An Organization Made up of Organizations


By Ann Green
Securing grant funding is difficult and requires significant nonprofit resources. Fortify grant funder connections to minimize effort while attracting funding.
By Erin Murphy
Winning a grant is no small feat—it takes time, effort, and a compelling proposal to secure funding. But the real payoff lies in turning that one-time grant into a long-term partnership. Building strong, lasting relationships with grant funders not only saves your nonprofit valuable staff time but also stabilizes revenue and creates opportunities for greater mission impact.
With the right approach—one rooted in care, transparency, and a thoughtful communication strategy—you can transform grant funders into loyal supporters who champion your cause for years to come.
1. Align Proposals with Funder Priorities
The foundation of any strong funder relationship is alignment. Grant funders want to see that your nonprofit understands their mission and values, and that your programs directly support their priorities. This requires more than just a well-written proposal; it demands thorough research and a tailored approach.
Start by diving into each funder’s stated goals and past grantmaking. What types of projects have they supported in the past? What outcomes do they prioritize? By identifying the overlap between their mission and your nonprofit’s impact, you can frame your programs as mutually beneficial.
Then, you’ll have enough information to start creating your proposals. When crafting them, avoid the temptation to rely on generic templates. Instead, customize each proposal to reflect the funder’s unique priorities and demonstrate shared values. This not only builds trust but also sets the stage for a partnership that feels collaborative from the outset.
2. Demonstrate Impact Through Consistent Reporting
Winning a grant is just the beginning. Funders need to see that their investment is making a difference. According to Thompson Grants, transparent, timely reporting is essential for complying with funder requirements while also strengthening their confidence and trust in your organization.
When reporting to funders, go beyond the basics. Provide both qualitative stories and quantitative data to paint a full picture of your impact. For example, an educational nonprofit could share a compelling story about a student who gained access to college through their scholarship program, alongside metrics showing increased graduation rates.
Also, don’t be afraid to highlight unexpected results or lessons learned. For example, if a housing initiative aimed to renovate 50 units but only completed 40 due to supply chain delays, explain how you adapted and built stronger vendor partnerships. Or if a workforce program discovered higher demand for digital skills training than anticipated, show how you pivoted resources to meet community needs. Funders appreciate this kind of honesty and value learning alongside you.
3. Cultivate Relationships Beyond the Grant Cycle
A common mistake nonprofits make is only engaging with funders during the grant cycle. To turn funders into long-term supporters, you need to build relationships that extend beyond the check. Get started by:
-
Scheduling regular updates to keep funders informed about your work—not just when reports are due. These updates can take the form of emails, phone calls, or informal check-ins to share progress, challenges, and upcoming plans. Transparency in these communications builds trust and keeps your nonprofit top of mind.
-
Inviting funders to experience your work firsthand through site visits, events, or behind-the-scenes tours. Seeing your programs in action deepens their emotional connection and reinforces the value of their contributions.
-
Ensuring personalized communication. A thank-you call, handwritten note, or spotlight on their contribution in your newsletter can make funders feel appreciated and recognized. Tailoring your outreach to their preferences shows you value them as individuals, not just financial backers.
By treating funders as true collaborators in your mission, you can build trust, show gratitude, and turn first-time funders into long-term allies.
4. Involve Funders in Strategy and Storytelling
When funders feel like active partners in shaping your nonprofit’s future, they’re more likely to stay invested. Involving them in your strategy and storytelling deepens their connection to your mission and fosters a sense of shared purpose. You can do so by:
-
Telling your story. Share compelling stories that highlight the human side of your impact—stories that make the outcomes of their funding tangible and relatable. These stories can be shared in newsletters, impact reports, or even during one-on-one conversations. Just ensure you use real human testimonials to strengthen your story’s emotional appeal.
-
Soliciting their feedback on new initiatives or strategic plans. Asking for their input not only shows that you value their expertise but also helps them feel like collaborators in your work. This can be as simple as inviting them to brainstorming sessions or sharing drafts of upcoming projects for their review.
-
Spotlight funders in your communications (with their permission) to publicly acknowledge their contributions. You can also invite them to share their expertise by serving as advisors or guest speakers at events. This not only gets existing funders more involved with your story but can also serve as social proof for potential funders.
By involving funders in both your strategy and storytelling, you create a deeper sense of partnership and ensure they feel personally connected to your nonprofit’s success.
5. Strengthen Stewardship with Systems and Teamwork
Sustainable stewardship requires strong systems, clear processes, and a team-wide commitment to maintaining funder relationships. By building the right infrastructure, you can ensure no funder falls through the cracks.
Start by creating internal workflows for tracking funder interactions. A centralized system, such as a CRM or grants management platform, can help you keep records consistent and accessible. Use these tools to log communications, track deadlines, and monitor progress on grant deliverables.
Next, assign stewardship responsibilities to specific team members so funders have a clear point of contact. Whether it’s sending updates, scheduling check-ins, or preparing reports, having dedicated roles ensures funders feel prioritized.
Regardless of their exact role on your team, training your staff on stewardship best practices is also essential. Equip your team with the skills to communicate effectively, personalize outreach, and demonstrate gratitude via workshops and training resources. Additionally, educate your team on how to use your CRM data to strengthen stewardship with regular upskilling sessions.
Turning grant funders into long-term supporters is one of the most impactful steps your nonprofit can take to ensure reliable funding and lasting partnerships. With the right approach, you can transform one-time grants into enduring partnerships that drive your mission forward.
Erin Murphy, MBA, is the Vice President of Marketing at Thompson Grants, where she leads strategic initiatives to expand the organization’s reach and impact. She leads initiatives that connect grant professionals with expert guidance, training, and tools designed to simplify compliance and strengthen funding strategies. Erin combines her background in marketing with a passion for supporting nonprofits, governments, and institutions as they navigate the complex world of grants management.
​
​