Grant writing for nonprofits: Everything you need to know to secure funding

Grant writing is a lifeline for organizations, especially nonprofits, churches, and community groups. The promise of funding to fuel transformative work can be exciting, but behind every grant award lies hours (if not weeks) of meticulous work.

That’s why grant writing for nonprofits is essential—whether from federal agencies or private philanthropic foundations, grant funding helps nonprofits achieve their successes. However, grants aren’t guaranteed. Some estimates place the national grant application win rate lower than 20 percent. 

So, as you seek to secure the funds you need, you’ll want to ensure your nonprofit organization stands out from the competition. 

Let’s talk about everything to help you find potential funders and present your work most compellingly—from “What is grant writing?” to how to write a grant for nonprofits.

What is a grant proposal?

At the most basic level, a grant proposal is a document that explains to a funding organization why its funds should be used for a specific nonprofit's service. The format of a grant proposal may vary depending on the type of nonprofit seeking a grant or the nature of the organization providing the funds, but it will usually include:

• • A description of the nonprofit’s work
  • A breakdown of the funds requested
  • How the funds would be used
  • Any related documentation

Above all, your grant proposal should detail why you want grant money and what you plan to do with it. A successful grant proposal is not just a dry recitation of data; it’s a story. 

That’s why grant writers must craft proposals that speak beyond a list of facts and figures. It’s about creating a compelling narrative, communicating effective plans, and developing relationships with funders who will be receptive to that narrative.

Types of grants available to nonprofits

The good news is that many different types of nonprofit grants exist. However, that also means that there are many different ways to write a successful nonprofit grant proposal, and objectives and best practices will shift depending on the type of grant.

As you begin the grant writing process, you may want to research a variety of potential resources, including:

• • Government grants
  • Corporate grants
  • Foundation grants
  • Community grants
  • Private grants

The source of grant funding will likely dictate how you approach the specific grant writing process. You’ll need to follow different directions, emphasize different aspects of your mission or goals, and highlight different projects depending on the type of grant you’re seeking. 

Government grant proposals may emphasize data analysis, while community grant proposals may focus on program partnerships with local organizations. Be sure to do your research before writing grants.

Preparing for grant writing

Successful grant writers begin their work long before they sit down to produce a polished draft of a grant proposal. Best practices for nonprofit grant writing include all of the following:

Identify funding needs

Why are you seeking philanthropic funding in the first place? What will you use the grant money for, and why do you need it? Discuss these questions with leadership and with staff before grant writing begins.

Research potential funders

To find potential funders, you’ll want to look for organizations and agencies aligned with your goals, beliefs, and overall mission. For example, an animal rights organization is more likely to apply for a US Department of Agriculture grant than the Food and Drug Administration. 

A tool like GrantHub Pro's funder search leverages a database of over 28 million grants to help you identify the right grant opportunities, which can make the process quicker and more effective.

Build relationships with funders

Once you’ve identified potential funding sources, lay the groundwork for future beneficial relationships. That may mean researching their work and examining how it relates to yours. 

Consider inviting potential donors to events, reaching out through your employees’ existing networks, or compiling lists of donors who have granted funds to other nonprofit sector peers.

Understand grant guidelines and requirements

Nothing sinks a grant proposal faster than evidence that its author misunderstood or ignored the grant’s specific guidelines and requirements. It’s about as basic as it gets: if you’re applying for funding, you’ll want to follow the directions.

Pay special attention to all of the following:

• • Deadlines
  • Length guidelines or restrictions
  • Formatting requests or specifications
  • Cover letters, requested attachments, or other documentation
  • Language or terminology preferences

Don’t invite problems, delays, or even rejection by submitting an incomplete or misguided grant proposal!

Writing a compelling grant proposal

While each successful grant proposal will be unique, there are certain elements you’ll want to include, no matter what. Here’s a closer look at what can make for grant writing success stories.

Executive summary

When it comes to your executive summary, keep it short, sweet, and straightforward. This brief introduction should set the tone for and summarize your overall proposal. But remember, straightforward doesn’t have to mean dry: you want to keep potential funders engaged.

Problem statement

The most fundamental building block of any grant proposal is the problem statement, which addresses the problem that a particular nonprofit organization seeks to solve.

Consider this section as an opportunity to describe why fundraising is necessary, demonstrating both the need and your understanding. Be sure to use data, statistics, and powerful detail to paint a vivid picture for your audience. 

Objectives and goals

Now that you’ve explained the problem or challenge, you’ll want to delineate how your organization plans to address it. What actions will you take with this funding in hand? What ultimate effect do you hope to have on the population or community?

Project description

Finally, after several different views of the big picture, you’ll thoroughly cover the details. Explain the scope of the work you hope to complete once you have the monetary ability to do so. 

What is the expected timeline for your actions, and how will success be measured or tracked? Mention specific milestones, benchmarks, or evaluation points.

Organization background

Follow up your discussion of objectives and methods with additional detail about why your organization is uniquely qualified to do the job. Elaborate on your mission, vision, and organizational structure or history. Discuss past accomplishments, share success stories, and build confidence in your qualifications.

Budget plan

If your project description contains nitty gritty details, your budget plan provides the absolute nittiest and grittiest. Follow any specific asks or guidelines provided by the funders, but it’s a safe bet that you’ll want to include an itemized budget, along with justifications and explanations for each expected cost.

Sustainability plan

Financial sustainability is one of the fundamental challenges faced by nonprofits. Before donors agree to provide grants, they often want evidence that an organization has tackled this challenge. 

Discuss how your grant work will continue throughout (and even beyond) the term of the grant itself, outlining steps that you’ll take to establish operations that will last.

