During the pandemic and national reckoning on race, over 800 foundations pledged to loosen or eliminate grant restrictions. Four years later, many have stayed the course. Here is where we've seen progress. 1. Streamlining or revising grant reporting requirements: Over 50% of nonprofit leaders reported a reduction in these requirements. 2. Reducing or eliminating funding restrictions: 56% of nonprofits said funders made or kept commitments to reduce or eliminate restrictions. 3. Streamlining application and proposal processes: 65% of nonprofits said funders made or kept commitments to reduce grantee burden. Elisha Smith Arrillaga, Ph.D., vp of research for Center for Effective Philanthropy, shares more on how the changes grantmakers have made to reduce the burden on nonprofits. Have you seen changes in reporting requirements or funding restrictions?
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🚨 New Report Alert! 🚨 The Tennessee Nonprofit Network tackles state grant challenges for nonprofits. Their April 2024 survey revealed key barriers: delayed reimbursements, complex reporting, and overhead restrictions. Actionable solutions include: 🔹 Upfront grant funding 🔹 Alternative payment models 🔹 Standardized reporting 🔹 Flexible use of funds 🔹 Collaboration with state agencies TNN is committed to empowering Tennessee nonprofits for greater community impact. This "Making Grants Work for Nonprofits" report is just the beginning of TNN's advocacy for change! #NonprofitNews #StateGrants #TennesseeNonprofits #CommunityImpact #TNNAdvocacy #NonprofitFunding #TNNUpdates
Making Grants Work for Nonprofits in Tennessee
tnnonprofits.org
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Discover the power of federally negotiated indirect cost rates for nonprofits! This article sheds light on how adding a NICRA to your revenue portfolio can unlock additional resources. Ready to maximize your organization's potential? Read more: https://loom.ly/OQDTDxM #NonprofitStrategy #IndirectCostRate #ResourceOptimization
Consider adding a federally negotiated indirect cost rate to your revenue portfolio
councilofnonprofits.org
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Nonprofit Executive & Consultant Specializing in Museums, Public Parks, Arts & Culture, Historic Preservation, and Aeronautical History
Outstanding report, USD. Promising developments in the San Diego philanthropic community. It's gratifying to hear that grantmakers are increasingly understanding the real-world challenges that nonprofits deal with, not just in San Diego but nationwide. Supporting the essential foundational capacity of nonprofits and making the fund request process less onerous for smaller, under-capacity organizations demonstrates that there are, in fact, grantmakers who sincerely want to be partners with nonprofits to change lives for the better. And the trend towards multi-year grants is welcomed, an immensely helpful model for all parties - after all, how can performance be fully and accurately measured in only twelve months? What needs to continue gaining traction amongst benefactors is expecting transparency and accountability from recipients of their grants. And where nonprofits fall short, mentoring should be encouraged/offered/required so they can do better in the future... part of every grantmaker's ethos.
A new report shows how money flows from grantmakers to San Diego nonprofits
sandiegouniontribune.com
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THIS. EXACTLY THIS! I would venture to say that most nonprofits create *new* programs that are attractive to funders because those are the things that get funded. In reality, nonprofits need funders to adequately fund the current programs that are already working (including the cost it takes to actually run the program)! Many of us run on shoestring operating budgets that end up costing more in staff time in the long run due to technological inefficiencies (for example) because existing funders don't want to pay for technology upgrades. There has long been an adage in the for- profit world that it "takes money to make money." Why does this not translate to the nonprofit/service sector that it takes money to provide the services for the good of the people? How much more effective could we be with abundant (no, scratch that) adequate operational support?
