Grants for Non-profit Organizations - Misconceptions Revealed

The public belief about grants has undergone many misconceptions in recent years, with the advent of advertisements promising "free money in the form of government grants." The federal governments actual definition of a grant is: an award of financial assistance from a federal agency to a recipient, in which the recipient carries out a public purpose of support or stimulation. Non-profit businesses and organizations clearly fall within this category.

Finding the funding that is available through grants is not as easy as defining the grant itself. There are many grantors in both government, private, and corporate sectors...and there are just as many fraudulent sites as previously mentioned. When a non-profit entity is searching for a grant, care must be taken to ensure that the source is legitimate and viable.

If federal funding is what is looked for, the ideal website to begin the search is Gov't Grants. This is the official website of the Federal Government and it provides a comprehensive list of all grants issued by them, through all twenty six federal agencies.

If your business or organization does not meet guidelines for certain government grants, do not despair. There are many grants open to non-profit organizations through private and corporate foundations.

The Open Meadows foundation is a wonderful resource for those projects and organizations led, and implemented, by women for women. If your organization is non-profit and geared more towards supporting education and ethnic background, you may qualify for funding through the UNCF. Non-profit organizations geared towards sick children may find a grant through Ronald McDonald House Charities. Other organizations, especially those geared to certain business aspects can find numerous grants at the U.S Small Business Administration.

These grants are all from legitimate and legal sources. One large way to tell the difference between a real grant and a "not so real" grant is the amount of paperwork and information required in order for your non-profit business to be considered for funding. Ignore those promises of free money that insist they only require a small one page questionnaire to be filled out. Real grantors require much more than that as they need to ensure that there is a need for funding and want proof that the funds they provide go to an activity that meets their guidelines.

The more that is required from you, the more likely the source is legitimate. Do not be worried though, as there are as many legitimate sources for funding to non-profit organizations as there are fraudulent!