He has a right to criticize who has a heart to help. - Alliance for ...

Top 10 Mistakes That Keep Your Nonprofit from Getting Private Grant Funding

With Phil Johncock, The Grant Professor & ANN’s Executive Director

Top 10 Mistakes That Keep Your Nonprofit Getting All The Private Grant Funding You Want! With Phil Johncock, The Grant Professor & ANN’s Executive Director

Quote

“He has a right to criticize who has a heart to help.” -Abraham Lincoln

Role

Copyright © 2013 AllianceForNevadaNonprofits.com

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How many private grants?

The Most Important Questions 1. Where do you find grant opportunities? – Funder Research 2. What are the trends? – Private/Public Funding 3. How do you track funding opportunities? – Grant Seeking 4. How do you craft an effective application? – Crafting Effective Applications 5. How do we “sell” our cause? – Balancing Information & Persuasion

Why Is This Important?

• • • •

Government cutbacks Limited time Limited staff Limited discretionary funds • Desire for accurate, timely & reliable info


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Facts & Definitions Let’s start with some facts & definitions … • Private grants are … • A nonprofit is …

Nonprofit …

Nonprofit …


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Mistake #10 10. Poor Training in Funder Research

Poor Training Means No … Knowledge of how to research, identify, and match funding resources to meet specific needs Grant Professional Certification Exam Competency 01 1. Identify major trends in public funding and public policy. 2. Identify major trends in private grant funding. 3. Identify methods of locating funding sources. 4. Identify techniques to learn about specific funders. 5. Identify methods for maintaining, tracking, and updating information on potential funders. 6. Identify effects of applicants’ organizational cultures, values, decisionmaking processes, and norms on the pursuit of grant opportunities. 7. Identify fundable programs and projects for specific organizations. 8. Determine best matches between funders and specific programs. 9. Interpret grant application request for proposal (RFP) guidelines and requirements to accurately assess funder intent.

Methods of Locating Funding Sources - 1.03 General Websites & Databases FoundationCenter.org Foundation Directory Online: GrantSpace.org/Find-Us Grants.gov GrantStation.com Guidestar.org Google search DonorsForum.org FederalRegister.gov Philanthropy News Digest : FoundationCenter.org/pnd Specific (by topic or agency) Websites & Listservs Wealthengine.com Health care organization listservs Federal Agency websites FundsnetServices.com EDGAR - The SEC offers free searches on company CEOs and people connected to personal or corporate foundations IRIS (Illinois Researcher Information Service) library.illinois.edu/iris COS (Community of Science), SPIN, FEDIX, TRAM, IRIS at UCLA Office of Contract and Grant Administration NOZA (nozasearch.com)

State-Specific Sources Grant watch - state based system Regional Foundation Library Nevada State Grants Office Listserve Email: [email protected] Other Chronicle of Philanthropy list of awards Donor list of other similar organizations Environmental scanning of press Grant Professional Association Website (GPA) SIGS (Special Interest Groups) Grant-writing friends / Colleagues / Co-workers Other organization websites/annual reports Board Members Local community foundations Donor research - newspaper, attendance at community events, research interests, giving history LinkedIn Groups Civic Organizations


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Methods of Locating Funding Sources - 1.03

Tracking Funders 1.05

Your Ideal Training Leads to Certification Today, we’re talking about Competencies or Skills 1, 2, 4 & 9 Source: Grant Professional Certification Institute GrantCredential.org


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Mistake #9 10. Poor Training in Funder Research 9. No method for making best matches (#i)

Mistake #9

Mistake #9

80% of applications received DO NOT match priorities


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How to Stop Mistake #9 From The Fastest Way to Get Grants, Phil Johncock (2010)

How to Stop Mistake #9 A.R.T. & I.S.A.G.S. • Geography • Interest

• Deadline • Funder Clock

Availability (A)

Time Frame (T)

Relevance (R) • Agency Type • Special Population • Support Type

Mistake #8 10. Poor Training in Funder Research 9. No match between grant-making Foundation priorities and what you want 8. Low # of submissions & % success rate


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How to Stop Mistake #8 1. Increase the size of grant proposals 2. Increase the # of proposal submissions – How many proposals do you submit per year? • Consultants write 21-50 grant proposals a year

3. Increase you % of successful proposals – What is your success rate? • Consultants claim a 51-75% success rate

– How can you increase your success rate?

4. Use both left- and right-brained approaches

Use Both Left- & RightBrained Approaches

Mistake #7 10. Poor Training in Funder Research 9. No match between grant-making Foundation priorities and what you want 8. Low # of submissions & % success rate 7. Not grant ready


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How to Stop Mistake #7: Be Grant Ready

Research show that 80% of your grant narrative & attachments can be completed “before” you even see a funder’s Request For Proposal (RFP).

How to Stop Mistake #7: Be Grant Ready

Imagine what it be like to get an RFP on Monday and be able to turn in a completed proposal by Friday and still have time to spare!

