You have done your due diligence and submitted the proposal and have been awarded the grant. Great news. Now you can relax right? Wrong! Your work has just begun.
Now you have to actually do what you said you were going to do in the proposal. Hopefully you set realistic goals, objectives and activities. You need to be able to track those as well as the financial expenditures. The most effective way to do this is to utilize some type of software. For the financial component you may be able to use your organization's current financial software such as QuickBooks, or Quicken. Whatever you have be sure to track each and every penny of the granting agencies funds. Creating a simple excel spreadsheet might be all you need to use to track activities. Use software that will give you the best ability to track your progress. You will need the information at a later date and it can be tedious trying to remember what you did seven months ago.
With the check you will probably receive an award letter that outlines when reports are due, how the funds can be expended and other important information. Review this letter immediately and store in a prominent place in case you need to refer back to it.
There should be an internal process in place to book and track the funds. This process needs to have the capability to differentiate grant funds from individual gifts or endowments. Often times funders will require you to place the check in its own separate account so that interest can be calculated and expenses made specifically for the program or project that they funded. Make sure your bank can do this for you.
After six months or a year, funders normally require an accounting of how you spent their gift in the form of a progress or final report. Since budgets are projections and necessitate educated guesses, sometimes the funds need to be expended in a different way than originally proposed. Some organizations will allow for a certain percentage of the total amount to be moved between line items. For example, lets say the funder gave $40,000 for salary, $2,500 for equipment, $2,500 for consulting and $5,000 for supplies for program X. The director of the program leaves the organization after six months. After two months without replacing the program director you have additional funds available in the salary line, while you have depleted the funds in the consultant line because you have had to rely more heavily on the consultant to meet the constituent needs. Let's say the funder allows you to move 10% of the total grant ($50,000), you may be able to move $5,000 from the salary line to the consultants line to defray the additional cost. Remember that unless the project or program completely stopped when the program director left, someone was doing the work. If another staff member took on the responsibilities of the program, he or she should be compensated with a portion of the grant funds. When in doubt contact the funder to find out what they will allow as far as line item changes.
This brings up a very important point-contact the funder throughout the course of the grant on a regular basis, especially when challenges arise. Invite the program officer to the event they are sponsoring. Send that press release to the funder even if it is not directly tied to the program they are funding. Send your quarterly newsletter, and annual report. You want to use every opportunity to market your entire organization, not just the program they are funding. Making them aware of other programs or projects that your organization is involved in may boost potential interest in those programs from the funder in the future. They may not have time to read the press release or decline your invitation, but contact has been made and that is important. It shows them that you care about their support. Of course, don't harass the funder by sending weekly updates, but don't wait until the final report is due to let them know about the progress that has been made.
A colleague recently wrote an excellent article called Stewardship: What Happens after the Grant is Won that nicely details the relational aspects between granting and recipient organizations.
Monday, January 16, 2006
Wednesday, January 04, 2006
Grant checklist for the new year
I hope that everyone had a wonderful holiday season. Mine was refreshing and relaxing, but now it is time to get back in to the world of grants.
I enjoy setting goals for myself, family and business at the beginning of the year. It helps me to stay focused and I am able to gain a sense of accomplishment when I am able to complete the activities and objectives that correspond with each goal. Grantwriters and other organizational planners can and should create a plan during the year to keep their organization's mission at the center of what they do. The steps to this planning process could include:
1. Work with your organization's key stakeholders to determine organizational priorities for the year. Identify the needs of the people being served by the organization. This will vary from year to year depending on both internal and external circumstances.
