Four red flags when assessing nonprofit grant readiness

Is your organization prepared to submit successful grant applications?   Megan Hill, CEO at Professional Grant Writer, helps you answer this question with, “Four red flags when assessing nonprofit grant readiness.”  She offers four warning signs that an agency may not be ready for grant funding:

• No other fundraising plan: If a nonprofit doesn’t have other revenue streams (or at least a solid plan for putting those in place), they’re not grant-ready. Funders look at their grant award as an investment and won’t make that investment unless they know the organization stands on solid financial footing.
  

• Few or no program details: If an organization is asking the grant writer (who is not a program director) to make up program details, that’s a telltale sign of disaster. 

• A weak board of directors: If the board is small and does not include relevant experts, that can spell trouble.  The board should also contribute their own donations and help connect the organization to other donors and funders.
  

• A shifting mission: A nonprofit should never change its programs or its mission to fit a grant opportunity. Nor should a nonprofit create a program to fit a specific grant. It’s just not best practice and shows a lack of grant savvy.
  

These “red flags” can be recast in the affirmative for a look at the positive side of grant readiness. There are a number of “must have’s” for successful proposal development, and we’ll share four here. Funders want to see sustainable funding, effective programming, strong leadership, and a clear focus:

• Sustainability: Foundations want to know that they are not “alone” in the initial project funding and that you will be able to sustain the project after the grant period. Do you have a history of successful fundraising and a plan for future funding? While funders ask for plans for the specific program, it’s often enough to show a successful track record and a strong case for future for growth.
  

• Program Effectiveness: Well defined activities, objectives, and measurable outcomes tell the funder what you do, why you do it, and how the results will positively impact the community. Can you show, based on the experience of your own agency and others, why your approach works?  What is your reputation for success in the community and with the specific funder? For a brand new organization, you won’t have historical data for your organization, but you can show that your approach has been successful in the field at large and that you have the expertise and capacity to replicate or build on those models.  
  

• Leadership:  A strong, knowledgeable, and engaged board and executive director help to build an effective, successful organization.  For a brand new organization, the board may fill the roles of both governance and operations. All board members should be contributing financially and tapping their networks to support the agency. Board involvement is typically a key indicator of stakeholder involvement and community engagement.
  

• Focus:  If priorities are changing to suit funder priorities, the organization is unlikely to be successful or sustainable.  Focus on your organizational strengths.
  

You can find Megan’s original post at: 
http://www.professionalgrantwriter.org/red-flags-assessing-nonprofit-grant-readiness