The grant management process for nonprofits comprises many moving parts, from identifying grant opportunities to managing grant-funded projects. In addition, nonprofits need to juggle multiple activities across a wide range of contributors and stakeholders. It’s a detail-oriented process that involves careful planning and budgeting, meticulous record-keeping, disciplined project management and exceptional communication skills. And if that isn’t challenging enough, most grants come with strict deadlines and a host of rules and requirements for how nonprofits can use the funds.
Adding to the pressure is the fact that nonprofits have a lot riding on a successful grant management process. Grant funding from foundations is now the second-largest source of nonprofit funding, after individual donations. Not only do nonprofits rely on grant funding to further their missions and impact communities, but nonprofit reputations — and future funding — depend on a track record of successful applications and grant-funded projects. As a result, it’s important that nonprofits build comprehensive workflows and processes to make grant management more efficient. This article discusses a framework for building a well-oiled grant management machine by providing a checklist of critical steps in each phase of the process, along with tips for navigating common grant management challenges.
What Is a Grant Management Checklist?
A grant management checklist outlines important tasks and milestones for each of the four phases of the grant management life cycle: pre-grant application, grant application submission, grant award and grant closeout, each encompassing multiple critical activities. It helps ensure that deadlines are met, compliance is maintained and stakeholders are updated. An effective grant management checklist serves as the foundation for building workflows and processes that result not only in successful grant applications, but also managing grant-funded projects that deliver powerful outcomes for nonprofit communities.
Key Takeaways
- Grants from foundations are now the second-largest source of donations for nonprofit organizations.
- The grant management process for nonprofits requires a wide range of skills from across the organization, including data analysis, budgeting, proposal writing, project management and communication.
- A grant application checklist can help nonprofits successfully manage the four phases of the grant management process: pre-grant application, grant application submission, grant award and grant closeout.
- Technology can help nonprofits gather, store and analyze data in the grant management process, as well as automate workflows, report progress and maintain open lines of communication.
Ultimate Grant Management Checklist
Each phase of the grant management process is composed of several critical steps. Using a checklist ensures that nonprofits don’t inadvertently forget important tasks. The following checklist details the most important steps for nonprofits to take in each phase.
Pre-grant Application Phase
The grant management life cycle begins well before filling out a grant application. In the pre-grant application phase, nonprofits identify potential grant sources, analyze requirements and build detailed proposals that align with grant providers’ goals and objectives. Careful application planning results in stronger proposals that enable nonprofits to build detailed processes to manage grants once they’re awarded. There are seven important steps nonprofits should follow in the pre-grant application phase.
Identify funding opportunities: The grant application process is lengthy, requiring significant time and resources to research grant requirements, build budgets, find strong supporting data and write a compelling proposal. While applications for smaller grants might take days to complete, larger grants, such as those from federal agencies, can take weeks or even months. That’s why it’s critical that nonprofits spend their time and resources applying for grants that they have the best opportunity to win. Applying for grants that don’t align well with a nonprofit’s mission can result in wasted resources, failed applications, dwindling funds and limited community impact. Nonprofits should be sure to leverage their networks, such as board members, volunteers and prior grant providers, to help identify grant opportunities that best fit their missions.
Review grant guidelines: Grant providers frequently establish detailed guidelines for how grant funding can be used. For example, grants might be restricted to certain types of projects or funds might be available only for a specific period of time. Reviewing grant guidelines carefully before applying ensures that a nonprofit puts its best foot forward by showing that it understands the grant provider’s mission. Failure to review guidelines, on the other hand, is like trying to cook a meal after only skimming the recipe. It’s extremely likely that important ingredients will be missed, and the result will be disappointing. In addition to dedicating time and resources to review grant application forms carefully, nonprofits should involve grant providers in the process by asking questions. It’s better to get clarification from the source than guess incorrectly. In many cases, grant providers will welcome the interaction.
