Hard Times for Nonprofits, but Don’t Give Up
These are unusual times for nonprofits. I guess they’re unusual times for everyone, but especially nonprofits. For many, when they feel a financial pinch, the first thing to go is charitable giving, so donation revenue is down across the board for nonprofits. But the hidden hit comes from foundation giving.
Foundations are required to give away at least five percent of their invested assets. But when those assets shrink, as has occurred in the recent stock market downturn, that five percent shrinks as well. Foundation executives are faced with a dilemma: with less investment income, should they give less to current grantees and not take on any new projects, or should they scuttle questionable grantees and focus on the few very secure grantees that maintain capacity while continuing innovation?
The challenge is then shared when appreciated from the other side of the equation. Nonprofit grantseekers are faced with either shrinking opportunity or shrinking grant awards. Both options spell hard times ahead for nonprofits.
The answer to this dilemma is to work harder and more strategically with efficiency. Every grantseeker needs to be do more thorough foundation research and write proposals with even more attention to detail, distinguishers, form and, of course, grammar.
Here are a few things you can do to get or keep your edge in this difficult market:
• Do your foundation research more thoroughly by canvassing the entire alpha list of fields of interest.
• Always search for key words using the text search feature.
• Go the extra mile to establish a personal relationship with your prospective foundations.
• Be specific examples of your accomplishments and distinguishing characteristics when describing your organization.
• Have someone review and edit your proposal with a critical eye for grammar and style.
• Pay very careful attention to foundation guidelines!
Good luck – and don’t give up!