Five Tips for Maximizing Grants
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Transcript of Five Tips for Maximizing Grants
How to Maximize Grant Funding Transparency in Turbulent Times Heather Burton, Sage
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Your Partner in Dialogue
Heather Burton
• Product Marketing Director w/Sage
• Board, BookSpring Past president, held officer roles for 4+ yrs; development chair
• 10+ years working for/with nonprofits in fundraising United Way, Hospice, Social Service Agencies
• Charity Channel Chapter Author “All A-Board”
• Favorite food: Pizza (unfortunately)
• Twitter handle: @heathermburton
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Who I work for…
Over 32,000 Unique Not-For-Profit Customers in North America
6.2 Million Customers Worldwide
3rd largest ERP solution provider to businesses worldwide
The Sage Group, plc. (London: SGE.L)
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Trends in Grant Funding
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5 Tips to
Maximize Funding
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MACRO-TRENDS IN GRANT FUNDING
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Market Trends: PESTLE* Framework – What is it?
Core Drivers Description
Political Key political policies; examples include the stimulus package, trade policy, international relations, etc.,
Economic Overall economic outlook; examples include access to credit, unemployment, interest rates, consumer spending, etc.,
Social Changes in cultural values and population demographics; examples include aging population, consumer preferences, etc.,
Technological Advances in and adoption of technology; examples include mobility, Software as a Service, etc.,
Legal/Legislative Current or impending legislation; examples include regulations, certifications, tax code changes, etc.,
Environmental Potential environmental legislative changes; examples include carbon emissions credits, green purchasing requirements, etc.,
*PESTLE = Political, Economic, Social, Technological, Legal, Environmental
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External Market Shifts (PESTLE) Core Driver Factor Impact Notes
Political Deficit; Budget cuts; in-
fighting; Campaign season Reduced dollars; uncertainty in government funding,
Prove efficiency & transparency ; fund diversification
Economic Instability; mixed jobs report; gov budget & debt issues impact
Funding uncertainty, Demand for services high
Prove efficiency & transparency ; fund diversification
Social Occupy Wall Street: social/cultural/economic movement
Look for consolidation of demands based on transparency and accountability
Audit trails, accountability, and transparency
Technology “Connect-to-Compete” for consumers
Consortium of businesses & npo’s offer internet $10/mo + Micro PC’s for $250
Be aware our continuous evolution in tech savvy!
Legal / Legislative Charitable Tax reform, Head Start Regulation
Potential decrease in individual giving; under performing head starts lose grants
This will continue to be common, and we need to be proactive
Environment Solyndra Scanda; Energy Department, Political favoritism accusations
Concerns about transparency, integrity and accountability
Shady lending leading to further budget crisis; putting funding in risk
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Two Sides of the Grant World
Grantor Corporate Foundation
Community Foundation
Family Foundation
Government Agency
Grantee Nonprofit
University/Research
Government Agency
Grant-writing Consultant
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Grant Giving Market Number of Orgs/Agencies
Government Independent Foundation Corporate Foundation Operational Foundation Community Foundation
90,000 Agencies
Government agencies grant over $350(B)* annually* to non-profits, for-profits, and other Government Agencies/Programs
Foundations grant over $45(B) annually* to non-profits and government programs
Non-government grant funding grew 31%* from 2000 thru 2010 after inflation
*2008 Nonprofit Almanac , 2008 Idealware Pub, 2010 Foundation Center
75,000 Foundations
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Good News: Rise of Private Grants
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Interesting Stats: Nonprofits Approx 2,400,000 grants are given each year
Average grant award is $143,000
~17% of revenue from government grants
Private grants make up ~23% of revenue
Remaining revenue from operations and fundraising
Grant funding is only awarded 35% of the time! (on avg.)
*2008 Nonprofit Almanac , 2008 Idealware Pub, 2010 Foundation Center
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Grant Receiving Market
Arts 14%
Religious 4%
Education 24%
Environmental 6%
Healthcare 11%
Human Services 25%
International 2% Public Affairs
13%
Science 1%
Social Science 0%
Unspecified 0%
Number of Grants by Non profit Type
*2008 Nonprofit Almanac , 2008 Idealware Pub, 2010 Foundation Center
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Macro-Trend Summary
Demand is greater than grant funding available
Nonprofits looking to diversify, but grants will remain critical source of funding
Transparent, accountable, high-“impact” organizations will be awarded funds
This will be relevant to both government and private sector grants
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Challenge for Nonprofits
Funding: keep or get more Do a better job managing the grant pipeline Develop better performance measures Increase grant renewal rates
Resources: do more with less Reduce difficulty/time required for grant compliance Gain efficiencies in our processes Fill the gap between development and financial staff
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“Grantees face increased competition to win grants and increasingly strive to
provide grantors with additional financial
accountability.”