Develop a grant proposal: Developing grant proposals is an art unto itself. It’s not enough for nonprofits to simply answer grantors’ questions. When grant providers review applications, they want to see that applicants understand grantors’ needs and have unique, creative solutions, as well. Successful applications require a combination of skills, including keen data analysis, strong financial management and powerful storytelling. Before developing a grant proposal, nonprofits should carefully read the grant application to absorb any unique requirements. It’s also critical to spend time reviewing and understanding a grantor’s overall mission, which should be reflected in every aspect of the proposal. Helpful hint: Review a grant provider’s previously funded projects to look for themes and patterns in its goals and objectives.
Review budget requirements: Building strong budgets is not only a critical component of the pre-grant application phase, but doing so also sets the framework for how grants will be managed in the event that a nonprofit receives funding. Building unrealistic budgets for a grant application only serves to put projects at risk due to underfunding once nonprofits receive grants. In the pre-grant application process, it’s important for nonprofits to review each line item in their budgets to align spending with the grant provider’s mission. It’s also important to consider indirect costs, such as the cost of benefits for new employees or marketing outreach to communities impacted by projects. In addition, nonprofits should build contingency plans for all outcomes. Not only will this demonstrate careful forethought and planning expertise to the grant providers, but it’ll also eliminate surprises when inevitable roadblocks present themselves.
Develop a project timeline: Grant management is often a complex juggling act for nonprofits, which must balance multiple needs, projects, priorities and resources, typically under time constraints. Building accurate and manageable project timelines prevents nonprofits from experiencing project delays or, in the worst case, failure. Nonprofits should resist the temptation to build overly rosy timelines in the application process, because they’ll need to stick to those deadlines to maintain strong relationships with their grant providers. The key for nonprofits is to carefully analyze each proposed task. For example, building a community center involves much more than construction. Nonprofits also need to consider building permits and community engagement, each of which will also take time. Developing project timelines also relies on experience and intuition. Nonprofits should be sure to build buffers for certain tasks, based on prior experience. For example, recent applications for building permits might have revealed a severe backlog with local authorities. Accounting for delays and communicating that knowledge to grant providers demonstrates savvy project leadership.
Develop an evaluation plan: Developing a plan to gauge how grant-funded projects perform shouldn’t wait until after a grant award is received. In fact, most grant providers want to see a detailed evaluation plan as part of the application, so it’s best for nonprofits to develop one during the pre-grant application phase. The evaluation plan provides a detailed road map for how a nonprofit will report impacts and outcomes to the grant provider. As such, it’s a key aspect of the trust-building process nonprofits need to establish with grant providers.
Most grant evaluation plans have several core components. The first step is to collect data points to measure outcomes and impact. Each project will have specific data points that need to be consistently measured, such as the number of people served or, in the case of an educational project, improvements in literacy rates. Data can be gathered using surveys, interviews and feedback sessions with beneficiaries. After collecting data, evaluation reports need to include interpretation and analysis. Nonprofits should avoid bias when providing insights; it damages credibility. An evaluation report should also include an assessment of what’s working and what isn’t, based on feedback from beneficiaries, team members and grant providers. Nonprofits also need to determine a consistent reporting schedule so that grant providers know when to expect information about progress.
In the post-award phase, after reports are filed with grant providers, nonprofits should put their evaluations to work by using them to modify strategies. All evaluations should also be archived to serve as a knowledge base, not only for a particular project, but also to help drive better decision- making for all future projects and grant applications.
Gather supporting documents: When evaluating applications for grant funding, grant providers can’t just rely on a nonprofit’s claims. To make a compelling case for receiving a grant, nonprofits need to back up their claims with evidence. For example, claiming regulatory compliance is meaningless if nonprofits can’t provide documentation to confirm it. That’s why nonprofits need to store and organize documentation, such as annual reports, compliance reports, previous project budgets and more, to demonstrate a track record of success to grant providers. Building a grant history archive is one way for nonprofits to gather supporting documentation for new funding. Cloud-based storage tools, such as Google Drive, provide a simple way for nonprofits to build folders for previous grants, where they can store applications, budgets, project reports, meeting notes and more. Grant management software can also help maintain detailed grant archives, as can customer relationship management (CRM) tools (also known as constituent relationship management in the nonprofit world).
