Episode 83: The Nonprofit Success Roadmap: Stage 3 - What Funders Consider Fundable
Funders don't fund events, camps, workshops. One-time engagements don’t create change. Events are for visibility and are best aligned with marketing dollars. They sponsor them. Grants are for projects/programs that are administered over time. Funders want to see a change. If long term sustainability is your goal, you have to understand how Funders think so that you powerfully position your organization for opportunities.
SPONSORS:
YouTube Nonprofit Program: https://youtu.be/3dLVnQIVA-Q
Google for Nonprofits: https://youtu.be/t2xe82vZn9k
NONPROFIT SPOTLIGHT:
This episode highlights the nonprofit "American Farmland"
Check out American Farmland! 👇🏿👇🏿👇🏿
https://www.facebook.com/AmericanFarmland
https://www.instagram.com/americanfarmlandtrust/
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Podcast Transcript
Speaker 1 (00:02):
Hey, fam it's your girl, Amber Wynn, Philanthrepreneur, and I'm excited about 2024. A lot of changes are in store here on air with Amber Wynn. And as I wrap up with new episodes and some new additions to the format, I wanted to revisit probably the most important episodes on the show, the nonprofit Success roadmap, because when you stage your nonprofit, you save yourself hundreds of hours in sweat equity and thousands of dollars out of your pocket because you're not focusing on work, your organization isn't ready for it. Here's the thing, you have to be honest. If you've been self-funding your organization for the past 5, 10, 15, 20 years, don't say, oh, I have an accurate budget, or I have a clear mission. Because if you did, you wouldn't still be self-funding your organization do something different to get a different result. Okay? So, take a look at the seven stages of the nonprofit success roadmap to determine where your organization is and work to move toward the next stage and look out for new episodes.
Speaker 2 (01:13):
Welcome to On Air with Amber Wynn, where nonprofit leaders learn to fuse passion and commitment with proven business strategies to create long-term funding, impact and sustainability. And now here's your host and resident, Philanthrepreneur, Amber Wynn.
Speaker 3 (01:38):
Hey fam, it's your girl. Welcome to On Air with Amber Wynn, Philanthrepreneur. Today we are going to talk about something that is near and dear to my heart. I would say that probably 80% of potential clients come to me with ideas that aren't really fundable. I know that's a lot, but when we dive in today's topic, which is what funders consider fundable building programs, funders love to fund, you will understand what I'm talking about. The short of it is a lot of people start their nonprofit with great ideas, right? There's a missing, like they want to help. So they'll do a blood drive or they'll do a toy drive or they'll do a back to school drive backpack, or they will host a camp, a basketball camp, or those are not programs. Those are events and funders don't fund events. And when I say funders, I'm referring to foundations that give out grants. Grants are for programs. So in this episode we're going to talk about what funders consider fundable, and I'm going to talk to you about how to build a program that a funder loves to fund. But first we're going to pause and then we'll come back. We'll jump into it.
Speaker 4 (03:10):
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Speaker 3 (03:45):
Welcome back, you're on air with Amber, and today we're talking about what funders consider fundable. And when I say fundable, like everything's not fundable through a grant, there are criteria when you apply for your nonprofit tax-exempt status, there's a form called 1023, and what it does is it weeds out things that are not fundable. They're not fundable because they don't benefit the public good from a funder's perspective. They want for your program or your project to create a change. And so I will have someone who says, oh, Amber, I need to get a grant. What you need a grant for? Oh, I need to fund this camp. Camp is not suitable for a grant. And let me explain to you why funders don't fund events. Because events, they will inspire, they will get people excited, but the change is only temporary and a funder is investing in your organization for long-term change.
(04:54):
They want to create a change in the community that is going to be long lasting. So a kid will come to a camp, he'll meet this celebrity, this basketball player, this football player or soccer player or whatever. They are inspired and they may be inspired to become an athlete or something like that, and they're like, oh no, we have workshops during the day. So it's educational, but it is not enough time to create lasting change, right? Generally speaking, I have people argue with me all day long. You can argue with me all day long if you want to, but I'm trying to powerfully position you for long-term success. A funder is looking for a program. A program is going to be six weeks, 12 weeks, six months, a year. Because when you spend time with your client, then you build trust, you get to know, you get to actually know your client, and you get to identify what their barriers are.
