Youth development nonprofits: Focused programming and strategic, diversified fundraising

In the field youth development, an estimated 42% of nonprofits wouldn’t survive 12 months without government grants. In the wake of federal funding cuts, how are youth development nonprofits adapting?

As part of a series of peer learning sessions on the impact of federal funding cuts, Candid recently hosted a virtual gathering of youth development organizations. Moderated by Ivonne Simms, an educational programming manager at Candid, it featured three panelists: Raioni Madison, executive director of 3D Girls, Inc. in Atlanta, which educates and empowers young women and girls to advocate for themselves; Lisa Fung, chief development officer at Enterprise for Youth in San Francisco, which provides internships and job readiness training to youth; and Alvin Lockett, executive director of RTTM Community Center in Detroit, which serves youth from low-income and underserved communities with arts programming.

Here are the key takeaways:

1. Focus on targeted youth development programs and communities

Fung said Enterprise for Youth is being more “intentional about who we’re serving” and providing targeted internships to priority populations. It’s offering professional development courses, job coaches, mock interviews, networking practice, and learning cohorts—and focusing on secure career pathways like health care.

3D Girls, Inc. was on a three-year strategic growth plan when federal funding cuts forced cutbacks. “As a smaller nonprofit, you are regaining and gaining your credibility, your reputation across different entities, and so it really is a tough space to have to make those decisions of reducing your staff size when you already have a small staff, reducing the number of programs, even though you had just grown them,” said Madison.

2. Diversify funding sources, deepen corporate partnerships

At RTTM Community Center, Lockett had secured corporate partners and engaged them beyond the check so they were “part of the program.” One partnership with a bank led to interest from other corporations, foundations, and lawmakers. Lockett also suggested asking corporations for in-kind donations—food, T-shirts, etc.

3D Girls, Inc. was already diversifying revenue sources as part of its strategic plan, offering corporate partners” opportunities to tap in with hands-on engagement” like creating STEM kits.

Enterprise for Youth is also engaging employees more—through volunteer programs—as well as individuals, including alumni. “They have an opportunity to really step in, lean in, and really feel like they can help save some of our programs that we’ve had to cut. So, I think that messaging needs to be improved,” she said.

3. Be strategic about which grants to apply for

Madison noted that, following the federal funding cuts, competition for grants has intensified—including from organizations with greater fundraising capacity. So, a small nonprofit like hers needs to apply selectively for grants it’s likely to get: those that are 100% aligned with its mission, with a previous connection.

“Measure your capacity,” advised Madison. “Is a $35,000, $100,000 grant worth applying for? If…there is monthly reporting, if there’s extensive training that is required to maintain that reporting, you may be overextending your capacity to even manage that money…We’re already dealing with so many different things right now.”

Fung agreed. “We need to be more strategic about the grants and the time that we spend on writing the grants…If we don’t have a board member introducing us,” a connection through a volunteer, or a previous grant or relationship, “we have less than a 1% chance of winning.”

One way to mitigate the heightened competition, Fung said, is to partner with similar nonprofits and apply for grants together. “A lot of funders like to see collaboration grants.”

4. Connect with policy makers

Another way for youth development nonprofits to collaborate strategically, Lockett pointed out, is through advocacy groups. “We’ve made a strategic effort to make sure that we know everyone in our council, every representative, everybody in the state, even if we don’t vote the same way,” he said, for youth development, workforce development, and food security are “universal” issues. We need to make “sure that people know that this work has to be done, and it is being done,” he argued, and hold the decision makers accountable.

Advocacy is also a key component of 3D Girls, Inc. Madison has been meeting with elected officials as a member of a network calling for increased funding for afterschool initiatives across the state.

5. Engage board and community members

Ensuring board members are aligned with the mission and actively involved in fundraising is essential, the panelists agreed. It’s critical to establish a relationship of trust with your board chair, Madison said, and hold other members accountable. Enterprise for Youth is also making an effort to recruit mission-aligned members, said Fung, “and we’ve seen a renewed energy, and it’s amazing.”

In addition to board members and alumni, parents and volunteers can help get the word out and support fundraising and programming. Lockett noted. His organization provides letters so “board, staff, parents, all speak the same language.” He also recruits volunteers to teach classes to provide year-round programming.

Also discussed were options for earned revenue, which Lockett and Madison have incorporated into their strategies by providing technology, a curriculum licensed out to other organizations; space rental, and fee-for-service programs.

A webinar participant shared how a funder suggested his nonprofit start charging for its summer camp; for those who can’t afford it, the foundation would provide scholarships, and the earned revenue would support future programming.

Youth development is an investment in the future

Lockett urged youth development organizations to frame support for their work as an investment in the community. “A lot of times, nonprofits go in, like, hat in hand, like, oh, help the poor community,” he said. “Like, no, this is an investment. Your return on investment is only going to be what you invest in our community, so it is cheaper to keep your talent in-state.”

Photo credit: panaya chittaratlert/Getty Images