How to Find Grants for Community and Economic Development Nonprofits: A Practical Guide

Quick Stats

According to the National Council of Nonprofits, over 1.5 billion dollars were allocated to community development projects in 2022, reflecting a steady increase in funding opportunities.

Community and Economic Development grants constituted approximately 17% of all federal grant funding, underscoring their significance in the nonprofit sector.

75% of nonprofits report that they rely on grants as a primary funding source, emphasizing the importance of effective grant-seeking strategies.

Grant Types

1. Federal Grants: These are funds provided by various federal agencies, often targeting specific areas like affordable housing, urban development, and small business support.
2. State and Local Grants: Many state and local governments offer grants to encourage economic growth in specific communities, focusing on initiatives like job creation and infrastructure improvements.
3. Foundation Grants: Private and family foundations frequently fund projects in community and economic development, usually requiring a rigorous proposal process.
4. Corporate Grants: Corporations may offer grants to nonprofits as part of their Corporate Social Responsibility (CSR) efforts, often focused on economic development in areas where they operate.

Finding Grants

1. Identify Your Needs: Start by assessing your organization's mission and the specific community issues you want to address. This will guide your search.
2. Utilize Zeffy's AI Grant Research Tool: This is a game changer for nonprofit professionals. With its free access, unlimited searches, and AI-powered matching capabilities, you can quickly find funding opportunities tailored to your organization's needs. Unlike many paid tools that restrict searches or charge hefty fees, Zeffy simplifies the process of finding the right grants.
3. Explore Complementary Sources: While Zeffy is a fantastic starting point, consider these additional resources:

• Grants.gov: Government funding opportunities.
• Foundation Center: For research on private foundations and their funding history.
• Local Community Foundations: Many areas have community foundations that offer specific grants aimed at local development initiatives.

Expert Tips

1. Network with Other Organizations: Building relationships with other nonprofits in your field can uncover joint funding opportunities and best practices.
2. Stay Current on Trends: Subscribe to newsletters or follow relevant blogs in community and economic development. Understanding where funding is shifting can help you position your proposals strategically.
3. Tailor Your Proposals: Each grant has its own goals. Customize your proposal to align with the funder’s priorities and demonstrate how your mission complements theirs.
4. Track Your Outcomes: Funders want to see how their money makes an impact. Develop a system for tracking outcomes and impacts that can be shared in reports.
5. Share Success Stories: Highlight past successes in your proposals. If a previous project increased local employment or reduced homelessness, be sure to share measurable results.
6. Leverage Social Media: Promote your projects on social platforms to attract attention and potential funders by showcasing your work and community impact.
7. Don’t Be Discouraged: Grant applications can be competitive. If you don’t get a grant on the first try, seek feedback and refine your approach.

Next Steps

1. Start using Zeffy's AI Grant Research Tool to streamline your grant-seeking process today. It’s free, easy to use, and will provide you with tailored results that can enhance your nonprofit's funding strategy.
2. Additional resources:

• The Foundation Center's resources on grant writing and research.
• The National Council of Nonprofits for updates on funding opportunities and advocacy.
• Join local and national networks for community and economic development nonprofits to stay informed and connected.