Tuesday, July 12, 2011

The Best Web Sites To Find Grants

There are hundreds of data banks listing grant opportunities. Many of them require a membership fee or they are dated. The list of funders and links here are valid when published. 

Some of the data banks I have included require a user name, a password and an e-mail address. In some instances your account will require activation through a return e-mail to you to be returned to them or clicking on a link. Please read the privacy notice at the web site, if there is one, and decide whether you want to give the information required.

The list includes links to U.S. foundations and corporations and for the United Kingdom, Canada and Australia. There are data banks aimed at international NGOs. There are specialized banks for animals, women, human rights, health, the environment and international development. I have included what I consider to be the best data banks for U.S. government funds including funds for international purposes...

This is the second new article about finding grant opportunities available at this blog. The earlier one is How to Find Grant Opportunities . You may be aware that I send out 6-8 grant opportunities announcement almost every evening through my Twitter account, http://twitter.com/#!/dgriesmann

There are over 1.3M nonprofit tax exempt organizations in the United States. Most of them are looking for grants to fund their missions. The funds available from nongovernmental sources, foundations, corporations and trust funds are miniscule compared to government sources.

The parameters for inclusion here are –

  • no fees
  • open to all
  • meaningful list
  • broadly based
  • user friendly
  • timely   
I hope that readers will add their favorite links to data banks of grant opportunities to this list, meeting the same parameters.

My overriding principle for this and other articles about grants is - what is on the internet that NPO/NGOs can secure with no cost or gimmicks?  We have many dedicated people in our sector who deserve our thanks who put almost everything we need to know out there for no cost. The hard part of course is mining it for value. That is what I try to do about grants - mining them for value. I have mined here the best data banks that can serve you well. The goal here is to make your search as little frustrating as possible.

The following is not an all inclusive list. I have tried to find as many data banks as possible. They can help you decide which grant opportunities to review and which may not be worth your time. I have added my own comments about the web sites as needed.

The Foundation Center has an excellent Guide to Funding Research for grantseekers that should be read by everyone, staff, consultant, volunteer or board member, starting out for the first or 30th time searching for grants, - http://foundationcenter.org/getstarted/tutorials/gfr/

I have included information and links for international grant opportunities. According to the Foundation Center there were over $7.6 billion in grants given to 15,675 international recipients in 42,169 foundation grants. http://fconline.foundationcenter.org/maps/ 

  1. Grants.gov is an excellent source for timely notice of federal grants, sorted by opening or closing date over the past 7 days. It includes domestic and international grants. I suggest this should be a “favorite” if you are interested in federal grants because it changes regularly  http://www.grants.gov/search/search.do?mode=Search&dates=7&docs1=doc_open_checked  
  2. Federal Grants Wire, a useful search tool for finding federal grants, government grants and loans. They currently index 2,481 federal grants and loans organized by sponsoring agency, applicant type, subject area http://www.federalgrantswire.com/   
  3. Federal Business Opportunities (Fed Biz Ops) with 25,000 - 32,000 contract opportunities, some for nonprofits. This is not an easy site to navigate but if you are looking for business contracts rather than grants this where you can start https://www.fbo.gov/?s=home&tab=list&mode=list 
  4. NonProfitExpert.com, detailed listing of grants and good information for grant seekers; review the categories listed on the left hand side.    http://www.nonprofitexpert.com/federal_grants.htm 
  5. Jon Harrison and Michigan State University have a comprehensive list of funders alphabetized by subject http://staff.lib.msu.edu/harris23/grants/2sgalpha.htm
  6. Youth Grants for NPOs working  in that service area http://www.youthtoday.org/grants.cfm
  7. Rural Assistance Center has an excellent directory of foundations with funding links by topics, and links to state resources http://www.raconline.org/funding/funding_topic.php  
  8. Common Grants material has a list of foundations that accept their universal grant application form. The list of foundations is in alphabetical order and is searchable by location, program type and beneficiary http://www.commongrants.com/participating-funders    
  9. Meyer Foundation’s list about funding opportunities, outside Meyer, includes information on ways to strengthen nonprofit organizations, research about people and communities that Meyer cares about, and useful links for nonprofits and grantmakers
    http://www.meyerfoundation.org/resources/Other+Funding+Opportunities/ 
  10. FundsNet Services.com has excellent information about grants and you can browse through categories of grants from Animal & Wildlife Grants to Women Grants - http://www.fundsnetservices.com/   
  11. Women’s Funding Network connects and strengthens more than 160 organizations that fund women’s solutions across the globe http://www.wfnet.org/the-network/member-directory  
  12. Google directory of foundations in alphabetical order, look at the links to categories to save some time http://directory.google.com/alpha/Top/Society/Philanthropy/Grants/Grant-Making_Foundations/  
  13. Grant Makers in Health has partners listed and linked alphabetically -http://www.gih.org/link_no_cat2664/link_no_cat.htm  
  14. Environmental Grantmaker Association has an alphabetical list and links - http://www.ega.org/funders/funder.php?op=list 
  15. Animal Rescue and Rehabilitation funders are listed at the University of Wisconsin grants’ library http://grants.library.wisc.edu/organizations/animals.html   
  16. California Polytechnic State University, listed by subject in alphabetical order -   http://www.calpoly.edu/~grants/3_FoundSubj.html   
  17. Foundation Center has a list of the 100 largest U.S. grantmaking foundations ranked by the market value of their assets, based on the most current audited financial data in the Foundation Center's database as of April 27, 2011. http://fdncenter.org/findfunders/topfunders/top100assets.html  
  18. ChristianGrants.com features links by key words and by work projects including building campaigns, program support, outreach ministries and more http://www.christiangrants.com/   
  19. National Association for the Exchange of Industrial Resources (NAEIR) features a catalog of donated merchandise for supplies http://www.naeir.org/    
  20. A reader suggested - ScanGrants™ is designed to facilitate the search for funding sources to enhance individual and community health – medical researchers, social workers, nurses, students, community-based health educators, academics and others
    http://www.scangrants.com/ 

