Government vs Foundation Grants: Key Differences in Writing for Federal vs Private Funders

Understanding the unique priorities and expectations of government versus foundation funders is critical for crafting compelling proposals.

While both seek to support impactful initiatives, their review processes, narrative preferences, and evaluation criteria can vary widely.

Let’s break down the key differences in writing government versus foundation grants so you can tailor your writing to resonate with each type of funder.

Scope and Complexity

Government: Government grant proposals are typically highly detailed and technical, reflecting the scope and complexity of the funding opportunities they represent.

• Requests for Proposals (RFPs) can span dozens or even hundreds of pages, outlining strict guidelines, including formatting, content structure, and required documentation. A successful government proposal requires meticulous adherence to these guidelines, as failure to meet even minor technical requirements can result in disqualification.
• The focus is often on measurable outcomes, detailed budgets, and a comprehensive project narrative that demonstrates alignment with government priorities.
• This level of complexity demands significant time and resources, including subject-matter expertise and capacity to carry out program objectives.

Foundation: Foundation proposals, on the other hand, are often shorter and less prescriptive, giving grant writers more flexibility to craft a narrative-driven appeal.

• Foundations typically emphasize the story behind the nonprofit’s mission, focusing on how the proposed project aligns with the foundation’s values and goals. While still requiring a clear explanation of objectives, budgets, and outcomes, foundation proposals allow for more creativity and emotional appeal.
• These applications are designed to resonate with smaller review teams, often including foundation staff or board members who prioritize the nonprofit’s passion, vision, and potential impact.
• Since these grant applications are typically much less complex compared to government grants, this approach makes foundation proposals more accessible for smaller organizations with fewer resources to dedicate to the grant-writing process.

Application Process

Government: The application process for government grants is often highly structured and time-intensive.

• Applicants must complete a pre-registration process, which typically includes setting up accounts on platforms like SAM.gov (System for Award Management) where applicants can obtain a UEI number and Grants.gov. This registration process can take several weeks and requires the submission of detailed organizational information, such as tax identification numbers, banking details, and compliance certifications.
• Once registered, applicants must carefully follow submission guidelines, which often include multiple attachments such as budgets, logic models, letters of support, and detailed project timelines.
• The process leaves little room for flexibility, requiring applicants to manage tight deadlines and ensure every piece of documentation meets exact specifications.

Foundation: In contrast, foundation grant applications are generally more streamlined and less bureaucratic.

• Many foundations begin with a Letter of Inquiry (LOI) to screen potential applicants before requesting full proposals. LOIs typically outline the organization’s mission, project summary, and funding needs in one or two pages, allowing for a quicker and less resource-intensive initial submission.
• If invited to submit a full proposal, the process is usually more straightforward, often requiring fewer attachments and less technical detail than government applications.
• Foundations may prioritize the narrative and alignment with their goals over strict adherence to a rigid application structure, which can make the process feel more approachable for nonprofits with limited administrative capacity.

Proposal Content

Government: Government grant proposals prioritize a highly structured and data-driven approach.

• The focus is on presenting measurable outcomes, evidence-based methods, and alignment with federal priorities outlined in the RFP.
• Applicants are expected to provide detailed data supporting the need for the project, comprehensive project plans, and robust evaluation metrics to track success. The tone is formal and technical, with an emphasis on demonstrating organizational capacity, compliance with regulations, and the ability to manage public funds responsibly.
• Every element of the proposal, from the budget to the project narrative, must tie directly to the specific goals and objectives of the government program, leaving less room for creative storytelling.

Foundation: Foundation proposals, on the other hand, allow for more narrative-driven and mission-focused content.

• The emphasis is on telling a compelling story that illustrates the nonprofit’s passion, impact, and alignment with the foundation’s values. While data and measurable outcomes are still important, they are often framed within the context of a broader, emotionally resonant narrative.
• Foundations may also value personal connection, encouraging nonprofits to build relationships with funders through meetings and site visits that highlight shared goals.

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“I have found that private funders are more responsive to testimonials and meaningful narratives. Sure, they want to ensure that their dollars are well-spent, but there is more of an emotional component.” - Julie Starr (Owner, Write Epic Grants)

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• The tone of foundation proposals aims to inspire and engage funders by showcasing the human impact of the proposed work. This focus on storytelling can be particularly effective for nonprofits working in areas that are harder to quantify or where qualitative outcomes matter as much as quantitative metrics.

Budget Requirements

Government: Government grant budgets are typically extensive, requiring detailed, itemized breakdowns of all costs associated with the proposed project.

• Each budget line item must be accompanied by thorough justifications, explaining how the expense supports the program’s goals and aligns with the funder’s priorities.
• Indirect costs, such as administrative overhead, are often capped at a specified rate (e.g., 10% or based on a federally negotiated rate) and must be carefully documented.
• Budgets are scrutinized for accuracy, consistency with the project narrative, and adherence to allowable cost guidelines outlined in the RFP. The process often involves using standardized templates and ensuring compliance with federal financial regulations, making accuracy and precision paramount.

Foundation: Foundation grant budgets, while still requiring clarity and alignment with the proposed program, are often less rigid than government budgets.

• Foundations may not require the same level of itemization, and some allow for a degree of flexibility in how funds are allocated once awarded. The emphasis is typically on demonstrating how the requested funding will directly support the organization’s mission and achieve the project’s goals.

