Form 990s: A Goldmine for Grant Research
So you're on the grant hunt, determined to land that perfect funding for your amazing nonprofit. But where do you even begin?
Buckle up, because I’m about to share a secret weapon that you can get straight from the IRS!
There's a treasure trove of information waiting to be discovered: the mysterious Form 990.
Yes, tax forms might not sound like the most thrilling read, but trust us, 990s are like secret maps leading to grant gold!
Here's how to use them to your advantage:
Unearthing Those Form 990s Gems
Think of a 990 as a Financial Footprint: It reveals a foundation's giving history, including who they've funded in the past and how much. This is crucial! For example, when you see that a foundation has donated to several organizations that match your nonprofit’s passion, you know you’re in the right place.
Grant Green Lights: Look for sections like "Part IX: Information about Potential Issuers of Tax-Exempt Bonds" or "Part XV: Grants & Contributions Paid." These golden nuggets tell you if the foundation gives grants at all, and if so, to whom and for what.
Dig Deeper: Don't just skim! Look for clues about the foundation's priorities and funding preferences. Did they give mostly to educational programs last year? Then your after-school initiative might be a perfect match!
Track Record Tells the Tale: Analyze how much they typically award and how many grants they give. This can help you assess your chances and tailor your proposal to the right “ask” amount.
Pro Tip: There's an App for That!
While you can access 990s directly through the IRS website, there are fantastic online resources that make your life easier. Platforms like Candid or Instrumentl translate the complex jargon of a 990 into easy-to-understand summaries and graphs, saving you precious time.
Remember:
Fresh is Best: Since form 990s are filed annually, they offer a more up-to-date picture than foundation websites, which might not reflect the latest funding priorities.
It's a Puzzle, Not a Magic Wand: A 990 alone won't guarantee a grant. But it's a powerful tool to identify potential funders who align with your mission and increase your chances of a successful application.
So, the next time you're on the grant prowl, grab your metaphorical shovel and start digging into the goldmine of information that 990s offer.
Happy hunting!
