5 Things Every Nonprofit Needs Before Applying for Grants

Most nonprofits never receive a grant — not because their mission isn't worthy, but because they aren't grant-ready. Grantors look for specific documentation and infrastructure before they'll say yes. Here are the 5 things you need in place first:

1. 1

   Your EIN (Employer Identification Number)

   This is your nonprofit's federal tax ID. You need it before you can do anything else — open a bank account, apply for 501(c)(3) status, or submit a grant application.

2. 2

   Your 501(c)(3) Determination Letter

   This is the IRS letter confirming your tax-exempt status. Without it, most foundations won't accept your application. Keep a scanned PDF ready — you'll attach it to almost every grant you apply for.

3. 3

   An Active Board of Directors

   Grantors want to see governance. You need at least 3 board members with defined roles (President, Secretary, Treasurer) and documented board minutes showing your organization is active.

4. 4

   Financial Statements

   Even a simple income and expense spreadsheet counts at the early stage. As you grow, grantors will want a balance sheet, profit and loss statement, and eventually a Form 990. File your 990-N annually even if your income is under $50,000 — it keeps your status active and builds credibility.

5. 5

   A Professional Website

   Before a grantor awards you money, they'll search your name. If your website looks incomplete or unprofessional, doubt creeps in. Your site should clearly state your mission, show your programs, list your board, and include a way to contact you.

At Community Faith Wealth Mission, we teach nonprofits exactly how to build this foundation through our Grant Readiness Workshops. If you're not sure where to start, we can help.