2. If a new program is being introduced, the key stakeholders develop a plan and formalize it in the form of a concept paper. If this is an ongoing program, the plan needs to be updated to reflect changes over the past year and anticipated changes over the next year. The concept paper could include the following details:
A. An overview of how the project serves the needs of the constituents
B. Goals, objectives, activities and tasks
C. Staff and equipment needed
D. A three-year preliminary budget (For new programs)
E. Outline of evaluation methods and/or assessment tools to measure outcomes
F. Post grant sustainability plan.
3. With the plan in hand, thoroughly research and identify potential funders. How do you know if granting agencies will fund the program? Know your funders. Start with the city or region that your organization is headquartered. Look at the areas major corporations, nearest community foundation, philanthropic families, and foundations. Many tools are available to research prospects on the internet. A good place to start is the Foundation Center. Check your nearest University, they may have the Foundation Center collection available for your use. There are many other resources available. Do a Google search to find one that meets your specific needs. Research as much as possible to determine if your program fits into their focused area of giving. If the funder is a foundation (Not a corporate giving program) look for their IRS Form 990 on Guidestar, which will give a wealth of information such as their total assets, previous grant amounts and sometimes provide guidelines to submitting a grant.
4. Don't try to fully fund a program with only grant funding. This is dangerous. Diversify your revenue streams with other types of funding such as an annual appeal, special events, individual donations, in kind gifts, and endowments. Generally speaking, only one in three grant proposals are funded. Be prepared to approach more than one potential funder.
5. Begin building relationships with the funder(s) whenever possible. Some granting agencies appreciate face to face visits, others prefer telephone calls or email. A colleague recently mentioned that more and more foundation staff prefer to correspond via email or letter as it gives them the ability to respond to inquiries as their schedule allows. Some organizations do not want to be contacted prior to submitting a Letter of Inquiry or full grant proposal. Follow their guidelines to the T! No use getting off to a bad start with someone you want to help meet your organizational goals.
6. Your program plan can be used to create a grant proposal based on the funder's specific guidelines. Some funders want a two page letter of inquiry, others want a ten page detailed full proposal. Again follow their specific guidelines. Having the program plan pre-written will be extremely helpful when submitting government grant applications. Typically Federal Government agencies only allow a one to two month turnaround time between when their Request for Proposals(RFP') are released and the grant application is due. These government applications can be extremely arduous and time consuming. Without a well though out plan the chances of being awarded a large government grant is very unlikely.
7. Work through the editing process and when possible include the organization's key stakeholders. Again follow those grant guidelines, don't forget the attachments such as your IRS tax-exempt letter and drop it in the mail (or email it if they prefer).
Next time I will discuss what you should do when you get the grant!
I enjoy setting goals for myself, family and business at the beginning of the year. It helps me to stay focused and I am able to gain a sense of accomplishment when I am able to complete the activities and objectives that correspond with each goal. Grantwriters and other organizational planners can and should create a plan during the year to keep their organization's mission at the center of what they do. The steps to this planning process could include:
1. Work with your organization's key stakeholders to determine organizational priorities for the year. Identify the needs of the people being served by the organization. This will vary from year to year depending on both internal and external circumstances.
2. If a new program is being introduced, the key stakeholders develop a plan and formalize it in the form of a concept paper. If this is an ongoing program, the plan needs to be updated to reflect changes over the past year and anticipated changes over the next year. The concept paper could include the following details:
A. An overview of how the project serves the needs of the constituents
B. Goals, objectives, activities and tasks
C. Staff and equipment needed
D. A three-year preliminary budget (For new programs)
E. Outline of evaluation methods and/or assessment tools to measure outcomes
F. Post grant sustainability plan.
3. With the plan in hand, thoroughly research and identify potential funders. How do you know if granting agencies will fund the program? Know your funders. Start with the city or region that your organization is headquartered. Look at the areas major corporations, nearest community foundation, philanthropic families, and foundations. Many tools are available to research prospects on the internet. A good place to start is the Foundation Center. Check your nearest University, they may have the Foundation Center collection available for your use. There are many other resources available. Do a Google search to find one that meets your specific needs. Research as much as possible to determine if your program fits into their focused area of giving. If the funder is a foundation (Not a corporate giving program) look for their IRS Form 990 on Guidestar, which will give a wealth of information such as their total assets, previous grant amounts and sometimes provide guidelines to submitting a grant.
