Keys for Successful Grant Research

Planning for 2010 requires researching new funders to add to your submission list. Listed below are 10 elements of grant research that will guide you towards maintaining a strong research process. These are also useful parameters for overall donor research.

1. Identify prospects including your own donors. Research their background and history and find appropriate ways to approach them.

2. Resources are available and need to be read under the fundraising lens. Press releases, annual reports, directories, internet searches, files and fundraising databases are some examples.

3. Manage and update your information on a regular basis. You want to be able to identify links between donors, organizations and giving history.

4. Database. You should a have a solid, reliable database that can be used for research and analysis of giving and soliciting. It can be a spreadsheet to begin...anything that captures your data.

5. Find prospects through your own "6 Degrees of Separation". Each donor can open up new avenues and ways to turn prospects into donors

6. New prospects can be found through your research to find new groups or funders who are aligned with your organization's interests.

7. Match prospect interests with your own and your work. Do not force the fit. Do your research.

8. Personal intelligence gathering and experience to confirm your research, find out new details, names and other bits of information, but beware of GOSSIP! Don't assume anything.

9. Approach strategies define preliminary approach plans, revise your angles for asking and always look for the best 'ask' based upon your research.

10. Supporting donor development by growing relationships and through support of your own donors. This includes capturing information about how they like to be approached, how to keep them informed and how you can improve the relationship in the future.

Adapted from: "Prospecting Strategies for Online Research" JMG Solutions, Inc.

~Cheers!

Hiring a Freelance Grant Writer

As organizations begin to plan for 2010 or the second half of their fiscal year, talk of hiring a fundraising consultant or in particular, a freelance grant writer can find its way into a development office. Below are some pros and cons of hiring a freelance grant writer--courtesy of the Minnesota Council on Foundations.

There are plenty of freelance grantwriters in most communities who write proposals for a fee. (Most experienced writers will remind you that it is unethical to work on commission.) There are both good and bad reasons to hire a freelancer:

Good Reasons to Hire a Freelance Grant Writer

1. To write a good, basic proposal — the "mother proposal" — that your group can then adapt to suit different circumstances. After a year or so, however, you should be able to write this on your own.

2. To search grantmaker directories and databases and identify likely funding sources. Again, your organization should soon develop these skills internally.

3. Because you have five proposals due in one week.

Bad Reasons to Hire a Freelance Grant Writer

1. Because your group wants grant money but neither your volunteers nor your staff want to "dirty their hands" by asking for money. Seeking money is a core activity for most nonprofits. Learn to live with it.

2. Because a freelance fund raiser promises he can get you a lot of money through his "connections." Particularly with major funders, projects are generally funded because of their worth, not due to connections.

3. Because your organization has never tried to raise money before and suddenly wants a large amount of money for a big capital project. Alas, big money tends to go to groups with a long track record and solid funding base. There are exceptions, but don’t count on being one of them.

If you decide to hire a freelance grantwriter, be sure to look at some writing samples. And ask for the names and phone numbers of past clients who work in your field.

~Cheers!

Tips for Writing a Letter of Inquiry

I am asked many times about writing letters of inquiry (LOI) or letters of intent. What should be included? Is "letter" just a loose term? Can it be longer than 3 pages?

First of all, there is a purpose and strategy to submitting an LOI. It is not just about following a funder's rules. As an organization, it gives you a chance to throw out your ideas and get some feedback without writing a lengthy proposal. As the funder, you get to screen the ideas that do or do not fit your guidelines and invite full proposals from groups that are the best match. It really is a win-win process for everyone.

Secondly, as an organization you'll usually receive a response within 4-6 weeks, not 4-6 months as with some proposals. My own grant calendars have a lot of LOI submissions during the 1st and 2nd quarters off the year. This gives us time to hear back from the funder and respond by the 3rd or early 4th quarter.

Be Concise. Be Concise. Be Concise.
The greatest challenge in creating an LOI is filling 2-3 pages with ten pages of ideas. Being a skilled writer is imperative to a winning LOI. You must be concise and clear throughout the entire letter. You must also state your need and make it compelling. You are trying to get an invitation to the "big dance" and it's your job to convince the funder you'll be a great partner.

Below are a few tips to keep your LOI on track:

· Be concise and clear.
· Include a condensed, yet compelling needs statement.
· Include your ask amount in first paragraph.
· Avoid using overly relaxed grammar. (This is a legitimate request for support, not a status update on Facebook.)
· Eliminate "fluff".
· Make sure to include your mission statement or a description of those you serve.
· Don't assume your funder already knows about your organization.
· Use an active voice: "With your support, we will install sixteen new wheelchair ramps...".
· Talk about the funder’s impact, answer the "So what?".
· Be concise and clear.

The key to communicating your ideas in a compelling way is to have a vision that you can describe as an “elevator speech”. Your ideas need to be easy to understand and relevant, no matter who is listening.

Finally....remember that "letter" is not a loose term. It really is a letter. It really is signed by your ED. It really is submitted on letterhead. It should not be more than 3 pages and if it is too long, no one will read it. You must still follow the funder's guidelines.

Favorite link for LOI tips: GrantProposal.com

~Cheers!

Grant Planning for 2010: A Silver-Lining for a Gloomy Outlook?

As most grant writers are during October and November, I have been terribly busy writing final 2009 submissions and year-end grant reports. Thus, it has left Grant Savvy a bit neglected. Even @SavvyGrants is suffering. Yikes! I'll be back to being Savvy soon!

During this busy time, I am also creating 2010 grant plans for my clients. This year was no cake-walk and we worked hard to secure the funding that we did (let's hope a few more awards come through before 12/31/09). As I plan for next year it is my responsibility to take into account the external factors that affected our grant efforts...the economy, program cuts, fewer donors, changing collaborative relationships. My brainstorming reminded me of the August 2009 article from the Philanthropy Journal about the less-than-stellar fundraising outlook.

According to the Philanthropy Journal article:

• More than half of fundraisers say their organizations raised more money in 2008 than in 2007, while about four in 10 raised less.
• Virtually all fundraising channels, with the exception of Internet, email and direct mail, are at their lowest success levels since the Philanthropic Giving Index was launched.

With such a "gloomy" outlook, what can we do to plan for a successful 2010?

We'd like to think that sending out more grant proposals increases our chances enough to make the extra effort worth it. This isn't always the case. You cannot change the economy, the new focus of your most loyal foundation or your organization's new strategic direction. You can improve your own work, internally and externally.

The first step in preparing your grant operations for 2010 is to start small and simple. Step away from your narratives and budget summaries. You know you can write a fabulous proposal. Instead, focus on the core of your grant operation. How does your machine work?

• Organize your grant office and make your 501(c)(3) letters, annual reports, board lists, letters of endorsement, budgets and program brochures easily accessible. You'll be surprised at how much time and energy this saves you. Don't underestimate it!
• Run a report on what was funded and what wasn't. If you have the luxury of working with a research team, ask them to help you run some reports. If not, a simple report in Excel can show what was asked, expected and funded, etc. This will give you a better understanding of your grant program and explain your outcomes to stakeholders outside of the development office (board members, CEO, program directors).
• Interview program managers, directors, clients, etc. about their needs for 2010. Don't give feedback yet, but engage in a thoughtful conversation about their needs and wants (usually different). Don't assume you know what they want for 2010. Diagnose before you prescribe!
• Prospect! You should be doing this all year, but make a dedicated effort towards adding new prospects to your portfolio. Be ready with their guidelines and due dates. Do your research before 2010 and you'll be able to move faster when new projects hit your plate.