For international grants:

  1. Canada’s CharityVillage has a section with a list of grantors in alphabetical order, searchable by categories http://www.charityvillage.com/cv/nonpr/nonpr17.asp and 

    Canadian international grants - http://www.charityvillage.com/cv/nonpr/nonpr9.html#sep1211 

  2. Canada funders can be found on FundsNet Services.com http://www.fundsnetservices.com/searchresult.php?sbcat_id=29    
  3. Nobel Peace Prize has a list of international foundations http://www.nobelpeaceforum.org/grantsandrelatedresources.htm   
  4. Grants from foundations aimed at United Kingdom, Australia, Canada and other international funders at Fundsnet Services.com  http://www.fundsnetservices.com/showcats.php?sbcat_id=10  
  5. Jon Harrison's list of Women in International Development, a compilation of web pages of potential interest to NGOs seeking funding opportunities related to women in international development- http://staff.lib.msu.edu/harris23/grants/2wid.htm 
  6. The International Human Rights Funders Group has a grants tool designed to enable both grantmakers and grantseekers to search for human rights funders by several key criteria: areas of rights funding, activities supported and geographic focus at http://ihrfg.org/funder-directory-search 
  7. Grant Makers without Borders does not provide grants but does have an excellent directory of foundations and other organizations interested in international grantmaking http://www.internationaldonors.org/advicegs/index.htm   
  8. LGBTQ Funders Directory provides information on funders of organizations and projects working with lesbian, gay, bisexual, transgender and queer (LGBTQ) communities. All of the groups included in the directory have provided financial support, of varying types, to LGBTQ programs. http://www.lgbtfunders.org/seekers/directory.cfm 
  9. ChristianGrants.com features international opportunities with links by key words and by work projects including building campaigns, program support, outreach ministries and more http://www.christiangrants.com/ 
  10. Grantmakers Online.com, an interactive database of world-wide funders, in Beta form, and a little clumsy but highly useful, http://www.grantmakersonline.com/
For other international listing see the companion piece, below, about free e-newsletters that provides timely notice of grant opportunities -

Through the Looking-Glass for International Grant Opportunities


For e-newsletters about grants, see

How to Find Grant Opportunities


Are you sure your organization is ready to receive and appropriately account for the assistance from a grant? Before you say “Yes”, please read this

One Phase of Nonprofit Organizational Readiness for Grant Funding – Recordkeeping  

Tuesday, June 28, 2011

How to Find Grant Opportunities

Every leader, employee, board member and volunteer with a nonprofit, tax exempt, nongovernmental organization is looking for grants. This Blog post will give you e-newsletters and two Twitter accounts where you can receive grant and scholarship information daily or weekly at no cost.

There are thousands of local, state, regional and national foundations and corporations that accept grant proposals. But each has its own requirements, process, mission, eligibility, forms, reporting and accountability standards. The Foundation Center and others have large data bases that are for sale.  But there are source to find grant opportunities that cost nothing. There are e-newsletters and Twitter messages available to keep you up to date on many grant possibilities.  How do you keep up with Federal sources of grants? Again there are free e-newsletters available.

You should also be alert to your state or province government and local foundations that provide grants. Your local United Way or similar organization may have information they are willing to share.  

The most difficult process to secure funding for nonprofits is through the grant writing activity. Folks starting out should first have in place a resource development plan that includes grant seeking and also, fund (friend-) raising, use of social media, events, capital funding, social enterprise (not for everyone), volunteers, collect dues, user fees, contracts for service, sell products, equipment donations and so on.  

The place to start seeking grants is in your local delivery area, town, city, county, parish, province, state. Developing relationships and friends is absolutely critical, not only for fundraising but also for securing grants and finding leads to sources of funding. Making friends and developing contacts takes work by the board, volunteers and staff.  The organization has to develop spheres of influence among its supporters, people who share the organization’s mission, activities and values.   

There are a number of places to find information easily and on the cheap...no money. There are a number of e-mail notices about grants which I am listing here. One source of grant funds is corporate giving such as grocery chains, utility companies, pharmaceutical companies, national products and others. I have not found any common source for that information. It takes digging.


Corporations are more likely to give to programs that are in their community, an office, manufacturing plant, research and development center, any physical presence. A corporation is even more likely to provide support if an employee volunteers or serves on the board of the organization.


Nongovernmental organizations (NGO) in Third World countries should see where there are international companies, offices, excavation, mining, research and development, manufacturing, security and so on. They may provide support, not always money, for the project that matches up with their business model. I am sensitive to the fact that many international companies can be the source of problems in Third World countries.  I have seen, however, some international companies not only from the US but also Sweden, Norway, Australia, India provide help to NGOs and provide help for individual children in need of serious medical attention when referred by a NGO.

Program precedes money. Planning precedes program. You start by doing something toward your mission. There are no funders sitting around looking for people to fund. They rarely fund start-ups. They are looking for organizations that meet THEIR mission and requirements. See

For daily, instant and timely grant notices you can follow me on Twitter, @dgriesmann  


For daily scholarship information opportunities, follow @ScholarshipsGL on Twitter  

Federal grant notices by agency, a hit-and-miss proposition but absolutely valuable - http://www07.grants.gov/applicants/email_subscription.jsp   


Federal Register Table of Contents published daily - Lengthy listing of the Federal government at work, meeting announcements, and publications about rules and so on. This used to be the only place to find grants but not any longer. Still, I have found grants through this source not listed elsewhere. It will take about 1-3 minutes to scan the Table of Contents, click on Online mailing list archives,   http://listserv.access.gpo.gov/

GrantsAlert.com for education grants from Joseph B Mizereck and Associates Inc also features fellowships and awards for educators http://www.grantsalert.com/  