4. Don't try to fully fund a program with only grant funding. This is dangerous. Diversify your revenue streams with other types of funding such as an annual appeal, special events, individual donations, in kind gifts, and endowments. Generally speaking, only one in three grant proposals are funded. Be prepared to approach more than one potential funder.
5. Begin building relationships with the funder(s) whenever possible. Some granting agencies appreciate face to face visits, others prefer telephone calls or email. A colleague recently mentioned that more and more foundation staff prefer to correspond via email or letter as it gives them the ability to respond to inquiries as their schedule allows. Some organizations do not want to be contacted prior to submitting a Letter of Inquiry or full grant proposal. Follow their guidelines to the T! No use getting off to a bad start with someone you want to help meet your organizational goals.
6. Your program plan can be used to create a grant proposal based on the funder's specific guidelines. Some funders want a two page letter of inquiry, others want a ten page detailed full proposal. Again follow their specific guidelines. Having the program plan pre-written will be extremely helpful when submitting government grant applications. Typically Federal Government agencies only allow a one to two month turnaround time between when their Request for Proposals(RFP') are released and the grant application is due. These government applications can be extremely arduous and time consuming. Without a well though out plan the chances of being awarded a large government grant is very unlikely.
7. Work through the editing process and when possible include the organization's key stakeholders. Again follow those grant guidelines, don't forget the attachments such as your IRS tax-exempt letter and drop it in the mail (or email it if they prefer).
Next time I will discuss what you should do when you get the grant!
Monday, December 12, 2005
The year of...
The end of the year always inspires me to look back over the past twelve months and reflect upon my life and noteworthy events. When you look back over this past year what do you think about most? I can't help but think that 2005 will be remembered as the year of disasters. We saw unprecedented disasters such as the tsunami in Asia (Ok I know the tsunami happened in 2004, but it really impacted the beginning of 2005), Hurricanes in Florida and the Gulf Coast, and earthquakes that stopped time for too many.
For as many pictures shown in the media that made me hold my breath and want to turn away for a moment, just as many great stories of people responding to help meet the needs of others were presented. People and organizations around the world have given billions of dollars to charitable organizations, they have given their time, possessions, prayers, and more to help alleviate suffering that the victims of disasters have somehow endured. These gifts do make a difference, nonprofits organizations and businesses as well as individuals have helped to some degree to relieve the burden of those who have suffered.
Through the devastation that flowed through the past year I take heart in the fact that the response was overwhelming and unprecedented. Through further reflection, I will decide whether 2005 will be remembered most for the suffering endured by too many or the generosity to help alleviate the suffering given by many more.
What will you remember most about 2005?
For as many pictures shown in the media that made me hold my breath and want to turn away for a moment, just as many great stories of people responding to help meet the needs of others were presented. People and organizations around the world have given billions of dollars to charitable organizations, they have given their time, possessions, prayers, and more to help alleviate suffering that the victims of disasters have somehow endured. These gifts do make a difference, nonprofits organizations and businesses as well as individuals have helped to some degree to relieve the burden of those who have suffered.
Through the devastation that flowed through the past year I take heart in the fact that the response was overwhelming and unprecedented. Through further reflection, I will decide whether 2005 will be remembered most for the suffering endured by too many or the generosity to help alleviate the suffering given by many more.
What will you remember most about 2005?
Tuesday, November 15, 2005
Speak to the need
Philanthropy is an interesting phenomenon. It amazes me how generous people can be. In 2004 Americans gave over $240 Billion in philanthropic gifts.
I recently watched a popular news show that interviewed people who are literally giving their inheritance away. One person that was interviewed lived a very humble lifestyle by American standards, while giving away a good portion of his yearly income to worthwhile charities. Another young woman is really giving her inheritance away for the greater good.
People will donate most anything-money, their time, blood, their vehicle, jewelry or anything else that is perceived as useful or of value to another person or organization. Why do people donate? What is the motivation behind the gift? I am sure there are teams of sociologists at some institution of higher thinking trying to identify the motivators of giving. The funny thing about human nature is that what motivates one person may not motivate another person.
