1. Fundraising for the
Small Nonprofit
Special Workshop
City of Dania Beach
Grantsmanship Part II:
Corporate & Foundation Grants
September 10, 2011
© 2011. Kurt R. Moore. All Rights Reserved

2. Outline
• Types of grant support (review)
• Some things to be aware of
• Basic concepts
• Full Proposals
• Short Proposals
• Q&A
• Resource Slides: Writing Resources (not
discussed)
2

3. Types of Proposals
• Full proposals
• Verbal proposals and oral presentations
• Short proposals
• Letters of inquiry (LOI)
• Letter proposals
• Sponsorships
• Pre-proposals
• On-line proposals
3

4. TYPES OF
GRANT SUPPORT
(review)
4

5. What Kinds of Support do
Private Grant Makers Provide?
• Operating support = $
• Unrestricted
• Restricted
• Project support: Seed money
• Program support: Ongoing or multi-year
grants
• Endowment support (sometimes)
• Capital needs
• Construction
• Renovation
• Equipment 5

6. Corporate Support:
Sponsorships
• Seeks to underwrite part or all of a
fundraising initiative
• May be monetary ($) or GIK
• Generally in written form after visit or
discussion
• Often related to Annual Support or
Special Event
• Levels & benefits may be “tiered”
• Benefits back to sponsor
6

7. Corporate Gifts-in-Kind (GIK)
• Ask for the item you need rather than
the money to buy it
• Product loans next best thing
• Eliminates a step
• Some companies are “product rich” and
“cash poor” but willing to help
• Last year’s model may do the job
• Helps company build brand recognition
• May also aid your special events effort 7

8. Private vs. Government Grants
• http://literacy.kent.edu/Oasis/grants/pu
blicVSprivate.html
• http://www.proposalwriter.com/grants.
html
8

9. SOME
THINGS
TO BE
AWARE OF
9

10. Reality Check
• Most foundations do/will not fund
• “research” or “policy”
• fund entire projects
• Most may fund particular line items, activities,
or part(s) of budget
• Tailor your proposals to ask for funding for
specific components
• Send “non-competing” proposals to several
sponsors simultaneously – best prospects first
• When one gets funded, let others know you
have a “vote of confidence” 10

11. Realistic Expectations
• Sponsorship requests have quicker time
frames
• Proposal writing to Foundations may have
long time cycles
• A good proposal writer cannot make up for a
mediocre program or half-baked idea
• Not all good programs get funded
• If you think you can fund your nonprofit
entirely on grants, you are doomed.
11

12. GRANTWRITING
BASICS: SOME
CONCEPTS
12

13. Key Concepts:
It’s not enough to think out of the box
Think Different!
• Value proposition
• Logic model
• Evaluation
• Accountability
• Sustainability
13

14. Value Proposition:
Definition
“marketing statement that summarizes why a
consumer should buy a product or use a service”
• Should convince a potential consumer
that one particular product or service will
add more value or better solve a problem
than other similar offerings.
www.investopedia.com
• Communicates why your solution will give
the buyer/investor a competitive advantage
in the market 14

15. Value Proposition:
Application to Proposal Writing
• Answers the question “Why should we
fund your project?”
• Communicates:
• How your values align with those of
funding organization
• How your program will further the
mission of the funder
• How your organization can do it better
than anyone else
15

16. The Logic Model
-> INPUTS
-> ACTIVITIES OR PROCESSES
-> OUTPUTS
-> OUTCOMES
“…an approach to measuring the effects of a
project, or an institution's, services and
activities on the target audience that these
programs seek to benefit or serve.”
http://bindings.lib.ua.edu/outcome.html
16

17. The Logic Model
and Outcomes-Based Evaluation
• Developed by The United Way (1996)
• “Outcomes” relate to the successful
achievement of an organization’s mission or
programmatic goals.
• By focusing on ultimate outcomes or systemic
change, planners can think backwards through
the logic model to identify how best to achieve
the desired results
• Evaluation phase uses the logic model as a
framework within which to assess program
effectiveness
17

