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Everything You Need to Know About an Association's Grant: Complete Guide to Obtaining Public Funding

Last modification : 06/02/2025 05:26 PM

Introduction

Grants often constitute an essential source of funding for associations. Whether it involves launching a new activity, supporting a project of general interest, or simply covering operating expenses, public financial aid allows associative structures to focus on their mission without being suffocated by budgetary constraints. In a context where private donations can be insufficient or uncertain, these grants offer significant security.

Summary: 

  1. The types of grants
  2. Who can apply for a grant?
  3. Where to apply for a grant?
  4. Prepare a solid application file
  5. The criteria for granting subsidies
  6. The process of reviewing the file
  7. Signature and implementation of the funding agreement
  8. Use of funds and obligations of the association
  9. Evaluation and feedback on the grant
  10. FAQ

The types of grants

Operating grant

The operating grant is intended to cover the regular expenses of an association: rent, electricity, potential salaries, supplies, etc. It is often renewable and allows the organization to operate stably, without each activity needing to be funded separately.

This type of grant is crucial for associations that have regular activities but cannot rely solely on their own income (membership fees, sales, services).

Project assistance

Unlike operational grants, project aid aims to finance a specific action over time: an event, an animation program, an awareness campaign, etc. This grant is generally one-time, linked to a specific call for projects or partnership. To qualify for it, the association must demonstrate the project's public interest, originality, feasibility, and expected impact.

Co-financing and public-private partnership

That is to say, the association must demonstrate that it has other sources of funding (own funds, private partners, other public aids). This mechanism allows for the distribution of financial risks and promotes collaboration between the public and private sectors. The public-private partnership is particularly sought after for innovative, environmental, or socially-oriented projects.

Who can apply for a grant?

Eligibility conditions

In general, any association registered with the prefecture, governed by the 1901 law (or 1908 in Alsace-Moselle), can apply for a grant. That said, this status is not always sufficient. The eligibility criteria can vary. Some will require, for example, a minimum seniority (often one year of activity), regular accounting, a clearly defined social purpose, or even the non-profit nature of the activities. Others will require that the association has already carried out concrete actions and has a minimum of its own resources.

The public interest and the public utility

The general interest implies that the actions undertaken by the association benefit society as a whole, without discrimination, for a non-profit purpose, and public utility is a more advanced legal recognition, granted by a decree in the Council of State, which allows the association to receive donations and legacies more easily, but also to strengthen its legitimacy to request subsidies. However, this recognition is difficult to obtain and requires a high level of organization, transparency, and stability

Where to apply for a grant?

Local authorities

The primary sources of grants are generally found at the local level. The town hall, the departmental council, or the regional council often have budgets dedicated to supporting associations in their territory.

Each local authority defines its own priorities and procedures. Some publish annual calls for projects, others accept spontaneous requests. Contact with elected officials or the services in charge of associative life is often an asset. They can guide the association towards the right program, help structure the file, and even propose partnerships.

State and ministries

Beyond the local level, the State also offers grants through its various ministries: National Education, Youth and Sports, Culture, Health, etc. The departmental directorates (DDCS, DDETS, etc.) play a key role in disseminating calls for projects and supporting associative structures.

The criteria are generally strict: innovative project, wide reach, coordination with other institutional actors. But with good support, an association can qualify for these aids even without being a large organization.

Private organizations and foundations

These aids are not public subsidies per se, but they can intervene as a complement, particularly in the context of co-financing.

Among the most well-known foundations: Fondation de France, Fondation EDF, Fondation SNCF, etc. To apply, you must respond to a specific call for projects, adhere to a precise thematic framework, and demonstrate the project's impact.

Prepare a solid application file

The associative project: the heart of your file

It is a document that explains who you are, what you do, why you do it, and how you do it. It must reflect your identity, your values, your ambitions, and above all, your social utility.

In the context of a grant application, you need to go even further: detail the context, the project objectives, the target audience, the planned actions, the expected results, the involved partners, and the resources mobilized. This is what will allow the funder to understand why they should invest in your initiative.

A good project is structured, reasoned, illustrated with data and concrete examples. It must also be realistic: there's no point in promising the moon and the stars if you don't have the human or financial resources to keep your commitments.

Draft a coherent projected budget

It shows how much the project costs, how the funds will be used, and where each euro will come from. It must be detailed, balanced, and credible. It consists of two parts: the planned expenses (salaries, equipment, rental, communication, etc.) and the expected revenues (grants, self-financing, donations, services). It is advisable to include a margin of error and justify the amounts with quotes or comparisons. A vague or unbalanced budget can ruin an application, even with a very good project. 

The necessary supporting documents

Each grant application involves a certain number of supporting documents to be provided. In general, it involves:

  • The copy of the association's by laws
  • The receipt of declaration at the prefecture
  • The minutes of the general assembly
  • The projected budget
  • The activity report from the previous year
  • The financial statement
  • The association's bank account details

These documents allow for the verification of the association's legality, management, stability, and transparency.

The criteria for granting subsidies

Relevance of the project and social impact

It's not just about proposing an original idea, but demonstrating that this idea will have a real social, cultural, sports, or environmental impact. Funders want to know how your action will improve the current situation: number of beneficiaries, expected change, duration of effects, etc.

For example, if your association wishes to organize educational workshops in an underprivileged neighborhood, you will need to demonstrate that these workshops address a gap, fit into a specific local context, and are anticipated by the targeted audience.