(05:51):
For example, you may have a literacy workshop, if you do an assessment, whatever, you don't know the other circumstances in that person's life, but if you're working with them for six weeks or 12 weeks or six months, you get to know, oh, the reason why this person is challenged with reading is because they move a lot. So we need to help them get other resources. So where this child is stable so they're not jumping from school to school because now they've got to get into a new classroom and they've missed out on things. So funders do not want to fund events. So when you're like, oh, we're going to do a blood drive or we're going to do a backpack giveaway, that is an event. That is something that, yes, it brings value to the community, but does it change a situation? Oh, yeah, it changes.
(06:43):
They don't have it. No. A program happens over a long duration of time, six weeks, 12 weeks, six months a year, and this is what usually happens. You feel good, you want to help, and so you'll do an event and you'll do a giveaway, and then you're like, people are like, oh, you should get somebody to fund this and that. It is not enough for a fund. What it does qualify for though, is sponsorships. So companies, individuals, they are looking for two things. One, either access to their target audience. So let's just say you do a backpack giveaway and the particular funder is, I don't know, some type of dishwashing, liquid tide or something like that. Well, guess who uses that type of product? The moms who are bringing their kids to the camp. So it may benefit them to be in front of that target audience.
(07:51):
So you'll say to them, Hey, for $1,500, we'll put your banner on the stadium wall. So the parents who typically buy the product, they've got to wash the uniforms, right? They'll see your product, so that would be a reason for them to sponsor you or what else? Or it could be that they make so much money that they need to show their constituents, their customers, that they're not just about the money. So it's about being a good corporate entity, SR corporate social responsibility. So they will put their brand out there and say, oh, look, we're sponsoring this camp. We're sponsoring this backpack giveaway because it makes them look good. It shows the community that they are giving and not just taking. So those are reasons why a company would sponsor, but when we talk about what funders look for, they look for deliverables, right? So it's going to be in a behavior, it's going to be a change in a skill.
(08:59):
It's going to be change in a circumstance. For example, if you have a program and you're working with youth, you're going to say, we're going to reduce the number of teens who get pregnant. That's a deliverable that happens over time. It's not going to happen in one camp. You've got to get to know these young ladies, these young men, and you've got to talk to them, build trust. You've got to teach them how to be responsible. You've got to teach them how to want something different. You've got to take away the opportunity for them to get pregnant. So that time between two and six, when parents are wrapping up and coming home from work, school is out, they have an opportunity. You're going to replace that with a coding program. But basically what you're saying to a funder is, listen, I have a deliverable. At the end of the day when you write me this check, I can tell you how either increase the behavior, maybe the behavior that you want to increase, the self-esteem, or maybe it's, I don't know, doing something productive, not doing drugs, not getting high because they don't have anything else to do.
(10:09):
That is something that happens over a long term. Also, you want to be able to say, okay, if you give me this money, this is what you can see. As a result, you can see an increase in graduation rates. You can see a decrease in domestic violence because we've put in the time to work with this community, to work with these clients to see that change. These things don't happen with a gala, like you can get corporate sponsorship for a gala because you can say, we're going to have 500 people. We'll put your logo up on the wall and people are going to see it. But to a funder writing a grant, that doesn't benefit them, right? So I want you to understand there's a difference between grant money and marketing money and marketing money covers events and grant monies cover programs. So if you want to have a nonprofit and you're talking about long-term sustainability, then I want you to really consider building out a program.
(11:07):
I don't have enough time to go through the specifics of building out a program, but guess what I do have? I have a workbook building programs, funders love to fund. I'm going to put the link in my bio. You can go through it and really understand what it takes to build out a program. Like I go step by step talking about the deliverables, the measurable goals and outcomes. I break down everything that you need to build out programs that funders love to fund. How do I know I was a funder and when I saw, yes, okay, you've got a goal. Yes, you've got a measurable outcome, you've got time, the duration, all of the things that a funder would say, this is what I'm looking for is in this workbook. So be sure to click on the link so that you can understand what it is that a funder is looking for when it comes to programs.