18. The Logic Model:
Application
Applied to programs and proposals
• Program design must incorporate logic
model
• Proposal must communicate the logic
model
• Part of the Evaluation Section of the
proposal
www.managementhelp.org/evaluatn/lgc_mdl.htm
18

19. Sustainability
Answers the question: What happens when our
foundation’s money is gone?
• Do you have skin in the game?
• What is your fundraising plan for the project?
• Part of proposal
• Include in Budget Section
• Report new funding while your proposal is
still pending
• Update in final report
• www.councilofnonprofits.org/sustainability-programs
19

20. Accountability
• Part of stewardship
• Communicating back to the funder
• Interim reports
• Final reports
• After the project
• Budgetary as well as activity
• Use outcomes-based evaluation format
• http://managementhelp.org/evaluation/
outcomes-evaluation-guide.htm 20

21. REMINDER:
BEFORE & AFTER
YOU WRITE
21

22. Teamwork
• The proposal process may involve a team,
but one person needs to be in charge
• Divide and clearly define responsibilities
early
• The “project director” needs to write the
meaty stuff
• One person responsible for editing &
assembly
22

23. Before you Write:
Getting Organized
Brainstorm the proposal with your
team before you write
Make sure everyone on same page
Develop a proposal writing timeline
Develop a checklist
www.proposalwriter.com/checklist.html
Remember “Murphy’s Law”
23

24. Some “DO’s” and “DON’Ts”
Do Don’t
Read guidelines Skip guidelines
? Ask questions Make assumptions
Write clearly Be vague
Use their terminology Use jargon
Allow plenty of time Wait until last minute
Keep it short <10 pp Send 30+ pages
Get to the point in the Wait until page 7 to
beginning of the proposal explain why this is really
important
24

25. FULL PROPOSALS
25

26. Full Proposals:
Basic Elements –the Normal Stuff…
Cover letter
Title page
Executive Summary
Introduction
Organizational Information
Background and Case for Funding
Methods
Personnel and other resources
Evaluation
Budget
Attachments
26

27. Proposal as Business Plan
• Reviewer will perform “Due Diligence”:
“The process of investigation, performed by investors,
into the details of a potential investment.”
• Your organization as well as your proposal
will be reviewed
• Example of “DD”:
www.emcf.org/how-we-work/our-theory-of-
change/
• Remember the “value proposition”!
• Use logic model to tie your proposal together 27

28. Effective Proposals:
Additional Focus Points
• Cover letter
• Title page
Executive Summary = value proposition
• Introduction = value proposition
Organizational Information = inputs
• Background/Case for funding (still important!)
Methods & Projected Outcomes = activities,
outputs, outcomes
Personnel and other resources = inputs
(Outcomes-based) Evaluation & accountability
Budget & Sustainability
• Attachments 28

29. Cover Letter
• More than transmittal letter
• Introduce organization and proposal
• Reference previous contacts
• Make a strategic link between the
proposal and the funder’s mission and
grant making interests
• Often better to have Exec. Dir. or
Board Chair signature than
Development Officer 29

30. Title Page or Cover Sheet
• Optional on very short proposals
• Funder may have preferred or required
format
• Appropriate signatures
• Slick and glossy covers won’t get you
funded
30

31. Introduction or Executive Summary:
First Impressions
Normal stuff:
• Statement of problem, target group served
• Significance of program or activity,
• Proposed solution, program plans or activity
• Benefits to stakeholders
• Blah, blah, blah...
But, … let the prospect know that you have
• Organizational Capabilities
• Clearly defined plan and projected outcomes
• Evaluation component
• Plan for sustainability 31

32. Executive Summary Sheet:
Basics
• In one or two paragraphs describe the project:
target group, problem/need, solution, how it
will be used, projected outcomes/benefits &
amount (or item) requested
• Communicate the value proposition
• If applicable – funds already committed
• Provide contact info
• Similar to abstract for journal article
• One page or less
• Optional, if information already included in
funder’s cover sheet 32