Grant Application Phase
The grant application phase is about more than submitting an application. It also includes the critical follow-up steps that lay the groundwork for collaboration and communication with potential grant providers. The following five steps can help position nonprofits for success.
Submit the application: Submitting a grant application is usually the culmination of a lot of hard work during the pre-grant application phase, which is why it’s important for nonprofits to take a few extra steps to make sure the application is complete before hitting the submit button. Most importantly, they should be sure to do one final review of the entire application before submitting it. If possible, a fresh set of eyes reviewing the work can offer additional perspective that those who’ve worked closely on the application for weeks might have missed. No detail is too small for review, including clear and consistent file-naming conventions, grammar and punctuation. In addition, organizations should ensure that all attachments are included and in the requested formats. If possible, nonprofits should consider submitting the application a day or two before the deadline to provide a buffer to amend it in the event that a mistake is discovered.
Follow up on the application: Submitting a grant application might feel like the end of a long process, but, in reality, it’s only the beginning. The next step in the journey begins almost immediately by following up with the grant provider. It’s important to confirm that the grant provider received the application, as well as to answer any questions the provider may have sooner rather than later. Just as important, proactive communication sends an important signal to the grant provider that the nonprofit is genuinely interested in the funding. Following up on applications, however, is something of an art. Failure to follow up could indicate a lack of commitment from the nonprofit. Too much communication, on the other hand, and the nonprofit could be viewed as desperate — or pesky. Some grant providers will specify communication guidelines, such as when they will provide feedback and their preferred methods of communication, so it’s important that nonprofits follow the rules carefully. If grant providers don’t offer communication guidelines, waiting a couple of weeks to follow up is a good rule of thumb. In addition, CRM tools can help nonprofits automate follow-up communication with grant providers to ensure continuous contact.
Respond to any requests for additional information: Follow-up communication is a two-way street in the grant management process. Grant providers often have questions about applications, for example. It’s important that nonprofits respond quickly and thoroughly to questions from grant providers. The more responsive nonprofits are, the more likely grant providers will be to consider them collaborative and transparent, building a stronger bond and a greater likelihood of a mutually beneficial partnership. Failure to respond to grant providers’ questions in a timely manner, on the other hand, is a recipe for failure.
Timely responses can be challenging for nonprofits, however, especially those with limited resources and lots of activity. That’s why it’s important to dedicate resources for follow-up questions as part of the grant application phase. Nonprofits should make sure those resources have been intimately involved in the application process, so they either know the answers to grantors’ questions or know who does. In addition, when responding to questions, nonprofits should use the opportunity to go beyond quick responses to provide further depth and insight into their missions and accomplishments.
Maintain communication with the funding source: Nonprofits shouldn’t think of grant applications in a vacuum. In other words, grant applications should be viewed as a collaborative process with the grant provider. There are several reasons why maintaining communication throughout the application process is critical. First, it’s an important way for nonprofits to ensure that they understand the application clearly. Misinterpreting application questions can lead to inaccurate responses, which can doom an application. Maintaining communication also gives nonprofits an opportunity to get a deeper understanding of a grant provider’s mission and objectives, which can be used to add depth to the application.
Keeping communication channels with grant providers open comes down to solid project management. Nonprofits should select a project leader for the application who can add check-in opportunities to the timeline. Project management tools can automate this process.
Prepare for site visits: In the nonprofit world, site visits are the equivalent of in-person job interviews. During the grant application phase, site visits provide an opportunity for grant providers to get to know a nonprofit by visiting offices and project sites to get a sense of operations, teamwork and impact. As in a job interview, a nonprofit needs to make a strong impression. Offices should be organized and tidy, teams should be prepared to discuss their work and visits to project sites should be organized to demonstrate key accomplishments and impact.
But a strong site visit is about more than how things appear. It’s an opportunity for grant providers to get a sense of a nonprofit’s identity and personality, so the key is to prepare thoroughly without appearing scripted or staged. Nonprofits are wise to involve the entire organization in site visit preparation and to let individual team members shine. Their personal stories and journeys are much more likely to strike a chord with grant providers than any scripted bullet points.