FundingAlert from the Washington DC Mayor's Office of Partnerships, small number of listings, mostly Federal but I have found some gems here http://opgs.dc.gov/opgd/cwp/view,a,1318,q,587660,opgdNav,%7C34802%7C.asp

GrantStation through their Insider newsletter or multiple sources, small number of listings but very helpful with descriptions, deadlines and links, http://www.grantstation.com/
1.    
Youth Service America, sign up for newsletters, http://ysa.org/about 
2.    
National Human Services Assembly, sign up for newsletter, http://nassembly.org/
3.    
Capital Venture from Linda Lysakowski http://www.cvfundraising.com/

Miami-Dade Grant Opportunities newsletter, an excellent source with brief descriptions, deadlines and links by categories http://miamidade.gov/wps/portal/Main/grantsmembers

Foundation Center PND RFP Bulletin http://foundationcenter.org/newsletters/


For international grants:


UK Office for Civil Society Funding Central newsletter , create a profile and subscribe to the newsletter “Reminders of approaching deadlines ” or one  that interests you,  http://www.fundingcentral.org.uk/profile.aspx 

Are you sure your organization is ready to receive and appropriately account for the assistance from a grant? Before you say “Yes”, please read this 

One Phase of Nonprofit Organizational Readiness for Grant Funding – Recordkeeping  

Monday, May 17, 2010

Preparing A Nonprofit Board Welcome Kit and Check-off List:

Some nonprofit and nongovernmental organizations have Board Welcome Kits, material that helps a new board member begin the learning process about the intricacies of the organization.  Such Kits briefly tell the story and the history of the agency (and if the agency is part of a national body that history as well).  The board in most organizations is the leadership for creating and establishing policy, keeping the vision, passion and mission at the forefront.  In most NPOs the board members are expected to give funds and help raise funds for the organization.  The Kit should address the role of the board and list the functions as follows: 
  • Establishing and reviewing the budget
  • Selecting and receiving the report of the auditor
  • Hiring, evaluating, and firing the executive director
  • Setting the mission and broad policy for the organization
  • Approving all grants and contracts (with recognition some applications have to be filed without board approval but are subject to later review)
  • Overseeing accountability to clients/customers, funding sources, and other source-standards
  • Participating in strategic and long-range planning
  • Establishing priorities
  • Evaluating the effectiveness and efficiency of the organization
  • Establishing the role of individual board members contributing to the organization and in fund raising
  • Understanding the legal aspects of board membership, fiduciary responsibilities, ethics of a nonprofit organization, loyalty, conflict of interest, and confidentiality.

There may be limits to the board's authority and responsibilities that are required by law, by ethics or by contracts.  The Kit can describe briefly how staff handles its activities and outline that client/customer information will not be provided to board members except statistically.  There are instances that individual board members may attempt to pressure staff to break policy to assist a relative or friend; the Kit should address the process for ALL clients/customers to receive assistance.  There can be pressure from funding sources and politicians as well to help someone outside of the intake process.  The Kit should address that, but there should be some conscious agreement how that will be handled as well. 

The Kit should address what insurance the organization has and its sufficiency of coverage, how board members may be reimbursed for agency business travel, which they serve without a stipend (although some organizations pay members). Does the budget include a line item for board training and travel?  There should be an indication of the effect of a board member seeking employment with the organization - resign before applying for a job.  A short section in the Kit about the management of the organization clearly stating the executive director hires, evaluates and fires staff, that there are staff meetings, and that there is supervision and formal evaluation of staff.  The Kit can have the following checklist with some detail:
  • Information board members should have (list of board and contact information and staff, organization chart, budgets, etc.)
  • The awareness of when a board may legally have closed meetings within the state and what documents are open records to the community and the media
  • The good faith responsibilities of the board (attend meetings, receive and read material before the meetings, assure minutes are accurate, issues serving on other community boards, etc.)
  • Awareness of organizational operations (incorporation papers, bylaws, human resources, conflict of interest, possible litigation, etc.)
  • Knowledge of the human resources of the agency (clear personnel policies, staff reflective of the community diversity, adherence to all written policies, grievance procedure for staff and for clients/customers, board orientation process, etc.)
  • Information about the finances (internal controls, regular financial reports and projections, annual audit, property inventory, tax forms filed timely and paid timely, role of board as contributor and as a fund-raiser, etc.)
  • Involvement in planning (is there a 3-5 year plan consistent with mission, annual evaluation of program effectiveness and efficiency, etc.) and
  • Participation in community relations (dealing with the media – whose responsibilities, clear guidelines on client information, assessment of community needs and priorities, relationships with other nonprofits and government service offices, representative board, etc.).

One discussion that has to occur periodically is the expectation as part of the corporate culture that board members contribute financially annually according to means and passion, the board historically and the staff that the board have to help raise funds and the board’s expectation it is not the staff's responsibility to raise the necessary money.  There is significant literature that citizens are tired of receiving letters to support this or that.  There are also significant studies indicating that for many nonprofits, the board disagrees with staff about the role of fund-raiser.  Without meeting that issue and having it clear and agreed upon as corporate culture, there will be an unhealthy aspect where the rubber meets the road, where the board perceives its role.

The board needs to have a clear understanding who will maintain the records and that the records belong to the organization, not the person.  The board needs to develop an accounting procedure for reconciling accounts regularly and auditing the accounts by members who are not handling the funds.  What paperwork will be needed in order to generate a check?

The board needs to develop written policies, procedures, forms and recordkeeping capability for fiscal accountability.  Who will maintain the corporate files for fiscal accountability?  How will the board know what is going on?   

If you are involved with a nonprofit organization as a staff member, volunteer, board member, or funder, are you sure that the organization is following all legal and contractual obligations?  Do you have written policies and are you following them?  Where do you place your loyalty, values, passion, vision – this nonprofit group or another nonprofit on whose board you serve? What community do you serve and represent?