(11:59):
Now, I am a proponent of diversifying funding streams, so I'm not telling you just to have programs because you can have a program and still have corporate sponsorship. We want to diversify our funding stream, but I want you to understand that there's a difference between events and what type of funding you can get to support the events, and then programs and what type of funding the programs get. The grants and events typically get the sponsorships, so check that out. All right, so what funders consider fundable? It depends on the type of funder, marketing, money events, grant money programs. You got that? Wonderful. Alright, so now we're going to pause for a little station break, and then when we come back, we've got Ask Amber, we've got your questions when we come back,
Speaker 5 (12:49):
This is you and this is your business from invoicing your first client to your 10th club to your hundredth client. You'll need to get paid quickly. Pretty soon you'll be ready to hire some help and you'll need to pay them. As your business grows, wave is there to grow with you.
Speaker 3 (13:20):
Welcome back, you're on air with Amber Wynn, Philanthrepreneur, thank you very much. Today we're talking about what funders consider fundable building programs that funders love to fund today's Ask Amber question. If you have a question for me, you can hit me up on all of my social medias and ask me your question. You can go on anchor, leave an audio if you don't feel like typing it, or you can hit me up on Instagram, Facebook, whatever you want. Let me know what your burning question is and I'll address it on air. Today's question comes from Joe. Joe is in San Luis Obispo. Hey, Joe. The question is, what is a SAM number and do I need one? That is a great question. A SAM number is if you are considering applying for a grant from grant.gov, you are required to have a SAM number, a SAM number specifically for grants for the government.
(14:24):
The SAM number is what is issued to you by the government so that you can apply for a grant. Basically, there's this portal, right? And when you go to submit the proposal, you have to have all of these assurances. You have to have all these documents, but you have to have a SAM number because a SAM number lets the government know that you've been pre-qualified for lack of a better term. So, it takes about 45 days for a SAM number to be approved because you provide the government with all of the documentation, you let them know if you have a DUNS number, your address, they verify your 501(C)(3). They ask you for who's the executive director, all of this information that they need to know about you, they approve you once, so they do the screening and you have a portal, a profile. So now when you apply for the grants, you don't have to go through that each time you do it once, it's good for a year, you have to reapply every year because they have to check your status, make sure that your 501(C)(3) is active, your stuff hasn't been revoked, all of that.
(15:37):
So once you go through this process where they screen you and say, okay, you're qualified to submit for a government grant. You have that number, and that's the number that you use, that they track, that they assign, and then you can apply for a government grant. Basically, you do that every year, but if you're not submitting for a government grant, then no, you don't need the SAM number. But if you do, you want to do it early. Like if you found out that there's a proposal due in 30 days, don't try and get your SAM number. Get your SAM number now because anything can happen. There are hiccups, they say 45 days. It might be more than that. If you know that you wanted to apply for a government grant, grants.gov, do it early, do it soon because it is a process. Okay, so thank you for that question. Now we're going to move to my favorite time of the episode is when I get to spotlight the most amazing individuals on the planet, my nonprofits to today, we are going to spotlight the American Farmland Trust. The American Farmland Trust launched the conversation, the conservation agriculture movement, and has been bringing agriculture and the environment together since 1980, so they've been in the game for a while. Let's take a look at American Farmland Trust.
Speaker 6 (17:08):
The future of humankind depends on farming. For 40 years, American Farmland Trust has led the conservation agriculture movement. We've saved farmland, advanced better farming practices and supported farmers and ranchers. Yet farming is not moving in the right direction fast enough. America is losing 2000 acres of farmland every day. We aren't sequestering carbon at the pace that's needed, and millions of acres of farmland are at risk. As older farmers retire without successors who can take over their land, the COVID-19 pandemic has laid bare fundamental flaws in our food system, supply chain weaknesses and racial inequities. We must transform agriculture and soon to avert a monumental future crisis. If we don't, we have little chance of a livable planet with sufficient food. Yet this is not a story of despair. We see hope and opportunity all around after 40 years. We know what's needed. Our goals are bold, achievable, and necessary. By 2040, we will double the amount of permanently protected farmland and reduce current loss by 75%. Adopt regenerative practices at scale so that agriculture captures more carbon than it emits and help 600,000 new farmers and ranchers get started and succeed. Our work is essential to the future of American agriculture, and what happens in American agriculture will determine the future of our planet. The future of farming is our future, and that future hinges on what we do next.