Don't be discouraged by the "gloomy outlook". Planning for success, not failure, puts you one step ahead of the rest!

Grant Savvy will be doing a lot of planning and organizing during the next eight weeks. Look for more tips and strategies coming soon!

Nonprofit Blog Carnival

Joanne Fritz has collected advice from nine fundraising experts about how to deal with the current fundraising climate and beyond. Her Nonprofit Blog Carnival offers insights for everything from appeals and grant writing to budgeting and donor segmentation.

Joanne Fritz has worked in the nonprofit world for most of her 30-year career beginning with teaching at the secondary, college, and university levels. She has also held senior management positions at two national nonprofits and two universities. Fritz has served on numerous nonprofit boards and was chosen to participate in leadership programs in two cities. Learn more about Joanne and her About.com Guide to Nonprofits

Be sure to visit the Nonprofit Blog Carnival and start following these great fundraising experts!

Thanks to Joanne for including Grant Savvy on the list!

~Cheers!

Grant Savvy Book of the Week: Change Philanthropy

Change Philanthropy: Candid Stories of Foundations

Maximizing Results through Social Justice

By Alicia Epstein Korten

I understand that we are grant writers and not grantmakers, but this book will give you perspective from the other side of the table. It is our job to constantly seek understanding about the direction of the funder and how our project will fit into their overall goals. How does our request fit into their grantmaking strategy? How can we offer a good fit for everyone?

There are many times when we wonder, "What is the funder really thinking?". It is good practice to explore trends in grantmaking strategies and community development to better understanding how your organization is just one piece of a much larger pie.

Alicia Epstein Korten is the chief executive officer of ReNual, a strategic-planning consulting firm who can undoubtedly provide great insight about grant makers and their motivating for supporting some and not others.

Editorial Review of Change Philanthropy:

This groundbreaking book shows how to increase funding for social justice philanthropy. Social justice philanthropy provides direct services to alleviate suffering and works to transform the systems and institutions that cause that suffering. Written in an engaging, easy-to-read style, Change Philanthropy offers an insider's view what works and what doesn't work when developing grantmaking strategies in support of social change. It gives clear guidance showcases foundations of all types and sizes including Liberty Hill Foundation, Charles Stewart Mott Foundation, Needmor Fund, Jacobs Family Foundation, Discount Foundation, Global Fund for Women, Schott Foundation, Ford Foundation, and the Open Society Institute. The book also includes a wealth of illustrative examples and contains practical suggestions and tips that can be applied immediately to support any social justice agenda.

· Offers a guide for increasing funds for social justice programs
· and suggestions for foundations on which programs to fund
· Gives step-by-step advice for developing a successful grantmaking strategy
· Includes a wealth of examples from leading foundations
· Sponsored by The Center for Community Change

~Cheers!

Basic Steps to Grant Writing

The Association of Fundraising Professionals (AFP) offers a library of resources for all types of development professionals, including grant writers. Below is an excerpt from one of their fact sections about basic grant writing. I hope this is a helpful piece to add to your own writing library. Enjoy!

What are the basic steps to grantwriting?
1. Determine that you have a need.

2. Suggest a solution through planning, research, and experience.

3. Determine whether the grantmakers' goals will help you achieve your objectives, while matching your purposes.

4. Target your proposal to grantmakers appropriate to your field.

5. Present your proposal.

What are the components of a grant proposal?
1. Every grantmaker has different guidelines, priorities, deadlines and timetables for their organizations. Some accept a Common Application Form (CAF), a single proposal accepted by a number of grantmakers to help grantseekers save time and streamline the grant application process.

2. Always follow the exact specifications of the grantmakers in their grant applications, Requests for Proposals (RFPs) and guidelines.

3. Present your full proposal neatly, professionally, and in an organized package.

4. Type and single-space all proposals.

5. Write, organize and present your proposal in the order listed in the application and guidelines.

6. Only include the information and materials specifically requested by the grantmaker.

7. The proposal is judged on content and presentation, not weight.

8. Unless required, do not include an index or table of contents, or bind the proposal, and be sure to sign it and submit the number of copies requested by the grantmaker.

How do I find someone to submit my grant proposal to?
Research is the key to finding a compatible grantmaker. While there may be many grantmakers that match your organization's interests, locating the handful that will be most swayed by your proposal is important. Various methods of locating grantmakers include:

1. Web searches. Many organizations have websites devoted to their philanthropic interests. Find one that coincides with your goals.

2. Philanthropic publications. Many publications and periodicals publish reports of grants coming from different organizations.

3. News reports. Often an organization or individual will publicize their grant program for specific purposes. This is often useful for locating grantmakers in the local area.

4. Direct contact. It is beneficial to specifically tailor your grant request to the organization you are submitting it to. Knowing the details of the organization's philosophy and mission is an invaluable tool to beginning a grant relationship.

Find more information by visiting AFP Online's Resource Center!

~Cheers!

Grantwriting Tip: Cast Your Agency as a Hero, Not a Superhero

More accolades for Cheryl A. Clarke today! This is a great excerpt from her book, Storytelling for Grantseekers. I am skimming the pages again to inspire me to write a multi-layered grant request for a rare form of pediatric cancer. The book is candid, funny and energizes my creativity even when tackling a tough subject matter. Enjoy!

"When writing the goals and objectives section of a foundation grant proposal, grant seekers are like sci-fi writers. They envision the future. Of course, there is one critical difference: whereas sci-fi writers generally present fantasy, grant seekers discuss what is realistic and feasible.

To understand this concept, it may help to think in visual terms. Take a mental snapshot of the community where your nonprofit agency does its work today, at this very moment. What is the problem of unmet need that your agency addresses? Who are the people served by your agency? What more could your agency do if it had additional funds?

Now imagine taking a second mental photograph of the same community at the end of the projected grant period. Compare it with the earlier snapshot. What’s different? How has the need been met? How have the clients been served? Most important, how have the lives of your agency’s clients been positively changed? You should “see” a noticeable difference between these two mental snapshots.

How the community and your story’s main characters (your agency’s clients) will have changed is portrayed in the goals and objectives section of a grant proposal. The challenge in writing this portion of the proposal story is to vividly and accurately describe to the reader what can be seen in the two mental photographs just mentioned. The change that occurs helps resolve the conflict (the problem or need).

Readers appreciate a story that has a believable, satisfying resolution. Program officers and others reviewing grant proposals do too. The validity of your request for grant funding hinges on whether the resolution of the conflict rings true. If it doesn’t, no matter how well the story is written or told, it falls flat and short of the mark."

Want to know how to be a hero? Click here.

Thanks, Cheryl A. Clarke!

~Cheers!