My very simplistic belief is that people give when they see a need and perceive value in giving to help alleviate that need. This is evident with the recent outpouring of donations for the Katrina/Rita hurricane relief efforts, and Asian Tsunami disaster relief. People could tune in to CNN or Fox News and immediately see the devastation, and decide how they would respond to the need.
According to the American Association of Fundraising Counsel "About 70 to 80 percent of Americans contribute annually to at least one charity. Being a 'philanthropist' does not merely mean making huge gifts; it means giving to any cause that you value." The majority of Americans see a need and respond through charitable giving. The charity of choice varies with each individuals belief system or desire to help a particular cause.
Does this need based giving also hold true for foundations and corporations? I believe it does. When presenting programs to corporate or foundation officers, speak to the need. Help them see the need clearly, and then demonstrate how their help i.e. charitable funds will work to relieve the need. Use statistical data and real life human stories to demonstrate the need. Make it clear and concise and you will have the advantage that motivates the majority of individual Americans to give.
I recently watched a popular news show that interviewed people who are literally giving their inheritance away. One person that was interviewed lived a very humble lifestyle by American standards, while giving away a good portion of his yearly income to worthwhile charities. Another young woman is really giving her inheritance away for the greater good.
People will donate most anything-money, their time, blood, their vehicle, jewelry or anything else that is perceived as useful or of value to another person or organization. Why do people donate? What is the motivation behind the gift? I am sure there are teams of sociologists at some institution of higher thinking trying to identify the motivators of giving. The funny thing about human nature is that what motivates one person may not motivate another person.
My very simplistic belief is that people give when they see a need and perceive value in giving to help alleviate that need. This is evident with the recent outpouring of donations for the Katrina/Rita hurricane relief efforts, and Asian Tsunami disaster relief. People could tune in to CNN or Fox News and immediately see the devastation, and decide how they would respond to the need.
According to the American Association of Fundraising Counsel "About 70 to 80 percent of Americans contribute annually to at least one charity. Being a 'philanthropist' does not merely mean making huge gifts; it means giving to any cause that you value." The majority of Americans see a need and respond through charitable giving. The charity of choice varies with each individuals belief system or desire to help a particular cause.
Does this need based giving also hold true for foundations and corporations? I believe it does. When presenting programs to corporate or foundation officers, speak to the need. Help them see the need clearly, and then demonstrate how their help i.e. charitable funds will work to relieve the need. Use statistical data and real life human stories to demonstrate the need. Make it clear and concise and you will have the advantage that motivates the majority of individual Americans to give.
Tuesday, November 01, 2005
Follow Those Guidelines!
I recently finished two very long and time intensive grant applications. Within the next week, I will start another Federal Grant application. Actually I already started working on that application last week. I eagerly downloaded the application instructions the first day the agency made it available online. I have been combing through the pages of instructions making a to do list of important information that must be either included or done to complete the application. These things include: the due date, the number of copies that must be sent with the proposal , margins, font type and size, required number of letters of collaboration, and/or letters of support and so on.
It is essential to make reading the grant proposal guidelines a part of the grant writing process. These guidelines give special instructions like those mentioned above and sometimes will give more clues as to the funders preferred area of funding, and special initiatives.
Typically, the larger the organization the more complex their application requirements will be. Federal and State agencies require more time intensive, exhaustive information with their proposals. Corporate and family foundations tend to be less strenuous in their application requirements. Of course there are exceptions.
I have found that the more complex instructions can be dissected page by page and a timeline of needed materials established very early in the process. This timeline can be given to department heads or other team members to complete with very specific due dates.
If the application won't be released for several more months and you are chomping at the bit to get started, reviewing the prior years application is helpful to understand what the organization may require in future funding cycles.
