A practical guide to grant funding

Before you start fundraising, make sure your PCC has the core commitments, financial information and key policies in place that funders expect.

Funders want to support organisations that are well‑governed, transparent and ready to deliver a project, so having the right foundations matters.

You will generally need some (or all) of the following:

• A clear PCC resolution formally approving the project and fundraising plan
• A nominated lead person—or ideally a small group—to oversee the project and fundraising
• A constitution or governing document (usually the PCC’s governing rules)
• For capital projects, title documents or evidence of ownership where required
• Up‑to‑date annual accounts for the past three years, plus current management accounts
• Insurance appropriate for your existing activities and any planned project work
• Key policies, such as:
  • Safeguarding
  • Data protection (GDPR)
  • Equality, diversity and inclusion
  • Health and safety
  • Volunteer management

Draw on the skills and experience of those around you. Are there people in your PCC or congregation with fundraising experience, writing skills, or project management experience? Make use of resources and guidance available through the LDF or the Church of England (link HERE  NOT WORKINGGG), and do not be afraid to ask for help. And if you have applied for grants before, learn from that process, whether successful or not. Reflecting on what worked can improve your chances next time.

Do you need to carry out a community audit or consultation? Talking to those who might benefit from, or contribute to, the project will help to ensure it meets genuine needs. Think about the potential risks too, what could get in the way, and how would you manage anything that does?

A fundraising plan sets out how your PCC intends to resource the project: what you are fundraising for, who you will approach, how much you aim to raise, and over what timeframe?

This will give clarity to the PCC, ensure you target the right funders, and provide a practical route from concept to delivery. A clear fundraising plan helps ensure your efforts are coordinated, realistic and aligned with funders most likely to support your work. It also gives confidence—to your PCC, partners and funders—that the project is planned carefully from the outset. A simple plan might include:

• Purpose of the project – a short summary of what you are raising money for and why it matters.
• Who you will approach – identifying the trusts, foundations, community funds, local authority programmes, and individual supporters most aligned to your project.
• Targets and amounts – how much you intend to request from each funder, how this contributes to the overall budget, and any match funding requirements.
• Timeline – when applications will be submitted, expected decision dates, and how this fits with your project schedule.
• Responsibilities – who is leading on each application, who will supply information, and who will be responsible for reporting.
• Risks and alternatives – any potential gaps in funding and how you will adjust if applications are delayed or unsuccessful.

A case for support is a clear, persuasive document that explains why your project deserves funding.

It sets out the need you are responding to, the difference your work will make, and why your church is well placed to deliver it. This becomes the foundation for all your fundraising activity, so shaping it well at the outset saves time later.

A strong case for support should outline the following:

• History and context – What has prompted this project? How does it connect to your church’s mission, current activities or long‑term aims?
• The need – The challenge your project addresses, why the project is needed now, and the evidence you have gathered locally to demonstrate this.
• What you will do – A clear summary of the activities you plan to deliver, who will be involved, and why this approach is the right one for your parish and community.
• Who benefits – Describe who the project is for, how they will benefit, and any wider positive impact beyond direct participants.
• Leadership and delivery – Outline who will manage and deliver the work, highlighting the skills, experience and track record that give funders confidence.
• Partnerships – Identify any partners and how they will contribute expertise, resources or community connections (more on this below).
• Budget – Provide a realistic budget covering total project costs, confirmed funding, match funding, and the remaining gap to be filled (more on this below).
• Expected change – Set out the difference your project will make—short-term improvements, longer‑term outcomes, and how lives or buildings will be strengthened as a result.
• Storytelling – Bring your project to life with real examples or stories that show why this work matters (find out more HERE).
• Monitoring and evaluation – Explain how you will track progress, gather feedback and use learning to improve your work.

Strong partnerships can significantly strengthen a project from the outset. They help shape better ideas, widen who benefits, and increase the impact of your work.

For many funders—especially those supporting capital, heritage, net‑zero, and community projects—evidence of collaboration is an important part of their assessment of a project. Partnerships can bring specialist skills, technical expertise, community insight, or in-kind resources that improve your plans and make projects more deliverable.

When looking to build partnerships, Start by being clear about the kind of partnership you are looking for—advice, joint delivery, technical input, community connections, or something else. Build on relationships you already have, then use local networks to identify new ones. The right partnerships give funders confidence that your project is rooted in local need, guided by appropriate expertise, and positioned to benefit the widest possible community. Examples of partners might include:

Capital or heritage projects

• Local authority planning, heritage or regeneration teams
• Architectural practices, conservation specialists or heritage consultants
• Civic societies, heritage groups, neighbourhood forums

Net‑zero or environmental projects

• Energy consultants, or retrofit specialists
• Local climate partnerships or community energy groups
• Universities or colleges with sustainability programmes

Community or social projects

• Local schools or early years providers
• Health trusts, social prescribing teams or wellbeing services
• Charities supporting families, older people or refugees

Applying for grant funding can be time-consuming, and grants are often very competitive, so use your time wisely.
Good research will ensure that you focus on funds that are the best fit for your project and your church.