Grant Savvy Books: Grant Proposal Makeover: Transform Your Request from No to Yes

Grant Proposal Makeover: Transform Your Request from No to Yes

By Cheryl A Clarke, Susan P. Fox

This one is being added to the Savvy library immediately! What a wonderful find by one of our Savvy authors Cheryl A. Clarke and Susan P. Fox. Cheryl Clarke is the author of Storytelling for Grantseekers.

Here is an excerpt fromt the AFP website: "Nine out of ten grant proposals are rejected. Grant Proposal Makeover shows how to transform lackluster proposals into excellent ones-that have the potential to be funded. This book stands out from other traditional grantwriting books because it illustrates common flaws and problems in proposals and shows exactly how to fix them. It also includes helpful tips and quotes from foundation program officers and funding community insiders taken from an international survey of foundation professionals."

I'll be sure to share my insights after I read this great find!

~Cheers!

Follow Grant Savvy on Twitter!

Did you know that Grant Savvy is tweeting? Join Grant Savvy on Twitter for simple, quick grant writing tips, quotes and links to other great resources! There is a wonderful group of grant professionals in the Twittersphere that I am excited to share with Grant Savvy readers!

Start tweeting...
@savvygrants

~Cheers!

50 Tips for Improving Your Chances of Winning a Grant

From "The Only Grant-Writing Book You'll Ever Need", Ellen Karsh and Arlen Sue Fox provide a solid list of not ten, but 50 tips for improving your chances of winning a grant!! Take note, these are great tips that we often forget in the rush to complete a grant application on time. More details are found in "The Only Grant-Writing Book You'll Ever Need"  add this book to your library today!

1. Take stock of your own organization. Know what your organization can manage when it comes to grants and grant size.
   



2. Incorporate as a tax-exempt organization.
   


3. If you're not a 501 (c)(3), link up now!
   


4. Find the Foundation Center Library
   


5. Get online. Have a website, publish your annual report and financials, and tell people who you are!
   


6. Find the right funding opportunity. Don't submit something that isn't a good fit. It's a waste of your time and the funder's.
   


7. Read the guidelines.
   


8. Do your homework. Study up on the foundation through their 990s, guidelines, past giving, etc.
   


9. Read the instructions. Don't skim or give half-answers to questions.
   


10. Get organized! Have documents ready to submit in a file system that works best for your organization.
    


11. Give yourself time to prepare.
    


12. Bring partners into the project development as early as possible.
    


13. Speak with the program officer.
    


14. Call for technical assistance during preparation of government proposal. Ask for help!
    


15. Don't use acronyms!
    


16. Watch your language. Be sensitive to other community groups, cultures, individuals or organizations.
    


17. Use the grantmaker's language. Incorporate their language from guidelines or website when it fits.
    


18. Repeat yourself when you have to. Don't go overboard, but emphasize your important points.
    


19. Give proposal reviewers a break! Don't write pages and pages of narrative. Make it interesting and include charts, graphs and quotes.
    


20. Create a checklist. This is important for attachments, budgets, financials, etc. that may come from several different people.
    


21. Be sure each section of the proposal is consistent with the others.
    


22. Use the application topics as headings in your proposal. This will make it easier to show the reader you are addressing their issues.
    


23. When designing your program objectives, be realistic.
    


24. Know how you will recognize success. Explain how you will know you reached your goals.
    


25. Read the instructions!
    


26. Get consulting for the evaluation section of the proposal. Involve them early to get feedback.
    


27. Make sure your budget is reasonable.
    


28. Computer your budget figures carefully.
    


29. Think about sustainability.
    


30. Include a timeline in your proposal.
    


31. Write your abstract or executive summary two days before you submit the proposal—no sooner, no later. By then you'll understand exactly what you are submitting.
    


32. Don't stuff the appendix. Be thoughtful on attachments. Don't send more than they ask for.
    


33. For a gov't. proposal, include a letter from your elected official. For a foundation proposal, don't.
    


34. When in doubt, ask the grantmaker questions before submitting.
    


35. Think about the final report. Can this be measured and implemented successfully.
    


36. Use spell-check and colleagues for proofreading help.
    


37. Use your own reviewers. Ask different people for help during different phases of the process.
    


38. Save your most trusted, courageous "reviewer" to read the final draft.
    


39. Get involved with advocacy groups.
    


40. Get on mailing lists. Make sure you know about available funding.
    


41. Clip magazine and newspaper articles.
    


42. Get to know your elected officials.
    


43. Don't ask gov't. or foundation program officers to change guidelines for you. (No comment on this one…!?!?)
    


44. Do discuss unmet needs and potential new funding directions.
    


45. If you don't get funded, go back to the proposal. If there are issues, ask to discuss it with the funder.
    


46. If you get turned down for funding, find out why and how you can do better next time. Politely.
    


47. Wait until next year.
    


48. Keep the funders informed.
    


49. Get on the funders' radar.
    


50. Read the instructions.

~Cheers!

Grant Savvy on Twitter!

Lots of grant writing and not so many blog posts have inspired me to launch Grant Savvy on Twitter! Join Grant Savvy on Twitter for simple, quick grant writing tips, quotes and links to other great resources! Don't worry, more blog posts to come in the future...

~Cheers!

Grant Savvy Books: The Essential Nonprofit Fundraising Handbook

The Essential Nonprofit Fundraising Handbook: Getting the Money You Need from Government Agencies, Businesses, Foundations, and Individuals

By Michael A. Sand and Linda Lysakowski

Our newest Savvy recommendation is also listed in the August 20 issue of The Chronicle of Philanthropy. Written by Michael Sand and Linda Lysakowski, this book covers the basics of fundraising success and tips to diversify your fundraising model.

As grant writers, our fundraising efforts are only one piece of the pie. What other development functions depends on us? What functions do we depend upon? Knowing how to interweave volunteers, specials events, major gifts and grant writing is key to building a strong development plan.

Michael A. Sand, Esq., the author of How to Manage an Effective Nonprofit Organization, has more than 40 years' experience as a staff member, board member and consultant to nonprofit groups that need to raise funds. He heads Sand Associates, a consulting firm that provides comprehensive services to nonprofit organizations across the country. Sand lives in Harrisburg, Pennsylvania.

Linda Lysakowski, ACFRE, is the founder and president of Capital Venture, one of the country's most successful consulting and training fundraising firms. She is the author of Recruiting and Training Fundraising Volunteers and The Development Plan and a contributing author to The Fundraising Feasibility Study-It's Not About the Money. She lives in Las Vegas.

(Biographies Courtesy of Barnes & Noble Online)

Grant Savvy Books: Managing the Nonprofit Organization

Managing the Nonprofit Organization: Principles and Practices
By Peter Drucker

While this book isn't completely grant writing related, it has a great deal of information regarding the management of nonprofits and its fundraising activities. Drucker focuses on real-world examples about leadership, mission, volunteers and donor relationships. This approach to uncovering the order of nonprofit management is incredibly useful for anyone working for or with a nonprofit organization at a leadership level.