As a board member or staff member do you know about your rights and responsibilities about advocating for pubic policy affecting your organization, its clients, customers and the community it services?

Are you thinking about incorporating a not-for-profit organization?  Do you or the organization have a business plan, a mission, a vision, goals and measurable objectives, appropriate activities and are they being met?  What roles are expected of the board or staff and are those expectations being met?  When was the last time the organization was given a wellness checkup?  Just as we humans need medical and dental checkups and our motor vehicle needs a checkup, so do nonprofit organizations need a checkup.  Are you part of a sick organization that needs a tune up or are you humming on all cylinders? Do you want to know how well your group is? 

Here is the start of an online library.

The Sarbanes-Oxley Act and Implications for Nonprofit Organizations – 


Checklist for Accountability - http://www.independentsector.org/issues/accountability/Checklist/index.html   

Article by Jeffrey S. Gittler, CPA for Guidestar in August 2011, Roles and Responsibilities of Nonprofit Audit Committee Members
http://www2.guidestar.org/rxa/news/articles/2011/nonprofit-audit-committee-roles-and%20responsibilities.aspx?hq_e=el&hq_m=1234478&hq_l=11&hq_v=e088500728

Insurance Questions for Nonprofitshttp://www.idealist.org/if/i/en/faq/144-221/50-5

Principles for Good Governance and Ethical Practice: A Guide for Charities and Foundations http://www.nonprofitpanel.org/

Evangelical Council for Financial Accountability Standards and Best Practices - http://www.ecfa.org/Content.aspx?PageName=ECFABestPractices

Maryland Nonprofits: Standards for Excellence - An Ethics and Accountability Code for the Nonprofit Sector - http://www.marylandnonprofits.org/html/standards/04_02.asp






Thursday, December 31, 2009

2010 New Year’s Resolution – No New Nonprofits Unless…

This article outlines my reasons for suggesting that the United States does not need any new tax exempt nonprofits organized or recognized in 2010 unless…. In a way this is a challenge to consultants, dreamers, unincorporated groups, legal clinics and others NOT to assist anyone in creating a nonprofit tax exempt organization unless… Do not reply to questions about incorporating on social media. This article will provide my ideas of “unless”, a list of facts that say no more NPOs and headlines from around the country showing how funding is just an empty bucket - unless..You will see the picture from the national, state and local perspectives.


In 2010 there should be no new nonprofit tax exempt organizations incorporated at the state level and recognized as tax exempt by the Internal Revenue Service…

  • Unless you understand the nonprofit will not be “your nonprofit” and you have enlisted an incorporating board that is interested in the concept and capable of performing the necessary tasks of incorporating and operating the organization and
  • Unless you understand there is no “free money” from the federal or state governments. The federal government distributes funds through scholarships, fellowships, contracts, grants and loans. Each requires an application, meeting eligibility requirements, demonstration of a task to be undertaken, proof that the task was performed and the money used appropriately and in many instances a report evaluating the use of their funds and
  • Unless you understand that foundations and corporations set the standards for how and what they fund and your organization has to meet those standards to be considered. It is not unusual for a foundation to fund less than 5% of the applicants in a given year. That was before the current fiscal crisis across the world and
  • Unless you understand that any funding your NPO will receive will probably be from individuals and possibly local service groups such as the Junior League or Rotary Club, local churches or other houses of worship and local businesses. The NPO may be eligible for a contract from local, county, parish or state agency to provide certain services and
  • Unless you realize that creating a web site with a button for people to contribute money really does not work if no one knows the organization. Many people put up a web site and a button for funding before they finished with the process for tax exemption. Take that web site down. Seeking funding over the Internet can be illegal in many states unless the organization is registered to solicit funds in that state. For a list of states that require registration see the Unified Registration Statement created by the National Association of State Charities Officials and the National Association of Attorneys General This is a complex matter and you may want to talk to an attorney about how to solicit funds on a web site without violating other state laws and http://www.multistatefiling.org/
  • Unless you have a concept of what it costs to develop and operate a nonprofit in terms of shared leadership, time, thought, study, serious planning, hard work, evaluation and annual reporting as well as money and
  • Unless you have no intention of attempting to raise more than $5,000 a year for the next 5 years and
  • Unless you have enlisted or been encouraged by an “angel”, funder or investor to create the NPO for a specific mission and
  • Unless you are forming a NPO because of a tragedy, disaster or calamity in conjunction with other organizations as the best vehicle to handle services and to raise funds and
  • Unless you have performed due diligence and created a board of mixed talents, diversity, shared passion and vision concerning a truly unserved issue or need supported by some empirical evidence. If the need is an underserved need, why not join with the current providers and increase the service or product? And
  • Unless you understand that there simply are not grants available to pay for the incorporation process. If you and others cannot raise the first $1,000 or so to incorporate, then where do you think you will get the money to run the organization? When someone asks, as many do, does anyone know where I can get a grant to start my nonprofit, we should either not respond or tell the truth – you are not ready to start a nonprofit. Go volunteer at a local nonprofit and
  • Unless you understand that any funding you may want to seek will be from the local or regional area being served by the organization and
  • Unless you understand that fundraising is about relationship-building with individuals and groups to want to provide the organization with resources, money, volunteers or equipment. Fundraising is friendraising and friend-maintaining and
  • Unless you have developed a business plan that
  1. explains clear identification of the organization on credibility, history
  2. explains your vision, your mission, the goals and objectives, the kind of services that will be provided and the activities, functions and results in detail. How are your goals and objectives measurable? Assesses the problem being addressed, experience, goals and objectives, purpose and methods.
  3. gives description of the service you will provide, how you will provide it and the community or the market your organization will be in
  4. demonstrates your character. Character is the general impression you make to a prospective supporter, contributor or funder. Describe the character of your organization and its leadership. Supporters and funders will form a subjective opinion as to whether or not you are sufficiently trustworthy actually to be able to perform the service and to handle the funds.
  5. provides the educational background and experience of the board and staff for review
  6. shows the quality of the references and the background and experience of your leadership and employees because they will also be taken into consideration
  7. illustrates the research you performed and the conditions and trends in the needs you want to meet
  8. explains the need for your service and the demand for it; how is it unique?
  9. explains any barriers that you will have to face at the beginning, how you will maintain and sustain your activities as a nonprofit organization and how you plan to overcome those barriers
  10. demonstrates that you may have discovered a gap in services; describe that gap, why you believe it exists and how you will close that gap.
  11. assesses how anyone will know you are meeting your stated goals and objectives and meeting them timely?
  12. answers the question, "So what?" So what if you will perform these activities? So what if you outline an extremely busy and detailed activity list? What will be different because you perform these activities in the way you perform them? What difference will it make? How will people or the problem improve or be alleviated or resolved? What have you changed or accomplished? What impact will be made and measured? Many are not able to articulate and prove they accomplished or changed anything. So…what will you change, how will you change it and how will you know your activities produced the change? Explain how you will create and how you will deliver your service and meet the identified priorities and need(s).
  13. specifies how you will get your service out the door to customers/clients or supporters and meet the needs you see. Describe how you intend to provide your service and who will use it. How will people know about the service?
  14. describes your distribution plan and advertisement plan. Describe how you are going to market the mission, the vision, the activities, the results. Describe how you will reach potential customers and clients, how they will learn about the organization. Give the details of your marketing plan.
  15. demonstrates that it takes a TEAM to raise a nonprofit organization – to raise it, to maintain and to sustain it. That team begins with the governing body. Describe the governing body of the organization, the board and indicate whether you will have members. Explain who will direct the day by day operation of the nonprofit.
  16. shows you are going to raise money, seek grants, hold fund raisers, collect dues, sell products, explain how you intend to raise the money, why you need the funds, how you will use the money, and how you will maintain fiscal records. Include budget totals - total project cost, funds already obtained
  17. shows how you will account for the money and what records you will keep. Describe your plan to secure funding and other resources and give a contingency plan in case your initial plan fails.
  18. includes projections and budgets for the expected performance of your nonprofit for the upcoming three to four years.
  19. demonstrates your understanding of basic accounting and the financial concepts for nonprofits that are crucial to the success of your organization

