For nonprofits, identifying the right grant funders can feel like finding a needle in a haystack.
With limited resources and countless grantmakers out there, how do you focus your energy on funders most likely to support your mission? Learning how nonprofits secure funding effectively can make all the difference.The good news is that there is a solution you can learn.
That’s where we can help you. At PhoenixFire Strategic Consulting, we’ve developed a grant funder prospecting process designed to take the guesswork out of fundraising.
By using targeted research and proven methodologies, we help nonprofits find funders who are not just a good fit but are likely to lead to successful outcomes.
Here’s a closer look at how our process works and the benefits it brings to your organization.
Our Step-by-Step Process
1. Identifying Peer Organizations
We start by identifying 10 peer organizations that operate within or adjacent to your region. These peers may share similar missions, serve comparable populations, or address related focus areas. This creates a benchmark for identifying funders with a history of supporting nonprofits like yours.
2. Researching Funders Through Foundation Directory Online
Using Foundation Directory Online (FDO), we investigate the funding history of these peer organizations over the past five years to provide actionable grant research tips for securing funding. This tool provides detailed insights into the funders that have supported your peers and their giving trends.
FDO is a high-end, pricey solution that allows us to prospect at an elite level. However, there are other low or no-cost options that are still useful if you want to try this on your own.
3. Creating a Matrix of Funders
We then compile the data into a matrix and cross-reference funders that have supported multiple peer organizations. This step helps us identify patterns and pinpoint key funders.
4. Researching Funder Missions and Focus Areas
Once we have a refined list of potential funders, we conduct in-depth research into their missions, focus areas, and funding priorities. Not before. It is important to do this process in this order.
Understanding a funder’s priorities ensures that your organization aligns with their goals, increasing the likelihood of success. You need to take both actions (the matrix and the research) in order to get the best results.
5. Understanding the Application Process
Next, we dig into the practicalities. For each promising funder, we identify:
Eligibility and restrictions.
Grant application deadlines.
Required documentation.
Application methods (e.g., online portals, email submissions, or letters of inquiry).
This preparation ensures that you’re equipped to submit a polished and timely application.
6. Providing a Curated List of Promising Funders
Finally, we deliver a tailored list of funders that meet your organization’s needs, ensuring you are prepared to submit grant applications with confidence. Each prospect is backed by data, research, and actionable insights, so you can focus your efforts on funders most likely to result in a successful grant award.
While we provide that service to our clients, there is nothing inherently magical about this process. You can do this on your own as well, assuming you have the time and interest.
The Benefits of Our Approach
Our grant funder prospecting process goes beyond simple research, and so we have a much better chance of winning. That is very important to remember; grant proposals aren’t just about doing a good job. You have competition. You need to win.
Here are some key winning benefits of our methodology:
1. Increased Relevance and Likelihood of Success
By focusing on funders who have already demonstrated support for similar organizations, we significantly improve your chances of success. This targeted approach increases efficiency.
For example, while working with Flatbush Cats, a nonprofit spay and neuter clinic in Brooklyn, New York, we identified a high-value donor who had previously donated only a few dollars. Through personal outreach, this donor contributed $25,000 through her foundation gift that was instrumental in helping Flatbush Cats complete their clinic in 2023.
2. Access to Hidden Opportunities
Some funders don’t have websites or publicize their grant opportunities widely. By leveraging tools like Foundation Directory Online and our industry expertise, we uncover these hidden gems - funders you might never have known about on your own.
3. Intentional and Streamlined Grant Writing
With a refined list of funders and a clear understanding of their requirements, your grant writing becomes more intentional, a vital step for nonprofits to secure funding and sustain their missions. This focus allows you to craft compelling applications tailored to each funder’s priorities.
4. Building Long-Term Relationships
Our process doesn’t just help with immediate funding needs. By aligning your organization with funders who share your values, you lay the groundwork for meaningful, long-term relationships that go beyond a single grant cycle.
5. Saves Time and Resources
The time and expertise it takes to prospect for grants can be overwhelming for nonprofit teams already stretched thin. Our process alleviates this burden, allowing you to focus on what you do best: advancing your mission.
Why This Matters for Your Nonprofit
Grant funding is vital for nonprofit sustainability, but it’s also highly competitive. Leveraging expert grant research tips can help you stay ahead.
Our goal is to empower your organization with the tools and insights needed to connect with funders who are truly invested in your mission. From uncovering hidden opportunities to ensuring your applications align with funder priorities, we help make the process intentional, efficient, and impactful.
Ready to Take Your Grant Prospecting to the Next Level?
If you’re tired of spinning your wheels trying to win grants with the right funders, we’re here to help. Let’s work together to identify opportunities, build relationships, WIN the grants, and secure the funding you need to drive your mission forward.
Reach out to us today to take the first step toward more successful grant applications.
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