The New Funding Rush

The federal grants landscape has experienced unprecedented disruption in 2025, with policy shifts affecting funding streams across multiple sectors. Our comprehensive survey reveals how these changes are rippling through the nonprofit ecosystem, creating both immediate operational challenges and long-term strategic implications.

• Nearly half of nonprofits lost public funding this year: 47% said they’ve lost federal, state, or local grant funding this year
• Majority of affected nonprofits are pivoting to private grants: 8/10 are now diversifying into private & corporate grants to fill gaps
• Competition is about to heat up most in the private sector: 70% with 50%+ revenue from federal grants are diversifying to private grants