Basic Grant Writing Steps for New Nonprofit Organizations

You’ve started your nonprofit and created your program design and financial plan. You know that funding is critical to achieving your mission and serving your community. Grants are an important part of your financial plan and now it’s time to write your first grant. Grant writing can be a daunting task, but with the right strategies and tips, you can master the art of grant writing. In this article, I will share the essentials of grant writing for nonprofit organizations, including understanding the grant writing process, a step-by-step guide to writing grants, strategies for developing a compelling grant proposal, dos, and don’ts of grant writing, best practices for nonprofit grant writing, and grant writing services for nonprofit organizations.

Understanding the Grant Writing Process

The first step in writing winning proposals is understanding the grant writing process. Grant writing is a competitive process where nonprofit organizations submit proposals to funders seeking financial support for a specific project or program. Funders can be government agencies, foundations, corporations, or individuals.

The grant writing process involves several steps, including creating your grant management plan, researching potential funders, analyzing the grant guidelines and making sure they align with your project or program goals, writing a compelling proposal, and submitting the proposal by the deadline. It’s important to note that the grant writing process can take several months, so it’s essential to plan ahead and allocate enough time and resources to complete the grant.

How to Write Grants – Step-by-Step Guide

Now that you understand the grant writing process let’s dive into how to write grants. Here is a step-by-step guide to help you write a winning grant proposal:

Step 1: Create your Grant Management System

The first step in grant writing is to create a grants management system to help you organize project narratives, supporting documents, and financial documents in a reliably accessible location. Your system should also include a tracking system to keep up with deadlines and capture results. Taking the time to do this first will save some time in a time-consuming process.

You can find plenty of fee-based grant management systems that do all this for you, however, a simple Google Drive folder for document storage and a spreadsheet-type tracking system is fine to get started. Your supporting documentation folder should contain a copy of your IRS designation letter, state certificate, board resolution authorizing you to act on behalf of the organization or letter approving the grant application, key staff bios and resumes, board member list, and project narratives for all of your programs.

Your financial documentation folder should contain a copy of your most recent profit and loss report, balance sheet and board approved budget, and a project budget for each of your programs.

You are already using these documents to run your organization, take the time to set them aside in a reliably accessible location like Google Drive, Microsoft OneDrive, or Dropbox, and remember to update them so you don’t attach outdated information to a project proposal. It will save you LOADS of time!

Step 2: Identify a Funding Opportunity

Now that you’ve set up your system, it’s time to search for a funding opportunity that aligns with your organization’s mission and goals. Start with the advocacy group for your cause, i.e. The American Heart Association if you are a heart health for women nonprofit. Next, go to your local library. Most local libraries have free, limited access to Candid Foundation  search. Another good place to search for initial funding is your local service clubs (Rotary, Kiwanis, etc.) and big box department store community donations page.

Yes, I deliberately left out Grants.gov. However, if you insist, here is what you will do:

You’re going to search for the federal department that oversees the programs and services that directly or indirectly align with your projects’ goals and objectives. For example, if your organization provides services to families with medically complex children, you’ll most likely find aligned funding opportunities in the Administration for Children and Families. When you get to their page you’re going to look up the most recent grant recipients in your state or nearest to your state. You’re going to look for an agency near you that is already providing the service and strike up a conversation. Hopefully that conversation leads to a partnership that includes you providing services as a component of their program.

Why would I leave out grants.gov, you ask? Because those grants are massive. They require time, capacity, and funding that most starting nonprofits will not have. Writing one of these grants is the equivalent of jumping into the deep end of the pool when you only learned to backstroke last week. Also, a finely tuned partnership gives you experience with leveraging funding; bonus points in the eyes of most funders, and the opportunity to increase the overall amount of funding in the area for your mutual causes!

If you want this organization to last, you’re going to build smarter, not harder.

Step 3: Analyze Grant Opportunities and Guidelines

Once you’ve identified a funding opportunity, analyze the grant guidelines carefully. Here is where part 2 of your grants management system enters the picture: your grant analysis system. Since we are focusing on smaller grant applications, the system doesn’t have to be any more complex than another spreadsheet. Here is a simple tracker you can use to get started. I modified a version of that spreadsheet to include analysis that measures factors I look for when deciding to apply for a grant. Sign up for our newsletter and I’ll send you a free copy.

Step 4: Write a Compelling Proposal

Write a compelling proposal that clearly aligns with the funder’s priorities and requirements. Clearly define the project’s goals, objectives, outcomes, and metrics and articulate your organization’s mission, the project’s goals, and how it aligns with the funder’s priorities. Use data and evidence to support your proposal and demonstrate the project’s potential impact. This can be the most time-intensive part of the process, however, we’ve alleviated some of this by having our project plan and supporting documents nearby and easily accessible.

Step 5: Submit the Proposal

Once you’ve completed the proposal, review it carefully for accuracy, grammar, and spelling errors. Submit the proposal by the deadline, following the funder’s submission guidelines. Have a trusted person review your application or hire a grant specialist to review it before you submit your application.

In the next article, we’ll discuss strategies for developing a compelling proposal. Hint: it starts with having a compelling project plan.

Remember, you don’t have to do this alone. Contact me if you want to talk more about grant writing strategies.