How to Stop Mistake #7 3-Ring Binder “Accountability is an obligation or willingness by a charity to explain its actions to its stakeholders.” “Transparency is an obligation or willingness by a charity to publish and make available critical data about the organization.” “Generally speaking, charities that follow best practices in governance, donor relations and related areas are less likely to engage in unethical and irresponsible activities.”

TABS In Your Grant Readiness 3-Ring Binder or Folders … 1. Financial 2. Governance 3. GuideStar Exchange 4. Legal 5. Program Management 6. Public Disclosures 7. Grants Approved 8. Funder Prospects


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Poor Grant Readiness Means No … Knowledge of organizational development as it pertains to grant seeking – GPC Exam Competency 2 01. Identify methods for coordinating organizations’ grants development with various available funding streams. 02. Assess organizations’ capacity for grant seeking. 03. Assess organizations’ readiness to obtain funding for and implement specific projects. 04. Identify methods for assisting organizations to implement practices that advance grant readiness. 05. Identify values, purposes, and goals of fund-seeking entities’ overall strategic plans in the grants process. 06. Identify methods of conducting mission-focused planning and needs assessments with applicant organizations. 07. Identify strategies and procedures for obtaining internal institutional support and approval of decision-makers for grantseeking activities. 08. Identify appropriate methods of working with local, state, and federal agencies and stakeholders to support grant seeking. 09. Identify practices of grant seeking that are outside the boundaries of applicable laws and regulations.

Mistake #6 10. Poor Training in Funder Research 9. No match between grant-making Foundation priorities and what you want 8. Low # of submissions & % success rate 7. Not grant ready 6. Poor Training in Corporate Philanthropy

Corporate Philanthropy 1. 2. 3. 4.

Known grants Special discretionary $ Marketing budgets In-Kind • • • •

Volunteers Think tanks Stuff (law of surplus) Leverage to ask for $

5. Sponsor events or projects 6. Sponsor (co-brand) products


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4 Steps for Corporate Philanthropy 1. 2. 3.

4.

Identify what you need Draw circle around your nonprofit Brainstorm corporations that could 1) donate stuff or 2) sponsor an event or project Create a Google Map

Mistake #5 5. Not very sexy or attractive

What Attracts Funders? What attracts funders are proposals (i.e., ideas, projects and programs) that … • Are Original • Are Timely • Solve Problems • Are Compelling


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Compelling Ideas Attract The most compelling proposals … • Grab and hold on to reader’s attention – Weave a common thread through the proposal – 1-2 specific outcomes that align with funder’s priorities – Start outcomes with “increase” or “decrease”

• Move reader’s emotionally – Example: Make A Wish Foundation

• Necessitate action – Example: 1st grant

How to Be Compelling • What about your idea grabs and keeps people’s attention? • What about your idea moves people emotionally? • How can you explain your idea in such a way that it compels the funder to take action?

40% Of Your Score Knowledge of how to craft, construct, and submit an effective grant application GPC Exam Competency 4 01. Interpret grant application request for proposal (RFP) guidelines and requirements (e.g., abstracts and summaries, problem statements and needs assessments, introductions of organizations and capability statements, references and past performance requirements, timelines, narrative formats, budget formats, standard forms and assurances, scoring rubrics) to ensure high quality responses. 02. Identify elements of standard grant proposal applications (e.g., needs assessments and statements, project objectives, project designs and methods, project narratives, activities, action plans, timelines, project evaluations, budgets, dissemination plans, future funding or sustainability statements, appendices, attachments). 03. Identify work strategies for submitting high-quality proposals on time. 04. Identify accurate and appropriate data sources to support proposal narratives. 05. Identify appropriate, sequential, consistent, and logical presentations of grant-narrative elements and ideas among or within proposal components. 06. Identify proposal-writing approaches, styles, tones, and formats appropriate for proposing organizations and various audiences. 07. Identify appropriate and accurate uses of visuals to highlight information. 08. Identify effective practices for developing realistic, accurate line-item and narrative budgets and for expressing the relationship between line-items and project activities in the budget narrative. 09. Identify sources of in-kind matches for project budgets. 10. Identify factors that limit how budgets should be written (e.g., matching requirements, supplanting issues, indirect costs, prevailing rates, performance-based fees, client fees, collective bargaining, allowable versus non-allowable costs). 11. Identify evaluation models and components appropriate to grant applications. 12. Identify methods for submitting proposals electronically. Make a persuasive argument – GPC Exam Sub-Competency 9.05


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Mistake #4 5. Not very sexy or attractive 4. Include too much info and not enough persuasion

