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Building Trust With a Grant Maker

By  Heidi Holtz and 
Sheena Solomon
February 27, 2015

“You can trust us.”

Nonprofits often hear that from grant makers. But what does that trust truly entail? Is it being able to share that your organization is struggling financially, or that a project failed? Is it a grant maker believing enough in a nonprofit that it is willing to make a larger-than-usual leap of faith—and then both parties honestly admitting any bumps and twists that might occur?

Since trust is a key component of our grant-making philosophy, we’re sharing some of the crucial points we’ve learned about how nonprofits can build trust.

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“You can trust us.”

Nonprofits often hear that from grant makers. But what does that trust truly entail? Is it being able to share that your organization is struggling financially, or that a project failed? Is it a grant maker believing enough in a nonprofit that it is willing to make a larger-than-usual leap of faith—and then both parties honestly admitting any bumps and twists that might occur?

Since trust is a key component of our grant-making philosophy, we’re sharing some of the crucial points we’ve learned about how nonprofits can build trust.

Our organization, the Gifford Foundation, is a private independent foundation working in Syracuse, N.Y., and its surrounding counties that focuses on building the capacity of nonprofits and community groups. Being a place-based organization requires specific relationships due to the small community size and the intimacy among funders, organizations, and individuals.

One essential element of these relationships is trust—a belief that mutual honesty is integral to giving grants and motivating change. Trust, however, is something that is not easily gained or earned.

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When we approach neighborhood groups or nonprofits, we realize that the playing field is already uneven—and have learned we need to take that into account. When we started a discussion several years ago with members of a community group about neighborhood access to fresh produce, their reaction was initially standoffish and annoyed because we had assumed they needed our help. So we took a step back and started “living-room meetings,” in which one of our staff members met over dinner with small groups of community members over the course of several months. It was this focus on relationship development that helped create a new neighborhood food cooperative.

Here are a few of the keys we’ve found help build a relationship based on trust—for both grant makers and nonprofits:

Take initiative. Taking the initiative to meet a grant maker and understand its mission opens the door to a trusting relationship. Review a grant maker’s expectations, read its website, and—if the organization allows—take the lead and make a phone call, send a handwritten card, or stop in to introduce yourself.

Maintain transparency. It is important to be direct and honest about your nonprofit’s agenda—beyond just the mission statement. If you are clear and open when you approach a grant maker, this allows us to truly understand your needs and figure out how best to assist.

Create a safe space. Be willing to invite grant-making staff to your facility to personally see your location and observe your operations. Other safe spaces are “third places” or neutral public spaces where you can enjoy a meal or a cup of coffee with a grant officer. A safe space helps level the playing field by minimizing the power imbalance that especially occurs with the intimidating conference-room type of meeting.

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Consider your nonverbal signals. Body language and eye contact are very important when having a conversation with an individual grant maker. It is human nature for people to judge others the first time they meet. A welcoming manner and a friendly smile can counteract snap judgments, build trust, and develop relationships.

Be open. You have to be willing to trust and to be trusted. Walking into a room with a positive attitude and open mind helps, and a willingness to learn from another’s perspective is valuable.

Be accountable. Doing what you say you’re going to do is important to building credibility. An ability to successfully implement a new program or pull off a project speaks to the benefits of future partnerships.

Admit when mistakes happen. By the same token, let us know if things didn’t happen as you expected—with no “spin.” Most grant makers are eager to keep connected during the life of a grant and expect honesty in progress updates and final reports. In our foundation’s view, trust is built when we learn a nonprofit looked at reality, shifted gears as necessary, and adapted for the future.

Avoid assumptions. When you are not sure about a grant maker’s culture or mission, it is best just to ask. Don’t assume that your perception is correct.

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Trust us. The issue of trust goes both ways. We’ve shared some ways nonprofits can approach foundations, but we encourage all grant makers to keep the door open, as well. Be conscious of the power dynamic and don’t penalize those nonprofits that are honest about shortfalls.

We’ve been privileged to be present at that magical moment when all these things come together—a “perfect storm” of an authentic need, an honest nonprofit, a fearless funder, and mutual trust.

Several years ago, after a lengthy assessment process as part of our Advancing and Developing the Value and Assets of Nonprofits in Syracuse (ADVANS) capacity-building initiative, representatives of one organization stood before our foundation and other nonprofits in their cohort and stated that they were in decline, that they had been blind to their problems, and they were terrified of the future.

They were sure they would lose the grant, which is provided after the capacity assessment was completed, as well as the respect of their peers. Not only did Gifford still provide the grant, but another nonprofit in the group offered a portion of its own grant to the struggling group. Today that honest nonprofit, after a lot of work, has a balanced budget and serves a vital community need.

The transformative powers of such a moment are powerful and essential.

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Trust us.

Read other items in this Tips and Advice for Better Grant Seeking package.
We welcome your thoughts and questions about this article. Please email the editors or submit a letter for publication.
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