TOP TIPS ON BID WRITING
How to win funds from grant awarding bodies
Maurice Cohen and John Holme
1. Introduction
Fundraising is about generating resources to assist an organisation in reaching its goals. It is vital to the development of many voluntary and community organisations and charities and also plays an important part in the functioning of many public institutions such as schools. Some organisations might rely on it for the majority of their funding, others to support aspects of their work or particular projects. Whatever the reason, the competition for available funds is intense, and is increasing.
There are many ways for an organisation to raise funds. In this short paper, based on our considerable experience, we deal only with fundraising through grant giving bodies and trusts. (Many organisations also raise funds from companies and individuals through a whole variety of activities such as local collections, postal and telephone appeals, payroll giving etc.) We show you the steps towards successful applications and ask questions that you need to answer to decide what is best for your organisation.
2. Fundraising and bid writing in perspective
Why fundraise? Many organisations do not have a fundraising strategy, and often misdirect their efforts. It might seem obvious, but many organisations have not articulated why they need – or want – to fundraise. You won’t be successful unless you do. One of the best ways to do this is by having a facilitated meeting of the senior team. You will be surprised at the different views that can come out of such a meeting!
Does fundraising fit into your organisation’s overall financial strategy? It takes time and resources, and if you divert these from your core business, will you jeopardize the business, or will there be a real impact? Fundraising must be part of your long term strategic business plan. It is not a substitute for effective financial management which must be the top priority for all organisations.
Before considering any type of fundraising three basic questions need answering at every level of business planning, from the vision for the next five years, to the request for a grant:
Where are we now?
Where do we want to get to?
How will we get there?
The answers will determine the amount of external funding needed, the sources of the funding, and the type of funding body which should be approached for funding.
3. Key principles
There is no such thing as a free lunch. Successful fundraising comes through a properly planned strategy, attention to detail and hard work. Increasingly funders demand background information about the organisation, as well as a well thought out bid. Preparation is everything, and the essence of preparation is to adapt the request to the aims of the funder, and to the amount required and requested. These days funders are often more amenable if they see evidence of match-funding or of approaches to other grant giving bodies as well.
There is no one catch-all technique. For small amounts of cash for a specific project a simple written application may be sufficient. At the other end of the spectrum, sizeable development funds to help your organisation change direction or introduce new services may only be given after a rigorous assessment procedure, and a series of interviews. Often this only takes place once you are on their preferred list. In many cases grant giving bodies do not accept unsolicited applications, and the skill is in networking and in developing the contacts that will gain entry to the funding stream.
4. How to find the right partner
Obtaining funding should not just be a one-off. The aim of fundraising should be to build a relationship with the funder that is mutually beneficial. Your organisation may then have access to a funding stream and the funder knows that its money is being well used in an area that is important to it. Success does not come overnight, but first impressions count, and that is why it is vital to be well prepared, not just with the business case for funding, but also understanding the aims of the funder, and what their funding motivations are. There are hundreds of potential funders in this country. Some are very large, and have unrestricted funds. Some operate purely on a regional basis, or for specific medical purposes, and still more have very limited funds. Some are family trusts; others are national institutions. Each requires a tailored approach if effort is not to be wasted. Overall there are a number of possible sources including:
• Trusts and Foundations
• Companies
• Government grants
• National Lottery
• EU and International funds
We can help with identifying these sources, and, within them, pinpoint the most appropriate funders to approach. We can also advise on tactics.
5. Ten top tips for fundraising
1. Be realistic about what you need.
2. Break your financial requests into amounts the funder can afford to give and identify clearly how much money you are asking them for.
3. Even more important, keep the request for cash at a level at which you know you can handle. You can always go back for more, but only if you have spent the first funds sensibly.
4. Have a strategic plan and know why you need the money. Wanting is not enough. Show the funder exactly what you can achieve with their money and how it will improve the lives of the beneficiaries.
5. Research your potential funders thoroughly and identify those who have a synergy with your organisation.
6. Adapt the approach to the organisation and make your message as relevant to their goals as possible.
7. Be prepared for the long haul – if you don’t succeed now, you may in the future.
8. Build personal relationships with the trustees, and with the senior staff of the funding organisation.
9. Always have alternative suggestions as to how the organisation might help. Money is not always everything.
10. Never give up!
6. Making the application
Once you have identified the funding source you then have to consider making the application. Many grant-giving organisations will expect you to apply using their application form or in an agreed format. Writing applications for grants is a time-consuming exercise and in some cases you will be competing against tens if not hundreds of others. You can significantly increase your chances of success by following a few simple rules which will ensure that you make the best application possible.
7. Ten top tips for writing the bid
1. Make sure you understand the objectives of the grant-giving body and identify with the aims of the funder.
2. Read the whole of the ‘How to Apply’ document or details at least three times before starting to prepare the application.
3. When reading the application details, underline key words and phrases and make sure you address them in your application.
4. Present the application in a plain and clear font e.g. Times New Roman 12 or Arial 11 point.
5. Keep your answers simple using clear English and short sentences.
6. Sell the benefits of winning the grant, not the problems.
7. Make sure you answer all the questions fully. Do not leave blanks or ignore the question.
8. Put background information and accounts in easy to read appendices, not in the main document.
9. Ask a third party to read your completed application before sending, in order to ensure you have provided all the required information and to check for any typing errors.
10. Make sure you are clear about all the practical details of applying e.g. number of copies required, type of copies (electronic, hard or CD), any closing date and the address to send the application to.
8. Our services
We offer a bespoke service to community and voluntary organisations and charities. We specialise in working with smaller organisations. We only accept commissions where we know we can make a difference, and in all cases we offer an initial free one hour consultation to ensure that you, and we, are happy that we can achieve success. Our fees for this sector are moderate and we are happy to quote by the day, or a fixed price for a specific assignment. In addition to helping with fundraising strategies, we can help with developing your fundraising staff and volunteers. We can also advise on a wider front, and can work with you to develop a robust strategic business plan and an annual operating plan.
Our contact details are below. For a free, no obligation introductory meeting please ring or email either organisation. We will be happy to explore potential funding opportunities with you.
January 2007
© Maurice Cohen
MBC Consulting
37-39 Church Hill
Hoxne
Suffolk
IP21 5AT
T: 01379 668376
E: mcohen@mbcconsulting.net
W: www.mbcconsulting.net
© John Holme
Shalder Management
30 Green Street
Duxford
Cambridge
CB22 4RG
T: 01223 501473
E: shalder.management@ntlworld.com