Evaluation and impact assessment

The final sections of your grant proposal should identify the expected impacts (both direct and indirect) that your project will have on its intended recipients. Discuss potential costs and benefits as well. The idea is to leave potential donors with an overall sense of what you’ll be able to do in the short and long term with their potential grant.

Fine-tuning your grant proposal

Once your fundamental building blocks are in place, it’s time to polish your proposal down to the smallest details. Here are a few things to keep in mind.

Follow funder guidelines

Make sure to address the specific guidelines funders provide for the grant—it's essential for making a strong impression and increasing your chances of success.

Edit and proofread

Another surefire way to waste any connection donors might have to the content of your proposal? Submit something full of typos or grammar errors. 

When you think your proposal is complete, read it again and again! Then, consider giving it to someone on your team who can read it with fresh eyes. 

Seek feedback from peers

Typos aren’t the only issues that a new reader might catch. It’s important to incorporate feedback from other stakeholders within your organization early on and as you fine-tune your grant applications.

Submitting your grant proposal

After crafting a grant proposal, most of the hard work is done. Remember the following when finalizing your application.

Follow proper submission formats

Make sure that you submit your grant proposal in the format requested by the granters. It might seem minor, but it can have big consequences.

Meet deadlines

It’s as accurate now as it was in grade school: late work will likely be graded much more harshly, if at all. Your proposal is your chance to wow potential funders; don’t start on the wrong foot. Moreover, submitting early offers an opportunity to make any corrections if the funding individual or entity catches them.

Follow up

It may be clear at the time of submission when you can expect to hear about the status of your grant. If not, you may want to follow up with a polite email—or even call the organization’s office to ensure your grant has been received and no additional materials are required.

Common grant writing mistakes and how to avoid them

All the prep work and editing in the world won’t save your grant proposal if you make a fundamental error in your approach. Here are a few common grant writing mistakes to avoid. 

Ignoring funder guidelines

Ignoring funder guidelines is one way to ensure your application is less likely to receive full, just consideration. After all, what is the bottom line of the process? 

You’re asking them for money, with other organizations doing the same. Don’t give them any extra reasons to choose another nonprofit. 

Your organization will likely submit many grant applications (if not dozens!) at once, and each funder will have a different set of potentially confusing guidelines. 

It’s a dizzying process, reinforcing the importance of paying close attention to every single guideline. This is one reason why grant management software for nonprofits can be useful during grant-seeking. 

Writing a weak problem statement

Remember, your problem statement is your first chance to explain why the issue or problem at hand is so important to funders. Don’t give them vague, sweeping statements. Back up your assertions with specific data and vivid examples.

You want proposal recipients to finish reading your problem statement and feel fired up about this critical issue!

Overambitious project plans

Funders look to award grants to organizations that can take action and get things done. If your project plans are overly ambitious, vague, or unrealistic, they’re less likely to be impressed.

Lack of budget justification

At their most basic level, grant proposals are about money and how it will be used. Funders want to see you breaking down costs and explaining how their grant money will be used to achieve your project outcomes. 

Of course, budget specifics won’t help if they’re unrealistic or incomplete. Show your funders that you’ve done your financial research and know your stuff. 

Misalignment with funder priorities

Your grant proposal should explain why you are the ideal recipient for this specific funder. Again, this can be difficult (and beyond frustrating) when applying for funding from many different sources. But that’s why your advanced research is so important.

Make sure your goals align with those of the funder, and try to explain how your project fits well with their broader objectives.

Last-minute submission

As with anything important that involves many moving parts, you don’t want to rush your grant writing process. Last-minute chaos can lead to errors and omissions—and when you’re submitting a grant proposal to a funder, that means missed opportunities.

Take your time. Give yourself plenty of time to review and polish your proposal, catching any pesky mistakes.

Failure to follow up

Donors will want to see you’re engaged, interested, and organized. Don’t pester or harass funders—for obvious reasons! But politely following up to ensure they have everything they need to consider your proposal is a good idea.

Resources and tools for effective grant writing

No one is born knowing exactly how to write a grant for nonprofits. Luckily, if you haven’t done it before—or if you’re looking to improve your grant writing skills—many different resources can help with grant management for nonprofits.

Online databases and grant search engines

Online databases and search engines are great tools for finding grants your organization qualifies for. GrantHub Pro makes this even easier with funder search powered by Candid and GrantStation, helping you ensure you don’t miss out on key opportunities. The Council of Nonprofits also offers a helpful comparison of available research tools.

Grant writing workshops and courses

Many organizations that maintain databases or research tools also provide training and workshops on the grant writing process. Your local state association may be able to offer more information. 

Professional associations and networks

Your state nonprofit association or agency will likely host networking events for members and local nonprofits, so their websites are always good places to start your research. 

Proposal templates

Much of the time, applying for nonprofit grants can be a numbers game. The more polished proposals you can get to funders, the more likely one of them will strike gold. You can save time during this often stressful process by developing a reusable proposal template. 

Each proposal you submit will, of course, be customized and tailored specifically to each grant. However, a template that can be filled in with meaningful details each time will make your life much easier.

Grant management software

Another thing that can make your life easier? Using grant management software for nonprofits to keep track of the many deadlines, documents, and pieces of data you’ll need to put together your grant proposals. 

Leveraging this software to manage your application calendar will help ensure you always send the right financial report with a grant and never miss communications with a funder or space on an important deadline.

Learn more about grant management software

Grant writing for nonprofits is enormously important—but it’s also incredibly confusing. 

That’s why grant management software for nonprofits can be such a game-changer. With GrantHub, Foundant offers effortless management of the entire process, from finding funds to closing out your grants. This software takes charge, leaving you free to maximize your impact and your success. 

Learn more about Foundant’s grant management software for nonprofits.