#193 What to do if your nonprofit has a few shady practices…

We don’t know what we don’t know.

Most nonprofits that do shady stuff simply don’t know that it is shady.

As grant writers, how should we handle it if we notice that something our organization does is unethical, shady, or illegal?

Something interesting happened this week…

A grant writing colleague reached out to talk about how they were addressing some shady practices that violated the guidelines of a pending grant.

The conversation led me to think about the numerous ways nonprofits can act shady- and, most times, not even realize it.

Here are a few examples:

  • Using grant funding in a way not specified in the grant
  • Deviating from the approved budget allocations
  • Incorporating religion or politics into programming funded in part or whole by government funds
  • Borrowing from restricted funds, even if the funds are quickly replaced

There are undoubtedly several other examples, and the consequences can be devastating. Misused grant funds are subject to taxation, and theĀ funding foundation can receive sanctions, as well.

The way my colleague handled their situation was brilliant. They created a presentation with citations and links explaining how the organization would be in violation if it received the grant. They then went on to suggest actionable ways to correct the situation that bring them into compliance.

I was impressed by my colleague’s approach and plan to adopt a similar strategy next time I notice any shady dealings.

Unless your organization is intentionally shady (I hope not), the Executive Director will undoubtedly appreciate the heads-up and guidance.

Until next time,

Write Epic Grants

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