Nonprofit Management - Payment conditional grant writers is risky

It's no surprise that people work longer and better performance when there is a direct correlation between their results and their reward. The leaders are trying to bring businesses to the next level, in order to maximize shareholder value option. Salespeople go all out to increase fee income. Following this logic, would not be expected that the writers of non-profit grant award on the basis of approved grants rather than grants made? After all, why pay someone an hourly rate, regardless of whether the request is accepted or not?

This theory is not new. It 'was, and continues to be a very controversial topic in the nonprofit sector.

On the one hand, it is not right for grant writers. The Association of Fundraising Professionals (AFP) considered unethical for nonprofit organizations compensate for the writers of a grant agreement percentage linked to the grant. No sellers fees, but if they were, their commission would be due upon delivery of work product, not when and if grants are awarded. As some of us would like, we do not pay commissions for stock brokers only when the exchange give rise to capital gains, we put our trust in our broker and pay for their long hours of research and insightful advice. Of course, we hope to recommend actions that only winning, but we pay the upfront commission on good faith that their choices are solid. The same principle applies for grant writers; assume their experience in writing grant applications and shall make good faith in their abilities and experiences. Just as the stockbroker, who warns: "Past performance is no guarantee of future results", grant writers can not predict the future to determine if their proposals are approved.

Inequalities in part, because we see is not simply good business for the nonprofit to enter these types of payment methods.

The nonprofit can actually lose an endorsement of the project if the foundation finds that the writer was offset by the proceeds of the grant. Grant applications are written for specific purposes and nonprofit foundations are expected to apply 100% of the grant to the approved project. The sums to pay grant writers should come from the operational budgets and few foundations operating expenses of the general funds.

As well, grant writers could represent your love in a disapproving light by foundations with a relentless onslaught of irritating tactics of persuasion and follow-up in an attempt to expedite the review process and get their proposal approved.

You may also unconsciously invite disputes between you and the writer of the grant relating to compensation to win scholarships that are distributed in different periods, if the payment is not contingent were clearly agreed in advance regarding the timing of payments under annual disbursements.

If your charity is small and lacks sufficient operating funds to adequately compensate the writers grant writer to win your case as a supporter, then negotiate pro bono work as long as charity becomes firmly established. We have much more to lose than to gain by paying grant writers in conditional terms, so go bargain with your stockbroker, instead .......