As a grant writer or fundraising consultant, it is imperative that you have a strong understanding of the nonprofit world, not just fundraising. Your ability to relate to a nonprofit client in terms of the "big picture" makes your contribution more meaningful than just taking on the task of writing a proposal.

This book is a fast read and the chapters are broken up by narrative, interviews and analysis. A big recommendation from Grant Savvy for this one! Enjoy!

~Cheers!

Evaluation Planning and Measurable Objectives

To add a some more to yesterday's post about learning from sample proposals, I've opted to share a few bits from Beverly Browning's book, "Perfect Phrases for Writing Grant Proposals". This whole book is filled with sample phrases that you can learn from to craft your own proposal.

One of the more confusing pieces of the proposal process is creating an evaluation plan and explaining your objectives, outcomes and criteria for success. Endlessly, it seems, I am explaining what an "outcome" is and how the objectives meet the goal, etc. It is a difficult thing to wrap your brain around sometimes.

Below are a few examples that I enjoyed in Browning's book. I highly recommend adding this to your book shelf for easy reference when you hit a wall with your writing or need a creative way to describe your measurement framework.

Question: Who will be involved in the evaluation process?
Answer: (For a Fire Safety and Education Program) The evaluation will be conducted on site at each of the targeted elementary schools. Using a stakeholder approach, teachers, administrators, students, and their parents will be asked to provide feedback on the impact of the program.

Objective A: Increase performances for school-age audiences by 25% or more and work to align accompanying music history lecture with the Department of Education's Academic Standards for Arts and Humanities.
Measurement A: Number of lectures and accompanying performances for school-age children and feedback from students and teachers.

It is imperative that you state specifically how you will measure your objective. Giving answers with broad terminology or unattainable feedback goals is not answering the question. Keep it simple and measureable. That is what a funder wants to see!

~Cheers!

Learning From Sample Proposals

Thinking that another, similar organization's proposal can be substituted for one of your own is a mistake. Grant proposals are unique and no two are alike. No two organizations are alike, foundation guidelines are not alike and thinking that your proposal could be a copy of something that has already been submitted is not the way to craft a winning grant.

We can learn a lot from reviewing proposals and reading samples of grant outlines. As writers our senses are altered when we edit work that is not our own. We notice the voice and flow of words that didn't come from our thoughts. We learn a what works and what definitely doesn't. Reviewing grants gives writers the chance to "beg, borrow and steal" good ideas to add their own toolbox.

Below are sample excerpts from two different proposals. Notice the different approaches to the question. Each was asked to answer: What are your long-term funding strategies?

A. ABC Organization's long-term funding strategies for sustaining this effort includes obtaining foundation and corporate grants, soliciting individual contributions and sponsors, in-kind gifts, and conducting a full-scale capital campaign.

B. Collaboration with other programs and agencies continues to be a key to sustainability. The sharing of resources and referrals to external programming allow us to ensure that resources are not duplicated, as well as pooling the knowledge gained to develop the most effective and most innovative education methods. Diversification of funding is also critical in program sustainability. Finally, sustainability will come in the form of an increased emphasis on volunteers. Properly used volunteers can have a tremendous impact on the ability of an agency to serve the community, and over the past three years XYZ Organization has increased its commitment to the use of volunteers in program delivery.

The first proposal was asking for $30,000 a year, for two years. The second, a $5,000 one-time grant.

If you were a grantmaker, which answer sparks your interest? Which answer gives you the information you need? (Remember, grantmakers review a lot of proposals and skim for the answers.) Which response gives you confidence in the grantees actions? Is their plan feasible or is it just fluff that answers the question without a lot of detail?

There is no possible way of knowing what the discussion sounded like when the grants were reviewed. Both answers addressed the question, but how well did they do it in context to their request? Being clear and concise is the best way to form your response.

I hope you learned something from reading these answers and could craft something even better for your own proposal!

~Cheers!

Hosting a Site Visit or Tour

Site visits by funders can be a vital part of securing the funding you requested and an important step in the proposal process. A visit can be scheduled before or after your request is formally submitted. You can also invite funders to your organization even if a site visit is not part of their traditional grant process.

When you bring grantmakers to your organization, the work that you do turns into something real and tangible. It makes the words in your proposal come to life.

Your site visit is like any other tour you would give. The preparation may vary slightly, but it's not rocket science. There is no need to over-complicate the tour because it is called a "site visit". If your site visit is required there may be specific guidelines set forth by the funder. Make sure you are aware of these requirements.

Prepare your team with:

• the background on the funder
• what/why you are seeking funding
• an organized tour route
• input from key volunteers or staff related to the project

Do not include people on your tour who don't have a direct link to your tour's purpose. Too many people can quickly overwhelm the situation.

It is incredibly important, especially in small organizations, to let staff know you are having visitors. Do not assume they will be okay with a surprise visits into their workspace. This can have a negative affect on morale when staff who hold your operations together aren't notified of important tours.

Keep remarks by executive directors and board leadership to a minimum. Let your funder ask the questions. Don't go to great lengths to prepare complicated PowerPoint presentations--this is rarely necessary.

Your experience should be "real" and it should reflect your organization. Don't overhaul your workspace or tell staff to dress in a way they normally wouldn't. Your site visit is about showing how you operate on a daily basis. Needless to say, tidying up and taking out the trash is probably a good idea.

After your site visit be sure to send a thank you letter signed by leaders who were part of the visit. This process is no different than after a meeting. Sharing your thoughts on what went well and expressing words of thanks can go a long way!

~Cheers!

Grant Savvy Books: Consulting and Evaluation with Nonprofit and Community-Based Organizations

We're back, Savvy Readers! Enjoy today's posting for the "book of the week".

Consulting and Evaluation with Nonprofit and

Community-Based Organizations

By Judah J. Viola, PhD, and Susan Dvorak McMahon, PhD

I have not personally read this cover to cover, as it just hit the market. However, their publishing website gives a great overview and provides some feedback from readers.

According to the book review, "The need for consultation and evaluation among non-profits and government agencies has soared in recent years, as funders have demanded accountability and agencies are ill-equipped to provide the types of data-based information needed."

Consulting and Evaluation with Nonprofit and Community-Based Organizations fills a critical gap in the academic literature for non-profit management. This unique text is a collection of advice and voices from a diverse group of successful, practicing consultants who work with non-profits and government agencies. Through surveys and interviews, these experts relate detailed information on how they got started in consulting, what types of services they provide, what types of clients they serve, the biggest challenges they face, and much more. The book also integrates current topics from a wide variety of sources, so that interested readers can easily access important information all in one book.

“As a beginning consultant I sought out a guide such as this but no other source provided such a range of information and experience. The detailed advice, tools, and examples provided in this book will aid new and experienced consultants alike to begin or grow a successful consulting career. It certainly did for me.”

—Michelle R. Bloodworth, PhD, Community Psychologist and Educational Consultant with Apex Education

Stay tuned this week for a full line-up of Grant Savvy features!

~Cheers!

Technical Difficulties

Grant Savvy is experiencing changes. Please look for new postings later this week...we have lots of new stuff to share in the coming weeks! Thanks for being a "Savvy Reader"!

~Cheers!

