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Nonprofit guides

Operational Grants for Nonprofits: The Complete Guide with 11 Grant Programs

October 23, 2024

While all grants benefit nonprofits, operational grants are particularly valuable for long-term sustainability. These unrestricted funds can cover a wide range of essential expenses, from rent and utilities to fundraising efforts, giving your organization the flexibility it needs to thrive.

With operational grants, you can enhance organizational efficiency, plan for long-term growth, and ultimately increase your impact on the communities you serve. In this article, we’ll explore the top operational grants available to nonprofits and provide insights on how to choose the right grants for your nonprofit.

Top 11 operating grants for nonprofit organizations

  1. Ford Foundation general operating support
  2. The Kresge Foundation's general operating support
  3. Clif Bar operating grant program
  4. The David and Lucile Packard Foundation general operating grants
  5. The Annenberg Foundation grants
  6. Public Welfare Foundation general support 
  7. California Wellness Foundation Advancing Wellness Grant 
  8. Open Society Foundation (OSF)operating support 
  9. Helen J. Serini Foundation major grant program
  10. Weingart Foundation unrestricted operating support
  11. PATH Foundation general operating grant

What are operational grants for nonprofits?

Operational grants, also known as unrestricted or operating grants, provide flexible funding to support the day-to-day operations of your nonprofit organization. Unlike project-specific grants for nonprofits, they are not earmarked for specific initiatives and can be used to cover a variety of essential expenses like:

  • Rent
  • Utilities
  • Staff salaries
  • Office supplies
  • Administrative Expenses

These grants play a key role in enhancing your organization's sustainability and ensuring you have the funding needed to continue with your mission and long-term goals. With operational grants, you can focus on your core activities. You won't need to worry as much about cash flow to keep running, as this funding helps your nonprofit stay afloat and grow.

 

11 best operational grant programs for nonprofits

1. Ford Foundation general operating support

The Ford Foundation is one of the biggest private funders in the U.S. and runs many grant programs. One key program is BUILD, which helps social justice groups grow stronger. The current round of BUILD grants will award $1 billion through  January 2026. 

BUILD offers five years of general operating support alongside targeted organizational strengthening initiatives. Its purpose is to equip organizations with the knowledge, resources, and strategic clarity they need to achieve meaningful impact.  

How to apply?

BUILD is open by invitation only to the Foundation's current grantees, and unsolicited grant inquiries are not accepted. Visit their grant opportunities page to see what kind of grant funding support they're currently offering. 

2. The Kresge Foundation's general operating support

The Kresge Foundation gives grants in different ways, working independently and collaboratively to offer both one-year and multi-year grants. These grants help with general costs, specific projects, and planning work. Most of their funding goes to nonprofits in the United States working in the following areas:

  • American Cities
  • Arts & culture
  • Education
  • Environment
  • Health
  • Human Services
  • Social Investment Practice

Each year, Kresge makes 400+ grants to nonprofit organizations in accordance with IRS guidance to distribute at least 5% of the endowment on a five-year rolling basis.

How to apply?

Kresge invites applications but occasionally conducts open calls for proposals within specific focus areas. For certain initiatives, they use a request-for-proposal process to fund specific efforts in a cohort model. 

Kresge also uses shared grant opportunities on the Current Funding Opportunities Page whenever available. The Kresge Foundation relies on the Fluxx platform to manage the grantmaking process. You must create an account on it to submit grant proposals, receive application updates, and provide reports. 

3. Clif Bar operating grant program

The Clif Bar Family Foundation awards grants to support the daily operating costs of grassroots organizations and specific projects. Typically, the grants last one year and range from $5,000 to $50,000. Registered or sponsored 501(c)(3) organizations can apply for funding, and priority is given to those that: 

  • Focus their work primarily on the US and its organized incorporated territories
  • Demonstrate strong community ties
  • Advance the foundation's strategic proprieties and align with their values
  • Have operating budgets under $3MM
  • Operate at the grassroots level to implement change at the national, state, or local stage

How to apply?

The Clif Bar Foundation reviews applications twice a year, and the deadlines are March 1 and August 1. The application process is completely conducted online through their website

4. The David and Lucile Packard Foundation general operating grants

The David and Lucile Packard local grantmaking program awards multi-year general operational support to local organizations to fulfill their community-based missions.

They typically support organizations in five contiguous counties: San Mateo, Santa Clara, Santa Cruz, Monterey, and San Benito. Across these five counties, the foundation supports five primary focus areas:

  • Arts
  • Children and youth
  • Conservation and science
  • Food and shelter
  • Population and reproductive health

How to apply?

