Grant Writing FREE Grant Writing Funder Prospect Research Questions and Answers 2

Question 1

Which database is most commonly used by U.S. nonprofit professionals to research foundation giving histories and application guidelines?

Accepted Answer

Foundation Directory Online (Candid)

Answer

Bloomberg Terminal

Answer

LexisNexis

Answer

Dun & Bradstreet

Question 2

When conducting prospect research on a potential corporate funder, which financial document provides the most insight into their philanthropic priorities and community investment areas?

Accepted Answer

Annual report

Answer

Balance sheet

Answer

SEC Form 10-K

Answer

Articles of incorporation

Question 3

What is the primary purpose of reviewing a foundation's IRS Form 990-PF during prospect research?

Accepted Answer

To verify the foundation's grant amounts, recipients, and officer compensation

Answer

To determine the foundation's marketing strategy

Answer

To assess the foundation's real estate holdings

Answer

To review the foundation's employee benefits packages

Question 4

A grant writer discovers that a target foundation has given 80% of its awards to organizations within a 50-mile radius of its headquarters. What does this pattern indicate for prospect qualification?

Accepted Answer

Geographic giving preference should be a primary screening criterion

Answer

The foundation is about to expand nationally

Answer

The foundation only funds capital campaigns

Answer

The foundation prefers government applicants

Question 5

Which prospect research technique helps identify whether a potential funder's board members have personal connections to your organization's cause?

Accepted Answer

Linkage, ability, and interest (LAI) analysis

Answer

SWOT analysis

Answer

Cost-benefit analysis

Answer

Regression analysis

Question 6

When building a funder prospect profile, what is the most reliable indicator that a foundation will likely fund your program area?

Accepted Answer

A consistent pattern of recent grants to similar programs and populations

Answer

A large endowment size

Answer

The foundation's age and years of operation

Answer

The number of staff listed on their website