And what we're building to change that
If you run a nonprofit with a budget under $2M, you know the grant system is broken. But most people don't realize how broken—or why the problems are getting worse, not better.
This isn't about working harder or writing better proposals. The system has structural problems that make success nearly impossible for organizations without existing advantages.
The grant opportunities you can find through databases and websites? Those aren't where the real money is.
70% of foundation grants go to organizations funders already know.
These opportunities never appear in public databases. They flow through:
Public grant opportunities represent 30% of available funding. Competition for these opportunities is intense because everyone else without insider access is competing for the same limited pool.
Average success rate: 15-20%
Organizations with established relationships get invited to apply for opportunities you never see. These represent 70% of foundation funding.
Average success rate: 60-80%
You're not just competing with other organizations. You're competing for access to the game itself. And the rules for getting access? They're unwritten, relationship-based, and inaccessible to organizations that can't afford conference attendance, consultant connections, or board members with foundation ties.
You're not failing because your mission isn't compelling. You're failing because you're locked out of the system where decisions actually happen. They're plugged into networks you don't have access to.
The grant system assumes all applicants have similar capacity. They don't.
Large organizations don't just have higher success rates. They also have:
This isn't a level playing field. It's structural disadvantage that compounds with every funding cycle.
You've heard AI can revolutionize grant research. Find opportunities in minutes instead of hours. Match your mission to perfect funders.
But AI tools have a 33-60% error rate. And verification takes 2-4 hours per output.
Recent research (2024-2025):
OpenAI models: 33-48% hallucination rates
AI search engines: 60% error rate across eight major tools
Literature tools: 16-26% fabrication rates—creating citations that blend real authors with fictional articles
To verify a single AI output:
15-30 min to cross-reference citations
30-60 min to verify citations exist
20-45 min per source to check accuracy
Total: 2-4 hours of verification per AI output
Major funders are implementing restrictions because they've seen the quality problems:
The alternative—comprehensive manual research through foundation databases—has its own fatal flaw:
Data completeness lags approximately 2 years behind the current date.
Candid's authoritative database relies on IRS Form 990 filings, which arrive late and get processed slowly. By the time you see "current" data, funding priorities may have shifted, programs may have closed, and opportunities have vanished.
The grant system isn't just difficult. It's designed in a way that makes success nearly impossible for organizations without existing advantages.
Funders allow 10-15% for indirect costs when your actual overhead is 25-35%.
You can't build infrastructure. Without infrastructure, you can't hire development staff, attend conferences, or develop the "proven track record" funders want to see.
The system rewards existing resources over mission impact.
To reach 98% win probability, you need 6-10 applications. Each requires 15-200 hours.
That's nearly a full-time position—typically done by an executive director managing programs during the day, then writing grants at night.
You're stuck in reactive mode, responding to whatever opportunities you happen to discover.
The narrative says: "Great programs will find funding."
But the data says: Organizations with 10x your resources have 3x your success rate, access to > 70% more opportunities, and the capacity to submit 4x more applications.
Only 22% of small nonprofits receive ANY foundation funding. The other 78% aren't failing because their missions aren't worthy.
We're building tools for nonprofits the current system wasn't designed to serve.
We analyze fit before you write a single word—preventing wasted effort on grants you'll never win.
Discover which funders are most likely to say yes, and why.
Get expert guidance on strategy, budgets, and applications—without the consultant price tag.
We're not selling you another search database. We're giving you an expert grant team that never sleeps. One month costs less than a single consultant call.
Beta access is free. No credit card required