Mastering Grant Proposals: Your Ultimate Guide + Pro Insights

As a nonprofit organization, you are familiar with the role of grant funding in your operations. However, receiving grant funding can be a pretty tough task for even the veterans of the grant-writing industry. The best tactic for seeing award letters in your inbox is understanding what a grant proposal really is.

This article will give you a great start at understanding what a grant proposal is, it will cover the common sections of a proposal, and it will showcase a few samples to get your writing off on a solid path.

If you are ready to dig into proposal writing, keep reading!

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Before you start researching funding opportunities, you should know what a grant proposal is.
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A grant proposal is a document outlining a project or program with the intent to justify your need for support and map out your plan of action against that need.

This article will make the case that you have a compelling need for funding and that you are uniquely positioned to utilize those requested funds to realize positive outcomes.

Grant writing is the lifeblood of many nonprofit organizations.

It's not just about securing funds; it's about building credibility, ensuring financial sustainability, expanding project reach, and strengthening donor and stakeholder relations.

Elevating Organizational Credibility

A well-crafted grant proposal demonstrates a nonprofit’s professionalism and commitment to its cause.

When funders see that you've taken the time to articulate your project clearly, they gain confidence in your organization's ability to deliver results. It also shows that you’re willing to put in considerable effort to get your project funded.

Ensuring Financial Sustainability

Grants can provide a stable source of income for nonprofit, reducing the uncertainty they often face.

Winning grants allows you to plan for the future and execute long-term projects. In fact, grants contribute 32% of the total annual revenue generated by nonprofits.

Expanding Project and Program Reach

With grant funding, nonprofits can amplify their impact. New initiatives can be launched, existing programs can be expanded, and underserved communities can be reached.

Strengthening Donor and Stakeholder Relations

Successful grant applications can enhance your relationships with donors and stakeholders.

Grant proposals contain detailed information about your nonprofit’s mission, vision, operations, financials, and more. This provides transparency and accountability, which further fosters trust with your nonprofit’s supporters.

To understand grant proposals fully, it's essential to differentiate between a grant and a grant proposal.

Essentially, a grant is the financial support provided by a funder, while a grant proposal is the written request for that funding.

Grants are generally provided by a funding organization to support a nonprofit’s specific project or program. For example, Walmart provides local community grants that nonprofits can apply for throughout the year.

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On the other hand, a grant proposal is a formal document that outlines the project or program for which you seek funding. It serves as a persuasive argument for why your organization deserves to win the grant funding.

While a grant is the tangible result of a successful proposal, the proposal itself is a persuasive narrative that convinces funders of your project or organization’s worthiness.

Now that we've clarified what grant proposals are and how they work, let's explore their role in the nonprofit world.

Advocacy for Financial Support

A grant proposal makes a compelling case for financial support for your nonprofit.

Most grant funders receive applications from lots of different nonprofits who all want to win the grant, so your proposal is your chance to convince funders that your initiative is not only important but also most deserving of their resources.

Blueprint of Project or Program

A well-structured grant proposal also outlines the blueprint of your project or program for which the grant funding will be used.

Your proposal should provide a clear roadmap that funders can follow to understand your vision and the steps you are planning to take to achieve that vision.

Demonstrating Organizational Competence

Funders are not just looking to give away money; they want to make a meaningful impact and drive positive changes in society.

Grant proposals serve as a vehicle to showcase your nonprofit organization’s competence and capability to bring about that change. Your proposal should emphasize your team's expertise, your successful track record, and your ability to turn the funder’s investment into tangible, positive outcomes.

Establishing Accountability and Metrics

Additionally, grant proposals establish a framework for accountability. They define the metrics by which your project's success will be measured, ensuring transparency and results-oriented funding.

Writing a grant proposal may seem overwhelming or complicated. However, if you divide a grant proposal into its most common sections, it gives you the opportunity to write in shorter spurts.

Thinking of the proposal as a sum of its parts gives you smaller benchmarks to write toward. The following is a list of the most common sections of a grant proposal and things to keep in mind as you write.

Executive Summary
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The executive summary is the first section of your grant proposal, which is often written after writing everything else. Just as its title suggests, this is a summary of your proposal.

