Grant writing is one of the popular ways nonprofit organizations secure funding to implement proposed program activities. Mastering the art of grant writing is paramount to nonprofit accessing funding opportunities.
What is grant writing?
Grant writing is defined as the process of applying for funding provided by a private, corporate or government grant maker using a well-written proposal or simply filling out a grant application for funding provided by foundation, corporation or government body.
Grant writing is a vital skill for individuals and organizations seeking funding and as a nonprofit you need grant to kick start or scale your impact in your community.
What are grants?
A grant is allotment of funds that funding agency (grantor) disburse to individuals or organizations (grantee) to accomplish a specific proposed activities detailed in the proposal.
A grant can also be defined as a source of funding provided to individuals or organizations to enable them implement a specific program within a stipulated period of time. The programs could range from renovating an old building, school children feeding program, women empowerment, and so on.
Grants serve as excellent source of support for nonprofits and are relatively cost-effective when compared to other fundraising strategies.
Characteristics of grants
Grants are temporary.
When you are awarded a grant, always have this at the back of your mind that it is temporary. Most foundations will not make long-term financial commitment to your organization. Every grant has a life cycle.
– Securing grant requires great effort and persistence. Many nonprofits compete for limited grants that you are asking for; grant seeking is very competitive so you need to distinguish yourself using a compelling grant proposal in order to secure the grant money you need.
– Grants are non-repayable and are given for a specific purpose.
– Grants are also no-risk way to obtain the financing you need for your proposed project activities.
Types of Grants:
– General or Operating Grants: This type of grant supports nonprofits in meeting their day to day operation. This grant supports nonprofits to pay rent, utilities, and other cost associated with running the organization.
– Program Grant: This is the funding that nonprofit receives to implement new program, run or expand an existing program or embark on a one-time project. Foundations, Corporations and government agencies award this type of grants to enable nonprofits implement proposed project activities in line with their mission and priority areas.
– Capacity Building Grant: This type of grant is used to enhance your organization capacities to better support its mission and achieve its goals.
– Capital or Equipment Grants: These are funds for capital support e.g. procurement of equipment, school or building renovation project and others.
– Endowments: These are grants to develop long-term permanent investment income to ensure the continuing presence and financial stability of your nonprofit organization.
– Matching funds: Grants awarded with the requirement that you must match the grant award with your own money or with in-kind contribution.
– Seed Grants: Grants awarded for a pilot program not yet in full-scale operation. Seed money helps the program to get started but you need other money to continue the program. E.g. The Pollination Project type of grant award of $1,000 seed grants.
Meaning of some terms:
– Grantor: refers to funding agencies that allots grants to individuals or organizations that seek grant to implement a proposed project activity.
– Grantee: are individuals or organizations who have successfully been awarded a grant to implement programs.
– Grant Contract: is a contract between funding agency and the grantee with grant supporting the proposed project activities and deliverables detailed in the proposal. The funding agency could be government, corporation or foundation. These are major sources of grant.
Why is grant writing important?
Grant writing is a vital skill for individuals and organizations seeking funding and as a nonprofit you need grant to kick start or scale your impact in your community. Grant writing offers nonprofits the privilege to obtain non-repayable funds. These grants will enable nonprofits to continue addressing the identified needs in the communities they serve.
Every year billions of dollars are offered by government, foundations and corporations around the world to support nonprofits fund their projects. These agencies help communities across the world accomplish goals, spread knowledge and create impact and better lives.
Grant writing offers you the opportunity to pitch your idea to these funding agencies and Grants range from $500 in size to millions of dollars are released every year depending on the nature of the grant and the funding agency.
Also, Grant writing has fantastic potential to help your nonprofits achieve its mission. Grants fuel nonprofits missions and enhance their impact in the communities. With grants, you can grow, improve and support various proposed project activities.
Grant writing for nonprofit is a serious business, and by approaching it with careful planning and belief in the value of your work, you can write a successful proposal.
