Proposals and Grant Proposal Development

Proposals and Grant Proposal Development

A grant proposal is a relatively universal way to access support funding. The format is basically the same whether the proposal is solicited via an application process, a request for proposals, or as a communication tool between a single organization and potential funder.

A proposal is a written document that is submitted to an organization with the aim of persuading them to accept a particular course of action, or provide funding for a specific project. A proposal can be either formal or informal, but most commonly takes the form of a business proposal. This type of proposal is usually made by businesses who are seeking investment from venture, capitalists, or looking to secure contracts from government agencies. In this blog post, we will explore the different types of proposals, and provide tips on how to write a successful one.

Common Types of Grant Proposals

Capital Grants

It is challenging to build in capital expenditures to a nonprofit budget. Margins are tight and funds tend to be short in accomplishing all that you set out to do. The inability to set aside large amounts of money for capital projects means that nonprofits often rely on capital grants to fund capital projects.

Capital grants are a relatively common type of grant proposal due to the pressing need for capital funding options. Capital projects tend to have big price tags.

Coinciding with capital grant proposals, nonprofit organizations often engage in capital campaigns. These campaigns provide opportunities for stakeholders to contribute their support for these large-scale projects. Additionally, a capital campaign can help address any match that may be required by the grant maker.

Program / Project Grants

The most common grant proposal is one requesting support for a program or project. In a program grant, the funds will be used for a specific purpose referenced in the grant proposal. These proposals typically articulate a funding need that is somewhat entirely encompassed by the grant funds requested.

These proposals request funds that will not be used outside of the project presented. No ongoing overhead is typically included in a program/project proposal. Think of these funds as stand alone. While the grant funding is available, the project can be completed. Without the grant, the work would tend to cease to exist.

Many program or project grant applications will ask that you speak to your ability to sustain the program beyond the term of the grant. So, although it is common to request funds for a project that otherwise couldn’t exist, keep in mind ways you might be able to sustain outcomes you realize during the funding period.

General Operating Grants

While capital and project grants have tangible and exact intended uses of funds, there is often a need for less specific funding to support ongoing operations. This is what is called an operating grant.

In the past few years, grant makers have expanded their funding scope to include more operating grant opportunities. These grants have historically been less represented as it is hard for a foundation to attach their mission to something as ambiguous as ongoing operation efforts for a nonprofit.

Matching / In-Kind Grants

In order to stretch their resources, grant makers will often offer matching or in-kind grant opportunities.

These grants require funding from the applicant. They will specify where these match funds can come from. This is an important detail to pay attention to, as some matching grants allow you to use other grant funds for your match while some require these to come from your general operating budget.

Each grant will specify the required match amount. As an example, if you were applying for a $100,000 grant that required a 20% match, you would be asked to contribute $20,000 to the project.

Research Grants

Most of our innovative and cutting edge discoveries have been found under grant funded programs. Research grants are quite common in the science, technology, and medical fields. At times, these grants are highly-competitive and can result in large multi-year contracts.

Community Grants

Another common grant field is in the community and youth program industry. There are many grants available for things like after school programs and family support.

Health-related Grants

Health-related grants are definitely common. You may have even seen reference to health grants throughout your life as major medical crises transpire across the globe.

The real key in ascertaining funding for health related research, projects, or programs is in your ability to identify the need. Use data and statistics to back up your claim.

What are the different types of proposals?

A proposal is a formal offer to provide goods or services. It is typically used in business transaction, but it can also be used in personal situations. There are three main types of proposals:

1. Request for Proposal (RFP): An RFP is a document that businesses use to solicit proposals from vendors. It outlines the project or need and includes specific criteria that the vendor must meet in order for their proposal to be considered.

2. Informal Proposal: An informal proposal is not as formal as a RFP, but it still puts forth a plan or idea with the intention of getting approval from the recipient. This type of proposal might be used in a business setting when the need is not as complex or time sensitive as it would be for an RFP

3. Personal Proposal: A personal proposal is one that does not involve any monetary exchange. It might be used to propose marriage, start a new business venture together, or simply request someone’s hand in friendship.