An executive summary is your first impression, a high-level overview of your project. Whether the funder finds your project in alignment with their mission and interesting may lie in only reading your executive summary.

Writing the remainder of your proposal first makes the most sense. You are more likely to accurately and succinctly summarize your proposal after you have already written the other sections.

Needs Statement

The needs statement articulates the problem or needs your project addresses. It's the foundation of your grant proposal, showcasing the urgency and significance of your work.

Your needs statement should outline the fundamental problem or gap that exists that you are uniquely qualified to solve with the requested support.

A needs statement is a statement, so think in terms of writing a few sentences, not multiple paragraphs. Finally, your needs statement should align with the goal or intent of the funding opportunity as presented by the grantmaker.

Goals and Objectives

Goals and objectives define what you aim to achieve with the grant funding. They create a roadmap for your project, helping funders understand its purpose and impact. This section is meant to clearly define your plan of action and outcomes.

One highly-regarded strategy for writing goals is to follow the SMART framework.

In this framework, goals should be specific, measurable, achievable, relevant, and time-bound. The University of California put out a paper detailing how to write SMART goals. You may want to check it out if this sounds unfamiliar to you.

After outlining your project goals, you will also be presenting your aligned objectives. Think of your objectives as your action steps for achieving your goals. The goals are the end outcomes and your objectives break down how you are going to get there.

Check out the Instrumentl Partner Webinar with Dr. Beverly Browning (Dr. Bev), author of Grant Writing for Dummies, to learn more about goals and objectives.

Method and Strategies

The method section is where you will really tell the reviewer how you intend to meet the stated need at the outset of your grant proposal. This is your plan of action. On the other hand, your strategies will tell how you will execute your methodology.

Some proposals use these two terms interchangeably or ask for one or the other. They both speak to how you intend to act on solving the problem you outlined in your need statement.

Evaluation

Grant reviewers want to know how you (and they) will know you have hit the goals of your proposed project.

The evaluation section details exactly how and when achievement will be measured. This grant evaluation plan should tie back to the stated project goals.

If you intend to utilize specific tools or rubrics to measure your project, call those out specifically and include them if the page count and appendices rules allow.

Information About Your Organization

When you write a proposal, you need to describe who you are for your reviewers.
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Don’t narrate your organization’s entire history and daily work efforts. Rather, briefly provide the most important details about your nonprofit that are connected to your current funding request.

Here are some details you may want to include in the information about your organization section:

• Full, legal name of your organization
• Legal status, such 501c(3)
• Location of your headquarters, as many grants prioritize funding for certain regions
• Your mission statement
• Who you typically serve, detailing your target audience further helps to align your proposal with the stated mission and goals of the funding organization

Project Budget

It is expected that in a request for funding, you would want to include how you propose that funding will be spent. Your proposal should include a section dedicated to your project budget.

Often, your project budget section will have two parts.

Budget Spreadsheet- A budget template resembles a standard spreadsheet. Unless the application specifies exactly what they want to see in your budget, there are innumerable ways to craft your budget. Most commonly, budgets are built on categories of spending. Some of the most common categories are:

• Salaries and wages
• Benefits- This is always a separate line as it requires separate accounting codes
• Travel
• Equipment
• Supplies
• Non-consumable
• Software
• Computer/Hardware

If you want to have a visual starting point to draft your own proposal budget, we wrote a blog that provides more insight on the proposal budget and budget templates as a starting point.

Budget Narrative- In a budget narrative, you will describe the elements of your project that the funds will support. This is not a time for descriptive or superfluous language. It is a place to articulate your budget items a bit more specifically than a line item or budget category allows. The budget narrative should directly correlate with the budget table you included.

One method for writing a budget narrative is to write in sections that align with each of your budget categories. Call out your categories and describe in more detail what each category will entail at the individual activity level. A budget narrative is an opportunity to have the typical budget spreadsheet expanded for more meaning and understanding of your project.

A grant proposal is a relatively universal way to access support funding. The format is basically the same whether the proposal is solicited via an application process, a request for proposals, or as a communication tool between a single organization and a potential funder.