FACTS WHY YOU SHOULD NOT START A NONPROFIT IN 2010 – THERE ARE ALREADY TOO MANY NONPROFITS


According to the Independent Sector Fact Sheet -


There are over 1.9 million nonprofit organizations in the United States. The Internal Revenue Code defines over 27 categories of organizations exempt from federal income taxes, including private country clubs, labor unions, business associations, fraternal organizations, and many others.


The majority of these organizations – about 1.5 million of them – make up the “independent sector.” The independent sector includes 501(c)(3)s (public charities, private foundations, and religious congregations) and 501(c)(4)s (social welfare/advocacy organizations). Together these organizations are sometimes referred to as the independent sector to emphasize their unique role in society, distinct from government and business.


There are approximately 1.4 million 501(c)(3) organizations, including hospitals, museums, private schools, religious congregations, orchestras, public television and radio stations, soup kitchens, and foundations


The total number of independent sector groups has approximately doubled in the last 15 years.


Most nonprofits are small. More than 73 percent of reporting public charities reported annual expenses of less than $500,000 in 2005. Less than 4 percent of reporting public charities had expenses greater than $10 million.


http://independentsector.org/programs/research/Charitable_Fact_Sheet.pdf


That's too many nonprofit tax exempt organizations


According to studies by the Foundation Center in 2007 there were 74,470 private foundations and corporate foundations and 717 community foundations to which over 1 million nonprofits could apply for funding


Of the 845,786 active nonprofit charitable organizations recognized by the Internal Revenue Service (IRS) under Code section 501(c)(3), 301,214 filed Form 990 or 990-EZ returns for accounting periods that began in Calendar Year 2006. Those not required to file included churches and certain other religious organizations, as well as organizations with annual gross receipts totaling less than $25,000.


A new study by a Stanford group shows that over 50,000 new nonprofits are recognized by the IRS as tax exempt organizations EACH YEAR over 80,000 new groups filed in the year after September 11, 2001


The IRS approves tax exemption for new groups every 10-15 minutes


http://www.stanford.edu/~sdsachs/AnythingGoesPACS1109.pdf


Even with government funding there is not enough money to go around for those nonprofit tax exempt organizations already existing to make a lasting impact.


IRS AND STATES SHOULD TIGHTEN THEIR GATEKEEPER ROLES


A major problem in the burst of new nonprofits can be laid at the feet of the states and the IRS. They are the gatekeepers for the third sector. In my opinion they have lapsed in their duties to assist and protect the public in approving nonprofit status and tax exemption for just about anything. In the past several years the IRS has tightened its reporting process for current groups and totally ignored its approval process. Here are some suggestions -

  • States and IRS should tighten conflict of interest that no employee may sit on the board, no more than two related people may serve on a board at any time unless the board is three members and then no relatives can serve.
  • There should be a time limit for people to serve on the board of a nonprofit with a maximum of five or less consecutive years and no officer will serve more than two consecutive years.
  • States should ask about the plans of the organization to use the internet, social media and other forms of communication to raise funds.
  • States should ask for more information for incorporating similar to questions asked by the IRS on Form 1023 about fundraising, activities and a 3-year projected budget .
  • The minutes of all boards should be a public document and signed copies filed with the state annually. The IRS should tighten its appraisal of the relationship of the budgets to sources of revenue and activities that are projected – are they reasonable given the mission of the organization?

Please add any changes you would like to see below.