Proposals are reviewed throughout the year. The application process is conducted online through the Fluxx platform.

5. The Annenberg Foundation grants

The Annenberg Foundation grants primarily support nonprofit organizations in the Los Angeles, Ventura, Riverside, Orange, and San Bernardino Counties. It prioritizes organizations that invest in their communities' long-term wellness and health.

Annenberg grants are awarded for one year and range from $10,000 to $100,000. General operating support grants are typically limited to 10% or less of the organization's total budget. They also assess organizations based on their implementation of best practices in key areas like: 

  • Diversity and inclusion
  • Financial sustainability
  • Infrastructure development
  • Board governance
  • Staff development
  • Programs and services
  • Collaboration and peer networking

How to apply?

Following the pandemic, Annenberg continues grantmaking by invitation only.  

6. Public Welfare Foundation general support 

The Public Welfare Foundation offers general support grants to cover day-to-day operating costs or to further organization work. They award funds to charitable organizations that align with their core values of:

  • Racial equity
  • Economic well-being
  • Fundamental fairness for all

The foundation only funds organizations with 501(c)(3) status recognized by the IRS that operate in the US. Fiscally sponsored nonprofits can also apply. However, the foundation does not support individuals, direct services, scholarships, or international projects. 

How to apply?

The Public Welfare Foundation has a two-step application process. First, eligible nonprofits must send a Letter of Inquiry (LOI). Once the LOI is reviewed, the Foundation asks for full grant proposals.

7. California Wellness Foundation Advancing Wellness Grant 

The California Wellness Foundation's grantmaking program, Advancing Wellness, supports direct services, public policy work, and building stronger organizations, awarding over 35 million dollars each year.

This funding helps improve health and wellness across California's communities, cities, and counties. They look for groups that align with at least one of their priority areas, which include:

  • Community wellbeing 
  • Improving access to healthcare
  • Economic security and dignity
  • Fighting for racial justice 

How to apply?

The California Wellness Foundation grant application process is conducted online. Eligible nonprofit organizations can submit a Letter of Interest, after which they are prompted to fill out a form and submit their proposal. 

8. Open Society Foundation (OSF) operating support 

The OSF awards grants for various activities, from specific projects to general operating support. They look for grantees with a vision whose efforts lead to lasting social change. The Open Society Foundation primarily supports charitable organizations that promote democratic principles, social justice, and human rights.

How to apply?

The application process for grants varies by program. Some require proposals, while others invite letters of inquiry or concept papers, and some accept proposals by invitation only. Since each program has specific guidelines, it is best to check OSF’s program pages and databases on its website.

9. Helen J. Serini Foundation major grant program

The HJS Foundation major grant program aims to improve communities by tackling the underlying causes of social problems. 

It offers unrestricted general operating grant funds between $5,000 and $20,000/year and supports organizations that focus on removing barriers that prevent access to essential needs, including healthcare, safety, housing, and opportunities for growth.

The foundation supports innovative approaches to addressing these issues, focusing on areas where they have a local presence, including:

  • Anne Arundel County
  • Baltimore City
  • Baltimore County
  • Frederick County Maryland

How to apply?

The Helen J. Serini Foundation accepts funding requests once per year. Letter of inquiry submissions open in February and are due by mid-April and all applications must be submitted online through its portal.

HJS offers sample process documents on its website to help with application prepping, including editable documents to track character counts or share responses with members before submission.

10. Weingart Foundation unrestricted operating support

The Weingart Foundation offers multi-year unrestricted grants to build long-term capacity and effectiveness. Grant size generally ranges between $50,000 and $200,000 over two years, depending on various factors and applicant needs.

The foundation supports organizations, coalitions, and collaboratives that:

  • Build community power or offer critical services to Indigenous, Black, Latinx, Arab, Asian American, and other communities that are most affected by racial and socioeconomic inequity.
  • Have substantial work or presence in at least one of the following five Southern California counties: Riverside, Orange, Los Angeles, San Bernardino and Ventura
  • Demonstrate a commitment  to diversity and racial equity in their organization

How to apply?

The application process is by invitation only. While unsolicited requests are not accepted, you can contact one of their program officers with any questions. You can even sign up for their newsletter to learn more about the foundation and build ties with them.

