
The 990 form holds valuable information that can help you know whether to apply for a grant and how much to request.
Look for these three nuggets as you de-code a funder’s 990.
Increases in Assets
Foundations are required to give 5% of their assets annually.
Funders who have experienced an influx of cash will need to make additional grants, which can open a door for your organization to receive funding.
Funder Strategy
Whether it is a responsive or proactive strategy, foundations have their own approach to “doing philanthropy.” However, this strategy is something you wouldn’t know unless you have an existing relationship with the funder.
But by evaluating the 990, you can get an idea of what type of organizations are receiving grants, in what geography, how frequently, and for what causes.
You can use this information to guide your outreach and tailor your program or project when approaching the funder.
Average Gift Size
From the 990, you can find the grant amount size given to each organization. This information can tell you the average grant size, guiding your decision on how much to request or if the amount is too small to be worth your time to apply.
Conclusion
When evaluating 990s, you will want to compare multiple years of data to identify trends and patterns that can inform your grant strategy. Doing so allows you to spot increases in assets, shifts in the types of organizations being funded, and changes in the average grant size, all of which can impact your decision-making process. Tools that help you do this include databases such as Impala or Instrumentl.
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