State of grantseeking- simple_development_systems_041713

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April 17, 2013 webinar about the State of Grantseeking for Simple Development Systems members

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State of grantseeking- simple_development_systems_041713

  1. 1. The State of Grantseeking and Its Implications for Fundraisers April 17, 2013
  2. 2. http://www.flickr.com/photos/oxygeon/238163317
  3. 3. The State of the Nonprofit Sector Nonprofit Finance Fund: 2013 State of the Nonprofit Sector
  4. 4. 1 in 3 organizations received less government money in 2012 than in 2011Nonprofit Finance Fund: 2013 State of the Nonprofit Sector
  5. 5. Overall giving is increasing slightly Blackbaud, Charitable Giving Report 2012
  6. 6. A majority of nonprofits reported increased donations Nonprofit Research Collaborative Winter 2013 Nonprofit Fundraising Survey
  7. 7. Nonprofits are feeling optimisticNonprofit Research Collaborative Winter 2013 Nonprofit Fundraising Survey
  8. 8. But they have felt optimistic beforeNonprofit Research Collaborative April 2012 Nonprofit Fundraising Survey
  9. 9. Grants are over 25% of funding for almost half of all nonprofits State of Grantseeking Spring 2013, GrantStation and PhilanTech
  10. 10. In the last 6 months of 2012, nonprofits applied for same number or more grants State of Grantseeking Spring 2013, GrantStation and PhilanTech
  11. 11. And received the same # or more grantsState of Grantseeking Spring 2013, GrantStation and PhilanTech
  12. 12. Grant size was the same or largerState of Grantseeking Spring 2013, GrantStation and PhilanTech
  13. 13. Trending in a positive direction
  14. 14. Total foundation giving has stabilized, but not returned to pre-recession levelsFoundation Center, Foundation Growth and Giving Estimates June 2012
  15. 15. Private foundation grants remain the most frequent funding source State of Grantseeking Spring 2013, GrantStation and PhilanTech
  16. 16. Private foundation grants were also the largest single source of total grant funding State of Grantseeking Spring 2013, GrantStation and PhilanTech
  17. 17. Private foundations were also the source of the largest grant State of Grantseeking Spring 2013, GrantStation and PhilanTech
  18. 18. Nonprofits continue to submit many requests to grantors # of Grants Submitted July to December 2012State of Grantseeking Spring 2013, GrantStation and PhilanTech
  19. 19. …and continue to get grant awards # of Grants Awarded July to December 2012State of Grantseeking Spring 2013, GrantStation and PhilanTech
  20. 20. Number of requests has remained consistent
  21. 21. …as has the number of grants awarded
  22. 22. Organizations rely on different people to engage in grantseeking activities State of Grantseeking Spring 2013, GrantStation and PhilanTech
  23. 23. Most organizations get grants under $100,000 All Small Medium LargeLargest Award July – December 2011 Organizations Organizations Organizations Organizations$1 to $10,000 24% 59% 25% 10%$10,001 to $50,000 28% 28% 36% 19%$50,001 to $100,000 13% 4% 18% 11%$100,001 to $500,000 22% 9% 18% 32%$500,001 to $1,000,000 5% 0% 1% 11%Over $1,000,000 8% 0% 3% 16%State of Grantseeking Spring 2012, GrantStation and PhilanTech
  24. 24. Grantseeking has challengesState of Grantseeking Spring 2013, GrantStation and PhilanTech
  25. 25. Internal and external challenges
  26. 26. Smaller organizations struggle more with the mechanics; larger organizations struggle more with the macro issues All Small Medium LargeGrantseekings Greatest Challenge in 2012 Organizations Organizations Organizations OrganizationsCompetition 6.0% 4.0% 5.0% 8.0%Reduced funding 12.0% 6.0% 11.0% 17.0%Economic conditions 11.0% 5.0% 11.0% 14.0%Funder practices and requirements 6.0% 5.0% 7.0% 6.0%Internal organizational issues 4.0% 0.0% 3.0% 7.0%Lack of time and/or staff 23.0% 26.0% 26.0% 19.0%My organization needs a grantwriter 7.0% 14.0% 6.0% 3.0%Relationship building with funders 7.0% 9.0% 7.0% 7.0%Research, finding grants for my organization’smission 16.0% 21.0% 16.0% 13.0%Writing grants 4.0% 8.0% 2.0% 2.0%Other 4.0% 3.0% 4.0% 4.0%State of Grantseeking Spring 2012, GrantStation and PhilanTech
  27. 27. In the words of grantseekers• “Fewer personnel due to the economy doing more work so less time for grantwriting or money for a professional.”• “Less Federal dollars and more agencies applying.”• “Grant funding at all levels (government, corporate, foundation and other sources) has become very competitive during the economic downturn. Grant allocations have become smaller while human service needs have skyrocketed.”
  28. 28. In the words of more grantseekers• “As we have moved increasingly into policy advocacy we need multi-year commitments; however, few foundations provide more than a years worth.”• “As an arts organization, we are seeing a number of long-time funders shift their giving to social service programs.”
  29. 29. Foundations are giving fewer multi-year grants
  30. 30. Internal Challenges• “There is no agency-wide cohesiveness, no coordination. All Program Directors work independently and separately from each other, even closely related programs.”• “Capacity is always the biggest challenge - we have a nice base of funders we keep going back to year-after-year, but this doesnt leave a lot of time to find and pursue new foundation grant opportunities.”
  31. 31. It’s Not All Bad News• “2011 was our most dismal year for Foundation grants. Many Foundations were focusing solely on "basic needs" of housing and hunger. In 2012, Foundations came back - tripling the 2011 total.”
  32. 32. New in 2013• “Finding new grant sources in a small, rural area with few corporations, foundations and other funding”• Sequestration
  33. 33. Implications for Fundraisers• Economy seems to be recovering, but giving has not returned to pre-recession levels• Don’t assume that this year’s funder will be next year’s funder• Impact of government funding reductions isn’t over – impact of sequestration is only starting to be felt• Diversify• Grant trends can inform strategy and prospecting
  34. 34. Focus• On net positive grants• On developing and cultivating relationships• On high ROI prospects – and issues that matter to them
  35. 35. There is an increased need for grant professionals• Challenges of time, not having grantwriter on staff – “No dedicated resource. Trained and experienced grantwriters are in the area, but there is no budget setup for funding that work.” – “We are all volunteers and no one knows how to write a grant proposal.”• Opportunity for consultants – Expertise + time = ROI
  36. 36. …but corresponding stress on ability to pay• New hires are not in the cards for many nonprofits• Many don’t have the cash flow to pay consultants
  37. 37. Nonprofits remain optimistic about the next six months State of Grantseeking Spring 2013, GrantStation and PhilanTech
  38. 38. A Bit about PhilanTech
  39. 39. A bit about PhilanTrack• Find new potential funders• Streamlined funder management• Complete proposal management• Effective and thorough progress reporting• Convenient document library
  40. 40. A Bit More about PhilanTrack• Simple and clean user interface• Stay productive and free up resources• The speed and convenience of the cloud without sacrificing security• Supported by an organization dedicated to streamlining philanthropy
  41. 41. Questions?Dahna Goldsteindahna@philantech.com

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