To thrive, nonprofits need robust support for operating costs. However, finding funding for these essential expenses is challenging due to the public's often unrealistic expectations of low overhead. This creates a vicious cycle where nonprofits struggle on shaky ground, reporting artificially low costs. Breaking this cycle requires funders to understand the importance of operating costs and nonprofits to advocate for realistic overhead spending. Let’s support sustainable nonprofit growth by promoting realistic funding expectations. #NonprofitLeadership #SustainableFunding #ImpactfulGiving https://lnkd.in/gPY-bVdX
The Nonprofit Starvation Cycle (SSIR)
ssir.org
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‼️New report from Tennessee Nonprofit Network! Excited to share that the "Making Grants Work for Nonprofits in Tennessee" report is now public. I am incredibly honored to have been part of the workgroup that provided feedback on the report of our experience, specifically around United Way of Greater Knoxville’s $25M TANF grant. While this is an incredible opportunity, we know government grants can feel like an impossible task for our partners. UWGK is committed utilizing our position as an advocate to simplify the process and collaborating with our government partners to make grants more accessible for all nonprofits, in partnership with Tennessee Nonprofit Network. Big shout out to Natalie Jones who put this together in a VERY short window in order to make this discussion happen for next legislative session. 👏 Full report link ⬇️ TOP-LEVEL - Timeliness of Reimbursements: 80% of nonprofits reported delays impacting operations. -Burdensome Reporting Requirements: Complex processes and inconsistent guidelines create challenges. - Inadequate Funding for Operations: Caps on overhead costs limit financial management capabilities. Recommendations from the workgroup: 1. Upfront Funding: Easing cash flow concerns. 2. Flexible Payment Models: Moving beyond reimbursement. 3. Standardized Administration: Streamlining processes. 4. Increased Investment: Strengthening nonprofit operations. Being part of this effort has been a rewarding experience, and I'm grateful for the opportunity to contribute to such important work. We can foster a more sustainable and effective nonprofit sector in Tennessee, but only through working together. Full Report: https://lnkd.in/eZtBKnDp
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To thrive, nonprofits need robust support for operating costs. However, finding funding for these essential expenses is challenging due to the public's often unrealistic expectations of low overhead. This creates a vicious cycle where nonprofits struggle on shaky ground, reporting artificially low costs. Breaking this cycle requires funders to understand the importance of operating costs and nonprofits to advocate for realistic overhead spending. Let’s support sustainable nonprofit growth by promoting realistic funding expectations. #NonprofitLeadership #SustainableFunding #ImpactfulGiving https://lnkd.in/gPY-bVdX
The Nonprofit Starvation Cycle (SSIR)
ssir.org
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🤔💬 Have you joined the conversation about nonprofit overhead? It's challenging the stigma that nonprofits should skimp on administrative costs and fundraising. Consider this scenario: A donor gives $10 to a local hunger relief nonprofit and pays $10 at a department store for a new sweater. The store can use their money for salaries or promotions without questions. But if the nonprofit uses it for staff salaries, that donor may get upset. Thankfully, this outdated mindset is evolving. By embracing a more business-minded financial approach and investing in operations, nonprofits can grow and make a bigger impact in their communities! Read Jitasa’s article on nonprofit overhead to learn more on the subject. That way, you can join this important conversation. 🌟 https://bit.ly/3ypHxGS #NonprofitOverhead #ImpactInvesting #SocialGood
What Nonprofits Should Know About Overhead
jitasagroup.com
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This month on the blog, we are solving the mysteries of public versus private funders. 🔍 Public funders are any form of government at the local, state, federal, or international level and carry out government legislation. I’m using the term private funder as a catch-all for every other type of funder: with some exceptions, they basically fund whatever they want, wherever they want. As you navigate the labyrinth of grant-seeking, remember: diversity in your funding portfolio is key. Deciphering eligibility criteria and building relationships with these funders is all part of the grant detective game. It can sound overwhelming to think about all the different ways private funders can award and administer grants. Start small, leverage existing relationships, and embark on your funding journey with confidence. Cover photo by @mediamodifier on @unsplash #grantmaking #grantseeking #grantfunding #grantopportunities #nonprofits #nonprofitfunding #grantmanagement https://lnkd.in/eFvwhNF3
Solving the Mysteries of Public versus Private Funders — Nonprofit Nomad
nonprofitnomad.com
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Helping donors (and recipients) to understand the importance of unrestricted funding is so important to the continuing success of an organization. Trying to function on too thin of an operating margin can put the organization at risk or can be limiting future growth. Being able to tell the story of what management is planning and accomplishing helps to explain why operating margins may be higher than 'accepted or expected norms' and helps donors to support the organization with unrestricted funds.
Asking for unrestricted dollars doesn't have to be hard, one expert says. When groups aren’t regularly getting these gifts, it’s often because they aren’t having the conversation with donors. In this informative article, a grant maker, a nonprofit leader, and a consultant share smart advice to help you broach the topic, make a compelling case, and land unrestricted support for your cause. Click through to hear tips from: - Shireen Zaman, program officer for the Ford Foundation’s Building Institutions and Networks (BUILD) program - John Simpkins, president of MDC, a nonprofit that promotes equity and economic mobility in the South - Sherry Quam Taylor, nonprofit fundraising consultant and host of The Business Behind Fundraising™️ Podcast at QuamTaylor LLC. #fundraising #general operating https://bit.ly/4c336N8
10 Insider Tips to Raise General Operating Support
philanthropy.com
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Nonprofits drive change, but financial management is key to sustaining impact. Delve into the nuances of restricted vs. unrestricted funds and their pivotal role in cash flow. Empower your nonprofit's financial strategy for lasting impact. #NonprofitFinance #FinancialHealth
Master your nonprofit's finances with insights on restricted vs. unrestricted funds from Signature Analytics. Drive impact and sustainability #FinanceEducation #NonprofitImpact
The Impact of Restricted vs Unrestricted Funds on a Nonprofit’s Cash Flow - Signature Analytics
signatureanalytics.com
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