Grant Award Phase
Receiving a grant award is a tremendous accomplishment, but it marks only the beginning of the important work of delivering results for those in need. In the grant award phase, nonprofits need to develop the systems and processes that keep grant-funded projects on track and on budget, in addition to keeping all stakeholders informed of progress. The following nine steps should help keep things moving smoothly.
Review the grant agreement: For nonprofits, the thrill of receiving grant funding quickly gives way to the excitement of delivering on the promise of the grant application. The first step in achieving that goal is to carefully review every aspect of the grant agreement. For example, grant providers often put restrictions on how grant funds can be spent, such as on specific projects or only within certain time frames. They also often provide guidance for how funds will be allocated or reimbursed. Failure to follow the terms of the grant agreement could have serious consequences, such as breach of contract or compliance violations. At the very least, it could strain a nonprofit’s relationship with a grant provider, which could jeopardize future grants. Nonprofits must make sure that experienced teams review the relevant portions of the grant agreement to ensure that all terms are understood. For example, finance teams should review the terms of budget allocations. Most importantly, when in doubt, nonprofits should reach out to grant providers for clarification.
Establish a system for tracking expenses: The importance of tracking grant expenses is manifold. Grant providers often have detailed instructions for how grant funds can be used, which puts the onus on nonprofits to create transparency in the financial reporting process. It’s also just good business for nonprofits to have strong expense-tracking capabilities in place to ensure that grant-funded projects run on schedule and within budgets. This involves consistent reconciliation, the ability to categorize expenses, maintaining documentation, performing regular audits, establishing approval workflows and building comprehensive reports for grant providers and stakeholders.
Grant accounting is no simple task, especially for large-scale, complex projects, where spreadsheets simply won’t suffice. Accounting and financial management software feature myriad capabilities to stay on top of expenses, from automated workflows to customized reporting.
Develop a reporting schedule: Receiving grant funding is a tremendous achievement — but it’s also a significant responsibility. Grant providers expect to receive consistent reports not only about how grant funds are spent, but also the impact those funds are having within communities. Grant reports are often the primary means by which nonprofits communicate progress to grant providers. As such, they’re an important opportunity for nonprofits to establish confidence and credibility with grant providers.
It’s important for nonprofits to set up an effective, regular cadence of grant reports. Some providers may want monthly reports, while others may prefer quarterly updates. Nonprofits should check with grant providers to determine their requirements. The key for nonprofits is to allow enough time to build comprehensive reports, which often require important details about financial overviews, accomplishments and outcomes. Technology can be a catalyst for building grant reports efficiently and comprehensively. Grant management tools can help streamline data collection and document storage, for example. They can also provide automation capabilities, such as reminders, to ensure that reports are completed consistently and on time. In fact, grant management software market revenue is forecast to grow to $2.9 billion globally by 2027, compared with $1.31 billion in 2020, according to Insights Partners.
Develop a project management plan: Developing a project management plan begins in the grant application phase, where nonprofits build preliminary project plans that demonstrate to grant providers that they have the expertise to manage grant funds and deliver meaningful outcomes. In the grant award phase, these preliminary project plans need to be fine-tuned and put into action with clear allocation of resources, established timelines, well-articulated roles and assigned tasks. It’s also important in this phase that nonprofits build contingencies into their project management plans to provide a road map for when inevitable obstacles require new approaches.
Project management requires strict attention to detail and rigorous processes to keep activities on track. Project management tools, particularly for large-scale grant-funded projects, are a necessity. Most software has task tracking, collaboration and automation features that keep teams aligned and informed.
Establish communication with the funding source: It’s important that nonprofits view a grant award not as the culmination of an application but the beginning of a meaningful relationship with the grant provider. For example, grant providers often offer continuation grants, which extend funding to nonprofits that have shown success with an initial grant award. In addition, some grant awards are renewed annually based on positive outcomes from initial grants.