Donor-Directed vs. Donor-Advised Funds

Although it may fall outside of the "grant savvy" library, the question has come up about the difference between a donor-directed and donor-advised fund AND how we, as grant seekers, can find opportunities with these funds.

A donor-advised fund is just that. A fund set up, usually with a community foundation, by a donor. The fund has a specific purpose or focus such as "at-risk youth", "homelessness" or "education"--something of importance to the donor.

The donor-advised fund is typically the easiest, most flexible avenue for creating a large giving entity. Donors to these funds provide suggestions on which causes their money should support.

In the case of a donor-directed (or donor-designated) fund it is set up similarly, but the donor is specific about which organizations or groups will receive funding.

How does this affect grant seekers?

It is important to know about and be involved with local community foundations that mange these donor funds. Good relationships go a long way when tapping these opportunities.

While donor-directed or advised funds are usually closed to applications and even note: "does not accept unsolicited proposals", it doesn't mean you shouldn't look for ways to inform the community foundation advisors about the work you do.

A great example of this happened last year with an organization that I was working with. The organization received a call from a trustee/financial advisor of a local community foundation. She had attended a roundtable discussion focused on the interests of her donor where one of the organization's program managers gave a presentation.

The financial advisor took what she learned about the program and shared it with her donor, who held a donor-advised fund with the community foundation. She recommended they make a gift to this valuable program. The donor agreed. A few weeks later, the organization received a substantial, unsolicited gift. They have been told that a gift will probably arrive in 2009 as well.

There isn't a formal method for seeking support from these types of funds, but it is possible. It is the job of the community foundation to match their donor's interests with an appropriate project, program and/or organization.

It is not a typical grant seeking method, but after some relationship building, it can evolve. Donor-advised funds may ask you to provide reports or "apply" annually to receive funding. Be prepared and don't let this opportunity slip past your radar. Patience is key.

~Cheers!

Grant Savvy Books: Fundraising Consultants: A Guide for Nonprofit Organizations

Fundraising Consultants: A Guide for Nonprofit Organizations

By E.A. Scanlan

As part of the AFP/Wiley Fund Development Series, Fundraising Consultants: A Guide for Nonprofit Organizations is a book that benefits both organizations and consultants.

The AFP Fund Development Series is intended to provide fund development professionals and volunteers, including board members (and others interested in the nonprofit sector), with top-quality publications that help advance philanthropy as voluntary action for the public good. The Association of Fundraising Professionals(AFP) and Wiley each bring to this innovative collaboration unique and important resources that result in a whole greater than the sum of its parts.

(From the Inside Flap)

Fundraising Consultants

Lowering net costs, realizing more money, and securing larger donations are just a few of the advantages to hiring a professional fundraising consultant. But how can you know you're picking the right consultant for your organization?

Filled with invaluable information to help you identify, select, retain, and work with development/fundraising consultants, Fundraising Consultants includes practical advice, tips, guidelines, possible outcomes of consulting, exemplary stories, and other useful information for nonprofit organizations of any size?considering the use of development/fundraising consultants.

Author Eugene Scanlan—a leading fundraising consultant—offers step-by-step guidance and resources to help you in your decision to use consultants, and then shows you how to go about getting the right one for the job. Its numerous case studies and practical tools—including sample invitation letters to consultants, sample requests for proposal, sample consulting budgets, samples of reports, and recommendations—equip you to implement the concepts introduced in the book.
This book can be a valuable resource for a development office looking to hire a consultant or for the independent contractor/grant writer who is selling their services.

~Cheers!

Making Your Grant Proposal Tell a Story

Telling a compelling story in a proposal can sometimes be the difference between finding the funding you need and opening a rejection letter.

Anecdotes bring the reader into your story, your organization and your need. Depending on your subject matter, this can be a valuable tool for illustrating your need for support.

National funders with strict funding guidelines might not leave room for this type of narrative, but small family foundations or those who follow a common grant outline usually do. Likewise, larger funders usually give to those who meet their funding goals--regardless of a touching narrative about someone who has been helped your organization. In her book, Storytelling for Grantseekers, Cheryl Clarke calls this "giving from the heart" and "giving from the head".

Stories can take an abstract idea or problem and make it personal. Just as you would share a story at a dinner party, with a neighbor or with a business associate, when people can relate they can better understand your situation.

Don't forget to find ways to pull a reader into your organization outside of the statistics and boilerplate answers. Stories of those who have benefited from your organization or group show impact. They make your work real to the reader.

So, what happens when it's time to write a grant and you don't have any stories off the top of your head? Only let this happen once and you'll learn. Work with your communications/public relations/marketing department (or person!), to collect and file stories just for this purpose. They are wonderful examples of the good work you are doing and the responsibility to catalog them can be shared by communications and fundraising areas.

~Cheers

Grant Savvy Books: Fund Raising Realities Every Board Member Must Face

Fund Raising Realities Every Board Member Must Face
By David Landsdowne

While this book focuses on how to engage your board and fundraising committee, David Landsdowne provides lessons in fundraising that everyone can understand. Whether you are a grant writer on contract or part of a development team, "fundraising realities" still apply.

Near the end of the book, Mr. Landsdowne notes, "People won't support you simply because you want them to. But they will give when they see a personal benefit or when you translate your campaign into compelling human terms". Sound familiar?

This book is a quick read and really can be completed in one hour.

~Cheers!

Tips on Getting Training as a Grant Writer

I came across an older "Hotline" article (June 12, 2008) from the Chronicle of Philanthropy filled with advice for becoming a grant writer. I'm sharing it here for all Savvy readers, but especially those who are new to the field or are considering grant writing as a career.

The Chronicle's Philanthropy Careers section asks its readers to submit questions about job hunting, recruiting, and management challenges in the nonprofit world. In their advice column, they respond to some of those inquiries with tips about resources and suggestions from experts.

Q. I am interested in writing grant proposals. How can I get some guidance in getting started?

A. Plenty of resources are available to help you, says Gail Vertz, executive director of the American Association of Grant Professionals, in Kansas City, Kan. With such a wide range of tools, you can tailor your approach to fit your time or financial limitations.

Ms. Vertz suggests Grant Writing for Dummies, by Beverly Browning, a grant-proposal writing consultant in Buckeye, Ariz. Beginners can also check out The Complete Idiot's Guide to Grant Writing: An Essential Resource for Securing the Funds You Need, by Waddy Thompson, development director for Symphony Space, a nonprofit performing-arts center in New York.

Other resources are available online, says Mr. Thompson. He recommends checking the Foundation Center's Web site for online tutorials and courses on grant-proposal writing and links to sample proposals.

More books and online resources can be found via The Chronicle's Nonprofit Handbook, available on the newspaper's Web site.

If you're looking for a classroom experience, Ms. Vertz suggests starting local. She says your town's United Way, Salvation Army, or community foundation will often "offer a one-day or a half-day training from a grant professional in the community, and those types of workshops are really invaluable, because they not only give training on proposal writing, but they also provide an opportunity for networking."

She adds that universities and colleges offer grant-proposal writing courses as well. For those interested in a more intense experience, Ms. Vertz recommends the five-day workshops led by the Grantsmanship Center, of Los Angeles, which are hosted by nonprofit groups throughout the country.

