Finding funders that fit

This guide is for small charities that are ready to look for grants but don't know where to start. The biggest waste of time in grant seeking is applying to funders who were never going to say yes. After reading, you'll know where to find funders, how to check what a foundation really funds by reading its tax return, and how to get ready for government grants without paying anyone.

Fit matters more than size

A big foundation with a famous name is not a better prospect than a small family foundation two towns away. What matters is fit: does this funder give to work like yours, in places like yours, in amounts that make sense for you?

A good prospect usually matches on three things:

• Cause. They fund your kind of work, such as hunger, literacy or animal welfare.
• Place. They fund in your city, county or state.
• Type and size of grant. They give the kind of support you need, at a size you can manage.

Foundation directories

Candid's Foundation Directory

Candid runs Foundation Directory, a large searchable database of foundations and the grants they've made. It's a paid subscription. But Candid says you can get free, in-person access to Foundation Directory at its partner locations. Candid describes its partners as organizations such as libraries, community foundations and other nonprofit resource centers. Candid's website has a tool to search for a location near you.

Before you go, write down a few keywords for your cause, your county and state, and the grant size you need. Call ahead to check opening hours and whether you need to book a computer.

ProPublica Nonprofit Explorer

ProPublica Nonprofit Explorer is a free website where you can look up nonprofits, including private foundations, and read their tax returns. You don't need an account to search.

Reading a foundation's Form 990-PF

Private foundations file a yearly tax return called Form 990-PF. It's public. You can find it on ProPublica Nonprofit Explorer by searching the foundation's name.

Here's what to look for:

1. Total grants paid. This tells you the foundation's giving size.
2. The list of grants paid. Near the end of the form is a part called "Supplementary Information" (Part XIV on the 2025 form). It includes "Grants and Contributions Paid During the Year." This shows who got money and how much. Ask: do they fund groups like mine? In my area? At what size?
3. How to apply. The same part asks the foundation to say how applications should be submitted, what to include, any deadlines, and any limits by place or type of group.
4. The "preselected" box. The form has a checkbox for foundations that only give to preselected charities and don't accept unsolicited requests. If it's checked, don't send an application out of the blue. You'd need a personal connection first.
5. Who runs it. The return lists officers and trustees. You might find someone on your board who knows one of them.

Read returns from two or three different years. One year can be unusual.

Community foundations

A community foundation is a public charity that pools gifts from many local donors and makes grants in a certain area, often a city, county or region. Many run open grant rounds for local charities. They also often manage donor-advised funds, which are accounts that individual donors use to recommend grants.

Community foundation staff usually know the local funding scene well. Many will meet with a new charity to talk about fit. Search for "community foundation" plus your county or city name.

Local giving days

Many regions hold a giving day: a one-day online fundraising campaign where local charities sign up on a shared website, and the public gives to the ones they choose. They're often run by a community foundation or a local coalition. Some offer matching funds or prizes.

A giving day won't replace grants, but it's a good way for a small charity to reach new donors with a shared spotlight. Check the rules and any fees before you sign up, and plan your emails and social posts ahead of time.

Government grants

Government grants come from federal, state, county and city agencies. Federal grants are listed on Grants.gov. State and local grants are usually listed on that government's own website.

Getting ready for federal grants

Before you can apply for a federal grant on Grants.gov, your organization must be registered in SAM.gov, the federal government's registration website for organizations that receive federal money. Once registered, you have a Unique Entity ID (UEI), the number the government uses to identify your organization, and it appears on your Grants.gov applications.

Grants.gov says:

• Registration in SAM.gov is free.
• You should allow up to 10 business days for registration to become active.
• You must renew your SAM.gov registration every year. SAM.gov says every 365 days.

Is a federal grant right for you?

Federal grants can be large, but they come with detailed rules about spending, record keeping and reporting. A charity with no paid staff and no bookkeeper may struggle. Many small charities start with state, county or city grants, or with funds that a state agency passes through from the federal government. Those often still carry federal rules, so read the terms.

Every federal notice of funding opportunity has an eligibility section. Grants.gov advises reading it first, so you don't spend time on a grant you can't receive.

Keeping track of your research

Use a simple spreadsheet. For each funder, record:

• name and website
• causes and places they fund
• typical grant size
• how to apply and deadlines
• whether they accept unsolicited requests
• any connections on your board
• status: researching, contacted, applied, funded, declined

Aim for a short list of strong prospects, not a long list of weak ones. Ten funders that truly fit are worth more than a hundred that don't.

Research checklist

• We wrote down our cause, area and grant size needs
• We found our nearest Candid partner location
• We read at least two years of Form 990-PF for each top prospect
• We checked for the "preselected only" box
• We talked with our local community foundation
• If we want federal grants, we registered in SAM.gov ourselves, for free
• Our prospects are tracked in one shared spreadsheet

If you want help building your prospect list, ask a member charity for help through the Exchange.