How to Respond to RFPs: Crafting a Winning Response

In an era where nonprofits play a vital role in addressing societal challenges, securing funding is a necessity.

Grants are the lifeblood of many nonprofits, enabling them to execute impactful projects, drive change, and fulfill their missions. Among the myriad paths to securing grants, one stands out as a great opportunity: Responding to Requests for Proposals (RFPs).

In this comprehensive guide, we delve into the strategies that can elevate your nonprofit's ability to respond to RFPs effectively. We recognize that grant-seeking in the nonprofit sector has evolved, becoming increasingly competitive and nuanced.

Keep reading, as we will demystify the world of RFPs and equip you with the knowledge and techniques needed to navigate and excel in this landscape.

A Request for Proposal or an RFP is essentially an invitation from a funder to submit a proposal detailing your nonprofit organization’s project and its alignment with the funder's goals.

In recent years, RFPs have gained increased importance for nonprofits seeking funding. They have become a critical element in the competitive grant-seeking process and serve as a way for nonprofit organizations to secure essential financial backing.

Some of the common elements typically found in an RFP include details such as:

• The funding amount available
• The funder’s mission or intent
• Submission deadline
• Evaluation criteria
• Required documentation
• Eligibility requirements
• And more

Here’s an example of the cover page of an RFP from the Hawaii Community Foundation:
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As you can see, the RFP includes important details like who can apply for funding and what the purpose of the grant is.

As the nonprofit sector faces heightened competition for funding, understanding the intricate art of crafting compelling RFP responses can make all the difference.

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Requests for Proposals (RFPs) come in diverse forms, each designed to serve a distinct purpose in the process of seeking grants.

Two primary categories of RFPs are:

Responding to Invitations from Funders

Sometimes, generous funders send private invitations to specific nonprofits, asking them to apply for grants.

These invitations aren't like the public RFPs everyone sees; they're exclusive offers just for certain organizations. To make the most of these invites, nonprofits need to create custom-made applications that match the funder's unique interests and criteria. It's like tailoring a suit—it should fit perfectly to impress.

If you come across an invite-only funder you think you’d be a good fit for, check out this post that should help you get noticed.

Searching for Funders that Align With Your Mission

For many nonprofits, discovering the right funding opportunities means actively looking for RFPs that match their mission, what they do (Field of Work or FOW), and where they work (geographic focus).

This means taking charge and proactively finding RFPs that are the best fit for their goals. It's a bit like treasure hunting, where the treasure is funding that aligns perfectly with what the nonprofit wants to achieve.

To assist nonprofits with this, there are grant databases like Instrumentl which curate active RFPs that they can search with relevant filters.

Below is an example of an RFP listed on Instrumentl that includes the grant’s deadline, funding amount, fields of work, and more so that nonprofits can quickly determine whether the RFP is worth pursuing.
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Responding to RFPs is an art that requires careful planning and execution.

It typically involves submitting a well-crafted proposal detailing how your nonprofit would use the funding to enact some sort of positive change.

Each RFP will have its own unique requirements and nonprofits must be able to tailor their responses accordingly.

Here are two primary ways nonprofits tend to approach responding to RFPs:

The "Spray and Pray" Method Doesn’t Work

In the world of nonprofit grant-seeking, the "Spray and Pray" method involves sending out a high volume of grant applications to a large number of funders without clear strategies, priorities, or alignment with the funding organization.

Essentially, this method involves casting a wide net by submitting numerous grant applications—hoping that some will stick.

However, this is almost always a poor strategy.

Funders are typically more inclined to support nonprofits whose missions closely align with their own objectives and values. They seek partnerships that reflect a shared vision for creating positive change. That's why it is essential to invest time in finding good-fit funders. Tailoring your grant-seeking efforts to align with funders whose missions resonate with yours can significantly increase your chances of securing funding.

Using a scattershot approach can also lead to several challenges:

• Resource Drain: Applying for numerous grants consumes valuable time, effort, and resources, which could be better utilized elsewhere.‍
• Ineffectiveness: Funders can easily spot generic, boilerplate applications. They are looking for organizations that genuinely understand their mission and align with their goals.
• ‍Rejection Rates: The "Spray and Pray" method typically results in high rejection rates because applications lack the necessary depth and specificity.

Thankfully, there’s a much better way to approach RFPs—keep reading!

Embracing the "Targeted Approach" to Best-fit Funders

The "Targeted Approach" to RFPs, in contrast, emphasizes quality over quantity.

This approach involves identifying a select number of grant opportunities that closely align with your organization's mission and goals. By doing so, nonprofits can allocate their resources more efficiently and increase their chances of success. Organizations adopting this strategy carefully select opportunities that align with their missions and invest substantial effort into crafting tailored proposals.