"It's a very in-depth class," she says, adding that the center will even provide you with a post-workshop review of the grant proposal you develop during the course.

Though there are many books to read and classes to attend, nothing beats learning by doing, says Mr. Thompson.

"What I recommend to a lot of people is that they look for volunteer opportunities, because there are PTA's, community choruses, kids' soccer teams — all kinds of grass-roots organizations for which there is grant money out there in the world, and they need someone who can write," he says. "So if a person is a good writer, and they've done their research by reading one of these books and looking at examples [of proposals] on Web sites, then I think they can get some good experience doing grants as a volunteer."

Courtesy of The Chronicle of Philanthropy

Previous editions of Hotline are available at http://philanthropycareers.com/. Send your questions about job hunting, recruiting, or managing in the nonprofit world to hotline@philanthropy.com.

~Cheers!

Grant Savvy Books: How to Write a Grant Proposal

How to Write a Grant Proposal
By Cheryl Carter New and James Aaron Quick

The most common question I imagine that most new grant writers have is "how do I write a proposal?". Well, this book is a great place to start! The authors discuss the importance of good research and problems that can arise during the writing process. The book also comes with a CD-ROM filled with templates and worksheets for the reader.

Cheryl Carter New and James Aaron Quick are the sole owners and directors of Polaris Corporation. Polaris teaches grantsmanship to nonprofit organizations (The United Way National Training Center, the Non-Profit Center, and the Kellogg Foundation), primary and secondary schools, and for-profit and nonprofit healthcare facilities using three primary mediums: workshops, consulting services, and resource publishing. They lead over 100 workshops that have taught more than 4,000 people per year how to develop and plan projects, research funders, and write grants.

Cheers!

Sample Grant Proposal Rejection Letter

For those of you who have never had the good fortune of receiving a rejection letter, below are a few samples of the vague language that can be included. I hope this is useful to our Savvy readers!

The first letter is from a larger foundation that reorganized its funding structure and thus many good organizations were left off of this year's funding cycle.

The second letter came from a smaller foundation in another state that funds specific programs and requires the applicants specifically mention a geographic priority. You'll notice the many reasons given, but that the foundation also welcomes future applications and discussion.

SAMPLE 1

Dear ABC Organization,

Thank you for your recent application to the XYZ Foundation. The decision-making process was a difficult one, with many worthwhile organizations vying for a limited amount of grant dollars.

Unfortunately, your organization was not selected for funding at this time. It is our hope that you will be able to obtain financial support from other sources. We wish you success in your efforts.

Sincerely,

XYZ Foundation Executive Director

SAMPLE 2

Dear ABC Organization,

Thank you for your most recent request for financial assistance. Unfortunately, we are unable to entertain your grant for this fiscal year.

In some cases, we do not approve a grant because the request does not specifically confine itself to [our program interests]. In others, it is because the request concerns salaries, professional fees, general operating expenses or building programs. Sometimes, we are unable to approve a request due to incomplete documentation. Unfortunately, in some cases, there simply are not sufficient assets from which to fund all worthy requests.

We invite you to submit a new request for assistance to us in the future. Please do not hesitate to contact me directly should you need further assistance with this matter.

Respectfully,

XYZ Foundation Board Chair

~Cheers!

Grant Savvy Humor

Courtesy of The Chronicle of Philanthropy

~Cheers!

Proposal Rejection: Saying Thank You

Your grant wasn't funded, but it doesn't mean the grant process is over and that all opportunities are lost.

Did you follow the guidelines? Did you make a good case? Did you answer each and every question that the funder asked? Did you spell the names of the contact person correctly? Nothing can be overlooked and the smallest error (yes, even a typo or misspelled name) can lead to rejection.

If you think you did everything correctly and cannot see an obvious reason for your rejection (we'll discuss larger rejection issues in later postings), then it is a good idea to search for more details about your proposal.

It's fair to say that your rejection letter will offer little or no feedback. Assuming you have a strong relationship with a program officer, you can ask for feedback directly. Government agencies may provide comments or feedback with their rejection. Be careful not to overstep your relationship in this area.

Program officers are busy and may not like to get too involved with organizations that didn't receive their foundation's funding. A short phone call is the most appropriate. Make your conversation brief. Ask for suggestions. Ask if they would welcome another proposal from you in the future. Is there a timeframe for resubmission? Take notes and thank them for their time.

Thanking a funder even when you didn't get funded is a critical part of the grant process. Especially if a funder spent time helping you prepare your proposal for submission. A "thank you" can go a long way with anyone. Write a letter thanking the potential funder for their consideration and if you are still a good fit, even include an invitation to visit during an upcoming event at your organization.

Don't loose sight of a worthy funder just because they didn't write you a check this time around. Include them like you would any prospect into your fundraising strategy. Make sure they get newsletters, invitations to events, annual reports, etc. Be mindful of the things you mail to them...you don't want to look like you are wasting resources. However, if it matches the funders interest, make sure they see it.

A good foundation will value your efforts to keep them aware of your organization. Develop a strategy to build your relationship and if their feedback gives you an opportunity to apply again, don't let the chance pass you by.

~Cheers!

Grant Savvy Books: Grant Writing: Strategies for Developing Winning Government Proposals

Grant Writing: Strategies for Developing

Winning Government Proposals
By Patrick W. Miller

There is no doubt that writing a government proposal takes a different approach than one to a family foundation. A skilled grant writer may struggle when first making the transition from traditional program proposals to government ones. I know this from personal experience.

It is the best of grant writers who can transition effortlessly between the two types of proposal writing. Practice makes perfect.

In Grant Writing: Strategies for Developing Winning Government Proposals, the author discusses in detail the RFP process and creating a budget for government funders. The book includes charts, exercises and planning tools for post submission processes. Revised in September 2008, this new edition includes the most updated information.

Patrick W. Miller and Associates is a Chicago-area business dedicated to providing textbooks and customized workshops and seminars for individuals or organizations interested in grant writing, academic assessment and evaluation, academic writing, research methods, and body language.

Courtesy of Patrick W. Miller and www.pwmilleronline.com.

~Cheers!

Where Does Grant Funding Go?

In a time when we are all competing for dollars that come from a smaller pot, a rejection letter or drop in funding amount is inevitable this year. However, as I have noted previously, foundations are still giving.

Where does the money go?

The easy way to figure this out is to look back at a funders 990s or grants award list, but what about the big bucks?

The Foundation Center does a stellar job of compiling statistics about which organizations receive the most funding. You can look up who received the most funding in your metro area, your state and the trends in subject area for at least the past five years.

Here is a sample listing of the Top 50 Recipients of Foundation Grants in the State of Indiana, circa 2007. Data is available for all fifty states and the District of Columbia.

This is a valuable tool for consultants who work across multiple states and for determining trends in regional giving. There is a wealth of information in the statistics area of their Find Funders section. Check it out!

~Cheers!