33. Cover Letters & Executive
Summaries: Examples
How to write a cover letter
• http://nonprofit.about.com/od/foundationfund
inggrants/a/coverletters.htm
How to write and executive summary
• http://nonprofit.about.com/od/foundationfund
inggrants/a/proposalsummary.htm
Sample executive summary
• http://nonprofit.about.com/od/foundationfund
inggrants/a/proposalsummary_2.htm
33

34. Introduction
• Statement of problem & target group
• Purpose of program or activity
• Significance of program or activity in
terms of projected outcomes
• Very briefly describe benefits to
• Community
• Funder
• Your organization’s mission
• Communicate the value proposition 34

35. Organizational Information:
Yes, We Can!
• Organization’s mission and goals
• Brief organizational & program history
• Supports financial credibility
Focus on the organization’s past or current
programs or activities, related to proposed
project or program, including successes
• Answer the prospect’s question:
“Why YOUR organization”?
Avoid:
“Great idea; should be at Harvard or Yale.”
35

36. Background or Case
• Get to the heart of the problem
• Full literature review/history generally not
needed for most funders
• Many reviewers will not have in-depth
understanding of problem
• Takes up valuable space
• Only appropriate for research proposals
• Keep references to minimum (think
freshman term paper)
36

37. Methods & Projected Outcomes:
We Have a Plan
• State/define your goal(s) clearly in terms of
projected measurable outcomes; quantify
where possible
• Describe your methods or approach to the
problem
• Milestones/major activities
• Evaluation checkpoints and outputs
• Timeline
• Research Design (if research proposal)
37

38. Personnel and Other Resources:
Inputs
• Personnel (inputs)
• short bios tailored for specific grant highlighting
previous relevant work = track record
• Short resume or c.v. as attachment
• Description of other relevant institutional
resources (more inputs)
• Internal funding
• Facilities
• Equipment
• Other
• Partners (financial and technical)
38

39. Evaluation:
Defining and Measuring Success
• Describe criteria for program success:
immediate & long-term effects of
organization’s activities (desired
outcomes)
• State these effects in terms of Funder’s
grant making interests
• www.managementhelp.org/evaluatn/lgc_
mdl.htm
39

40. Evaluation:
Part II
• Systemic vs. short-term change; systemic
outcomes vs. process outputs
• Connect evaluation back to your methods plan
(logic model)
• How will your organization measure/evaluate
the outcomes/changes?
• Who will be involved in the evaluation?
• Accountability: what will the organization do
with the evaluation and/or results?
• Stewardship – keep them informed 40

41. Budget Narrative = Funding Request
Normal stuff
• Restate funding request
• Provide short budget narrative
• Provide itemization/breakout figures as
needed
• If required, provide organization’s annual
budget as attachment
• Yada, yada, yada …
http://nonprofit.about.com/od/foundationfundin
ggrants/a/grantbudget.htm
41

42. Budget Narrative includes:
Sustainability Plan
But, … let funding agency know you have
a long-term funding strategy or
Sustainability Plan
Your and Other’s funds committed for
successful launch – this is a “plus”
Fundraising plan to continue program
Program income and other sources of income
Institutionalization (transformative effects)
Answer the prospect’s question: “What
happens when my money runs out?”
www.councilofnonprofits.org/sustainability-programs
42

43. Budget sheet
Online Course Development Project
Item Requested College share Foundation X
PI (1 month summer) $11,637
Computer, software $950 $2,000
Travel * $1,294
Marketing ** $674
Student asst. $500
Subtotals $3,168 $12,587 $2,000
Notes: Foundation X award contingent on external match
PROJECT TOTAL $17,755 43