(19:07):
Join us.
Speaker 3 (19:12):
Okay, that was amazing. If you're interested in learning more about American Farmland Trust supporting them, then check them out at www.farmland.org. Thank you for all you do, Farmland Trust. So as we wind down this episode, I'm going to spend a minute with you in my mindset minute. It's where I talk about something I don't know on my mind today. I want you to pause and think about something. I have a lot of my nonprofits who you do the best that you can, but sometimes you get in your own way. So today's mindset Minute is own your shortcomings. And this is really important because sometimes we get in our own way trying not to appear as if we are lacking, trying to appear as if we have or we do more than we do. It's okay that you don't know everything. It is. It's okay because it's in that space that you get support, right? There is a lot to learn about the nonprofit organization. People come into this space thinking it's going to be easy thinking that there's money just waiting for you. I can't tell you how many times people say, well, I want to start a nonprofit so that I can get money so that my clients don't have to pay for it. It doesn't work like that. It just doesn't work like that. But you don't know what you don't. What I want is for you to be very open about what your shortcomings are.
(21:00):
I think it's important for you to understand that your nonprofit can't get stronger If you're always putting on this facade like you know everything and everything's great, and you have everything, I can't tell you how many times I'm asking a potential client some questions. Oh, we do that. Oh, we have that, and it's we. When it's really one person, I, you're running a nonprofit and it's not we, that right there in and of itself can be a barrier. Be real about what it is that you're doing so that you can get the support that you need. Because for me, as a consultant, I got to peel back all of the layers of the onion before I can even understand what the real issue is. And so for me, having been in the nonprofit sector, I know what it's about. It's fear. It's fear of being seen for not being qualified or all of that, trying to bolster yourself so that you think that, okay, if they think I have 15 programs, then I'll qualify for this money, and that's not the case at all, right?
(22:02):
So I'm saying to you, I know where you're coming from because I'm the same way. I suck at numbers. I suck at technology. Those are my shortcomings. I am 54 years old, and I'm telling you, they say, you can teach old dog new tricks. This dog is lying down. What's she going to do is find somebody who is an expert. She's going to stay in her lane. She's going to get done what needs to be done. I run a business. I can't afford not to have numbers accurate. I can't afford not to do the marketing, but it's not my strength. And so I have to be honest enough with myself to bring in those reinforcements. It's the same for a nonprofit. Great. You may know how to do the outreach part, but a nonprofit is a business. And so if you don't know how to run a business, it is incumbent upon you to bring in someone who can either run the business, help you run the business, show you how to run the business, otherwise your nonprofit stays stagnant.
(23:07):
If you don't know how to do marketing, hire somebody to do marketing. If you don't know how to do accounting, hire somebody to do accounting. It's just that simple. Otherwise, you're going to stay small and you're going to strangle your nonprofit, and you're never going to grow. The number one thing to me that strangles a nonprofit is when a person cannot shift their mindset, everything else is conquerable. Because if you have shortcomings and you own them, then you're open to bringing in resources to make up for that shortcoming. And that's where I land. I know where I'm the bomb in, and I stay amazing in that space, in those areas where I have shortcomings, I bring in resources. So I'm just saying to you, just own your shortcomings, because when you do that, then your organization skyrockets. Okay? And remember, I am a resource. I'm here for you.
(24:00):
Go check out my website: www.amberwynn.net, and you have plenty of free resources, some of them, not free, y'all. I'm a business what you want me to say, but I have a lot of free resources to help you just make up for those shortcomings, including this here podcast. If you found any of my information in this episode or previous episodes that was helpful for you as a nonprofit leader that help your nonprofit, please subscribe, share, make sure you let anybody know about the information that I'm sharing here, because my goal here is to support the most amazing individuals in the universe. That would be you, my nonprofit leader. So make sure you take care of yourself, like you take care of your community, and I will see you next week.
Speaker 2 (24:56):
Thanks for listening. If you enjoyed this episode, subscribe and leave a review on iTunes. Head over to www.amberwynn.net/podcast for the links and resources mentioned in today's podcast. See you next time.