LOOKING FOR FUNDS AND GRANTS IN ALL THE WRONG PLACES – THERE ARE ALMOST NO RIGHT PLACES


The decisions made now by foundations will impact their ability to maintain their own administrative needs and make grants in 2011. Some foundations are more concerned about their ability to maintain a level of funding for their current grantees in 2011 than they are about 2010. Most if not all foundation boards create budget plans and projections for 3-5 years in advance. While foundations are required to expend 5% of their funds each year, they can and may provide 7% in 2010. They can then reduce the percentage to 3% for 2011.


If you think you will have your nonprofit funded by a grant read on -

  • Foundations are well connected to and experienced with those NPOs they are funding currently.
  • Many foundations have increased the percentage of funding they provide in a year to work with current grantees to maintain a level of service but not new applicants
  • Many foundations have stopped their application process to focus on current grantees only
  • Many foundations have made adjustments to their priorities making basic needs their priorities: food, shelter, jobs.
  • A few foundations have been collaborating and jointly funding certain nonprofits that have been vetted and are well known to them to maintain the level of service.
  • Foundations generally look for nonprofits that have a 3-5 year history of accountability and experience to even consider an application.
  • A few foundations are interested in only start-up grassroots organizations, usually with emphasis on poverty, women, advocacy, race or other similar interests.
  • Some foundations, local and state funding sources are suggesting or requiring that groups merge when they review new applications for grants
  • A number of foundations have ceased accepting any new applications until further notice
  • Many foundations that have staff have reduced the number of employees
  • The funding from the Recovery Act (ARRA) is going only to nonprofits with which the federal, state or local governments have funded in the past
  • The federal Pipeline Safety Technical Assistance Grants currently available is very unique - A nongovernmental group of individuals is eligible for a grant under the TAG program if its members are affected or potentially affected by pipeline safety issues. A nongovernmental group of individuals is eligible for a grant under this grant program if the group’s members are affected or potentially affected individuals who are or are willing to become incorporated as a non-profit organization where they are located. The new deadline is January 18, 2010. http://www.grants.gov/search/search.do?mode=VIEW&oppId=50220

Key survey findings from the Washington Regional Association of Grantmakers for 2010

  • The recession has served as a crucible for many grantmakers, providing an impetus to reduce expenses, reevaluate priorities, and promote and engage in collaboration.
  • A lower percentage of grantmakers reported a decrease in assets in 2009 (65%) than in 2008 (86%). Some saw a decline in 2009 as a result of increasing their payout rates.
  • Grantmakers expect to give fewer grants in 2010 than in 2009.
  • More respondents expect their grants budgets to decrease than increase in 2010. Nearly half expect a decline; roughly one in six expect a decline of 5% or less. Nearly one-third expect grants budgets to increase. Approximately one-quarter are not sure.

http://www.washingtongrantmakers.org/s_wash/bin.asp?CID=10634&DID=32122&DOC=FILE.PDF

NATIONAL AND LOCAL HEADLINES SHOWING THE CURRENT AFFAIRS OF CUT-BACKS AND DYING NONPROFITS THAT HAVE A LONG HISTORY OF SERVICE – WHAT DO YOU REALLY HAVE TO OFFER IN THIS CLIMATE?

National and local headlines and articles about the drop in support for current nonprofits

Little cheer this season for charity fundraising - Ho, ho, no: Nearly two-thirds of charities polled say this November and December have been as bad as—or worse than—last holiday season. By Miriam Kreinin Souccar December 22, 2009 8:52 AM Crain's New York Business Review.com

With less than two weeks left in the critical fundraising season, charities are struggling to bring in donations.

Nearly two-thirds of charities polled by the Chronicle of Philanthropy last week said this November and December have been as bad or worse for fundraising as last holiday season, with 32% reporting declines of 10% or more. Most nonprofits bring in more than half their annual donations during the last three months of the calendar year.

http://www.crainsnewyork.com/article/20091222/FREE/912229997

Foundation Giving Faces Steeper Decline Than Expected By Ian Wilhelm Chronicle of Philanthropy November 4, 2009

A new report suggests that grant makers will cut back their giving this year more than previously expected.

http://philanthropy.com/news/updates/index.php?id=10043

Housing nonprofit shutting down after 35 years Agency transfers properties, so residents won't be affected. By John Keahey, Salt Lake Tribune Updated: 12/23/2009 06:01:06 PM MST

Rising costs and declining contributions are forcing a nonprofit that develops affordable housing to turn its properties over to larger agencies and shut down its operations.

http://www.sltrib.com/business/ci_14059292

ECONOMIC SCENE: No quick recovery for charitable giving = The Great Recession has hurt charitable giving — and may keep on doing so for some time By David R. Francis / November 30, 2009 Christian Science Monitor

…giving to foundations is likely to decline more than 10 percent, the Foundation Center in New York noted earlier this month. Many of the nearly 600 foundations surveyed have cut staffs to weather the recession.

One of the few exceptions was religion. Some 37 percent of 1,540 congregations reported an increase in donations in the first half of 2009 compared with the same period in 2008. Another 34 percent reported fundraising to be flat, according to a survey by the Lake Institute on Faith & Giving at Indiana University, Indianapolis.

“Religious giving appears to be recession-proof,” says Timothy Seiler, director of a school for fund-raising at Indiana University.

If history is any guide, easy times for charities won’t return soon. Looking at individual giving after the Depression and the deep 1973-75 recession, a study by GivingUSA concluded that inflation-adjusted giving by households and individuals won’t reach their 2007 level until at least 2012, if the recession ended in June.

http://www.csmonitor.com/Money/2009/1130/economic-scene-no-quick-recovery-for-charitable-giving

Plight of the nonprofit: (Delaware) State's groups struggle By MIKE CHALMERS • The Delawareonline News Journal • December 8, 2009

Delaware's nonprofit groups lack the organization, financial stability and sufficient support from foundations, corporations and individuals to handle the state's growing needs, a new report finds.

