How to Fund Your New Program
Raising funds for nonprofit organizations is a complex process of prospecting, relationship building, campaigns, events, proposals, and more. When you throw the challenge of raising funds for a new initiative into the mix, the process becomes even trickier. Some funders even flat-out refuse to support new programs due to their lack of proven impact. Though, there are steps you can take to secure the funds you need.
Start with your general operating funds
Does your organization set aside a line item for new initiatives? If so, that is a good place to begin to look for the funds you need. Additionally, you may find out through conversations with other team members that certain line items won't be used within the fiscal year as projected. Therefore that money might be available for reallocation.
Create a theory of change
Developing a formal approach to your new program and how you intend it to impact your community will help you articulate your need for support to potential funders. Your theory of change should outline what problem you are trying to address, the strategies you will use, and why you believe those tactics will work. It is the difference between saying, “I need your support to launch this program,” and “This program will accomplish x because of y and therefore we need your support.”
Develop a program budget
If you are seeking grant support for your new initiative you are going to need to establish a program budget. Start by outlining the known sources of income for the project and the anticipated expenses then articulate how the grant funds will fill the gap.
Consider establishing a partnership
If you don’t have any data to support the efficacy of your new program then consider partnering with another organization. Collaborating with others allows you to prove impact to those funders who need to see the data before offering their support. For example, if you want to start a job readiness program you might consider working with other workforce development professionals with a proven track record of securing jobs for the audiences in order to create the program offerings.
Start small
You might have big goals for your new program but starting small is a way to help you stay within a limited budget and create the impact data you need in order to make your case for support. Instead of launching ten new cohorts, you might want to conduct a soft launch with one cohort. That way you won't have as much to raise initially and you can collect examples of program successes.
Ask your strongest supporters
Those in your closest circles will be more likely to give to a new initiative because they trust you. Start with donors who have given to your organization several years in a row or with major donors. Share your theory of change, and vision and invite them to be a part of your exciting new offering.
Do your research
While it may be harder to find funders who are willing to support new programs, it isn’t impossible. Grab a cup of good coffee and give yourself some time to do the grant research and find a foundation that offers seed money for new ideas. When filling out your proposal don’t forget your theory of change, program budget, and partnerships!
New programs mean organizational growth and increased impacts but as with anything they take some time to lay the foundations necessary for stability. These suggestions should help you along the way to building a portfolio of support. If you are looking for even more help, contact Spark Group Consulting today.
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