A grant could be the leg up your team needs to meet its goals this year… but sometimes, grants get a bad rap. Why? Because the effort required to finally be awarded the money often feels like jumping through a thousand flaming hoops. Today, let’s chat about what grants are and why they’re so important, so you can expand your impact in 2023 and beyond.

What Makes Grants Unique?

Maybe you’ve heard of grants but you don’t fully understand their benefits or how to get one. Grant funding has three important distinctives, so let’s take a look at those first.

They don’t have to be paid back.

When you receive a grant, whether it’s from the U.S. government’s Small Business Administration, a private foundation, or another donor, it’s given without the expectation of repayment.

They often are awarded for a specific purpose.

Grant funds typically come with  stipulations regarding how the money is to be spent. For example, grant funds might be awarded for projects like technology development, specific research efforts, or services for low-income communities. They have funded critical projects like housing, job training, and transportation in underserved communities. Grants have also helped teams in rural, underfunded, or minority sectors build lasting, successful, impactful businesses. It’s rare that your nonprofit or small business will be given money for a general fund, so consider the specific needs that your team has when looking for grants.

They recognize the value of the work you’re already doing.

Private foundations and government programs wouldn’t create grants for projects they didn’t think were worth funding. You’ll need to sell yourself to the grant committee, but you won’t have to prove your work is important.

Whether you’re a small business or a nonprofit, you’re contributing greatly to your community. There’s no doubt about that. And there are people begging to give their money away so that you can start (or continue) to impact your neighborhood and beyond.

So you have that on your side. The money is out there; now you need to find it.

The First Step to Achieving Funding

(Hint: It’s the Proposal)

There are many free tutorials and resources available to help you get started finding grants for which you are eligible. A quick Google search, grants.gov, The Society for Nonprofits, and businessgrants.org are all great places to begin. You can also call your local Chamber of Commerce or city office and ask what funding they offer to small businesses or nonprofits. Many cities have special funding earmarked for these.

Before you can be considered for a grant, you have to officially apply for the grant by submitting a proposal. Usually, the granting organization lays out a certain process you’ll need to go through in order to submit your team for consideration.

It’ll take time to get it right, so make sure to give yourself (and whoever’s helping you) plenty of time — and grace! — to get your proposal together. Because grants can be an important part of your funding efforts, you’ll want to make sure you put forth your best effort.

Yavapai College, which is located in Arizona, published an excellent PDF on the elements of a grant proposal. If you’re brand new to this process, definitely keep that handy for reference.

Keep in mind: The point of a grant application/proposal is to convince the awarding team that you are the best fit for their funds. 

If you’re in need of inspiration, remember that grants could be a really important step in expanding your reach and increasing your impact. Every little bit of money helps!

Grants Offer More Than Simply a Financial Benefit

Organizing funding for current and future endeavors is often a constant uphill battle. The Society for Nonprofits says grants are supremely helpful because they can offer generous amounts of money. But there are other benefits, too…

1. You can grow your credibility and visibility
2. Once you’re awarded one, you’re more likely to receive more grants in the future

So in the short-term, a grant might give you the breathing room you need to meet that goal that’s currently on hold. But in the long-term, it could potentially give you much more than that. Visibility and credibility aren’t easy to build, and grants could give you that extra push toward your year-end goal.

Remember: Grants Are Important, Even When it Gets Hard

While grants can be incredible, the process of obtaining funding is arduous. The Society for Nonprofits suggests on an average day, only 200 out of 2,700 applications will receive funding. This isn’t to discourage you, but to give you an idea of the landscape.

Because they’re so important to many small businesses and nonprofits, the competition is “fierce.” If you apply for a few and aren’t considered, reach out and ask why your team was turned down. It’ll probably give you insight that will strengthen your future proposals.

Where Else Can You Look for Financial Help?

Here at Amenable, we care about helping your team find the financial aid you need to expand your reach. We’ve taken some of the guesswork out of fundraising by publishing an ebook all about it. You can download it here. And if you have any questions, we’re just a click away!

Forbes also published an article earlier this year breaking down the various places nonprofits can find funding. Besides government and private grants, they list eight other kinds of financial assistance you could consider. Check it out for more inspiration.