Capital Grants

It is challenging to build capital expenditures into a nonprofit budget. Margins are tight and funds tend to be short in accomplishing all that you set out to do. The inability to set aside large amounts of money for capital projects means that nonprofits often rely on capital grants to fund capital projects.
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Capital grants are a relatively common type of grant proposal due to the pressing need for capital funding options. Capital projects tend to have hefty price tags.

Coinciding with capital grant proposals, nonprofit organizations often engage in capital campaigns. These campaigns provide opportunities for stakeholders to contribute their support for these large-scale projects. Additionally, a capital campaign can help address any match that may be required by the grantmaker.

We will discuss matching grants in more detail in another section.

Program / Project Grants

The most common grant proposal is one requesting support for a program or project.

In a program grant, the funds will be used for a specific purpose referenced in the grant proposal. These proposals typically articulate a funding need that is somewhat entirely encompassed by the grant funds requested.

Many program or project grant applications will ask that you speak to your ability to sustain the program beyond the term of the grant. So, although it is common to request funds for a project that otherwise couldn’t exist, keep in mind ways you might be able to sustain outcomes you realize during the funding period.

General Operating Grants

While capital and project grants have tangible and exact intended uses of funds, there is often a need for less specific funding to support ongoing operations. This is what is called an operating grant.

In the past few years, grantmakers have expanded their funding scope to include more operating grant opportunities. These grants have historically been less represented as it is hard for a foundation to attach its mission to something as ambiguous as ongoing operation efforts for a nonprofit.

Matching / In-Kind Grants

In order to stretch their resources, grantmakers will often offer matching or in-kind grant opportunities.

These grants require funding from the applicant. They will specify where these match funds can come from. This is an important detail to pay attention to, as some matching grants allow you to use other grant funds for your match while some require these to come from your general operating budget.

Each grant will specify the required match amount. As an example, if you were applying for a $100,000 grant that required a 20% match, you would be asked to contribute $20,000 to the project.

Now that we've covered the components, let's explore the steps involved in writing a grant proposal:

Initial Research and Identification

Your journey to writing a grant proposal begins with research.

• Market Research: Conduct extensive research to identify potential funders whose missions closely align with the goals and objectives of your project.

To start your search, you can check out Instrumentl’s database of grants which includes private, corporate, and government grants all in one place.

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• Mission Alignment: Evaluate the alignment of your project with the missions and priorities of potential funders. Seek funders whose values and goals resonate with your organization's mission.‍
• Finding the Perfect Funder: Identifying the most suitable funder for your project is a pivotal step. Dive deep into your research to find a funder whose objectives align seamlessly with your project's goals. 

Beyond mission alignment, consider the funder's funding history, preferred project scale, and geographic focus. A targeted approach increases your likelihood of securing funding from a source genuinely interested in your nonprofit's mission and the positive impact it aims to achieve. Utilize resources like Instrumentl's funder profiles to pinpoint the ideal funder efficiently.

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Understanding Grant Guidelines

Each funder has specific guidelines for proposal submission. Familiarize yourself with these guidelines to ensure your grant proposal complies with their requirements.

Here’s how you can understand grant guidelines:

• Thorough Review: Perform a comprehensive review of the grant guidelines provided by potential funders. Understand their expectations regarding proposal content, length, deadlines, and submission methods.
• ‍Eligibility Criteria: Carefully assess whether your nonprofit meets the eligibility criteria outlined by the funder. Confirm your eligibility status before investing time into crafting a proposal.
• ‍Proposal Specifics: Dive into the specifics of what the funder seeks in a proposal. This may include details about the narrative, budget, evaluation plan, and any supplementary materials required.

Assembling a Proposal Team

Grant proposal writing is a collaborative effort. Assemble a team with the necessary skills, including researchers, writers, and budget experts.

• Skill Diversification: Identify the key roles necessary for a successful proposal, such as researchers, writers, budget experts, and project coordinators. Ensure that team members possess the required expertise to fulfill their roles effectively.‍
• Collaboration and Coordination: Foster collaboration and effective communication among team members. Establish clear roles and responsibilities, timelines, and a project management system to keep everyone aligned and on track. You can use resources like Instrumentl’s grant writing calendar to manage your projects better.

