For those seeking foundation funds for the first time, grant applications can seem daunting. In this series, I hope to demystify the process of applying for grants by providing a brief overview of each section of a typical grant proposal. I'll start with my favorite section--the Needs Statement.


The Needs Statement

The first step of a funding request is to convince a potential funder that there is a serious, immediate, and unmet need in the community. The needs statement is one of the most, if not the most, crucial aspects of your grant proposal--if you haven’t convinced someone there is a problem, they have no reason to invest in your solution. 

 The needs statement (also known as the problem statement) answers the question: “What need or problem does your proposal address?” A compelling statement pulls at the reader’s heartstrings, but is backed by statistics and research. Key components of a need statement are:

• Facts or figures about the extent of the need. 
  

Research-based facts and numbers show the number of people affected, the extent of the problem, and the extent of its affects. Research should be as specific as possible to the region you are serving. Similarly, if your program serves a certain population—children or the elderly, for example—provide statistics for that population group. 

In addition, research can demonstrate the extensive impact of the problem you are addressing. For example, if you are addressing a high drop-out rate in high school students, include research demonstrating the long-term negative impact of failing to graduate--higher unemployment, higher risk of incarceration, and poor health. 

For example: 10% of all Smith County residents over the age of 65 are “food insecure,” meaning they don’t know where their next meal will come from.  Individuals who suffer from hunger are more likely to suffer from a variety of life-threatening health problems; this risk increases with age, as key nutrients are crucial to preventing many health problems, including diabetes and osteoporosis.(1)  
(1) Don't forget to cite your sources! Use MLA or Chicago style.

• Story of the need
  

This gives a human (or animal, or natural) face to the problem. This appeals to more emotionally-driven readers, who need to understand the personal or individual impact of the problem. This could be a profile of one of your clients (with an alias or last name removed), or a story from a published news article. 

For example: Jim, a retired Smith County resident, has trouble making ends meet with his Social Security checks. Some months, he has to choose between paying his extra medical bills and going to the grocery store. He often turns to fast food, which is cheap and easy—but at his last medical check-up, his blood pressure and cholesterol were at dangerously high levels. Jim’s arthritis also makes it hard for him to do basic tasks. Even if he could afford healthy food, it would be a struggle to prepare it.

• What is being done & why it isn't enough.

Finally, you need to demonstrate that at least some portion of the need above is not being met.  Perhaps current services are nonexistent, limited, ineffective, or fail to reach a specific population. Here, you are showing why your organization & its services, specifically, are necessary.

For example: While food banks do a lot to combat hunger in our community, they are difficult to access for homebound seniors who are unable to leave their houses. In fact, ABC Food Bank in Smith County noted last year that their services reach “only a small portion of those in need.” 

Remember, a needs statement always addresses the need of whoever is receiving the services--it does not address what your organization itself needs.  Never say "Our organization needs money to fix the gym ceiling,"--instead, "Our community's children need a warm, dry place to play."

Need a hand crafting your compelling grant application? Contact us today for a free half-hour consultation and to learn about our services.

This is the second in an eight-part series on grant writing from Aril Consulting. 

If your organization is considering applying for grant funds for the first time, there is some information you’ll need to gather before you start the process. Grant applications are often highly detailed, and before starting an application you should make sure you can provide all the required information. Though the process can be daunting, it will go much smoother if you gather your materials first!

Whether you are writing the application yourself or hiring a consultant, your organization will need to gather the following information for most applications:

• Overall budget for your organization. Usually you will need a budget for the last fiscal year (including actual income and expenses) as well as a proposed budget for the current year.

• Program budget. This should be fairly specific. It’s not enough to say that your budget for the program is $20,000—you need to break this down into budget categories such as personnel, supplies, rent, etc.

        If the prospect of budgeting gives you flashbacks to high school algebra class, 
        check out the Budget-Building Book for Nonprofits! It offers guidance for every 
        step of the process.

• Specific request. Your request should be for a certain amount (usually no more than 10% of your overall budget), and you should indicate what specifically the funds will be used for. Do you want funds for supplies? Your office staff? Transportation? Funders want to know exactly how you will use their money.

• Measurable impact. Gather concrete information on the numbers and demographics of the people you serve. If you are considering going for grant funds at any point in the future, start tracking this information now! (It’s also helpful for internal evaluations). This should include both what you have done in the past (i.e., served 10,000 meals to 3,000 individuals last year) and a reasonable projection of what you plan to do during the grant period.

• Systems to track success. A funder wants to know how you plan to measure your program’s effect. Do you plan to track the number of people served? Administer surveys to measure satisfaction? Track graduation rates? Design a tracking system that you can faithfully implement and use to report accurate information back at the end of the grant period.

        Not sure how to develop a program evaluation? Check out Grant Space's      
        knowledge base to find approaches, guidelines, and tools you can tailor to your 
        own programs.

• 501(c)3 Letter or Fiscal Sponsor letter and agreement
  
• List of your board members and their affiliations
  
• List of key organizational staff and their qualifications
  
• IRS form 990
  
• Most recent audited financial statements (if you have them)
  
• Letters of support or collaboration (if applicable) 

Need help developing the above materials? Have them in hand and want to apply for a grant? No matter where you are in the process. Aril Consulting can help! Contact us today for a free half-hour consultation and to learn about our services.

This is the first in an eight-part series on grant writing from Aril Consulting. Check back next week for tips on writing a compelling needs statement!