7 Grant-Seeking Tips for Christian Nonprofits

Mike Buwalda
This article provided by the Engstrom Institute

More than $50 billion was given away last year in grants to nonprofit organizations. An estimated $33.6 billion was awarded from 68,000 foundations, the Foundation Center reports. Additionally, federal grants to community groups reached $19.7 billion, according to the Delaware News Journal.

Grant funding makes up just 11% of all money given to non-profit organizations, yet it remains an important source of funding for Christian nonprofits. A Giving USA survey revealed that more than one-third of all charitable contributions went to "religious organizations" last year. And federal funds for faith-based groups grew 7 percent in the past year, according to James Towey, director of the White House Office of Faith-Based & Community Initiatives.

So how can you strengthen your grant-seeking efforts? Your CSA peers share seven proven, ministry-tested approaches that God has blessed in their ministry to encourage you:

Listen First
It's a very good idea to do a lot of listening before submitting a grant request, Don Johnson of Methodist Retirement Communities has found. He has contacted foundations to see if they would consider a request from his organization. If so, he explored further to see what type of request they might be interested in (i.e. a building campaign or an equipment request) and also what dollar range they may have in mind. "We asked for any guidelines, written or otherwise expected," Don recalls. "We visited them before the request or after the request was submitted." The same approach was used for future requests, and Don reports it was successful with a number of foundations.

Look for Compatibility
"If this foundation doesn't give us a grant, no one will!" thought Beth Healey, Public Relations Manager for Light of Life Rescue Mission, in a recent grant proposal process. The foundation was interested in funding faith-based organizations, and shared the same beliefs with Light of Life. The foundation was also somewhat unique in that it was open to considering equipment and repair needs. In the end, the grant was awarded. Beth observed, "Compatibility played a huge role in this instance." Dr. Steve Sweatman, president of Mission Training International agrees and advises, "Find a foundation that overlaps with your mission 100% — in spiritual terms, you are looking for a group of individuals with a similar heart for God's work in your area not trying to give them a heart for your ministry."

Train Volunteers to Identify Prospects
"Volunteers have been invaluable to the grant research process," explains Mark Lundell of International Aid. Research volunteers were trained to identify foundation prospects using internet databases and other research. The objective was to uncover grant-makers that appeared to be a very close fit for the ministry. Equipping volunteers to do this important leg-work freed up Mark to focus his attention on the most promising grant prospects.

Get a Personal Introduction
The best way to begin building a relationship with a foundation is through personal introduction, according to development consultant Ann McKusick. "The best connections will come through your board, donors, and other foundations that support you," Ann reports. "The way you can help your board help you is to produce a list of prospective foundations and their board members. Bring those names to your board to see whom they might have a connection with and ask them to add any new names to the list."

Form Collaborations Now
Cheryl Kester of Thomas-Forbes & Kester Grants Consultants recently worked with a ministry to submit a Healthy Marriages proposal to the federal government. "Many funders expect to see small non-profits working together," Cheryl observes, "not duplicating each others' efforts, and they expect partnerships to be formalized in writing." Often, however, Christian nonprofits are preparing proposals within very short deadlines, and good agreements can take time. You may also need to involve your board in the process. Cheryl advises that you start meeting people today who share your vision, and discuss how you might work together. Get an agreement in writing if you can, and describe how the collaboration will work in the narrative section of your proposal.

Use "Real" Budget Numbers
"Working too hard at getting the budget figures to add up to the 'right' amount can actually work against you," Cheryl Kester counsels. She recalls a time when a foundation officer questioned their proposal's budget, because the costs added up to a round number — a number that was exactly the maximum funding amount they could ask for. At the foundation officer's request, Cheryl re-did the budget and won the grant. Spend the extra effort making sure your cost estimates are precise, and explain how you arrived at those figures.

Personalize and Customize
"My proposals were not the generic version most often presented in seminars — they included some pictures and especially testimonies and quotes from church leaders in the target area," relates Jack Walker from Outline Bible Resources. Jack sends e-mails with photos when he's visiting the ministry front lines, and has observed how this approach communicates an authentic feel. Jack also points out that it's important for trustees to understand that they are not being asked to fund everything. Consequently, it's a very good idea to include funds already received in your budget, as well as noting requests you are making to other organizations.

Mike Buwalda is a ministry consultant based in Grand Rapids, Michigan and can be reached at mike@moneyforministry.com