The need for greater cooperation and leadership is clear, the report's backers said Monday.

"No one sector can address these challenges alone," said Mary Kress Littlepage, a Florida consultant who wrote the report for a group of Delaware nonprofit and corporate leaders.

The Delaware report, titled "Philanthropy in the First State," found:

  1. More than 35 percent of Delaware's roughly 1,000 active nonprofits operated at a loss each year from 2002 through 2007.
  2. Of the 390 philanthropic foundations in Delaware, only 23 made significant donations to nonprofit groups here.
  3. Donations from corporate foundations in Delaware make up just 2 percent of giving by all major foundations, compared to almost 10 percent nationwide.

http://www.delawareonline.com/article/20091208/NEWS/912080345/Plight-of-the-nonprofit-State-s-groups-struggle

Tweeting for $10: new appeals for holiday giving in tough times Posted by Kristi Heim November 20 2009 Seattle Times

With the lingering recession expected to cut into holiday giving, charities are soliciting smaller donations and increasingly using free social media to publicize their efforts, The Seattle Times reports.

http://seattletimes.nwsource.com/html/thebusinessofgiving/2010318612_holiday_giving.html

American charities may not have a happy holiday - American charities have weathered a significant drop in giving this year, and while they're hoping for a holiday miracle, a recent survey shows they will probably see a decrease in year-end generosity. By DONNA GORDON BLANKINSHIP Associated Press Writer Page modified November 16, 2009 Seattle Times

http://seattletimes.nwsource.com/html/businesstechnology/2010281678_apusmeltdowncharity.html

A Survey Shows Pain of Recession for Artists

http://www.nytimes.com/2009/11/24/arts/design/24study.html

Newseum trims its staff once again 29 employees have lost their jobs; meanwhile, Smithsonian's buyout offer gets 158 takers By Jacqueline Trescott Washington Post Staff Writer Wednesday, December 2, 2009

http://www.washingtonpost.com/wp-dyn/content/article/2009/12/01/AR2009120103965.html

Haven for Disabled Workers Feels Job Market's Sting NOVEMBER 28, 2009 Wall Street Journal

Lott Industries is a nonprofit organization in Toledo OH that trains adults with developmental disabilities to do light assembly work and other tasks. In 1993, Lott became the only program of its kind to earn the auto industry's prestigious Quality One supplier award.

Now, Lott and its 1,200 workers are in danger of becoming another casualty of recession. Seven major contracts vanished in late 2007, representing 80% of its business, when Ford Motor Co. closed a nearby stamping plant. Next, in 2008, went the General Motors contract for truck transmission parts. Earlier this year, business with a Honda parts supplier dropped off. Cleaning and other nonautomotive work also dried up as companies brought those functions back in-house to keep their own employees busy.

http://online.wsj.com/article/SB125918205048464519.html?mod=djemITP


As Foundations Close, Anxiety for Charities By DAVID CAY JOHNSTON Published: November 11, 2009 New York Times

See http://www.linkedin.com/answers/non-profit/philantrophy/NNP_PHL/591594-1717676 and

http://www.nonprofitlocal.com/modules/wordpress/2009/11/23/dust-off-crystal-ball-gaze-2010/

Hard times hit Wilder Foundation; jobs, services being cut - The Wilder Foundation plans to cut 260 jobs and end programs affecting about 5,000 individuals and families. By JEAN HOPFENSPERGER, Star Tribune Last update: October 14, 2009 - 10:57 PM

http://www.startribune.com/local/stpaul/64328772.html?elr=KArksi8cyaiUncacyi8cyaiUiD3aPc:_Yyc:aUU

Declining donations drive MADD to trim staff - Citing a nearly 20 percent drop in donations, Mothers Against Drunk Driving is cutting staff at its national office and in 11 states, including West Virginia. By P.J. DICKESCHEID Associated Press Writer, The Seattle Times

http://seattletimes.nwsource.com/html/localnews/2010091901_apwvmaddcuts.html

Third of Region’s Nonprofits May Close - Economy, rise in demand create perfect storm for nonprofits By Diane Weaver Dunne Hartford (CN) Business Journal October 19, 2009

The recession has hit the region’s nonprofits hard, with nearly a third concerned that they may shutter their operations in the coming year, according to the annual survey conducted by the United Way of Central and Northeastern Connecticut of the nonprofits in its 40-town service area.

Susan Dunn, executive director of the local United Way chapter, said it was “alarming” that one in three nonprofit executives said that they were either “concerned” or “very concerned” that they might close in the coming year.

In last year’s survey, the vast majority of respondents — two out of three — were concerned that funding would dry up in the coming year. They weren’t entirely wrong. The recession has dealt them a double whammy: corporate, public sector and individual funding is down, resulting in a reduction in staffing, while the demand for services has increased 72 percent.

Decreased or flat government, corporate and individual funding was felt by most of the region’s nonprofits. Government funding from local, state and federal budgets also fell, with two out of three saying they will be affected by changes in public sector budgets. Even when government funding remains flat, it translates into a loss for nonprofits because their costs continue to go up

Charitable giving is also down. Individual and corporate funding fell by 20 percent and 10 percent, respectively over the previous year. As a result, nearly a third have tapped into their reserve funds, double the number in 2008. Notably, 25 percent do not have any reserves and 6.4 percent have depleted their reserve funds, consistent with the survey’s findings that nearly a third of the region’s nonprofits may close. Most of the nonprofits are holding their own by finding ways to economize their operations, reduce staffing, cut programs that have lost funding, and by increasing collaboration with other nonprofits.

