Startup Grants for Nonprofits
Despite the claims of late-night infomercials, there are not an abundance of free grants available to fund any new start-up idea, including ideas for nonprofits. Federal agencies offer grants, as do private foundations. However, according to the Executive Service Corps of Washington, grant-making organizations will not fund new nonprofits that are seen as providing a service or addressing an issue that is already within the mission of existing organizations. Do not assume that you will get grants to start a nonprofit. Existing nonprofit startups have a better chance at obtaining grants.
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Government Grants
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Federal government grants for non-profits are extremely competitive and are often granted to established charities that have a stellar track record for putting funds to good use to execute a project. However, federal grants for nonprofit startups are available and can best be attained by organizations that comply with the application requirements and demonstrate a viable plan for the funds. The most comprehensive resource for non-profit startups seeking federal grant money is http://Grants.gov, which lists 1,000 grant programs offered by the 26 federal grant-making agencies in 21 categories.
Foundation Grants
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Corporate, community and independent foundations all give grants to nonprofits. Because foundation grants have much less competition than federal grants, startup nonprofits will have a better chance receiving these types of grants. Nonprofit startups serving their local communities can especially benefit from community foundation grants, which are permanent charitable funds that help their region meet the financial challenges of difficult times. The Foundation Center's online directory is a comprehensive resource for nonprofit startups looking for grants.
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In-Kind Grants
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Grants of non-monetary goods and services, otherwise known as in-kind grants, can be as valuable as money to a nonprofit startup. From computer equipment to educational materials to professional services, in-kind grants can help a new charity get off the ground by supplying resources the nonprofit would otherwise have to pay for. The Foundation Directory Online lists in-kind grants. In Kind Direct and Gifts in Kind International also are excellent resources to connect nonprofits with charitable donations of supplies, equipment and more.
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