Take time to understand what a funder is looking for, and tailor your application accordingly. Look at previous projects the fund has supported – and pay attention to its language and priorities. Think about timing, some funders have rolling programmes, others have specific deadlines, or long decision-making periods that may affect your plans.  Have a look at our separate guidance HERE on where to find funding.

1. Start with a clear case for support: Be clear on what you’re doing, why it matters, and the difference it will make. Then focus on funders where there is a strong and credible fit—don’t reshape your project just to match funding.
2. Be specific, not general Answer each question directly, avoiding broad or aspirational statements. Explain exactly what you will do, who will benefit, and what difference the project will make.
3. Write for someone outside your context Assume the assessor knows nothing about your church or area. Use plain language, spell out acronyms, and keep explanations clear and straightforward.
4. Show clear, evidenced need Explain why the project is needed now. Use any evidence you have—local data, consultation or audit findings, community insight or lived experience—to show the issue is real.
5. Evidence every claim Strengthen your case with what you can: attendance figures, survey responses, local authority data, partner testimony or simple monitoring records. It doesn’t need to be formal to be useful.
6. Present a deliverable plan Set out a practical, achievable route from start to finish. Show you’ve thought through timings, responsibilities and any risks that might affect delivery.
7. Make your budget tell the same story Ensure your costs align with what you describe in the narrative. Every line should be clear, justified and necessary. Missing or unclear costs are a common reason for rejection.
8. Be clear about outcomes and impact Explain what success will look like and how you will know. Focus on changes for people or the building, not just activities completed.
9. Demonstrate organisational readiness Give funders confidence that you can deliver—governance, experience, existing partnerships, skilled volunteers, or early project development all help.
10. Get the fundamentals right Meet deadlines, follow instructions, attach the right documents, and stay within word limits. Ask someone else to proofread—small mistakes can undermine a strong application.

For further information and advice on completing applications, have a look at these resources:

• Church of England
• Groundwork
• Association of Independent Museums

Storytelling plays a vital role in successful funding applications.

While budgets, plans and policies are essential, funders also need to understand the human story behind a project. Storytelling helps explain why your work matters, who it is for, and what difference it will make in real lives. By combining a clear narrative with evidence and data, you will ensure your applications feel both compelling and credible.

Funding decisions aren’t purely rational—they’re a mix of instinct and analysis. Funders often form a quick first impression about whether a project matters and feels credible, then test that judgement by looking more closely at the evidence, plans, budget and risks. Strong applications work with this: they hook interest early with a clear, human story, then back it up with solid evidence and realistic delivery. Stories don’t replace evidence—but without them, funders may never get to the detail.

Even the best story can be lost if it is difficult to read. Use simple language, the active voice (we will train 50 young people, not 50 young people will be trained) and concrete detail help funders understand and remember what you are proposing. These techniques also reduce the risk of misunderstanding or misinterpretation. Clear structure helps funders grasp your message even when skim-reading, increasing the likelihood that your story lands well. This is aided by the use of headlines, like in a newspaper, rather than generic section titles.

Artificial Intelligence (AI) can be a useful tool for drafting, editing and organising ideas, but it needs to be used carefully.

AI-generated text can sound fluent while containing inaccuracies, vague statements or invented information. It cannot tell your parish’s story, and funders still expect an authentic account of your context, mission and impact. Avoid entering sensitive or confidential information into public AI platforms.

Used well, AI can save time. To use it responsibly, consider:

• Starting with your own key points so the application reflects your priorities.
• Using AI for specific tasks—clarifying wording, improving flow or adjusting tone—rather than writing whole sections.
• Checking all AI-generated text for accuracy and coherence.
• Asking a colleague to review your draft, as human judgement will pick up gaps that AI may miss.

For more information:

• Fundraising Regulator’s guidance on use of AI in fundraising HERE
• National Lottery Heritage Fund guidance on use of AI HERE

Good fundraising starts with understanding the difference your project will make — the change people will experience because the work has happened.

This is what funders mean by outcomes. They are not activities (“we will run a lunch club”) but the results of those activities (“older people feel less isolated because they meet regularly and build friendships”).

For most parish or community projects, outcomes fall into a few broad areas, such as increased connection, improved wellbeing, greater access to support, or a safer and more welcoming building. Funders sometimes group these under labels like mental health, food insecurity, or loneliness, but these categories simply describe the change you are already working towards.