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Preparing Essential Documents

To bolster the strength of your grant proposal, you must gather several essential documents including:

• Financial Statements: Prepare comprehensive, accurate, and up-to-date financial statements. These should include your organization's budget, income statement, and balance sheet. Demonstrating financial transparency and responsibility can enhance your proposal's credibility.
• ‍Letters of Support: Collect letters of support from partners, stakeholders, or beneficiaries who can vouch for the significance and feasibility of your project. These letters serve to bolster the credibility of your proposal and validate the community or organizational support behind your endeavor.
• ‍Certifications and Documentation: Ensure that you possess all the necessary certifications and documentation required by the funder. These may encompass proof of nonprofit status, licenses, permits, and other legal or regulatory documents pertinent to the nature of your project.

Drafting and Revising

Start writing your grant proposal, beginning with a rough draft. Revise and refine your proposal meticulously to ensure clarity and persuasiveness. Here’s how you can do it more efficiently:

• Rough Draft: Commence the proposal writing process by generating a rough draft that focuses on conveying your project's objectives, impact, and alignment with the funder's priorities. At this stage, the goal is to articulate your ideas and concepts without undue concern for perfection.
• ‍Thorough Revision: After completing the initial draft, allocate ample time to revise and refine your proposal meticulously. Conduct a comprehensive review of each section, emphasizing clarity, coherence, and persuasiveness. Ensure that your narrative flows seamlessly, providing a compelling and logically structured case for funding.

Submission and Follow-up

Once your grant proposal is polished and ready, it's time to submit it. Here's a more comprehensive look at the submission process:

• Submission Protocol: Adhere to the funder's submission protocol precisely. Double-check deadlines, submission methods (online or hard copy), and any specific requirements for attachments or supplementary materials.
• ‍Confirmation of Receipt: After submission, follow up with the funder to confirm the receipt of your proposal. This step ensures that your proposal has been received and logged for review.
• ‍Additional Requests: Be prepared for potential requests for additional information or clarification from the funder. Timely and comprehensive responses demonstrate your commitment and professionalism.

As a nonprofit, you know that not all industries function exactly the same. Similarly, not all fields approach grant funds the same way. There are three main sources of grant funding:

• Local, state, and federal governments
• Private businesses and corporations
• Foundations

You can utilize Instrumentl’s funder search capabilities to identify grants provided by each of these different funding sources.

Within each of those main funding sources, there are also different fields of focus. Different fields may have slightly different expectations for what should be included in a grant proposal. We have put together a list of some of the more common fields open for grant funding and specific tips on writing for each of them.

Research Grants

Most of our innovative and cutting-edge discoveries have been found under grant-funded programs. Research grants are quite common in the science, technology, and medical fields. At times, these grants are highly competitive and can result in large multi-year contracts.

So, how do you get awarded a research grant?

There are some key strategies for getting research funded. Here are our top five:
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1. Follow guidelines- Requests for proposals in research will almost certainly specify what should be presented and how you should submit your documents. Always follow these guidelines closely. If templates are provided, use the templates.‍

2. Be specific- Before submitting a research grant proposal, make sure you are abundantly clear on what your funding request entails. It is common that the funding request covers only specific elements of a research project, not all associated costs of your time or other auxiliary expenses. Keep the proposal as focused on the research as possible.

3. Use clear language- Your reviewers may not be as read in your field as you are, so avoid unexplained or unnecessary jargon. You also will have space constraints and word counts to contend with; keep your language clear and succinct.‍

4. Ask questions- There is a level of formality in the research industry that may have you feeling as though reaching out is not an option. It is. Feel comfortable reaching out to points of contact to ask clarifying questions as needed.‍

5. Use rejection as a learning tool- Research grants are limited against an endless pool of viable research requests. Know that you will be rejected. Consider tip #4 after rejection and reach out for feedback or critique of your own submission. Revise and resubmit at the next opportunity.

