6 Types of Grants for Nonprofits (and how to find them)

Summary

In this informative video, Amber Melanie Smith discusses various types of grant-making organizations for nonprofits, including corporate foundations, corporate giving programs, family foundations, community foundations, federal government grants, and local government grants. She outlines where to find these grants, their operational mechanisms, and the pros and cons of each. Amber also offers strategic advice on determining the best fit for a nonprofit's cause, emphasizing the importance of aligning with the grant-makers' priorities and the potential for establishing long-term funding relationships.

Takeaways

• 😀 Grants are a valuable source of funding for non-profit organizations to launch or expand programs.
• 🔍 Six main types of grant-making organizations were discussed: corporate foundations, corporate giving programs, private or family foundations, public or community foundations, federal government grants, and local government grants.
• 🏢 Corporate foundations are established by companies to provide charitable grants and can be found through online search tools or company websites.
• 🤝 Corporate giving programs often involve employee engagement, such as matching gifts or committees deciding on charitable support.
• 👨‍👩‍👧‍👦 Family foundations are private foundations managed by individuals or families and can be identified through tools like GuideStar.
• 🏛️ Community foundations pool funds from various sources to support local non-profits, focusing on community needs and priorities.
• 🏦 Federal government grants are substantial but require extensive paperwork and are suitable for non-profits with a proven track record and infrastructure.
• 🏙️ Local government grants are made from city or county budgets and can significantly boost a non-profit's credibility if awarded.
• 💼 Building relationships with companies or individuals before applying for grants can improve the chances of receiving funding.
• 💡 The suitability of a grant type depends on the non-profit's size, cause, and alignment with the grant maker's priorities and giving interests.

Q & A

What are the six types of organizations that give out grants for non-profits?

The six types of organizations that give out grants for non-profits are corporate foundations, corporate giving programs, private or family foundations, public or community foundations, grants from the federal government, and grants from local government.

How can you find corporate foundations that offer grants?

You can find corporate foundations by using search tools online like foundationcenter.org, visiting a company's website and looking for a section on charitable giving or corporate social responsibility, or by searching with the company name plus 'foundation' on Google.

What are the pros and cons of seeking funding from corporate foundations?

Pros include the potential for larger grant amounts and the possibility of establishing a long-term funding relationship. Cons are the competitive nature of these grants and the difficulty in getting initial access, which can be eased by building a relationship with the company before applying.

How do corporate giving programs differ from corporate foundations?

Corporate giving programs may involve employee committees voting on causes to support, employee matching programs, or other forms of giving that are not through a separate foundation but directly through the company.

What is a family foundation and how can you find them?

A family foundation is a private foundation run by an individual or family to organize their charitable giving. They can be found using foundation search tools like foundationcenter.org or guidestar.org, or by conducting internet searches.

What are the advantages and disadvantages of applying for grants from family foundations?

Advantages include the potential for larger and ongoing support once a trusting relationship is established. Disadvantages include the difficulty in getting noticed by these often-private foundations and the requirement to align with their specific giving priorities.

How can non-profits identify whether a family foundation might be a good funding fit?

Non-profits can review the family foundation's past funding, look at their tax records on platforms like GuideStar, and assess if their cause aligns with the foundation's interests and priorities.

What is a community foundation and how can non-profits find them?

A community foundation is a public charity that pools funds from multiple sources to invest in local non-profits. They can be found through online searches or by visiting the website of the Council of Foundations.

What are the benefits and challenges of seeking grants from community foundations?

Benefits include easier initial engagement and the potential for multi-year support. Challenges include aligning with the foundation's current giving priorities and the possibility of intense competition for funds.

How does one find and apply for federal government grants for non-profits?

Federal government grants can be found on grants.gov, where one can search for available grants and requests for proposals. The process involves meeting specific qualifications and undergoing rigorous reporting and record-keeping requirements.

What are the characteristics of local government or municipal grants for non-profits?

Local government grants are made from the city or county's annual budget and are typically awarded based on alignment with the government's giving priorities. They can be found through internet searches and often involve less paperwork than federal grants.

Why might a non-profit consider grants as a funding source, and what are some alternatives?

Grants can provide significant funding for program launch or expansion, especially for those with a track record of success. Alternatives include building an individual donor base, hosting fundraising events, or exploring earned income or fee-for-service models.