A nonprofit foundation is an organization that supports charitable acts for the good of the nonprofit sector and the constituencies nonprofits serve. Foundations grant nonprofit organizations funding for general or operating support, or for program development or project support.
There are three basic types of foundations: community, corporate and private foundations.
Some foundations will grant funding to a broad range of missions and causes, while others may be more limited to specific nonprofit missions or organizations located in a specific geographic location. There are three main ways that Foundations focus their grantmaking:
by activity area (ie. environment), and/or
by constituency served (ie. youth).
In Minnesota, there are approximately 1,500 active foundations and corporate giving programs that provide grantseekers with a wide variety of funding interests from which to apply. Grantseekers are responsible for developing a persuasive proposal that can not only stand up to questions and scrutiny but effectively fits the interests and guidelines of the funder to which it is sent.