Camille Atkins, CFO, The Arc of Texas
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5 WAYS TO MAXIMIZE GRANT FUNDING
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Holistic Approach
Please help me write better
proposals so that we can become more efficient at
applying for funding and therefore expand our programs.
Please help me track the funding
that we do receive so that I can
efficiently manage our goals and
measure our project and program
success.
Please help me provide up to date
financial information to the grant writer
and balances to the project and program
managers so that they can succeed at
managing our mission.
Grant Writer / Development
Director Program Mgr Finance Dir.
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First Impressions: The Grant Applications
• Many people who apply for grants don’t follow directions
• Many applications contain typos
• Many lack the thoroughness of program budgeting and success measure definition
• Many organizations don’t thank, nor steward, grantors appropriately!
Why are you surprised when you don’t win the grant?
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• Communication plan
• Milestones
• Define and track
• Show impact
• Return on Investment
• Sustainable funding plan
• How it fits for community and agency
• Partnerships
Strategy Budget
Progress Success Measures
#1: Strong Grant Applications
If you can’t do it well, don’t do it at all
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#2: Grants Must be Strategic!
• Top-level, strategic priority with full agency engagement
• Prioritize research and target funders
• Scorecards build accountability and top-of-mind focus
“Correctly aligning funders with your organization’s goals
can result in stronger engagement, greater renewals, and more
opportunities for long-term funding…Your organization’s
senior leadership team should have quantifiable metrics for measuring and reporting on
grant funding.” Camille Atkins,
CFO, The Arc of Texas
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This is a competition…
Know your “opponents”
Know your referee
Know the ring
Know the audience
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#3: Choose wisely
• Long-term, engaged, and aligned grantor partnerships
• Fewer funders, greater investments, for longer periods of time
• Create unique ways to share in the mutual success
It takes just as much effort when applying and winning a
$5,000 grant as
a $50,000 one Be patient, it takes time
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What do you believe is the #1 method used in “grant management” today?
– Excel – Home-grown Access Databases – Mix of fundraising systems and accounting systems – Paper calendar with outlook reminders – Software specifically for grant management – Stone tablets
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I know you love spreadsheets, but…
Time-suck when it comes to tracking grant applications and deadlines, various budget scenarios, fund allocations to actuals, and performance tracking Manual nature takes away from opportunity to research new grants, manage existing awards, and develop stronger grantor relationships
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#4: Manage Grant Pipeline
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How does it help? “Grant Intelligence”
Streamline how you apply for grants, track and receive funds, budget, and report success measures
Automate your grant application process
Improve collaboration on grants
Be more responsive to grantors
Immediate visibility into program performance and success
Ensure steady supply of grants in each stage of the grant lifecycle – application, distribution, and renewal
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What to look for in Grant Management Programs
Collaboration Tools
Pipeline Management
Financial Integration
Outcome Reporting
Budgeting
Relationship Tracking
Centralized
Monitoring
Collaboration
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Science and an Art
The Science Continuously measure, monitor, adjust, report
The Art Relationship building, engaging beyond the award
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#5: Once Won, Focus on Renewals
• Grantors want to know that you achieve or exceeded your initial goals for the funds they provided – Continually measure, monitor, and report on the
success measures established in the planning and grant application phase.
– Make sure your management team is actively involved in reviewing results, as well as collaboratively and dynamically planning program changes and strategies to ensure you meet your goals.
– Also, include budget tracking in your reporting to the grantor so they will have confidence in your stewardship of their funds.
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#5: Once Won, Focus on Renewals
• Show the impact your programs are having within the community. – Include pictures to help connect the funders to your
organization and its mission. – Take the initiative to build genuine communication
by providing additional information, reporting and results of your programs.
– Regularly contact your funders for reasons that don’t involve asking for funds. This will ensure that both parties understand the perspective, goals and expectation of each other and will lead to a deeper and more permanent funding relationship.
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Numbers are for the head,
Stories are for the heart,
Without hitting both
Your funder will depart!
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The Recap: 5 Tips 1. Create strong grant applications
and subsequent communications
2. Incorporate as a strategic imperative of the organization
3. Build strategic partnerships with grantors
4. Manage the grant pipeline
5. Focus on renewals
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A Couple Resources
www.grantprofessionals.org
Federal Grant Opportunities http://new.fundbook.org/about
Private Grant Sector, and Trends http://foundationcenter.org/
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Gift from The Foundation Center
www.foundationcenter.org/whitepapers
FREE Whitepaper!
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http://www.SageWords.net. • And more about Sage Grant Management:
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THANK YOU!