Grant Savvy Books: The Foundation

The Foundation: A Great American Secret

By Joel L. Fleishman

Review from Publishers Weekly

"In his first book, law professor and philanthropist Fleishman has created a thoughtful, engrossing, comprehensive guide to the origins, initiatives, successes and failures among the largely unsung 68,000 private foundations in America, which together grant over 32.2 billion tax-exempt dollars per year.

Tracing the history of this distinctly American institution, Fleishman considers the philanthropy of such financial titans as Andrew Carnegie, George Soros, Warren Buffett, Michael Milken and Bill Gates. Fleishman's view of the foundation is distinctly favorable: foundations serve a vital social function by providing seed funding to innovative initiatives, having led to such benefits as the 911 emergency response system, the development of the Pap smear, the alleviation of poverty in Bangladesh and the establishment of Johns Hopkins and Carnegie Mellon Universities.

Fleishman does not hestitate, however, to criticize foundations for arrogance, poor planning, unresponsiveness, waste and irresponsibility, using 12 case studies-Rockefeller's Population Council and the Children's Television Workshop among them-to set the stage for "Some Not So Modest Proposals," most of which involve increasing transparency and accountability. Fleishman's efforts prove an illuminating guide to a little-examined aspect of the American tradition.

Copyright © Reed Business Information, a division of Reed Elsevier Inc. All rights reserved. --This text refers to the Hardcover edition."

This book appear to give grant writers and those who work closely with foundations, an opportunity to gain knowledge about the inner-workings of this unique business model from an honest, witty and "tough love" perspective (as others have noted). I look forward to reading Fleishman's work and sharing thoughts with other Savvy readers.

~Cheers!

Proposal Budgeting Basics: Free Training

I've posted several pieces about proposal budgeting during the past few weeks and for those of you who are interested in more than my abridged version, there is a free (yes, FREE) online course hosted by The Foundation Center called Proposal Budgeting Basics.

"This online course is designed to help with the basics of developing a project budget, and it is geared for those who have general knowledge of proposal development. When you complete this course, you will know:

• The basic components of a project budget
  
• Different types of financial documents often required for proposals
  
• How overhead costs and fringe benefits may be incorporated within the budget
  
• How to access resources on the Web, which provide templates of project budgets"

Courtesy of The Foundation Center

It's an informative lesson that provides visuals to support the examples that are discussed. Also included is a section about additional documentation usually required by funders.

For those who are new to the field, The Foundation Center offers several free courses, including a Proposal Writing Short Course and a Proposal Writing Basics webinar.

The webinar is a tool that can be used to train others in your organization about proposal creation. This type of professional development is effective to share with a team of people who aren't famililar with grant writing, but will be part of the proposal process.

~Cheers!

Grant Savvy Books: Seeing Through a Donor's Eyes

Seeing Through A Donor's Eyes:

How to Make a Persuasive Case for Everything from

Your Annual Drive to Your Planned Giving Program

By Tom Ahern

This week's Savvy Book is recommended by The Chronicle of Philanthropy. The book focuses on the importance of writing a strong, persuasive case statement--something that seamlessly transfers into proposal writing.

Tom Ahern will tell you what materials you need, who to talk to and how to write in all down. This is definitely one of the next books to sit on my nightstand!

If any Savvy readers have read this book, please share your thoughts!

Also, if you think you've seen the name Ahern before, you have in a previous posting for Grant Savvy Books.

~Cheers

Charitable Giving Fell Last Year, But...

Guess what? Foundations are still giving money! While it was reported on NPR yesterday that giving did decline in 2008 (really?), it didn't take nearly the nose dive that was expected. Actually, charitable giving reached $300 billion for the second year in a row. How's that for a little motivation to put in your bucket?

Take the time to read and listen to NPR's Morning Edition article:

Charitable Giving Fell Last Year, But Didn't Dive by Pam Fessler.

~Cheers!

Grant Savvy Humor

"Seeking fish until I receive funds for angling lessons"

Credit: Chronicle of Philanthropy

~Cheers!

Creating a Proposal Budget: Part 3

How Much Should I Ask For?

Through experience I have learned that the budget is one of the first things that a funder reads, regardless of it's location in the proposal packet. They like to see a where you are taking them.

Knowing how much to ask for in a proposal has a fairly common-sense answer, but the actual "asking" part requires some finesse.

It's hopefully obvious that when you underestimate your costs, you increase your chance for failure. Likewise, when you overestimate your costs, you decrease your chance of building a dependable reputation with your funder.

So, how much should you ask for? A whole project's worth of funding? Or just a piece of the pie? Well, it depends. (classic fundraising mantra...ohmmm) It's about finding your fit.

• Does your funder like being the only supporter?
• Do they like to have reign over possible naming opportunities?
• Do they want to anchor your partnership?
• Has your potential funder taken on entire projects with other organizations?
• Can you provide your potential funder an opportunity to make a multi-year pledge to fulfill a larger gift?

If the answer is "yes", then you can probably be safe approaching them for full funding. Keep in mind, you need to stay in their giving guidelines and have a solid plan for sustainability after a few years of their support. Don't be foolish to ask for $150,000 when their largest gift in the last five years was $15,000. Remember to do your research.

On the flip side, it is more common to find funders who want to be part of your project, but shy away from being the only major funder. It's less risky to know that a particular foundation won't break your project if they cannot come through with funding.

• Has your potential funder noted that they like collaboration?
• Can you make your potential funder a partner in project development?
• Can you connect your potential funder with others who are supporting you?
• Can you find a way to leverage funding from a company's foundation and corporate marketing budget?

Nine times out of ten, I have a question on the grant proposal that asks if and who is also funding the proposed project. Below is an example taken directly from the Minnesota Common Grant:

Additional funders. List names of corporations and foundations from which you are requesting funds, with dollar amounts, indicating which sources are committed or pending.

Be reasonable in your request. Decide what you need to fund and what can be funded elsewhere. Respect the mission of the foundation/funder and don't take advantage of their ability to fund you. Funders are smart folks, they know how the game is played.

As noted in "The Only Grant Writing Book You'll Ever Need", "...they are looking for a budget that's not too high, not too low, but just right." Goldilocks knows her stuff!

~Cheers

Grant Savvy Books: Giving-How Each of Us Can Change the World

Giving: How Each of Us Can Change the World

by Bill Clinton

All political commentary aside, this is a good book to add to your mental library and even your bookshelves. It's a personal account of the global issues related to giving, philanthropy and the evolution of nonprofit organizations.

It includes inspiring stories and background about some of the largest foundations in the world. "Giving" is an easy read and complements any type of technical book you may have read on the subject. Don't let your politics keep you away. I've been in awe, welled up with tears and let out a giggle or two when reading this book.

While it is written from the author's perspective and published before our current economic doom and gloom, it's a brilliant time table for the birth of contemporary philanthropy. It's honest and wise. I recommend it wholeheartedly to my Savvy readers.

~Cheers

Working With a Freelance Grant Writer

I am thrilled to share with you a great article, "Working With a Freelance Grant Writer", from the May/June 2009 issue of AFP's Advancing Philanthropy!

Writer, Sarah S. Perkins, CFRE, puts the work of the freelance grant writer in a positive and realistic light and explains how organizations should take a team approach to including this person. A fantastic article for new grant writers, writers who are venturing into the freelance world and organizatons looking to hire a freelance writer.