To receive grant extensions, however, nonprofits need to demonstrate success, as well as establish trust and credibility through consistent, transparent communication and collaboration with grant providers. Progress reports are an important means of communication with grant providers, but consistent live discussions are also critical. In the grant award phase, nonprofits should quickly establish a cadence of regular update and planning meetings that fits a grant provider’s schedule. This ensures that nonprofits remain aligned with grantors’ goals and objectives for the funding. It also offers an opportunity to address concerns head-on before they threaten the success of grant-funded projects. Nonprofits should find a cadence that keeps grant providers firmly in the loop without overwhelming them with too much information. One way to remain transparent with providers is with shared project dashboards, which can be built using project management software.
Manage the grant funds: As mentioned earlier, grant providers often have detailed guidelines for how their donations must be spent. Failure to abide by these guidelines in the grant accounting process can have many consequences for nonprofits, from minor budget overruns to significant misallocations of resources that can result in lawsuits. Managing grant funds is a meticulous process of tracking and reporting expenses to ensure that every dollar spent meets the provider’s objectives. It involves allocating funds to the correct projects, monitoring expenses, reconciling, ensuring compliance, conducting audits and providing reports to grant providers and other nonprofit stakeholders. Over time, a history of detailed fund management cements a nonprofit’s reputation as a trustworthy driver of change.
Effectively managing grant funds requires resources with a deep understanding of nonprofit financial management, such as how to apply overhead and indirect costs and how to navigate the many tricky stipulations many grant providers require. Robust accounting software, including grant management capabilities, can help automate many grant management processes, including financial reporting. An often-overlooked component of strong grant fund management is investing in training nonprofit staff on the ever-shifting intricacies of grant fund accounting.
Monitor progress: To quote the poet Robert Burns, “The best-laid plans of mice and men often go awry.” Such is the case with nonprofit projects, where almost every project plan faces obstacles that threaten to push it off course. Without careful project monitoring, seemingly minor setbacks could quickly become disastrous, leading to project failures, damaged reputations and lost funding opportunities.
Monitoring progress requires more than adhering to budgets and reading reports. To keep projects on course, nonprofits need to dive more deeply into project details, which should include conducting site visits and regular team check-ins. It also involves careful and consistent data analysis to track activities and outcomes against the grant provider’s goals, objectives and budgets for the grant award. Monitoring progress is a data-intensive endeavor that requires collaboration across the organization to ensure that up-to-date data is analyzed and communicated to the grant provider. That’s why nonprofits should consider technology that can help gather project data in a single repository. For example, the ability to integrate financial systems with project management tools allows nonprofits to get a single view of activities and budgets in one system for better data analysis and faster reporting.
Meet reporting requirements: Regular financial and progress reports are a foundational component of effective communication between nonprofits and grant providers, solidifying a nonprofit’s reputation for accountability and transparency. Grant award agreements often contain all the fine print about what grant providers want to see in nonprofit financial and progress reports, how they want to see it and when. If the agreement doesn’t contain that information, however, it’s critical for nonprofits to get clarification on these details to ensure that they meet grant providers’ needs.
In most cases, grant providers want a lot of detail in their reports, but it’s not only about data. Effective grant reports tell a compelling story. Yes, the story is based on meticulous data collection, but nonprofits need to combine data points with the information they glean from their own progress monitoring to deliver insights and impact that go beyond the numbers. It’s also a balancing act between providing compelling insights and overwhelming grant providers with too much information.
Building effective reports correctly takes time, so nonprofits must provide ample cushion in project timelines. In addition, they should make data collection for reports a continuous process rather than a last-minute scramble. A helpful tip: Data collection and analysis become much easier when nonprofits use financial and project management technology — preferably integrated to create a single database that provides real-time insights into how project activities impact budgets and vice versa.
Maintain records: Maintaining detailed and accurate grant records is an important piece of the puzzle when it comes to building accurate financial and progress reports for grant providers, but it also has a larger purpose. Collectively, a library of prior grant activities, known as a grant history archive, can be a powerful tool to help nonprofits win future grant opportunities. For example, grant providers often want to see a history of grant funding success when reviewing grant applications. A grant history archive gives nonprofits a robust library of information to support their application claims. An archive also creates an organizational knowledge base to help nonprofits leverage lessons from prior grant applications when applying for new grants or to drive better grant management decisions.
