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!