Accounting offices of grant-funded nonprofits are too often the last people to know when a new grant comes in, and the burden of managing grants is often so high the organization cannot apply for more. This presentation provides three ways the business office can drive the organization to additional funding.
This presentation was originally delivered as part of a web seminar. The notes provided on the slides serve as a synopsis of the discussion, but the presentation is designed to be delivered live. If you would like to arrange for me to give the presentation please reach out to me at Jeffrey.Sobers@Blackbaud.com.
2. AREYOU
MAXED
OUT?
There are some nonprofits who won’t apply for additional grant
funding because they can barely manage the ones they have. One more
grant would be the proverbial “straw that breaks the camel’s back”.
3. The #1 reason you
lose your funding is
inefficiency
Nonprofits that lose funding do so because the
accounting department spends too much time trying
to manage the grant restrictions and reporting
requirements. Processes are handled manually
outside the system and not in a timely fashion.
4. What should you do
about it?
There are plenty of books and articles about
applying for grant funding, but very few about
what to do once you have the grant in order to
keep it and possibly expand the dollars
received from that funder in the future.
5. THREE WAYS
TO BUILD GRANT FUNDING
THAT LASTS
This presentation is designed to give nonprofit
accounting departments suggestions to elevate
their role in the process and better manage
the financial aspects of grant funding.
6. 1
LEAD
It starts with a change in approach.
Rather than wait for the contract to
land on your desk, take the initiative to
lead your grant writers and
development staff from the beginning.
7. Non-finance
staff might
not see the
whole picture
Internal managers and staff don’t always speak in numbers. So they don’t
always understand how their actions affect the organization’s ability to
adhere to the grant contract. If the accounting department can educate
the rest of the organization before the first dollar is spent, then the seeds
have been sown to renew that funding and increase it in the future.
8. Partner with
grant writers
But to really lead the
charge, accounting needs
to partner directly with
grant writers. The budget
cannot be a surprise, and
grant writers need to
work together with
finance when creating
budgets. That way the
grant structure fits within
the organization’s
financial practices from
the very beginning.
9. CONVEY
IMPACT2
Even if everyone is on the same page
internally, keeping your funding isn’t
guaranteed. You have to set yourself
apart by demonstrating the value you
add to the funds you’ve received.
10. Understand the
value of each dollar
Fundamentally, this means knowing where
every dollar goes and understanding the ROI to
the funder for each dollar you spend. This isn’t
really the value of the dollar to you, it’s the
value you add to every dollar you’re given.
11. to tell the best story
Blend data
from all
systems
The best way to show the value you bring is to
combine data from your case management or
other program management system with your
financial data. That way you can provide a “units
delivered per dollar given” ratio. Having this data
will set you apart when applying for new grants,
and it will give your funders a better reason to
continue to give you money in the future.
12. OVER
communicate!
Even the best data on the impact you have won’t
do any good if you don’t tell anyone about it. Not
only should you over-communicate with funders,
but you should also stress communication
internally and even with the general public.
13. BE ACCOUNTABLE
3
This is the be-all and end-all of raising more money. You must prove you are doing what you said
you could do when you applied for the grant. Put simply, stewardship is doing your job well.
Accountability is being able to prove it.
14. Know your
funders
inside
and
out
In order to demonstrate your
commitment to accountability, you
need to understand the rules each
funder has put in place. Between
spending restrictions, reporting
requirements, and indirect cost
recovery, each funder is different.
You need a way to easily
understand those differences and
comply with them without
increasing your administrative
burden.
15. Follow their format
The easiest way to lose funding is to be out of compliance with grant requirements. And this is
either a timing issue or a capability issue. It can be hard to mold your existing structure into the
funder’s reporting requirements, but it’s an absolute must in order to demonstrate your
commitment to the funder. But it can’t take all of your available hours or require you to add
headcount just to do it or you’ve unnecessarily burdened your funders and your organization.
16. others
accountable
Hold
Accounting alone cannot hold the full
responsibility for compliance. The entire
organization must be accountable to the
funder. This is where leading the process
comes full circle. You can’t hold others
accountable if you don’t set the
expectations on the front end. And it
takes an organizational commitment to
truly be accountable to your funders for
delivering your results.
18. LEAD1
First, you need to be at the table even before the
grant has been awarded. You need to help your
grant writers understand the impact of the budgets
they are creating – both on the organization and
on the likelihood you’ll be awarded the grant!
19. LEAD
CONVEY IMPACT
1
2
In order to truly differentiate yourself from the sea of
applicants, you need to be better at describing the
value your organization adds on top of the dollars.
Define exactly why a funder should give you their
money by combining data from various systems. This
will also focus your internal efforts around a specific
KPI that will allow you to get more grants.
20. LEAD
CONVEY IMPACT
BE ACCOUNTABLE
1
2
3And of course, if you can’t prove you did what you said you were going to do, specific to the way
the funder needs to see it, you can’t expect the funder to renew. Just like the neighbor who
returns your tools in better shape than when you lent them, you need to prove you treated the
funder’s money like your own.
21. WHAT
QUESTIONS
DOYOU HAVE?
Contact me with any questions or comments!
Jeff Sobers
Senior Product Marketing Manager
Blackbaud, Inc.
jeffrey.sobers@blackbaud.com
Twitter: @jeffsobers
Slideshare: jsobers1