and introduce their program officers to your organization.
Use a grant search database: If at all possible, use a grant search database to find potential funders by selected criteria. There are a number of paid versions, but if your budget doesn’t allow it, Candid/Foundation Center Online offers free onsite access to its database at some public libraries.
With grant prospecting strategies in place, you can use your time wisely to raise more money. Of course, after the grants start coming in, your nonprofit might want to try a few long-shot applications, especially if your mission is aligned with funder interests–but don’t let those dominate your prospect list!
For more information, see Purpose Possible’s Grants Webinar Series - and sign up for our weekly newsletters with other funding resources! We look forward to hearing from you.