It happened. I thought after all this time that I was immune. I thought everyone had learned by now. I thought the “stories” I would tell my students and workshop attendees were exaggerated, hyperbole, and mostly historical fiction.
But then it happened. To me. AGAIN.
A board member of my nonprofit client excitedly directed that we should apply to receive some of MacKenzie Scott’s billions!
Oh, thank you, Board Member! You care, and you’re invested in the success of your nonprofit. That’s great!
But — there’s always a “but” — there’s stuff to consider before we make a move like applying to MacKenzie Scott’s foundation. It’s called Funder Alignment. And at the end of the day, it’s also called “putting resources where they have the most chance of success.”
Fortunately, I have a Scorecard I devised for just this sort of situation; for when a well-meaning board member, volunteer, or staffer approaches with what they think is a sure-fire Big Win. I have memorized it, since it is not only useful in this circumstance, but in all prospect research work.
Here’s some of the caveats in my Scorecard that funders have that need to be adhered to in order to be considered for a grant from them. Depending on the funder’s alignment with each of the factors, I give them a 0, 1, or 2 points.
ALIGNED WITH FUNDER PRIORITIES
Paying close attention to the sectors of interest to Ms. Scott (and the others) is the key to knowing if you’ve got a snowball’s chance in hell of grant success. My nonprofit client is NOT in her wheelhouse.
Ms. Scott gives to early learning; access to affordable housing; race, gender, and health equity; civic and social engagement; HBCUs; and most recently tribal colleges — and my nonprofit client is none of those things.
ALIGNED GEOGRAPHICALLY
If a funder sends their grant money to Nigeria, that’s their prerogative. Their wishes need to be respected and followed. So, if you need funding for your program in Idaho, don’t bother spending your time on an application to this funder!
BUDGET IS RIGHT-SIZED
This means your ask amount is realistic when pitted against the average grant size the funder awards. If the funder awards $10,000 grants on average and you ask for $100,000, that’s going to hurt you. They may fund a partial amount, but you’re going to the wrong trough asking a $10K funder for $100K.
And while we’re talking about ask amount, let’s also talk about project budget as relates to ask amount. Funders are rarely enticed to fund 100% of a total project budget. They don’t want to be the only face at the table. They generally prefer to have others already on board (tricky chicken-and-egg conundrum here), and that makes them more comfortable joining forces.
And sometimes funders ask a separate question, something like: What percentage of the total project budget are you asking for? If you’re asking for 100%, or even anything close to that, you’re not going to win that argument.
The exception might be the funder that is looking for naming rights. That funder may look at 100% funding of a project so they can put their stamp on it. A corporate funder would be most likely intrigued by this kind of funding opportunity.
APP & REPORTING COMPLEXITY IS IN LINE WITH POTENTIAL AWARD
I have been gob-smacked by the in-depth questions in some applications, the budget templates (we can’t use our own!?), the board lists (not as attachments, but added one by one), and other requirements for grant ranges under $1,000! The “Crappy Funding Practices” LinkedIn account takes every opportunity to call out funders with these and other practices that bog down the work of nonprofits. And they’re not alone, they have 32K+ followers.
And here’s a Big One:
KNOWN TO THE FUNDER OR PERSONAL CONTACT HAS BEEN MADE
If there is NO connection, NO relationship — and you are NOT in a distressed area that would attract MacKenzie Scott’s attention — then your grant proposal to her is more than likely DOA.
And relationships take time to start and dedication to maintain properly. My hat is off to the Major Gifts Officers in nonprofits, whose work is all about the relationship game. It’s hard work!
Here’s a factor I don’t even include in my Scorecard tool, but it’s pretty obvious:
ACCEPTS APPLICATIONS
Oprah, Bill Gates, MacKenzie Scott and other gazillionaires have tons of money and are not shy about giving some of it away to the nonprofits they select.
But that’s the catch: the phrase “they select.”
Those rich people have priorities, things they care about, and missions they want to achieve. They also have staff, and those staff are hand-picking the nonprofits that fit the precise criteria set out by their foundation’s leader.
Much the same way that a foundation (of “normal” size) would designate that they give only to “Pre-selected” organizations. That means organizations that are either grandfathered in, or have been sought out by the foundation’s board members or staff and fit very specific benchmarks.
Each of these six factors gets a score of 0, 1, or 2, and we add them up. Just a few quick factors to score and you have your answer: yes, let’s apply; maybe; or no, not worth it. A low score means No Way, this opportunity is not viable. A medium, so-so score means some cultivation is needed for us to have a chance with this grant opportunity. A high score equals Good Prospect! Let’s go for it!
Being able to score each new grant opportunity is a “no drama” way to let your well-meaning prospect researchers know how their prospect would fare without any hurt feelings. It’s also a good way to gauge if a new prospect is worth supplanting a surefire opportunity you’re already working on.
There’s always exception to all these rules, and those special circumstances could mean your nonprofit could get a grant. But by and large and in most (99.9%) of cases, if you don’t fall under their parameters, you are not a fit.
Many Thanks to the hopeful Board Member, and to all the optimistic “helpers” that search out grant opportunities for their nonprofit. Once in a while, they do pan out! But bottom line, they need to check the tried-and-true parameters I’ve listed here before they get too excited.
Has it happened to you? Have you been approached with a grant opportunity that you knew was an impossibility? How did you know it was a No Go? How did you handle it?
Contact me and share your story!