44. Budget:
Breakout Figures
* Travel cost breakout: 2006 Conference, Atlanta , GA
Conference registration $ 365.00
Airfare: RT Tallahassee – Atlanta (Delta) $ 315.00
Hotel: 4 nights @ $120/night $ 480.00
Per diem: 4days @ $21/day; 1 day @$50 $ 134.00
Total estimate $1,294.00
** National marketing costs:
Hosted on College web pages NC
Mailing to approx 50 state agencies, 75 Florida
school principals & 75 district consultants $ 74.00
Advertisement in Research Quarterly (1/4 page X 4) $ 600.00
Total estimate $ 674.00
44

45. Attachments
• If requested
• Press clips
• Letters of support
• If it really helps your case
• Use URLs in electronic proposals
• www.mynonprofit.org
• www.mynonprofit.org/project
• Sometimes electronic version of proposal
required in addition to hard copy
45

46. When You are Done Writing,
Save Time for the Following
Put it aside
Have someone else read it
Swallow your pride
Give them a red pen
? Let them ask “dumb” questions
Call program officer with questions
√ Revise, format, spell-check
Mail it on time!
46

47. The Evaluation Process
Approximately 1/3 of proposals not read
because writers did not do homework
Approximately 1/3 rejected because the
proposed project is just not that good
The other 1/3 gets evaluated for a limited
number of funds
Most of those are not funded & some only
partially funded
Top 10 reasons that proposals fail:
www.csn.edu/pages/2830.asp
47

48. How To Kill Your Proposal
• Late
• Not a good fit (did not do homework)
• Incomplete
• Did not follow directions
• Unclear/not well organized
• No measurable outcomes
• “Shotgun” approach obvious
• Budget/fiscal accountability lacking
48

49. If Funding is Not Offered
• Try, try again
• Try to get a debriefing if possible
• Re-evaluate your proposal/project
www.csn.edu/pages/2830.asp
• Re-apply if possible
• Seek multiple sources of funds
simultaneously
• Fact of Life: Good proposals often do
not get funded
49

50. SHORT PROPOSAL
BASICS
50

51. Types of Proposals
• Verbal proposals and oral presentations
• Short proposals
• Letters of inquiry (LOI)
• Letter proposals
• Sponsorships
• Pre-proposals
• On-line proposals
• Full proposals
51

52. Short Proposals:
Basic Elements Outlined
• All the elements of a full proposal
• The trick is keeping it
• Short,
• Complete, and
• On point!
52

53. Verbal Proposals & Oral
Presentations
• Not uncommon in corporate funding
• Conversation may begin with your at
local level for a large company
funding program
• Often a PowerPoint
presentation or simply
a meeting
• Opportunity for Q&A with potential
53
sponsor, especially non-technical people

54. Verbal Proposals & Oral
Presentations: Structure
• For research or technical proposals
presentations focus on the solution
• What is the “competitive advantage”?
• More often it will be at corporate, not
local, authorizing the check
• Graphics help
• One-page bullet point handout w/costs
• Concept paper as part of presentation or
may precede meeting 54

55. Verbal Proposals:
Follow-up
Goal
• When you leave, you want them to ask
you to submit a formal proposal
• Formal proposal submitted if potential
sponsor interested
• Invitation for formal proposal does not
guarantee funding
55

56. Letters of Inquiry (LOI)
Letters of Inquiry
• Idea testing - Would or do you fund this?
• Major elements of a full proposal boiled
down to about 2 pages
• Sometimes preferred by foundations
• Different from a Letter of Intent
• Examples
www.grantproposal.com/inquiry.html
http://literacy.kent.edu/Oasis/grants/samplefo
undation.html 56

57. Letters of Inquiry:
Elements
• Introduce organization and proposed
project
• Statement of problem
• Purpose of program or activity
• Target group
• Make a strategic link between the
proposed activity and the funder’s mission
and grant making interests
57

58. Letters of Inquiry:
Elements cont’d
• Why is your organization best suited to
do this project?
• State an amount of funding sought
• Ask for the opportunity to submit a full
proposal
• Often better to have Exec. Dir. or
Board Chair signature than
Development Officer
58

59. Letter Proposals
Letter format
• All the elements of a full proposal
boiled down to 2-3 pages = concise
• Very similar to letter of inquiry
• Attachments optional
• Sometimes a full proposal or additional
information may be requested later by
the funding organization
59