Community Grants

Another common grant field is in the community and youth program industry. There are many grants available for things like after-school programs and family support. Some things to think about as you consider applying for community grants:

• Location matters- Community grants are intended for the community. Be watchful of grants that specify location. Sometimes, in larger areas, this can get as specific as neighborhoods within a city. More commonly, these grants cover a city, region, or state.
• ‍Mission- Reviewers of community grants will want to see that your project request aligns with their mission. The funds for community programs tend to be specific to targeted audiences, so ensure your own nonprofit mission and work match what is being asked for.
• ‍Differentiate yourself- There may be many organizations that can meet the needs put out by the grantmaker or foundation. When you write your proposal, focus on how you stand out and what makes you different. Be sure to articulate how you are uniquely capable of delivering powerful results.

Health-related Grants

Our final example of field-specific grants you might see is in the health sector. Health-related grants are common. You may have even seen references to health grants throughout your life as major medical crises transpire across the globe.

The real key to ascertaining funding for health-related research, projects, or programs is your ability to identify the need. Use data and statistics to back up your claim. An example of a health-related needs statement might be:

According to {National Center}, over 60% of Our County residents do not have access to a health care provider that practices within 60 miles of their residence. This lack of immediate access results in 40% less frequency of visits for preventative care than shown in similar counties.

We covered the importance of a needs statement earlier in this article. In this field of grants, it is essential to nail that section.

In the world of grant proposal writing, rejection is an inevitable part of the process. Let's explore how to respond to rejection and turn it into an opportunity for growth.

Understanding the Reasons

Upon receiving a rejection, it's essential to delve into the reasons behind it.

To do this, you may need to reach out to the funder to ask for feedback and clarification. Was the rejection due to a misalignment with the funder's priorities, or did it stem from a weakness in the proposal?

Seeking this feedback is a valuable step in improving your future proposals and increasing your chances of securing funding. It provides insights that can help you refine your approach and address any issues that led to the rejection.

Refining and Improving the Proposal

Use the rejection of your current grant proposal as a constructive opportunity for growth. By addressing the specific shortcomings identified by the funder and taking their feedback to heart, you can significantly enhance and refine your future proposals.

This iterative process of learning from rejection not only increases your chances of success but also demonstrates your commitment to continuous improvement, which can be a compelling factor for funders.

Seeking Feedback and Mentorship

Don't hesitate to seek feedback from experienced grant writers or mentors.

Their insights can be invaluable in improving your proposal writing skills. You can engage and interact with other nonprofit professionals by attending nonprofit community meetings, conferences, meetups, awards, etc.

Exploring Alternative Funding Opportunities

Sometimes, rejection can lead you to alternative funding sources that may be an even better fit for your project.

You can consider other fundraising strategies like corporate sponsorships, individual donations, or hosting fundraising events.

An open-minded approach to exploring alternatives can lead to innovative and fruitful partnerships that fuel your mission.

Congratulations on securing the grant! But the process doesn’t end here.

Let’s delve into the crucial steps and responsibilities that follow the successful acquisition of funding.

Acknowledging and Thanking the Grantor

Expressing gratitude is the first step after securing a grant.

Take the time to acknowledge and thank the grantor for their invaluable support. This initial gesture sets a positive tone for your partnership and reinforces the grantor's confidence in your organization. Craft a heartfelt thank-you letter or a message that reflects your appreciation for their commitment to your cause.

Setting Up Reporting and Accountability Structures

To ensure transparency and compliance with the grant's terms, it's vital to establish robust reporting and accountability structures. This step involves:

• Report Requirements: Familiarize yourself with the specific reporting requirements outlined by the grantor with regard to writing a grant report. Understand what information they expect and the deadlines for submission.
• ‍Designated Responsible Parties: Appoint individuals within your organization who will be responsible for compiling and submitting reports. Clearly define their roles and responsibilities.
• ‍Data Collection and Documentation: Develop a systematic approach to data collection and documentation to facilitate the reporting process. This includes tracking project progress, expenditures, and outcomes.

Allocating and Managing Funds

Prudent financial management is critical. Carefully allocate and manage the grant funds according to the budget plan you presented in your proposal. Key considerations include:

• Budget Adherence: Ensure that your spending aligns with the approved budget. Track expenses meticulously to avoid any discrepancies.
• ‍Financial Records: Maintain accurate financial records that account for every dollar spent. These records will be essential for reporting and audit purposes.
• ‍Adapting to Changes: Be prepared to adapt your budget if unexpected circumstances arise. Communicate any necessary budget revisions to the grantor promptly.