And few expect the federal government’s stimulus program to help alleviate their financial strain.

http://www.hartfordbusiness.com/news10618.html

The 2010 Crisis in Philanthropy | By Sean Stannard-Stockton

http://tacticalphilanthropy.com/2009/09/the-2010-crises-in-philanthropy

Nonprofit Groups Face Trouble Coping With Pension Obligations Chronicle of Philanthropy October 02, 2009

http://philanthropy.com/news/?id=9712&pth&utm_source=pt&utm_medium=newsletter&utm_content=lefttop

Decline in United Way Giving October 01, 2009

http://philanthropy.com/news/?id=9700&pth&utm_source=pt&utm_medium=newsletter&utm_content=lefttop

Legal-Aid Study Finds Continuing 'Justice Gap' for Poor October 01, 2009 http://philanthropy.com/news/?id=9697&pth&utm_source=pt&utm_medium=newsletter&utm_content=lefttop

Claremont Museum of Art is on verge of closing doors October 5, 2009

http://latimesblogs.latimes.com/culturemonster/2009/10/claremont-museum-of-art-is-about-to-close-its doors.html

Grantmaker policies threaten nonprofits September 29, 2009

http://www.philanthropyjournal.org/news/grantmaker-policies-threaten-nonprofits

Recession delivers a double blow to many charities By David Crary (AP) – Sep 29, 2009

http://www.google.com/hostednews/ap/article/ALeqM5hvUtmDJUw9kiAQKf98S2rZHv4l0QD9B14N4G1


Red Cross to Auction Off Little Pieces of Its History By STEPHANIE STROM Published: October 2, 2009 NY Times


http://www.nytimes.com/2009/10/03/us/03redcross.html?_r=2&emc=tnt&tntemail

Stanford Puts $1 Billion in Assets on Block University Aims to Unload Partial Interest in Illiquid Investments; Private Equity Is Watching OCTOBER 3, 2009 BY CRAIG KARMIN AND PETER LATTMAN Wall Street Journal

http://online.wsj.com/article/SB125452509356560725.html?mod=djemTMB

Salary cuts for one third of US museum directors Survey shows widespread pay reductions, hiring freezes and layoffs By Jason Edward Kaufman | From issue 206, October 2009
Published online 5 Oct 09 The Art Newspaper

http://www.theartnewspaper.com/articles/Salary-cuts-for-one-third-of-US-museum-directors/19366

It’s Official: Three Unions Merge to Form Nurses ‘Super Union’ December 9th, 2009 | Lindsay Beyerstein Today’s Workplace a workfairness Blog

Nurses have been called the new face of organized labor. Like an increasing percentage of the rest of America’s labor movement, the typical RN in the U.S. is female, college-educated, and working a non-outsourceable job in the service sector.

This week, American nurses banded together to wield unprecedented power in the workplace and in national politics. Delegates in Phoenix yesterday approved a three-union merger to create National Nurses United (NNU), the nation’s largest union of registered nurses.

Eight months in the making, the merger joins the California Nurses Association, the United American Nurses, and the Massachusetts Nurses Union to create a new super union with a combined strength of 150,000 members.

http://www.todaysworkplace.org/2009/12/09/it%E2%80%99s-official-three-unions-merge-to-form-nurses-%E2%80%98super-union%E2%80%99/

Two nonprofits that support Yosemite to merge Carl Nolte, Chronicle Staff Writer Monday, December 21, 2009

The Yosemite Association and the Yosemite Fund, two nonprofit organizations that provide private financial support and interpretative programs in Yosemite National Park, have decided to merge.

http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/12/20/BAI21B6I1L.DTL#ixzz0aQxapbKU

http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/12/20/BAI21B6I1L.DTL

Nonprofits: Misery loves company - The struggling nonprofit world may be on the cusp of a merger boom. By Lawrence Delevingne, Reporter Last Updated: February 20, 2009

http://money.cnn.com/2009/02/20/magazines/fortune/nonprofit_merger.fortune/index.htm?postversion=2009022012

There are my reasons for my 2010 New Year’s Resolution – No New Nonprofits Unless


RESOURCES

Anything Goes: Approval of Nonprofit Status by the IRS, Center on Philanthropy and Civil Society, Stanford October 2010

http://www.stanford.edu/~sdsachs/AnythingGoesPACS1109.pdf

Reasons Not to Incorporate a Nonprofit Organization

http://dongriesmannsnonprofitblog.blogspot.com/2008/07/reasons-not-to-incorporate-nonprofit.html

The Nonprofit Business Plan - Program Precedes Money. Planning Precedes Program

http://dongriesmannsnonprofitblog.blogspot.com/2008/07/nonprofit-business-plan-program.html

http://www.idealist.org/media/pdf/FAQ/080123NP_Biz_Plan.pdf

In Praise of Small and Mid-size Nonprofits - On the Side Streets of America

http://dongriesmannsnonprofitblog.blogspot.com/2008/09/in-praise-of-small-and-mid-size.html

One Phase of Nonprofit Organizational Readiness for Grant Funding: Recordkeeping

http://dongriesmannsnonprofitblog.blogspot.com/2008/11/one-phase-of-nonprofit-organizational.html

Agenda and Minutes of First Board Meetings

http://dongriesmannsnonprofitblog.blogspot.com/2008/07/agenda-and-minutes-of-first-board.html

Minutes: The Ongoing Record of Your Nonprofit Organization

http://dongriesmannsnonprofitblog.blogspot.com/2008/11/minutes-ongoing-record-of-your.html

Your Nonprofit Library Third Shelf – See What the IRS Demands of Your Tax Exempt Organization After it is Recognized as Tax Exempt

http://dongriesmannsnonprofitblog.blogspot.com/2008/11/your-nonprofit-library-third-shelf-see.html

According To My Crystal Ball, Your Nonprofit Organization May Be Toast In 2009

http://dongriesmannsnonprofitblog.blogspot.com/2008/11/according-to-my-crystal-ball-your.html

The Stories of Nonprofits Dying

http://dongriesmannsnonprofitblog.blogspot.com/2009/08/stories-of-nonprofits-dying.html


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