I’m working on a business discussion question and need an explanation and answer to help me learn.

A request for proposal (RFP) provides information from the funder about what services/programs qualify and eligibility requirements must be met to apply for a grant. Grant announcements also publicize grant opportunities. Identifying appropriate grants can be time consuming. The information required to apply for a grant differs based on the funder and the specific grant. Using the course material and additional research:

Discuss the typical components of a RFP meant for nonprofit services.

What strategies and techniques should be used to respond effectively to a RFP or grant announcement?

1. How can a nonprofit be assured the grant proposal effectively addressed all aspects of a RFP or grant announcement?

Types of Grant FundersThere are three main sources of grant funds:Public: Federal, state, and local government grantsPrivate: Corporations through corporate donation programs or a separate but related corporate foundationNonprofit: Foundations and public charities that are nonprofit organizations often referred to as grant-making agenciesWhat is required to apply for and manage grants from the three main types of funders often depends on the size of the funder’s organization, the size of the grant award, and any regulations that may apply especially related to government grants.Government grants tend to offer larger grant awards but also have more reporting requirements. If a nonprofit organization accepts a government grant, the grant manager needs to fully understand the terms and conditions of the grant agreement and complete all required reports accurately and submit them in a timely manner. These tasks can be more cumbersome to complete for a government grant due to the amount and type of reports required.Many larger national foundations are similar to government agencies in the amount of information that is required to manage the grant. However, there are also smaller private foundations, such as family and community foundations, that have simple reporting requirements.Most corporate grants are similar to smaller foundation grants. They are mainly offered to enhance the public image of the corporation. Therefore, these grants tend to have location restrictions in that the corporation will require the program being funded to provide services to an area in which the corporation operates.

Finding Appropriate GrantsWhen searching for a grant to fund your project you should look for funders whose interests match your nonprofit’s mission, programs, population served, and locations served. The search can be time consuming. Once potential grants are identified, each grant’s eligibility requirements have to be carefully reviewed to determine if your nonprofit and program align with the grant’s terms and conditions.For government grants, Grants.gov is the main searchable database managed by the U.S. Department of Health and Human Services with information about grants offered by 26 federal agencies. Other sources of government grants are the Catalog of Federal Domestic Assistance, Federal Register, and individual government agency web sites especially for state and local grants.For foundation grants, The Foundation Center has a comprehensive database called Foundation Directory Online that is a good place to start. However, to search their database may require a fee. Foundation grants can also found by conducting an online search using keyword terms such as “foundations grants for education”.Similar searches can be conducted for corporation grants as well. Once a foundation or corporation is identified that offers grants to address a certain issue the organization’s web site can be used to gain more information about the grant.Often a nonprofit or nonprofit executive staff member will join professional associations, such as their state’s nonprofit association, that provide newsletters, trainings, and networking opportunities that include information about grants. There are also grant search services like GrantWatch.com that can be used for a fee.There are also many resources online, such as GrantSpace that discuss how to best search for available grants.

Relationships with FundersRegardless of the type of funder, it is important to maintain a good grantee-grantor relationship. In general, this involves being honest and forthright.If the grant project is not achieving its objectives, tell the truth to the funder. Have evaluation processes in place to allow for program corrections to be made if possible. If the information is obtained at the end of the program do not skew data to portray a better outcome than is actually obtained.If budget amounts were not accurately estimated, ask if funds can be re-allocated to a different part of the project but get approval from the funder before making any changes. Creating a budget narrative to explain each of the budget line item’s projections should reduce the need for corrective actions.Ask for help from the grant administrator when needed. Make sure to submit accurate reports on time to keep the funder apprised of the project’s progress. If a situation develops that affects the grant program consult with the funder to keep them informed, be prepared to offer possible solutions, and be open to their suggestions. Overall, act ethically in all grant activities and maintain open communication with the funder.