Tuesday, October 23, 2012

Why Grants?

Grants represent 12-15% of all philanthropic revenues in the US.

So, why pursue them, when about 80% of philanthropy comes from individuals?

While, yes, we completely support maximizing individual donors before launching full-scale into grants – Arrowhead Management makes a tidy profit on such work – we also believe grants are of strategic value to nonprofits. (For complete transparency, Arrowhead Management also does contract grant writing.)

Grants are critical to nonprofit success. Receiving seed funding for a program from a signature foundation can enhance a nonprofit’s reputation. Grants are opportunities to pilot innovative ideas. Critical programs can be launched or expanded, thanks to grants.

Much like a venture capital firm, foundations that invest in nonprofits can provide other soft advantages, such as access to technical assistance providers for evaluation, tracking efficacy and best practices.
Grant conferences for all grantees from a specific initiative can facilitate introductions to potential collaborators or partners and critical information exchange.

We love the impact grants have on improving an organization's capacity/infrastructure. We love seeing the children/families/recipients of the program changed, as a result of grants!

We love when grants provide seed funding and 10 years later, the program is still funded by a variety of sources, because the community has taken ownership of the outcomes.

Grants are just like any other part of fundraising - a combination of science and art.