60. Letter Proposals:
Elements
• Statement of problem/need
• Target group
• Solution/program
• Amount (or item) requested
• How funds will be used
• A word about evaluation
• If applicable – funds already
committed
60

61. Letter Proposals:
Elements cont’d
• Answer the question: Why your
organization?
• Very briefly describe benefits/outcomes to:
• Community
• Funder
• Your organization’s mission
• Summary budget may appear as table
• Provide contact info
• May require telephone follow-up 61

62. Letter Proposal:
Budget table
Online Course Development Project
Item Requested College share Foundation X
PI (1 month summer) $11,637
Computer, software $950 $2,000
Travel * $1,294
Marketing ** $674
Student asst. $500
Subtotals $3,168 $12,587 $2,000
Notes: Foundation X award contingent on external match
PROJECT TOTAL $17,755 62

63. Sponsorships:
Overview
• Seeks to underwrite part or all of a fundraising
initiative
• May be monetary or GIK
• Generally in written form after visit or
discussion
• Shorter “turn around” time
• Often related to Special Event
• Major sponsor = significant underwriting
• Co-sponsors – sponsors at lesser amount
• Activity sponsor – breakfast, hole sponsor, etc. 63

64. Sponsorships:
What the Sponsor Wants
• Visibility!
• Sponsors often associate funding with
advertising not philanthropy
• See audience as potential clients
• Bigger audience = more funding potential
• See organization as marketing partner
• Sometimes done for community goodwill
64

65. Sponsorships:
Sponsorship Letter
• Describe the event
• Audience it will reach
• What the funding will be used for
• Ask for a specific level of sponsorship
• List sponsor benefits & tax benefits
• Thank you
• Contact information
• Examples:
• www.wikihow.com/Write-a-Letter-Requesting-Sponsorship
• http://acomprof.hubpages.com/hub/Sample-Sponsorship-
Proposal 65

66. Sponsorships:
Benefit Package
• Recognition at event and in event materials
• Mentioned in press releases
• Graduated levels of recognition and benefits
• Gold – 1 @ $2500
• Silver – 2 @ $1000
• Bronze – 3-5 @ $500
• Activity sponsor - $100 or GIK
• Exclusivity helps
• Continued, non-event recognition important
• Tickets and other tangible benefits 66

67. Pre-Proposals:
Overview
• Pre-proposals
• Part of 2- or 3-step structured process
• Easier for sponsor and grant seeker
• Full proposal is last step
• Used for screening applicants
• May be in response to RFP
• May have elements of a Letter Proposal
• All the elements boiled down to 2-3 pages
67

68. Pre-Proposals:
Process
I. LOI or Application Form
II. Short proposal focuses on problem and
proposed solution, with other elements of a
full proposal in briefer format
III. Full proposal often longer
• In-depth discussion of project, methods,
timelines, outcomes, evaluation, organizational
capabilities
• Detailed budget
• All the attachments
68

69. Online Proposals
• Often short – may be limited to number of
words or characters
• Defined template - funder will tell you what
information to submit
• Fill in the blanks
• Although short, writer must be very
organized
• High premium on very tight writing
• In some cases, grammar may be compromised
• Use abbreviations and acronyms
69

