Consider these three hypothetical nonprofit organizations:
While all of these nonprofits may believe their problems can be solved by writing a successful grant proposal, only one is correct. That's because grants, simply put, are one-time gifts of money intended to support a program or project that is well-thought-out and capable of continuing after the grant funding.
Nonprofit A has a great general idea for a program. But they don't have enough information to begin writing a grant proposal. What do they mean by "health education?" Who are they educating? What are their goals? What kind of process will they use? Until they have the answers to these and many other questions, they're not ready to write a grant proposal.
Nonprofit B has a problem that no grantmaker will solve for them. Grantmakers (unless they're personal friends of the Board Chair) will never throw good money after bad. So unless nonprofit B either (1) has a close personal relationship with a foundation or (b) has a rock-solid plan for ensuring that their afterschool program will never go broke again, they'll have to find another source of funding.
Nonprofit C is ready to write a grant proposal. Why? They have a clear cut, well-thought-out project that is of reasonable scope. They know exactly what they want to fund, and their list makes perfect sense. Once they've bought their equipment, they'll be ready to start up a daycare that will support itself through earned income. In short, nonprofit C has a specific, fundable project in mind.
Grants are a wonderful source of funds for non-profits. But not every project or need can be funded through grants. Before deciding to compete for a grant, be sure that the project you have in mind is truly appropriate for grant funding.
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Deductions for Donations from Tax-Deferred IRAs
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One potential source of contributions sometimes overlooked in charities' fundraising campaigns is donations of assets from individual retirement accounts. Under the Pension Protection Act of 2006, eligible donors can get a tax break on these contributions if all the IRS...(» read more)
Deductions for Donations from Tax-Deferred IRAs
Featured article
One potential source of contributions sometimes overlooked in charities' fundraising campaigns is donations of assets from individual retirement accounts. Under the Pension Protection Act of 2006, eligible donors can get a tax break on these contributions if all the IRS...(» read more)
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