I like to try to find out as much as I can about funding priorities or special areas of interest that organizations hold so that I can slant the proposal in that direction to appeal to their interests. Larger applications will often include a rubric or point system the organization will use when scoring the application. Try to write toward the highest score in each category while remaining honest about what the program will be able to offer. Grant application instructions often hold the key to getting your project funded or just remaining another great idea.
It is essential to make reading the grant proposal guidelines a part of the grant writing process. These guidelines give special instructions like those mentioned above and sometimes will give more clues as to the funders preferred area of funding, and special initiatives.
Typically, the larger the organization the more complex their application requirements will be. Federal and State agencies require more time intensive, exhaustive information with their proposals. Corporate and family foundations tend to be less strenuous in their application requirements. Of course there are exceptions.
I have found that the more complex instructions can be dissected page by page and a timeline of needed materials established very early in the process. This timeline can be given to department heads or other team members to complete with very specific due dates.
If the application won't be released for several more months and you are chomping at the bit to get started, reviewing the prior years application is helpful to understand what the organization may require in future funding cycles.
I like to try to find out as much as I can about funding priorities or special areas of interest that organizations hold so that I can slant the proposal in that direction to appeal to their interests. Larger applications will often include a rubric or point system the organization will use when scoring the application. Try to write toward the highest score in each category while remaining honest about what the program will be able to offer. Grant application instructions often hold the key to getting your project funded or just remaining another great idea.
Friday, September 23, 2005
Surviving Disasters
Several people have recently asked me if donations to nonprofit organizations will be affected by this years disasters such as the Tsunami in Asia, and Hurrican Katrina. My simple answer is "Yes".
A recent study conducted by the Association of Fundrasing Professionals showed that 20% of donors who responded to the survey admitted that they had diverted their charitable gift(s) from organizations they traditionally supported to the tsunami relief efforts.
Americans will continue to donate generously, but will give more to catastrophic relief efforts, and will have to decrease their giving to their regular or favorite charities. After the September 11, 2001 attack on America, charities outside of relief efforts felt the strain of reduced giving as people gave to help the those most affected by the attacks.
Katrina is another domestic disaster that individuals and corporations immediately responded to by providing goods and monetary donations. Since this is a national crisis and not one experienced overseas, Americans will dig even deeper to donate their time and money. This will profoundly impact the ability of other than disaster relief non-profits to maintain the same level of revenue as they have in recent years.
As noted above, 20% of individuals stated that they diverted giving to their regular charity in order to provide assistance to the Tsunami efforts in 2005. We can assume that at least 20% of Americans will do the same with the Katrina relief efforts, although I believe it will be a much higher percentage since this disaster took place on American soil. 20% of the $1.2 billion reportedly raised as of September 22, 2005 by the Chronicle of Philanthropy for the Katrina relief effforts means that approximately $240 million has already been redirected away from other non-profit groups because of donor diversion. This will affect the homeless shelters ability to provide hot meals, elder care will be reduced, and museums and art facilities will have close their doors early.
Yes, the impact of Katrina is being felt across the nation and will continue to be felt for years to come throughout the entire country.
A recent study conducted by the Association of Fundrasing Professionals showed that 20% of donors who responded to the survey admitted that they had diverted their charitable gift(s) from organizations they traditionally supported to the tsunami relief efforts.
Americans will continue to donate generously, but will give more to catastrophic relief efforts, and will have to decrease their giving to their regular or favorite charities. After the September 11, 2001 attack on America, charities outside of relief efforts felt the strain of reduced giving as people gave to help the those most affected by the attacks.
Katrina is another domestic disaster that individuals and corporations immediately responded to by providing goods and monetary donations. Since this is a national crisis and not one experienced overseas, Americans will dig even deeper to donate their time and money. This will profoundly impact the ability of other than disaster relief non-profits to maintain the same level of revenue as they have in recent years.