The more detailed the grant archive, the more powerful the tool. Ideally, nonprofits should archive everything from grant applications to financial statements, expenses, progress reports, meeting notes and email correspondence. Gathering, categorizing and storing this information for easy retrieval are best done with a grant management system built to retain this information. For nonprofits that don’t have the resources for a grant management system, using cloud storage tools, such as Google Drive, with a rigid folder structure, can be a good first step.
Grant Closeout Phase
When grant funding or timelines expire, nonprofits enter the final phase of the grant management process, known as grant closeout. While grant closeout often marks the end of grant-funded projects, it doesn’t have to represent the end of the journey for nonprofits and grant providers. A smooth, professional and transparent grant closeout can cement nonprofit reputations and pave the way for future grant opportunities. The following six steps can help nonprofits leave a lasting impression.
Review the grant agreement for closeout requirements: Just as grant providers spell out requirements for how to manage grant funds in the grant agreement, they often also provide terms and conditions related to the completion of projects or the end of funding periods. In many cases, closeout requirements involve final reports and evaluations, summaries of outcomes and the return of unused funds. The goal is to ensure full compliance with the grant agreement, which can have implications if not completed. For example, grant providers can make final funding dependent on meeting closeout requirements or they can request a refund — or pursue legal action — if conditions aren’t met. In many cases, meeting requirements requires nothing more than a careful reading of the grant agreement at the close of the project. Nonprofits should highlight requirements for each section, then match outcomes, data points and documents to each requirement.
Submit final progress and financial reports: Final progress and financial reports are almost always a requirement in the grant closeout phase. For nonprofits, it’s an opportunity to highlight key accomplishments and impact, while also demonstrating strong fiscal controls. It’s the final, lasting testament to accountability and transparency, validating grant providers’ trust and paving the way for future grant opportunities. As discussed earlier, financial and progress reports — especially final reports — don’t begin and end with data. Data is merely a means to tell a powerful story about impact and change.
Final reports are likely to be the most comprehensive and time-consuming for nonprofits. One way to tackle that challenge is to build processes and a culture that documents accomplishments and impact stories for final reports throughout the grant management process, not just at the end.
Return any unspent funds: For various reasons, it’s not uncommon for nonprofits to underspend on grant awards. An important requirement to receive awards is fiscal responsibility, so when nonprofits underspend, they demonstrate their expertise first-hand. Projects might also change in scope during the grant term or nonprofits might see an increase in volunteers that results in lower costs. Nonprofits also often purchase items for projects, such as office equipment, that need to be returned or sold, with proceeds going back to the grant provider.
Returning unspent funds is a necessity if nonprofits want to demonstrate integrity and maintain strong relationships with grant providers. To ensure that unspent funds get returned, nonprofits should maintain strict financial oversight of all grant-funded projects. Once unused funds are identified, be sure to return them in strict accordance with the grant agreement, which is likely to have detailed instructions. To avoid mishaps, nonprofits should be sure to note whether guidelines for unspent funds are included in documentation provided by grantors in the grant award phase. If no guidelines exist, nonprofits should confirm them at that time, rather than wait until the closeout phase.
Dispose of any grant-funded property in accordance with the grant agreement: In the course of managing a grant, nonprofits often acquire assets to assist in the mission, such as office equipment, furniture, promotional items for events, food and supplies, cars and real estate. Grant agreements often require that items purchased for grant-funded projects get returned, sold or repurposed, with all or a portion of the proceeds returned to the grant provider. In the case of real estate, nonprofits might need to transfer ownership to the grant provider.
Managing the disposal of property requires detailed record-keeping. Accounting systems with detailed classification features to identify which property was purchased for each grant award can be extremely helpful for nonprofits. The disposal process can also be complex and time-consuming. Selling property, for example, is often not a strength for many nonprofits, which is why it’s wise to consider using the services of a property management company, particularly one with nonprofit experience, to handle the process.
