June 30, 2010 | Read Time: 1 minute
Perhaps no tool is better for learning about a foundation’s priorities and spending capacity as its informational tax return, the 990-PF, says Pamela Grow, a fund-raising consultant, in her blog about grant writing.
She advises grant seekers about six parts of the 990 that often reveal nuggets of useful information. For example, Part 1 of the form summarizes revenue and expenses, and it’s worth checking to see if big contributions have been made during the year in question, she writes. If so, a founder or trustee may have recently died, and the foundation may be on the verge of giving away more money.
Ms. Grow also advises grant seekers to scrutinize Part IX-A, the summary of direct charitable activities to get a sense of how large the foundation’s average grant is.
“If the foundation you’re researching tends to give many grants in the $2,500 to $10,000 range (as opposed to a few grants in the $25,000-$100,000 range) and you are a first-time applicant, you’ll want to frame your ask accordingly,” she writes.
“And don’t write a foundation off if they specifically note that they only grant to pre-selected organizations,” she advises. “I’ve had success with smaller grants of $250-$1,000 with these foundations when there was an otherwise good match in giving.”
What parts of the informational tax return do you find most useufl in grant seeking? Share your suggestions with other readers.
