The successful operation of NGOs or charitable foundations depends heavily on the support of donors. Grants from international and local organizations often become the basis for implementing socially important projects. However, getting funding is a challenge that does not always end in victory. We asked grant manager Mykola Apetyk why donors refuse and where to look for support.
How does a donor choose an organization to fund?
Each donor has its own criteria for selecting a non-governmental organization or charitable foundation to fund. According to a grant manager, there are also criteria that are often taken into account when choosing an organization.
The first criterion is the experience of grant cooperation. If you read the requirements from donors in grant applications, you can often see that they try to follow the organization’s activities for a certain period of time, usually six months or more, but this requirement varies somewhat.
“It is worth noting that many donors also support organizations that are just starting their way in the field of grant funding. These can be programs focused on developing new initiatives or supporting innovations,” says Mykola Apetyk.
“The second thing the donor pays attention to is compliance with the strategic directions of the grantor’s activities. That is, you must have a goal. The organization must meet the strategic goals and directions of the donor program, says the grant manager.
“If a donor specializes in media and communications, they are unlikely to choose an organization working in the field of ecology, as it does not correlate with their focus area. Therefore, it is important to have a clear understanding of how your project relates to the mission and goals of a particular donor.”
Another criterion is your own ability to implement a project. That is, they pay attention to the organization’s capabilities.
“This includes having a qualified team of experts, logistics, and appropriate management approaches and methods. Internal policies and procedures play an important role, as well as the organization’s ability to report and pass audits. The organization’s ability to work with financial and other resources in accordance with donor requirements is also important,” explains Mykola.
The last thing a grant manager pays attention to is recognition on social media. The donor is interested in whether the grantee can quickly disseminate information about a new initiative or project. What audience the organization will reach on social media and whether it is even able to find the final recipient of the service on the Internet.
“Having a sustainable communication strategy can be an additional advantage for an organization, as it demonstrates its ability to attract a wide audience and implement projects that have a social impact.”
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Why can a donor refuse to fund a project?
There are times when a future grantor may refuse to support a project. The donor’s reluctance to fund the work of an NGO or CO may be caused by various factors, such as competition with other organizations that work more systematically in your field, or lack of transparency if you do not post your reports on social media.
“Since each donor has its own criteria, it is important to always carefully study their requirements and strategic priorities to ensure that your project is relevant and increases the chances of success,” says the grant manager.
Mykola Apetyk also cites other reasons why a donor may refuse to fund a project, including a lack of transparency and accountability.
“Donors do not want to work with organizations that do not adhere to the principles of transparency. If an organization does not provide regular reports, does not conduct audits, or is not open about its finances, it can lead to a loss of trust on the part of the donor,” emphasizes Apetyk.
Usually, audits and reporting on funds take place in two ways. The organization can order an external audit on its own, or it is a project audit that falls on the donor’s shoulders in accordance with the terms of the grant. An external audit is ordered from companies that have the appropriate license. These can be both international and local audit companies.
The reputation of the CO or NGO is very important, because every donor cares about its own image. An unjustified risk of cooperation with an organization that has dark spots in its biography may carry its own reputational risks.
“This applies to organizations that have problems with the law, are subject to scandals or have a bad reputation in the media or among the public. Examples include financial manipulation or corruption. A donor is unlikely to want to support such an organization in order not to associate its reputation with such actions,” says Mykola. In addition to a bad reputation in society, organizations that practice unethical activities or violate ethical norms are also unlikely to find donor support.
“Donors choose partners who demonstrate professionalism, reliability, and the ability to implement projects within the established standards to ensure efficient use of funds and maximize results.”
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How to communicate with a donor if you have an idea for a project?
To get a grant, you first need to carefully study the donor organization: its strategy, priorities, and funding criteria. Your idea should be in line with the donor’s activities, so it is important to clearly define the goal, target audience, and expected results. You need to show the donor what problems you can solve with your initiative.
Mykola emphasizes that transparency in the organization’s activities and the ability to report effectively are also important for establishing trust. Communication should take place through the appropriate channels specified by the donor, whether it be email, online platforms, or face-to-face meetings. It is equally important to be prepared to discuss your idea, making changes and adjustments if necessary. Your ability to engage in constructive dialog and openness will help lay the groundwork for successful cooperation with the donor and project implementation.
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