11. PATH Foundation general operating grant

The PATH Foundation awards up to $75,000 in unrestricted general operating funds for nonprofits to fulfill their mission. These grants support 501(c)(3) organizations in Rappahannock, Fauquier, and Culpeper counties.

To qualify, organizations must align with the foundation's mission, values, and four focus areas:

  • Childhood Wellness
  • Mental Health
  • Senior Services
  • Access to Health

How to apply?

Nonprofits interested in applying for the grant must review the grant guidelines and their website. All applications can be submitted through the PATH Foundation online grant portal

5 steps for choosing the right operating grants for your nonprofit

1. Assess your operational needs

Identify what areas of your nonprofit require funding. These could include overhead costs, staff salaries, rent, utilities, or fundraising efforts.

2. Make an operating budget 

Develop a clear and detailed operational budget that outlines your nonprofit's recurring expenses. 

A well-prepared budget justifies your request and shows the grant amount sought aligns with your actual needs. This makes your nonprofit more appealing to grantmakers who want to see how their funds will be used to sustain your operations efficiently. 

3. Research grant options

Look for grants specifically designed for operating support rather than program-specific funding. Foundation websites, grant databases, and government portals like Grants.gov are good resources.

Focus on multi-year unrestricted grants, as they provide stable funding over a longer period, eliminating the need to reapply each year.

4. Align with funders' priorities

Before applying, ensure the grantmaker's priorities match your nonprofit’s purpose. Read through their funding guidelines, past grantee profiles, and strategic goals carefully. Tailor your request to show how your work matches what the funder cares about. This careful prep helps create a strong application that speaks to the grantmaker's interests.

5. Understand application requirements

Some operational grants, like those offered by community foundations, are simpler to apply for. In contrast, many corporate grants require detailed proposals and financial statements. Select grants that your organization has the resources to apply for successfully.

Be sure to understand the reporting obligations that come with the grant. You may need to submit regular progress reports, expense tracking, or outcome evaluations. Make sure you can meet these requirements without overstretching your capacity.

Final words on nonprofit operational grants

Operational grants provide the foundation for your nonprofit's sustained impact. By securing this flexible funding, you can strengthen your core operations, invest in staff development, and expand your reach.

As you look for operational grants, consider how you can maximize every dollar received. Efficient financial management and streamlined fundraising processes can help you make the most of your resources.

Zeffy offers a 100% free fundraising platform designed to complement your grant-seeking efforts. Our tools help simplify donor engagement and fundraising activities, allowing you to focus more energy on your mission and grant applications.

FAQs on operational grant funding

Operating grants are highly sought-after, which makes their application process quite competitive. Here are certain tips for smaller nonprofits to improve their chances of securing these nonprofit grants:

  • Define mission and impact: Grantmakers want to know how their funds will make a difference. Clearly articulate your mission, the communities you serve, and the measurable impact of your programs.
  • Seek grantmakers that align with your mission: Seek out grantmakers whose values and priorities naturally align with your organization's mission. This ensures a more genuine and sustainable partnership.
  • Demonstrate financial stability: Share your previous year's finances and budgets to show your organization's ability to manage funds responsibly.
  • Highlight capacity-building plans: Outline how operational funds will be used for capacity-building activities, including staff development or infrastructure improvements.
  • Consider professional grant writing services: Experts can create compelling, error-free applications that meet all the necessary requirements, increasing your chances of securing funding.

Grant-making foundations have different rules, and most operation grants will have the following requirements:

  • Be an eligible 501(c)(3) nonprofit organization in good standing with the IRS.
  • Offer a clear plan on how you will use the operating nonprofit grant.
  • Provide details about your organization's mission, programs, services, and achievements.
  • Share information about your organization's income and expenses, including salaries and overhead.
  • Submit an engaging proposal explaining the need for the money and how much money is requested.

If your nonprofit is looking to secure support for a specific project or initiative, look for other grant funding opportunities.

  • Corporate grants: Funding support given by a corporation to nonprofits that align with their values or operate in the same local area.
  • Government grants: Financial awards given by the government at the federal, state, or local level. These offer funds to projects and programs that typically benefit the public.
  • Community grants: These are usually given by community foundations to support local initiatives. These foundations often focus on regional impact and community development.
  • Foundation grants: Funding that nonprofits receive from foundations, such as charitable trusts or nonprofit organizations. Like corporate grants, these are usually given to charities that align with the foundation's mission.
  • Research grants: This type of grant supports research projects. It is worth looking into a research grant if you’re engaged in academia or conducting research in your field.

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