"Think of grant writers as any other trade professionals, such as plumbers or electricians. They are experts in their field and can spot problems--and opportunities--much better than someone who does not know the business."

"Good grant writers are like matchmakers--it is their job to know not only the foundations in a particular funding area, but also how to match those foundations to the work of an organization."

Sarah S. Perkins, CFRE

Whether you are working as a freelance writer on contract or as an integrated member of the team, this article is a must-read. Enjoy!

If you would like more information about becoming a member of AFP and receiving your own subscription to Advancing Philanthropy, visit AFP online. It is one of the best investments you can make to support your career in fundraising.

~Cheers!

Grant Savvy Books: The Foundation Center's Guide to Proposal Writing

The Foundation Center's Guide to Proposal Writing, 5th Edition

This guide includes more than forty examples of successful proposals and/or portions of winning proposals to a variety of funders. It is a strong example of what really works, not just the ideas behind grant writing.

According the the Foundation Center's website: Author Jane C. Geever is founder and chairman of the development consulting firm, J.C. Geever, Inc., established in 1975 as the first woman-led fund raising company admitted into membership in the American Association of Fund Raising Counsel (AAFRC). Ms. Geever is a nationally recognized author and lecturer who has created successful proposals to foundations for more than 35 years.

This reading is also recommended in the GPCI Literature Review.

Enjoy!

~Cheers!

Creating a Proposal Budget: Part 2

Budget Narrative

A budget narrative is included with your budget to explain in words what your numbers really mean.

How did you reach your numbers? What is important for the grant funder to understand that your numbers can't fully explain?

Sometimes this document is included on a different page or on the bottom of the budget sheet. It doesn't need to be lengthy, but should be precise and accurate.

It is also a good idea to include an 'introduction' or preface to your budget. Sometimes, this is within the body of the proposal (if called for by the funder's format) or can be at the top of the budget sheet.

Sample excerpt for budget narrative:

'The total cost of running Basic Youth Program is $xx,xxx, and includes personnel costs, nonpersonnel costs, and indirect costs. The full amount is requested from ABC Foundation.

Three YouthOne employees and two consultants are the personnel required for the program. It is estimated that the program director, whose salary is $xx,xxx, will spend 20% of his time in the next year running the program, for a total of $x,xxx.'

The narrative will continue to explain your line items and refer to important points for your funder. Pay attention to any specific questions you need to answer about the budget from your funder's guidelines.

Work closely with your program staff and finance department to get an accurate explanation of how your budget will be spent. Make sure your funder can understand what you are saying and don't assume that they know finance jargon.

Special thanks to Webster's New World Grant Writing Handbook by Sara Deming Wason for the narrative excerpt.

~Cheers!

Grant Savvy Books

The Only Grant-Writing Book You'll Ever Need
by Ellen Karsh and Arlen Sue Fox

I recently started reading "The Only Grant-Writing Book You'll Ever Need" and I have found it to be a great resource. Many of the themes are familiar to an experienced grant writer, but I appreciate the bits of humor, honesty and candid feedback from grant experts in the field.

It is well-written and easy to read for a someone who is new to grant writing and provides questions for review at the end of each major section. For me, this format served as a nice way to be reminded of important points that can often be overlooked. It will be a useful book to have in my library.

Since this Monday was a holiday, the 'Grant Savvy Book of the Week' is making its appearance on Wednesday. However, remember to check back every Monday for another book related to philanthropy, grant writing and/or fundraising.

~Cheers!

Creating a Proposal Budget: Part 1

Direct vs. Indirect Expenses
When creating a project budget you will need to determine your costs to support the entire program. This includes staff, supplies, building and transportation costs. It can seem scary or overwhelming to create a budget that supports an entire program, but if you break it down into your line items and approach it like you would a personal budget, you will save yourself some sweat and tears.

Usually, your costs will fall into two different categories, direct and indirect expenses.

Direct Expenses are costs that come from the purchasing of goods or services to support or start your program.

• Personnel costs (sometimes called personnel services)
  
• Supplies (office supplies, paper, pencils, rubber bands, printing, etc.)
  
• Travel (air travel, bus, car, train, room & board accommodations)
  
• Equipment (office furniture, cameras, printers, radios, shelves, scanners, etc)

Indirect Expenses are costs that are required to run your organization regardless of the program you want to create or support. It is best to work with your finance department to determine these costs because they can often be tricky to understand and interpret. In the simplest terms, they are usually the administrative and/or overhead costs and can be calculated in one of two ways:

• As a percentage of total direct costs (in my experience, this is most common)
  
• As a percentage of total personnel costs

Understanding direct vs. indirect costs is important not only because some funders don’t fund indirect expenses. Your budget reflects the financial viability of your program and you must be able to accurately display all costs associated with the life of the project. Yes, ALL costs. Don’t ever attempt to hide any of the costs you will need for your program, no matter how small.

Keep checking Grant Savvy throughout the week for posts about budget narratives, what a proposal budget should look like and figuring out how much money you really need to ask for.

~Cheers!

For Grant Writers Only

A new networking site has been created for grant writers!

The For Grant Writers Only social networking site is the community complement to the soon-to-be-launched For Grant Writers Only website, a place for new and developing grant writers to learn from more experienced professionals. The community is hosted by Melanie R. Negrin, owner and managing director for Merocune Marketing and Public Relations.

Check out this awesome site and tell your grant writing friends! Kudos to Melanie for keeping us all connected!


~Cheers!

Local Foundations versus National Foundations: What Makes Sense?

I recently blogged about how community impact is dependent on the financial health of an organization. In turn, your organization's ability to win grant funding is dependent on the impact you have in your community, region or across the nation.

Take a look at where you are applying for funding and where grant funding is actually coming from. Is it mostly from a local foundation? A regional foundation? A national foundation? Likely, the answer is that you have a combination, with the greatest success coming from local funders.

The bulk of funding given by family and private foundations usually stays in the community where the foundation is located—even if the foundation supports “national” projects or has open guidelines for geographic limitations.

Sure, national foundations open the door for more money and exposure, but also for competition among worthy organizations. Most funders like to support projects in the communities where they have a vested interest, financially or otherwise.

Don't forget this is business, not just the "goodness in their hearts" driving the decision making.

Who should I send my proposal to?
Do your research by looking at the annual reports and 990s of the foundations that you think will support your needs. Where does the bulk of their funding go? How often have they funded projects in your community during the past 3-5 years? Did they fund similar organizations elsewhere in the country?

If your project only helps your local community: apply with a local funder.

If your project spans across a region or will make a national impact: apply with a national funder.

If your program is replicable outside of the local community: apply to local and national funder.

If your program can be a model in the region or in similar areas across the country: apply to local and national funder.

If you plan to share your program results through research initiatives, presentation or at national conferences: apply to both.

Remember: unless you have a one-of-a-kind project that reaches the entire nation, applying for funding in Oregon when you are based in Florida, is not a sure thing. Be realistic and find a solid local funder to support local projects and a sustainable national funder to support those on the regional or national level.

~Cheers