70. Online proposals often very short
The Sun Microsystems Learning Laboratory will be a 30-seat multi-use facility for
student instruction (www.fsus.fsu.edu/EducationCurriculum/guarantee/
technology.html), applied research in educational technology, and community
accessible training. FSUS (www.fsus.fsu.edu) supports the university’s mission
through research, development and delivery of on-site and distance instruction for
K-12 and postsecondary students and teachers (www.fsus.fsu.edu/abouttheschool/
researchdevelopmentguidelines2000-01.doc). Our design, development, evaluation
and dissemination of curriculum, instruction and assessment are key school
components. FSUS develops, applies and disseminates topical educational
research fostering leadership and collaboration in K-12 reform
(www.fsus.fsu.edu/idealab). It is the only one of 140 university laboratory schools
nationwide that operates as a charter school. Supplementing this nationwide
network is a regional partnership with several universities in the Southeast.
Florida is also one of 4 “bellweather” states (also TX, NY, CA), thus our K-12
research findings receive a national audience. Additionally, from 4-10 P.M. on
Mondays through Thursdays we will make the lab available via FSU’s Center for
Professional Development (www.cpd.fsu.edu/computers/index.html) and
Tallahassee Community College (www.tallahassee.cc.fl.us). Other hours,
including weekends, will be available for state worker training. This project facet
emphasizes the school’s role in adult education
(www.fsus.fsu.edu/search.asp?target=adult+education) and workforce
development (www.fsus.fsu.edu/search.asp?target=workforce+development),
providing a replicable model that the Sun-FSU partnership can demonstrate to K-
12 schools in other communities. 70

71. Online Proposals:
Editing
Print the application window/frame(s)
“Save” capability may not be present
Write the proposal in Word
Easier to edit
Easier to pass among team members
Use hot links since you can’t send
attachments
Cut, paste, final review, hit <SUBMIT>
71

72. Summary:
The Long and the Short of It
• All proposals contain the same elements
regardless of length
• Clear & concise writing gets the reader
past the first paragraph
• Logic model - focus on “outcomes” and
work your way backwards
• Answer the question “Why your org?”
• Good writer will not make up for a
badly conceived program 72

73. Q&A
Kurt R. Moore, CFRE
np2np SM
21000 Windemere Lane
Boca Raton, FL 33428
Ph: (850) 559-2100
Bikehasher@comcast.net
73

74. PROPOSAL WRITING
RESOURCES
74

75. $how Me the Money!:
Finding a Funder
Foundation Center
http://fdncenter.org/funders
Internet Prospector – corporations
www.internet-prospector.org/company.html (2008)
Additional funding resources
www.research.fsu.edu/contractsgrants/resources.html
www.proposalwriter.com/grants.html
Government grants www.grants.gov
Catalogue of Federal Domestic Assistance
https://www.cfda.gov
their websites
75

76. Proposal Writing Resources
Proposal writing resources on the web
www.fau.edu/research/techtransfer/tech_proposalres.php
Tutorials
Foundation Center short course
http://foundationcenter.org/getstarted/tutorials/shortcourse/index
.html
http://nonprofit.about.com/od/foundationfundinggrants/tp/grantp
roposalhub.htm
Proposal writing tips
http://www.cpb.org/grants/grantwriting.html
Grant seeking and proposal writing
http://literacy.kent.edu/Oasis/grants/resources.html
DO’s and DON’Ts
www.aspcapro.org/dos-and-donts-for-first-time-grant-see.php 76

77. Resources:
Texts
• Too many out there to recommend
• No “one size fits all”
• Better to
• Attend workshops
• Use web-based tutorials
• Clear concise writing
www.emcf.org/publications/other-resources/
• Follow directions
• Nothing beats experience
77

78. Outcomes-Based Evaluation:
Resources
• Measuring Program Outcomes: A
Practical Approach (1996) United Way
www.unitedwaystore.com/product/measuring_progra
m_outcomes_a_practical_approach/program_film
• “Reader’s Digest” version
http://managementhelp.org/evaluatn/outcomes.htm
• Other online resources:
http://managementhelp.org/evaluatn/outcomes.htm#an
chor182947 78

79. Resources:
Professional Education
• Professional Associations
• College courses available in grants
• In-service training (like this!)
• Certification programs
• Colleagues & networking
79

80. Resources:
Professional Education - Associations
• Your own professional association
• Grant writers’ organizations:
• Grant Professionals Association
http://grantprofessionals.org/
• American Grant Writer’s Association
http://www.agwa.us/
• AFP, CASE, AHP educational seminars
• AFP www.afpnet.org
• CASE www.case.org
• AHP www.ahp.org 80