Feasibility and financial framework

A project can be very relevant, but if it is unrealistic or poorly structured, it risks being rejected. Funders therefore evaluate the feasibility of the project: available human resources, planned partnerships, coherent timeline, risk management.

The financial framework is also scrutinized closely. It is important that the expenses are justified, that the resources are diversified (requested grant, self-financing, other aids), and that the whole is viable in the short and medium term.

Financial transparency and good governance

Public funders require associations to maintain clear accounting, ensure that funds are used in accordance with their social purpose, and prevent any misconduct. Elements such as the publication of the financial report, the regularity of statutory meetings, the existence of an active board of directors, or the involvement of members in governance are viewed very positively.

The process of reviewing the file

Submission and acknowledgment of receipt

Once your application is complete, it must be submitted within the deadlines specified by the funding organization. Many institutions today offer online forms, while others still require a paper submission. It is important to carefully follow the submission instructions, or else your application may be rejected for a formal defect.

After the submission, you will receive an acknowledgment of receipt. Keep this document safe, especially if you need to follow up with the administration later.

Review and Deliberation Committee

This committee is composed of representatives from the administration, sometimes elected officials, and in some cases external personalities (sector experts, volunteers, etc.). It analyzes each file according to a predefined set of criteria: project quality, budget, coherence, social utility, etc. The members of the commission can debate, compare the projects, and adjust the grant proposals based on the available budget.

Notification of approval or rejection

At the end of the commission, a decision is made. If your project is selected, you will receive an award notification, specifying the granted amount, the payment terms, and the obligations that follow. In some cases, an amount lower than the one requested may be allocated.

If your request is denied, you have the right to ask for the reasons for the rejection. This step is useful for improving your application in view of a future request.

Signature and implementation of the funding agreement

Essential clauses to verify

When a grant is awarded to you, you generally need to sign a funding agreement. This contractual document formalizes the reciprocal commitments between the association and the funding organization. It specifies in particular:

  • The purpose of the grant
  • The allocated amount
  • The payment terms
  • The obligations of the association (reports, assessments, communication)
  • Possible cases of reimbursement

It is essential to read this agreement carefully before signing it. Certain clauses may hold the association liable.

The staggered payment and its conditions

Grants are not always disbursed in a single payment. It is common for the payment to be staggered, depending on the progress of the project or the submission of supporting documents (interim report, progress report, etc.). These terms must be anticipated by the association to avoid any cash flow issues.

It is also important to adhere to the deadlines and formats required for the interim reports. A delay or an omission can block subsequent payments, or even jeopardize the entire grant. 

Use of funds and obligations of the association

Respect for proper use

This means that the association cannot use the money for other unplanned expenses or unrelated to the initial objective. Any significant modification to the project (change of location, target audience, or action) must be subject to an amendment request or the funder's agreement. In case of an audit, any use deemed non-compliant could result in a partial or total reimbursement of the grant.

Administrative follow-up and ex-post control

This means that funders can, at any time, request to verify that the funds have been used correctly. This control can be random, systematic for certain amounts, or triggered following a report. It is therefore recommended to keep all expense receipts (invoices, contracts, attendance sheets, etc.) and to maintain rigorous accounting.

The risk of potential reimbursement

If anomalies are found during the audit – non-compliant use, absence of supporting documents, false declaration – the association may be ordered to reimburse all or part of the grant. In serious cases, this can escalate to a formal notice or legal action.

Evaluation and feedback on the grant

Activity report

At the end of the project, the association must submit a detailed activity report. This document must explain what has been accomplished, under what conditions, and with what results. It is often required to attach concrete evidence: photos, testimonials, communication materials, reports, etc. The goal is to demonstrate that the grant served its intended purpose, that the actions had an impact, and that the project was carried out according to the commitments made.

Detailed financial report

It involves comparing the initial projected budget with the actual expenses. This assessment can reveal a gap between forecast and reality: this is not always a problem, as long as the discrepancies are explained and justified. The assessment also allows the funder to adjust their support in the future. A rigorous management strengthens the trust relationship with funders and facilitates access to new grants.

Prepare for what's next: renewal or new application

A grant obtained one year does not guarantee its renewal. It is therefore important to anticipate the next steps: conduct a critical assessment of what worked well, what can be improved, and how to sustain the actions taken. A new request must be adapted, updated, and sometimes completely rethought. It's also an opportunity to consider new partnerships, co-financing, or other resource leverage. 

Conclusion

The grant application is a demanding but essential exercise for the sustainability of associations. It requires rigor, foresight, clarity, and above all, real groundwork to present a useful, coherent, and well-structured project. By respecting the steps, adopting a transparent posture, and adapting its strategy to the expectations of funders, any association can aspire to significant public support.

 

FAQ

How can I know if my association is eligible for a grant?

You need to check the criteria defined by the funding organization: type of activity, seniority, social purpose, etc. In general, a registered and active association can apply.

Can we combine multiple grants?

Yes, as long as there is no double funding for the same expense. It is important to clearly indicate the other aids received in the budget.

What to do if the grant is denied?

Ask for the reasons for the refusal to improve your application. You can apply again the following year or seek other funding sources.

What is the average time to receive a grant?

It varies depending on the funders. Count on an average of 2 to 6 months, sometimes more if the project is complex.

Is it mandatory to submit a usage report?

Yes, in the majority of cases. It's a contractual obligation that ensures the transparency of the use of public funds. 

 

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Alejandra Ruiz

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