Unlocking Grant Success: Insights from Daniel Livvarcin on Grants and AI for Nonprofits
Navigating the world of grants can be a daunting task for nonprofits, but it’s a critical part of sustaining their missions. In a recent conversation with Daniel Livvarcin, founder of Vectors Group and a seasoned expert in nonprofit strategy, we explored the key elements of successful grant applications and how AI can revolutionize the nonprofit sector.
Changing the Grant Mindset
Daniel began by reframing how nonprofits should approach grant opportunities. "There is no grant to support your cause. All grants exist to solve the problem of the funder," he explained. This requires nonprofits to shift their mindset: instead of seeking a grant to fulfill their mission, they must align their mission with the funder’s objectives. For example, if a grant focuses on mental health, a sports organization might adjust its messaging to show how their programs promote mental well-being.
This approach extends beyond the application itself. "Funders are people, too," Daniel noted, emphasizing that organizations must ensure their online presence reflects the same alignment as their grant proposal. "If your website and social media don’t reflect the project you’re proposing, your chances will decrease significantly.
The Seven-Step Grant Process
Daniel outlined a comprehensive seven-step process for grant applications, beginning with identifying the right grant and generating an idea that aligns with the funder’s objectives. The next steps include project planning—detailing budgets, timelines, and key performance indicators—and building partnerships. "Including letters of support from other organizations or officials significantly increases your chances," Daniel advised. The final stages involve compiling necessary documents, writing the application, and submitting it.
Interestingly, Daniel highlighted that actual grant writing accounts for only 10–20% of the time required. "The majority of time—80–90%—should be spent on research and preparation," he explained. This preparation ensures that nonprofits can present a polished, competitive proposal that resonates with funders.
Leveraging Digital Tools and AI
One of the most striking insights was the advantage of digital annual reports in adapting to grant opportunities. "If messaging needs to align better with a grant opportunity, a digital report makes it easy to adjust content and print an updated PDF for submission," Daniel shared.
AI also plays a growing role in the grant application process. Nonprofits can use AI tools to analyze grant requirements, brainstorm ideas, and even refine proposals. Daniel explained, "I input the funder’s objectives and my mission statement, and AI suggests projects that align with both. The results are often remarkable."
However, he emphasized the importance of understanding AI as a tool, not a replacement for human oversight. "AI is powerful, but human beings must remain the final decision-makers. AI can assist, but it’s crucial to be aware of its limitations and biases.
Building Capacity for the Future
Daniel stressed that successful grant applications and AI integration require dedicated resources. "Grant applications should not be done by executive directors or volunteers. It’s a time-intensive process that requires focus and expertise," he said. For nonprofits hesitant about embracing AI, his advice was simple: "Don’t be afraid—be prepared. The time to start is now.
Moving Forward
Daniel’s insights offer a practical roadmap for nonprofits to navigate grants more effectively while preparing for an AI-driven future. By aligning their missions with funder objectives, dedicating resources to the grant process, and leveraging technology strategically, nonprofits can build sustainable funding structures and amplify their impact.
As Daniel aptly put it, "AI and grants are opportunities, not challenges. With the right preparation and mindset, nonprofits can thrive in this evolving landscape.