Acknowledge the funding source: In the midst of the many technical requirements to close out a grant award, it’s important for nonprofits to step back from the process to acknowledge and thank the grant provider for the opportunity to work with them. It’s not only an important gesture, but also another step in the relationship-building process. Acknowledging a grant provider can — and should — take many forms. In addition to written and face-to-face expressions of gratitude, nonprofits should take the opportunity to recognize their grant providers in public forums, such as in media interviews, public presentations or research studies.
Acknowledgments may seem simple, but they can sometimes be tricky. For example, nonprofits should make sure information about the grant provider is up-to-date when making public acknowledgments. When thanking individuals, nonprofits should determine whom to thank so that important contributors don’t feel left out.
Review and close out the grant file: Reviewing and closing out a grant file in the closeout phase is the equivalent of dotting i’s and crossing t’s for nonprofits. By taking one final review of the grant documentation to ensure that all terms and obligations have been met and all paperwork has been filed and stored, nonprofits can limit the likelihood that they’ll encounter surprises down the line. These surprises can include audits that uncover discrepancies or lingering questions from grant providers that threaten the relationship.
Closing out grant files requires a defined process, although it can be different for each nonprofit. To make that process efficient, however, nonprofits should centralize documentation whenever possible, such as in a grant management system or, if that’s not possible, in cloud storage tools that can maintain documents in clearly defined folders. Another important consideration: Build a closeout process into the grant management timeline from the beginning.
Manage Your Entire Grant Process in NetSuite
NetSuite offers a suite of products to help streamline the grant management process for nonprofits by integrating a host of data gathering, analysis, accounting, budgeting, project management and communication tools in one powerful, automated grant management system.
In the pre-grant application phase, NetSuite Customer Relationship Management provides the foundation for building a comprehensive database of potential grantors and serves as a central communication hub during the grant management process to keep stakeholders informed of progress. In the grant application and award phases, NetSuite’s project management tools enhance collaboration and keep stakeholders aligned on messages and on schedule. NetSuite’s accounting and financial management tools also play a key role in the grant award phase, with real-time visibility into budgets, expenses and compliance regulations. NetSuite offers robust analytics and reporting tools to build comprehensive financial statements and progress reports. It also builds greater transparency with customizable dashboards that can be shared with grant providers to build accountability and trust. And because NetSuite features a single, integrated database across CRM, project management and financial systems, it continually gathers and maintains all documentation related to a specific grant, which makes grant closeout significantly more efficient.
With a process as detailed and lengthy as grant management, it’s important for nonprofits to build significant structure into their operations to not only increase the likelihood that grants are awarded but also, when they are, to deliver results that meet the goals of grant providers and beneficiaries alike. A detailed grant management checklist can serve as a foundation for finding resources, assigning tasks, building processes and identifying technologies that can make the process significantly less daunting.
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Grant Management Checklist FAQs
What are 4 tips for responsible grant management?
Grant management is a complex process, requiring a wide range of skills, from financial management to project planning. Several best practices can make the process more efficient for nonprofits.
- Keep a grant calendar to stay on top of multiple grant application deadlines, report due dates and renewal periods.
- Compile, store and organize all past grant applications, feedback, reports and outcomes in a grant history archive to establish a powerful knowledge base for decision-making.
- Include grant providers in as many processes as possible — from writing the grant application to building progress reports — to build trust and accountability.
- Leverage technology to manage grants, such as grant management software, customer relationship management tools and accounting systems.
What does grant management include?
Grant management is the process by which nonprofits oversee the administration of grant awards from grant providers. There are many activities that make up the grant management process. In early stages, it involves identifying potential grant providers, writing grant proposals and submitting applications. Once grants are received, grant management involves budgeting, accounting, project management and reporting. When grants expire, nonprofits provide final financial and progress reports to grant providers. They also return any unused funds and liquidate any grant-related assets.
What is the common rule in grant management?
In the nonprofit world, the Common Grant Rule — also known as the common rule or the Universal Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (Title 2 of the U.S. Code of Federal Regulations) — outlines a series of standards for financial management and monitoring of government grants. It’s meant to reduce the administrative burden for non-federal organizations that receive government grants. The common rule helps prevent fraud and wasted funds with federal grants by providing guidance on how expenses can be charged. It also establishes audit standards for nonprofits receiving federal awards.
