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Grant Manager holding a magnifying and a book searching for grant management myths

Busting the Top 5 Grant Management Myths

There are numerous myths about grant management. These myths can contribute to organizations missing out on available funding and can influence the ability to effectively manage awarded funding.  

To help clear the air so you can increase your capacity and your impact, we want to dispel the top 5 myths we hear:

1. Grants are “free”

Grants come with restrictions and guidelines, especially federal awards. After you are awarded a grant, your organization must meet deadlines and report on the progress of the grant, and the reporting requirements can vary widely for different funding streams. While grant funding typically doesn’t have to be paid back like a loan does, mismanagement of awards can result in having to pay funds back. 

2. Grants are awarded based on need

Most grant funding is given away after an application and review process. Those who meet the grant funder’s goals better than all other applicants will receive funding – not necessarily the programs that have the fewest resources. A lack of resources, or a sparse history of other successful awards and audits can cause your program to be passed over during the awarding process. We have resources to help you make sure you are writing the strongest possible proposal 

3. Grants are always awarded to past recipients

Future funding will depend on satisfactory performance from your current award. Effective performance is demonstrated by doing well in the Single Audit and being able to demonstrate your outcomes, but it also doesn’t hurt to have a record of transparent communication with your funder. Take nothing for granted! 

4. Grant funding can be spent at your discretion

There are strict guidelines on how you can spend your funding, especially with federal awards. If you choose to spend your funds on something that is unallowable, you may have to return the funding, lose out on future funding opportunities, face fines, or even jail time. Having a detailed and well-thought-out project plan can help you avoid this fate.  

5. Grants are “simple” to manage

Grants are complicated, but getting help with them doesn’t have to be. Centralizing your grant data and standardizing your grant processes can help make sure you’re prepared. The once-in-a-generation funding opportunities presented by the American Rescue Plan (ARPA) and the Infrastructure Investment and Jobs Act (IIJA) have led to grants programs managing unprecedented amount of funding. Managing these streams effectively requires you to rethink your grant management processes and innovate. What used to work in the past just won’t work as well now.

AmpliFund can help you stay compliant with rapidly changing federal guidance so you can focus on what matters.


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*Photo by Daniel Tadevosyan from Canva.

Topics:  Best Practices