Why are Government Grants Suitable for Nonprofits?

Cersai Stark

Cersai Stark

A government grant is considered a highly favorable option for nonprofits despite the fierce competition that attends the application process. By and large, among the types of funding available, government grants are the most sought-after. This is largely because government funding represents a large revenue source for nonprofits in various parts parts of the world. For example, 80 cents out of every dollar raised by nonprofits in the U.S comes from a government source, per Zippia.


Government grants
Government grants


Why Government Grants?

Grants for nonprofits at the federal, state, and local levels provide invaluable financial assistance to nonprofit organizations. For years, government grants have assisted in promoting a wide variety of programs that have had a positive impact. This type of funding is termed a “soft” option since nonprofits cannot necessarily rely on government funding as a long term source of funding. However, grants from the government remain integral to nonprofit funding as  it costs little to nothing (other than time) to apply for them.

The benefits of government grants

Next up, we will outline the numerous benefits that come with a government grant and why nonprofits should consider applying for one.

1. Wide variety of options

Government grants are numerous to choose from and are tailor made for many industries. From healthcare, education, or even commerce, nonprofits can choose from a wide array of options.

According to the UK government statistics, £118 billion was allocated to grant spending across 1,915 schemes in 2019-2020.

2. Accepts recurring application

With these grants, you can apply for multiple grants at the same time. By and large, organizations can secure multiple grants at once to address diverse projects if eligible.

Hence, the good news is that the money is out there if you know where to look. To begin with, it is always best to start locally. Not only are there fewer organizations applying for local grants than international or federal government-issued grants, but local granting organizations will be able to see the impact of your work firsthand.

3. Helps organizations with the resources to get started

Grants can also be considered a great option if you seek to fund your organization or program after launch. In other words, grants can help you get started, but they usually won’t keep you going. Also, once you have a grant or two under your belt, applying for others becomes increasingly easy.

4. Credible source of funding

As it is so competitive to secure a government grant, it is also a significant achievement to receive one. Obtaining a government grant positions your organization to easily apply for more funding in the future. Plus, with government backing via grants comes a higher level of trust and believability for your nonprofit! This encourages stakeholders to consider your organization an expert in the field. As a result, they may be more inclined to choose your services over those of other nonprofits.

Where to find these Government Grants?

Below we list where to find government grants in a couple of countries:

Where to get Government Funding in the U.S

Below are a couple of websites that provide government grants in the United States of America
a) Grants.gov
b) USA.gov
c) Foundation Center (https://candid.gov)

Where to get Government Funding in the U.K

Below are a couple of websites that provide government grants in the United Kingdom
a) Gov.uk
b) National Lottery Community Fund: (https://www.tnlcommunityfund.org.uk/)
c) Heritage Lottery Fund (https://www.heritagefund.org.uk/)
d) Arts Council England (https://www.artscouncil.org.uk/)

Where to get Government Funding in Malawi

Below are a couple of websites that provide government grants in Malawi
a) Government Websites: Start by visiting the official website of the Government of Malawi or specific government ministries and departments related to your field of interest. They may publish information about available grants and funding programs.
b) Trade and Investment Promotion Agency: Organizations like the Malawi Investment and Trade Centre (MITC) might have information on grants or incentives related to business and investment. (http://www.malawiinvestmentandtrade.org/)
c) Central Bank of Malawi: The central bank of Malawi may provide information about financial assistance programs or grants that are related to economic development or financial inclusion. (https://www.rbm.mw/)
d) Development Partners and NGOs: Some international development partners, non-governmental organizations (NGOs), and donor agencies may operate in Malawi and offer grants for various development projects. Check their websites for grant opportunities.


Among the various sources of funding available, government grants constitute the most sought-after for many reasons. This is largely because the grant process for these grants is a little more transparent than grants from private foundations where the process tends to be largely opaque. It also doesn’t hurt that governments (for most 1st world countries) have a lot of money earmarked for grants. Also, government grants are extremely helpful to nonprofits that are just kicking off their nonprofit journey.

If you enjoyed reading this article, please share your comments and suggestions with us at the bottom of this post.

Trending Post

Trending Posts

Recent Post