Continuous Communication With the Grantor

Maintain open and ongoing communication with the grantor throughout the project's duration. Keep them informed about project progress, milestones achieved, and any challenges faced. Regular updates help build trust and transparency in your partnership.

Additionally, if any unforeseen issues arise that may affect the project's timeline or outcomes, it's essential to communicate these promptly to the grantor.

Evaluating and Sharing Outcomes

Once your project reaches its conclusion, it's time to evaluate its outcomes and impact. You should also share the results with the grantor to demonstrate the successful use of their funds.

This step serves multiple purposes:

• Assessing Success: Evaluate the extent to which your project achieved its goals and objectives. Analyze the data and results to determine success.‍
• ‍Demonstrating Accountability: Share the outcomes with the grantor to demonstrate the effective use of their funds. Provide evidence of how their investment contributed to positive change.
• ‍Future Planning: Use the insights gained from the evaluation to inform future project planning and improvement efforts. Learning from your successes and challenges is a valuable aspect of continuous growth.

Preparing and writing grant proposals is a lengthy and time-consuming process. Spending time familiarizing yourself with as much of the grant cycle, proposal structure, and application process as possible will help you start with confidence.

There are many ways to increase your understanding of grant proposal writing. Here are some of our favorite resources for preparing grant proposals:

• Blogs- Just like the one you are reading, blogs are a great source of information and support to help you prepare to write grant proposals. We encourage you to look back through our blog posts to find relevant articles about each of the sections of the grant proposal as well as tips and tricks on writing a proposal.
• ‍Podcasts- If you don’t have a ton of time to read articles or look through proposal templates, you can still familiarize yourself with grant proposals through podcasts. We curated a list of the best grant writing podcasts to shorten your time searching for the right one to listen to.
• ‍Peer networks- Find other people who are writing grant proposals and share in the effort. Having peers review your writing, give suggestions, and provide support during moments of writer's block can be more valuable than any technical aid available.

Now that you have a general idea of how to write a grant proposal, you can check out our previous blog for a complete list of successful grant proposals. Below are three examples of successful proposals and why we think they are worth reviewing:

Example 1

Kurzweil Education Systems- This grant proposal example is one worth sharing repeatedly. It outlines a successful grant example while also explaining each section as you go. This example serves to both support your growing knowledge and understanding of proposal structure as well as give sample language for each section.

The Kurzweil document provides samples of more than just the proposal. You will also be able to read an example cover letter, cover page, and a sample letter format for foundation funding requests.

Example 2

Boys and Girls Club of America- Youth and community-based grants are a very common request in the nonprofit sector. The Boys and Girls Club of America provided a great sample proposal resource to consider if you are looking for funding.

This particular resource can be used in two different ways. For those within the Boys and Girls Club nonprofit umbrella, this template serves as a document almost ready to submit for funding requests. For those outside the BGCA enterprise, you can read and glean key structure and content details from a successful proposal.

This sample proposal also points out another tip in proposal writing: You should utilize any templates or forms provided by the grantmaker or foundation.

While standardized documents are not always required when provided, using provided forms allows reviewers to more easily read your proposal. The familiar format means they can skip to making meaning of your request rather than figuring out where the pertinent information lives in an unfamiliar document.

Example 3

National Institute of Allergy and Infectious Disease- This example includes multiple successful proposals in the same space. NIAD offers many examples of successful grant applications on its grant application landing page.

When organizations and agencies offer grant funding, they hope to find the most compelling and beneficial uses for those funds possible. To that end, it is in their best interest to share what those kinds of programs have looked like before.

For those looking to write grant proposals in the science and research sector, this resource is beneficial to read and explore similar successful project proposals.

Grant proposals can feel daunting. After reading this article, you should be able to feel more confident that you know what a grant proposal is.

You should also be able to identify the most common sections of a grant proposal, find sample proposals, and have a few tips for writing across a variety of fields.

You should be set to start drafting your first grant proposal. If you would like more support across all aspects of your grant finding, writing, and tracking processes, visit Instrumentl and sign up for a 14-day free trial.