How Much Grant Money Should You Ask from a Grant Funder?

You’re already done drafting your grant proposal and incorporating all the necessary information in it. Just as you are browsing for a number of prospective funders where you can submit your grant proposal, a colleague asked you a certain question that left you dumbfounded. Asking the same question yourself: how much should we ask from a funding organization?

This is one of the frequently asked questions by applicants who like to submit proposals to their prospective grant donors, but do not know how much amount to ask. Wanting to ask for a certain amount and needing a definite amount are two different realities.

In deciding how much money to ask for from funding institutions, you should first have an accurate budget for the project and/ or programs that you are going to request budget for. Then, read through the foundation’s guidelines to know if your organization and your project’s needs match the foundation’s interest. It is also important to find out whether the funder is interested in funding programs in your geographic location. That way, you can create a shortlist of funders that will likely give to your project.

After making a shortlist, decide whether the foundations and institutions included in your list are those that you have previously worked for or they are those that you will contact for the first time. Though you have created a good working relationship with the said foundations, it is still best not expect that your donor will cover the whole cost of the program. Rarely a foundation will cover the total amount of a program, so the safest way to deal with this is to assume that you will have to go to several foundations. It will also give you better chances of obtaining funds for your program.

Now, how about the amount to ask for? You can have a better idea of the amount of money that you can ask from a foundation by looking at their giving history in your region and by paying close attention to certain causes similar to yours. This numbers can be used as an indicator of the amount of fund that you can ask from a foundation. If, for instance, the foundation that you are targeting has awarded $5,000-$10,000 to projects similar to yours, then you can possibly apply for an amount ranging between these numbers. But if your prospective organization’s grant history ranges from $1,000- $5,000, then there is no point asking for a $10,000 grant money.

Are zeroes really cheap?
Consider this event: you are applying for $10,000 funding assistance from ABC Foundation with a maximum grant assistance of $100,000. Here comes applicant B applying at the same foundation for a grant assistance of $100,000. Considering that both of you exerted the same amount of effort in drafting your proposal and you are way behind the maximum amount, then should you also ask for the maximum amount? The answer is both a “yes” and a “no.”

Yes, you can always ask for a bigger amount. But applying for $100,000 grant money is fine as you are still within their maximum limit for grants. Moreover, if you do really have a nice proposal but they think that your project is too expensive, they can cut down the amount of grant money that will be given to you without having to reject your grant proposal.

But there is also the concept of “no.” If you think that $10,000 is enough to cover all the expenses that your program will acquire during a funding period, then there’s no need to apply for $100,000 just for the sake of applying. The amount of $100,000 might look attractive in your grant proposal. But once you failed to justify the amount that you are requesting, chances are, your proposal will end up being rejected. The importance of a sound and justifiable budget should not be underestimated as it is considered one of the factors that determine whether a program or a cause will get funded.

You also need to remember that there is no assurance that you will get anything from a funding institution. Yes, you may fall in their category and you may have a good grant proposal in hand, but this is competitive grants and there is a possibility that there is someone with a much better proposal than yours. But don’t lose hope, though. If, at your first attempt your request got rejected, you can always apply on their next grant cycle. Thus, it is still best to check the funding organization and find out first hand their guidelines and funding opportunities. After all, not everybody has the right key to the door where the pot of gold is.