How to Stop Mistake #4 Agency’s Expertise & Credentials

Summary Sentence Funder Appeal

Budget Closing

Problem Statement

Your Proposed Solution

Craft An Effective Application GPC Exam Competency #4 Knowledge of how to craft, construct, and submit an effective grant application 01. Interpret grant application request for proposal (RFP) guidelines and requirements (e.g., abstracts and summaries, problem statements and needs assessments, introductions of organizations and capability statements, references and past performance requirements, timelines, narrative formats, budget formats, standard forms and assurances, scoring rubrics) to ensure high quality responses. 02. Identify elements of standard grant proposal applications (e.g., needs assessments and statements, project objectives, project designs and methods, project narratives, activities, action plans, timelines, project evaluations, budgets, dissemination plans, future funding or sustainability statements, appendices, attachments). 03. Identify work strategies for submitting high-quality proposals on time. 04. Identify accurate and appropriate data sources to support proposal narratives. 05. Identify appropriate, sequential, consistent, and logical presentations of grant-narrative elements and ideas among or within proposal components. 06. Identify proposal-writing approaches, styles, tones, and formats appropriate for proposing organizations and various audiences. 07. Identify appropriate and accurate uses of visuals to highlight information. 08. Identify effective practices for developing realistic, accurate line-item and narrative budgets and for expressing the relationship between line-items and project activities in the budget narrative. 09. Identify sources of in-kind matches for project budgets. 10. Identify factors that limit how budgets should be written (e.g., matching requirements, supplanting issues, indirect costs, prevailing rates, performance-based fees, client fees, collective bargaining, allowable versus nonallowable costs). 11. Identify evaluation models and components appropriate to grant applications. 12. Identify methods for submitting proposals electronically.


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Mistake #3 5. Not very sexy or attractive 4. Include too much info and not enough persuasion 3. No comparable agency analysis & tracking system

Mistake #3 No Comparative Analysis

4 Cooperating Collections in Nevada: GrantSpaces.org/Find-Us

How to Stop Mistake # 3

Online 990’s: GuideStar.org


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How to Stop Mistake # 3 Comparative Analysis


How to Stop Mistake # 3 Comparative Analysis


How to Stop Mistake # 3 Comparable Agency Tracking


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Summary: How to Stop Mistake # 3

Tip 1 - Look at page 9 of the Form 990 (Revenue) Tip 2 - Search Foundation Directory Online to find foundations who have given to that agency in the past - 4 Cooperating Collections in Nevada: GrantSpaces.org/Find-Us • Example: State association of nonprofits – Events: 40% expenses & 2% income – Comparables: 2+ state associations • Noticed associations making money with revenue streams … conferences & fundraising events (page 9 of 990) … possible sources for good corporate sponsors to approach regionally • Possible sources of regional/national foundations interested in capacity building

Mistake #2 5. Not very sexy or attractive 4. Include too much info and not enough persuasion 3. No comparable agency analysis & tracking 2. No Sustainability Plan or Multiple Revenue Streams

My First Grant Mistake  In my 1st grant, I did not have a Sustainability Plan for $2.5 million over 5 years. 3,000+ Students 25 Teachers 400+ 60-hour classes 12 Bilingual Tutors Award-Winning


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How to Stop Mistake # 2 Multiple Revenue Streams SHORT TERM • Fundraising events (dinners, concerts, sporting events) • Fee for service • Memberships • Gaming, Unrelated business income • Crowd-funding & online fundraising

MIDDLE TERM • Government grants • Federating Campaigns LONG TERM • Endowments • Planned giving • Bequests

Mistake #1 5. Not very sexy or attractive 4. Include too much info and not enough persuasion 3. No comparable agency analysis & tracking 2. No Sustainability Plan 1. No pre-proposal contact, targeted samples, peer reviews


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How to Stop Mistake #1 Pre-Proposal Contact • A study of over 10,000 federal proposals found that … • You want to … – Verify info – Gather more info – Make a positive first impression

• 4 steps that will give you a competitive edge: 1. 2. 3. 4.

Ask for application forms and guidelines Ask for a good proposal that the funder likes Contact a past grantee Speak with funder rep (have 2-3 ideas ready)

How to Stop Mistake #1 Funder-Based Samples

GrantsConference.com/blog

How to Stop Mistake #1 Peer Reviews  Grant writers who use a Peer Review process TRIPLE their chances of being funded!


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Review … 10. Poor Training in Funder Research 9. No match between grant-making Foundation priorities and what you want 8. Low # of submissions & % success rate 7. Not grant ready 6. Poor Training in Corporate Philanthropy

Review … 5. Not very sexy or attractive 4. Include too much info and not enough persuasion 3. No comparable agency analysis & tracking 2. No Sustainability Plan or Multiple Revenue Streams 1. No pre-proposal contact, targeted samples, peer reviews

What Are The Next Steps? 1. 2. 3. 4. 5.

Develop your funder research skills Increase # of submissions & % success rate Create a 3-ring grant readiness binder Develop your corporate philanthropy skills Make your ideas more compelling & attractive by using a proven template/boilerplate 6. Balance information with persuasion 7. Do comparable agency analysis & tracking 8. Diversify funding streams & sustainability plans 9. Pre-proposal contact, targeted samples, peer reviews • Take advantage of training opportunities like …


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