The "Targeted Approach" involves:

• Identifying Best-fit Funders: Instead of casting a wide net, you research and identify a select number of grant opportunities that closely align with your organization's mission, goals, and the populations you serve.
• ‍In-Depth Understanding: You also take the time to thoroughly understand the funder's priorities, criteria, and expectations. This makes it easy to tailor your application to address their specific needs.
• ‍Resource Efficiency: By focusing your efforts on fewer, well-researched applications, you can allocate your resources more efficiently. This includes not only financial resources but also the time and expertise of your team.
• ‍Increasing Success Rates: Funders are more likely to fund organizations that demonstrate a deep understanding of their mission. Your chances of success significantly improve when your proposal resonates with the funder's objectives.

Instrumentl makes it easy to find good-fit funders by providing insight into their giving priorities, objectives, and history of giving! 

For instance, Instrumentl provides helpful graphs so you can look at a funder's openness to new grantees.
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Instrumentl’s funder profiles also reveal which areas of focus they are more likely to support.
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A great example of this is that of Philanthropy Director Becky Harris, who was inspired by Instrumentl's grant-seeking platform to transition from a scattershot approach to a precise "Targeted Approach."

By using Instrumentl's data-driven insights, she and her team identified and pursued grants that closely aligned with their nonprofit's mission and goals. This strategic shift not only reduced the number of monthly applications but also led to a substantial increase in funding success, showcasing the power of a targeted grant-seeking strategy.

Responding to RFPs or Requests for Proposals in the nonprofit sector demands more than just formulating a standard reply; it requires a deep understanding of the funder’s mission and the elements that can set your proposal apart from the competition.

It's a process where you must combine creativity, precision, and meticulous attention to detail.

Clarity in Goals and Project Objectives

At the heart of every successful attempt to respond to RFPs lies the clarity with which you articulate your project's goals and objectives.

This is your opportunity to provide a crystal-clear picture of what you aim to achieve with the grant funding and how it aligns with the funder's mission. To master this aspect you must seek clarity in the following domains:

1. Goal Precision: Define your project's overarching goal in clear and concise terms. What change do you seek to bring about?‍
2. Objective Details: Break down your goals into specific, measurable objectives. How will you measure success?
3. ‍Alignment: Ensure that your goals and objectives align seamlessly with the funder's priorities and the broader context of your mission.

Leveraging Your Organization's Expertise and Accomplishments

Funders want to invest in organizations that have a track record of success and expertise in their field. As a nonprofit, you can highlight your organization's strengths effectively by showcasing the following things in your RFP:

• Expertise Showcase: Emphasize the knowledge and experience within your organization that positions you as a trusted and competent partner.
• ‍Accomplishment Spotlight: Showcase your past achievements and successful projects. Use data and testimonials to provide concrete evidence of your impact.
• ‍Credibility Building: Establish trust by demonstrating that your organization has the capacity to execute the proposed project successfully.

Showcasing the Impact and Difference Your Project Promises

Funders are not just interested in what you do but also in the difference you make. This section delves into the art of conveying the potential impact of your project on the community or cause you serve:

• Impact Visualization: Use compelling storytelling to paint a vivid picture of the positive change your project promises.
• ‍Beneficiary Focus: Highlight the beneficiaries' perspectives and how they stand to benefit from your project.
• ‍Long-term Vision: Describe how your project contributes to a larger, sustainable impact over time.

Tailoring Your Proposal to Resonate With the RFP

No two RFPs are identical, and tailoring your proposal to resonate with the specific requirements and preferences of each funder is essential. Here's how to do it effectively:

• RFP Deconstruction: Break down the RFP into its different parts and create a checklist to ensure all requirements are addressed.‍
• Customization: Craft each section of your proposal to directly respond to the RFP's prompts and guidelines.
• ‍Alignment with Language: Use terminology and language that align with the funder's mission and priorities, demonstrating your commitment to their cause.

The Importance of Proofreading and Meticulous Review

In the rush to meet submission deadlines, errors in grammar, spelling, or formatting can slip through the cracks. Yet, a flawless proposal is a mark of professionalism and diligence.

• Proofreading Protocols: Establish a rigorous proofreading process involving multiple reviewers to catch errors and inconsistencies.
• ‍Consistency Check: Ensure that all elements of your proposal, from formatting to citation style, adhere to a consistent standard.
• ‍Submission Review: Review your submission one final time before hitting that send button, verifying that all requirements have been met.

In summary, this guide has explored the strategies and best practices that can significantly enhance your nonprofit's ability to respond to RFPs effectively.

By understanding the pros and cons of grant-seeking approaches, mastering the art of crafting compelling responses, and choosing the right strategy, your nonprofit organization can boost its chances of securing vital funding.

As the nonprofit sector continues to evolve, the importance of properly responding to RFPs cannot be overstated. By applying the strategies outlined in this guide, you can position your organization for success and continue making a positive impact in your community.

To find good-fit funders for your nonprofit, don’t forget to check out Instrumentl! We can automatically match your organization with active RFPs that align with your nonprofit’s mission and funding needs. Get started today with a 14-day free trial!