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“The best way I have found to make an application stand out to private funders is to be short and concise in regards to what you are asking for funding on. They will ask if they want additional information.” - Angie Romero (Grant Writer, Hearts Alive Village)

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• While grant budgets and budget justifications are still important, they tend to focus more on the overall alignment with the foundation’s priorities rather than strict adherence to predefined cost categories.
• This flexibility can make foundation grants more accessible to organizations without extensive grant management systems.

Evaluation Criteria

Government: Government grant applications are typically evaluated using a points-based scoring system tied to strict and detailed requirements outlined in the RFP.

• Each section of the proposal, such as the project narrative, budget, and evaluation plan, is assigned a specific number of points, and reviewers score proposals based on how well they meet the criteria.
• Proposals that fail to address required elements or do not adhere to formatting and submission guidelines risk losing critical points or being disqualified outright.
• The evaluation process is often conducted by a panel of experts with specific knowledge of the funding area, ensuring an objective and rigorous review process. This structured approach places a strong emphasis on precision, compliance, and measurable outcomes.

Foundation: Foundation grant evaluations, in contrast, are often more holistic and less formalized.

• Reviewers typically assess applications based on how well the proposed project aligns with the foundation’s mission, values, and funding priorities.
• While foundations may have general criteria, such as organizational capacity or project feasibility, the process is usually less rigid and less dependent on a point system. Personal relationships, storytelling, and the overall impression of the proposal can carry significant weight.
• Reviewers may also consider qualitative factors, such as the nonprofit’s history of impact and potential to make a difference in the community, making the evaluation process feel more personal and relational compared to a government funder’s structured approach.

Timeline

Government: Government grant timelines are characterized by rigid deadlines and lengthy review periods.

• Once an RFP is released, applicants must adhere strictly to the submission deadline, often leaving little room for extensions or late submissions.
• After submission, the review process can take several months, as proposals undergo multiple levels of evaluation and approval. This extended timeline is often due to the complexity of the grants, the volume of applications received, and the detailed review process required to ensure compliance with federal regulations.
• Applicants should plan their projects far in advance and be prepared for delays in receiving funding or feedback.

Foundation: Foundation grant timelines are typically more flexible and streamlined, offering quicker turnaround times compared to government grants.

• Many foundations accept applications on a rolling basis or have multiple deadlines throughout the year, providing applicants with more options for submission.
• Additionally, the review period is usually shorter, with some foundations providing funding decisions within weeks or a few months.
• This flexibility allows nonprofits to be more agile in pursuing opportunities and addressing immediate needs, making foundation grants an attractive option for organizations seeking faster access to funding.

For Government Grants

1. Follow the NOFO or RFP to the letter. Government Requests for Proposals (RFPs) or a Notice of Funding Opportunity (NOFO) are detailed documents outlining the specific requirements and criteria for grant applications. These documents are not just guidelines—they are strict rules. Missing even a small detail, such as font size or budget format, can disqualify your application. Thoroughly review the RFP multiple times and create a checklist to ensure you meet every requirement. This includes addressing all sections, adhering to page limits, and following submission protocols.

2. Use precise language, clear goals, and measurable objectives. Government funders need to see exactly what you plan to accomplish and how you’ll measure success. Avoid vague language or overly ambitious goals. Instead, focus on being specific and actionable. For example, rather than saying, “We aim to improve community health,” say, “We aim to reduce diabetes-related ER visits by 20% within two years through a targeted outreach program.”

3. Build a strong case with robust data and compliance assurances. Use relevant, recent, and credible data to demonstrate the need for your project and the potential impact of your work. Include compliance assurances to show your capacity to meet reporting, legal, and administrative requirements. For example, if applying for a healthcare grant, cite statistics on local health disparities and explain how your project will address specific outcomes required by the funder. Emphasize your organization’s track record of complying with similar grants, such as submitting timely reports or passing audits.

4. Use project management tools and templates to streamline compliance. Applying for and managing government grants can be complex. Tools like Asana, Trello, or grant-specific software like Instrumentl can help track deadlines, document submissions, and monitor compliance. Templates for budgets, timelines, and progress reports can save time and ensure consistency.

5. Keep learning. Government grants require ongoing education to stay up-to-date on changing regulations, best practices, and funder expectations. Attend webinars, workshops, and training sessions to enhance your knowledge. Instrumentl offers free and premium webinars to guide nonprofits through government grant processes, such as Getting Started With Government Grants.

For Foundation Grants

1. Focus on the narrative. Craft a story that puts a face to the work you do—include anecdotes about individuals or communities that have benefited from your efforts. For example, instead of just stating that your organization feeds the hungry, describe how a single mother was able to provide for her children after receiving support through your food assistance program.

2. Be clear. Foundation funders receive many applications, so clarity and conciseness are crucial. Avoid jargon and overly complex language—write in a way that is easy to understand and resonates with the funder’s goals.

3. Align with the foundation’s mission. Before applying, thoroughly research the foundation's mission, values, and giving history. Tailor your proposal to demonstrate how your organization fits into their priorities.

‍Build relationships prior. Building relationships early can set you apart from other applicants. Attend networking events, participate in foundation-hosted webinars, or join coalitions and forums where program officers may be present. Introduce yourself, share your work, and express your interest in their mission. Be genuine and professional in your approach—ask thoughtful questions and demonstrate your commitment to shared goals.

Understanding the key differences between government and foundation grants is essential for tailoring your approach and maximizing your chances of success.

By leveraging the strengths of both types of grants, you can diversify your funding sources and create a more sustainable foundation for your work. Investing in training and tools like Instrumentl can empower your team to master both government and foundation applications, ensuring your proposals resonate with a wide range of funders and drive meaningful impact.