At Premio Services Inc. (PSI), we believe in the transformational power of grant funding, but we also know it’s not always well understood. Persistent myths cloud the reality of what grants are (and aren’t). Let’s clear a few of those up.
Myth #1: Grants are easy and fast.
We wish this one were true! In reality, securing and managing grants is a long game. A typical grants cycle spans 12 to 18 months. Some types have longer cycles. While you might be itching to receive grant funding as soon as you see the possibilities, being patient opens opportunities for strategic investment in your organization’s future.
Developing grant strategy over time reflects the care and diligence that go into aligning your mission with a funder’s priorities, building strong internal systems, and crafting a compelling case for support.
At PSI, we like to say, “Grant writing is a lot more than writing.” As outlined in our Grant Readiness service, being “ready” is about intentional planning, solid data, and strategic vision. When approached thoughtfully, grant preparation becomes an opportunity to strengthen your organization from the inside out, setting you up not only to win funding, but to manage it well AND increase long-term impact.
Myth #2: You can use grant funds for whatever you want.
Unfortunately, this is not the case. Every grant comes with a specific purpose and parameters set by the funder. Different funder types, foundation, corporate, government, each have their own focus areas, geographic restrictions, guidelines, and eligibility criteria. Whether a grant supports early childhood education or conservation efforts, your organization must be closely aligned with the funder’s intended impact.
That’s why our Grant Research service is so essential. We use a tailored strategy to uncover the best-aligned, highest-quality funders that truly resound with your organization’s unique strengths, needs, and service areas. That alignment is what increases your chances of not just receiving a grant, but cultivating long-term relationships with funders.
Myth #3: An organization can sustain itself on grants alone.
Grants are one tool, not the whole toolbox. A healthy organization – whether for or nonprofit – runs on diversified revenue streams. The power of grant funding can support critical programs and infrastructure, but they are usually time-bound, competitive, and often restricted in their use. Depending too heavily on grants can create instability, especially for organizations with already limited internal capacity.
Sustainability comes from building relationships (and efficient systems) across the board – with individual donors, community partners, and even consultants. Grants are all about relationships, but so is revenue in general. A smart funding strategy involves time, trust, and an ongoing commitment to stewarding your mission beyond a single source of support.
Myth #4: Grants aren’t a significant part of our economy.
Grants may not get the headlines that major philanthropic donations do, but the numbers don’t lie.
- In 2023, foundations gave around $103 billion in the U.S., up 1.7% from the year prior (though a 2.3% decline when adjusted for inflation).
- Individual giving totaled $374 billion, a 1.6% increase from 2022 (again, down 2.4% with inflation). Source.
And in Idaho, the nonprofit sector tells an equally powerful story. According to the Idaho Nonprofit Center’s 2024 State of the Sector Report, nonprofits:
- Generate over $10.3 billion in revenue;
- Hold $14 billion in assets;
- Provide the economic equivalent of 27,995 full-time jobs through volunteerism;
- Report a median annual revenue of $185,331.
Far from insignificant, grants are part of a robust philanthropic and economic ecosystem that fuels everything from public services to human need to innovation.
Grants Touch Every Corner of Our Lives
Whether you realize it or not, you’ve likely felt the impact of grant funding. It plays a crucial piece to powering our:
- early childhood/care programs;
- schools;
- universities;
- public libraries;
- museums and zoos;
- housing;
- hospitals;
- food security;
- victim advocacy;
- migrant services;
- environmental health;
- youth development;
- arts and culture;
- humanities;
- community centers;
- emergency systems;
- critical infrastructure;
- …and so much more.
Behind each of those critical services are organizations working tirelessly to turn dollars into meaningful, measurable change.
Empowering Through Education and Access
At Premio, we are passionate about helping organizations access grant opportunities, not just by writing grants, but by increasing understanding, capacity, and impact around them.
Our mission is rooted in educating leaders, empowering organizations, and strengthening communities through grant funding that is thoughtful, strategic, and transformational.
Grants may not be easy, but with the right knowledge, preparation, and support, they can be one of the most powerful tools your organization has to advance its mission.
Ready to debunk more myths or explore how PSI can help? Book A Call with us and let’s talk about the power of grant funding!