When describing impact, focus on what will be different because the project has taken place — for your congregation, your local community, and for the groups you are trying to reach. Funders want to see clear, realistic change that matches the needs you’ve identified, not outcomes shaped to fit their priorities.

You might find it helpful to frame outcomes like this:

Activity: You open a weekly parent-and-toddler group.
Outcome: Local families feel more supported, confident and connected.

Activity: You refurbish the kitchen to run a community meal.
Outcome: People experiencing hardship have reliable access to nutritious food and companionship.

Activity: You upgrade heating and lighting in the church.
Outcome: The building becomes safe, warm and suitable for wider community use.

1. Start with the project plan Build your budget from your activities. Break the project into tasks and cost each element logically.
2. Be specific and detailed Every line should describe exactly what the cost is for. Avoid vague headings like “miscellaneous” or “other.”
3. Base costs on evidence Use quotes, supplier estimates or recent comparable projects wherever possible. If you use estimates, show how you reached them.
4. Check the maths Make sure all calculations, totals and formulas are accurate. Small errors can undermine confidence.
5. Match budget and narrative Your costs should clearly relate to what you describe in the application. Nothing essential should appear in only one place.
6. Include all project costs Factor in staffing, project management, professional fees, permissions, evaluation, insurance and any overheads relevant to delivery.
7. Add a realistic contingency Most funders expect a contingency because projects almost always face unforeseen costs. (5–15% is typical. Under 5% may be unrealistic. Over 15% may suggest weak planning)
8. Present income clearly Show what funding is secured, what’s pending and where gaps remain. Funders generally expect a mix of income sources.
9. Demonstrate value for money Costs should be proportionate, justified and aligned with need. Value for money isn’t always the cheapest option, but the smartest.
10. Sense-check and stress-test Look at the whole budget. Is it deliverable? What happens if costs rise or funding is delayed? A credible budget reflects real-world conditions.

• Match funding: Some funders require applicants to provide a specific level of match funding — often a percentage of the total project cost. This ensures that organisations look for financial support from a range of funders and helps funders spread their resources. Always check the guidelines to confirm whether match funding is mandatory and at what level.
• In-kind support: non-cash commitments to a project (such as volunteer time, donated materials, or free venue use) can reduce your costs and strengthen your application. It demonstrates wider commitment to the project, reduces project risk, and shows that the work is supported by the community and partners.
• Management and overhead costs: Many funders allow you to include a proportion of management, administrative or overhead costs within your budget . This helps ensure the project is properly resourced within an organisation and is therefore more likely to succeed . However, the level of overhead permitted varies, so always check what each funder allows.

Monitoring and Evaluation are vital parts of grant‑funded projects and a standard requirement for most funders.

Evaluation should be planned from the beginning, not added at the end. A good evaluation approach shows how you will gather information, analyse it, and use what you learn to improve delivery and understand longer‑term impact.

Monitoring sits alongside evaluation and involves collecting information as the project progresses—such as attendance figures, feedback, observations, or simple records of activity. Consistent monitoring makes evaluation much easier and helps you spot issues early so you can adjust your approach if needed.

Working with an external evaluator can be helpful, particularly for larger or more complex projects. However, many parish projects can be evaluated internally, especially when resources are limited. Evaluation costs, where appropriate, can usually be included in your budget.

Documenting your project is not just for reporting—it strengthens your future fundraising, communications and community engagement. Capturing stories, photos, short videos, testimonials or partner feedback as you go builds a rich record of what happened and why it mattered. Try to document your project throughout, rather than waiting until the end; small, regular snapshots often produce the most authentic insights.

Many grant applications are unsuccessful for avoidable reasons.

Funders often highlight these common issues that reduce confidence in a proposal:

• The organisation does not meet the funder’s basic eligibility rules, such as legal status, size or location.
• The project feels underdeveloped, with aims and plans that lack clarity or realistic timescales.
• The application is difficult to read or does not clearly show how the project fits the funder’s priorities.
• The budget is unconvincing, with costs that are unclear, unrealistic or poorly explained.
• Important sections of the form are incomplete or key documents are missing or out of date.
• The request is too large, or the project relies too heavily on one source of funding.

Even strong, well-planned applications are sometimes unsuccessful. This is often not due to anything you have done, but often simply because funding programmes are heavily oversubscribed.

Be encouraged: a good application and persistence in fundraising does pay off. Over time, you will become more confident in understanding funders’ expectations, speaking their language and communicating the heart of your project clearly. Each application—successful or not—builds your skills and improves your future chances.

When your organisation does receive a grant, take time to express genuine gratitude. Thanking funders warmly and keeping them updated helps to nurture a positive, ongoing relationship. A successful award should ideally mark the beginning of a long and fruitful partnership, not just the end of a single application.