As noted above, 20% of individuals stated that they diverted giving to their regular charity in order to provide assistance to the Tsunami efforts in 2005. We can assume that at least 20% of Americans will do the same with the Katrina relief efforts, although I believe it will be a much higher percentage since this disaster took place on American soil. 20% of the $1.2 billion reportedly raised as of September 22, 2005 by the Chronicle of Philanthropy for the Katrina relief effforts means that approximately $240 million has already been redirected away from other non-profit groups because of donor diversion. This will affect the homeless shelters ability to provide hot meals, elder care will be reduced, and museums and art facilities will have close their doors early.
Yes, the impact of Katrina is being felt across the nation and will continue to be felt for years to come throughout the entire country.
Thursday, September 15, 2005
Communicating With Potential Funders
Now you have done your research and and found potential funders for your program or project. Do you just submit the grant proposal, cross your fingers and hope for the best? Not if you really want to get funded.
Contacting the corporation or foundation prior to submitting the application is crucial. Sometimes funders will change their published focus of funding from year to year. Events such as the recent Katrina hurricane in the Gulf Coast states can and will affect an organizations giving strategy. Perhaps at the beginning of August some organizations would consider a gift to a museum or university. Now, since the disaster that same organization is changing its focus to help primarily with hurricane relief. A telephone call or email to the appropripe person to discuss their current ability/desire to give to your organization will help you to avoid wasting time in submitting an application to the wrong organization.
So how do you call or email if they do not publish that contact information or state in their literature "We do not accept telephone calls?" Some organizations want you to call and talk to them while others do not have the personnel to field calls or email. This is where your Board of Directors, friends, community partners and others who have a stake in your organization can help. Submit a list to those people that contain the names of the funding organizations Board of Trustees, and staff. Find out who knows who on that list. Perhaps one of your Board members knows one of their Board members through the Rotary club, church or other personal arena. Your Board member can make an informed call or request a meeting to discuss the impact that your program will have on the community. This person will hopefully be able to advise you based on information they know about the funder.This enhances the research you have already collected.
The point is that grantwriting is a team effort. No one person should be expedted to be the Lone Grant Ranger. You can have the best proposal ever written and yet it may be rejected because of limitations the funder may have. The more information you have the better prepared you will be to submit your grant request to the appropriate organization. It really is more about who you know than what you know or do in this field. Of course this is not the case with government funding sources. More on that another time...
Our hearts go out to the people affected by Katrina. If you would like to donate to a reputable organization click the links below to go to their website(s):
Red Cross
Salvation Army
Bush-Clinton Katrina Fund
Contacting the corporation or foundation prior to submitting the application is crucial. Sometimes funders will change their published focus of funding from year to year. Events such as the recent Katrina hurricane in the Gulf Coast states can and will affect an organizations giving strategy. Perhaps at the beginning of August some organizations would consider a gift to a museum or university. Now, since the disaster that same organization is changing its focus to help primarily with hurricane relief. A telephone call or email to the appropripe person to discuss their current ability/desire to give to your organization will help you to avoid wasting time in submitting an application to the wrong organization.
So how do you call or email if they do not publish that contact information or state in their literature "We do not accept telephone calls?" Some organizations want you to call and talk to them while others do not have the personnel to field calls or email. This is where your Board of Directors, friends, community partners and others who have a stake in your organization can help. Submit a list to those people that contain the names of the funding organizations Board of Trustees, and staff. Find out who knows who on that list. Perhaps one of your Board members knows one of their Board members through the Rotary club, church or other personal arena. Your Board member can make an informed call or request a meeting to discuss the impact that your program will have on the community. This person will hopefully be able to advise you based on information they know about the funder.This enhances the research you have already collected.
The point is that grantwriting is a team effort. No one person should be expedted to be the Lone Grant Ranger. You can have the best proposal ever written and yet it may be rejected because of limitations the funder may have. The more information you have the better prepared you will be to submit your grant request to the appropriate organization. It really is more about who you know than what you know or do in this field. Of course this is not the case with government funding sources. More on that another time...
Our hearts go out to the people affected by Katrina. If you would like to donate to a reputable organization click the links below to go to their website(s):
Red Cross
Salvation Army
Bush-Clinton Katrina Fund
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