Playbook

How to build a coalition

Joint grant applications are how SC nonprofits win the larger funding most can't reach alone. Here's the full playbook — step by step, no jargon.

The big idea in one sentence

One org applies for the money. They distribute to partners per a signed agreement. FlashGrants handles the paperwork.

Decide if a coalition is right for you

A coalition makes sense when:

The grant you want is larger than you'd realistically win alone
You and 1–5 partner orgs have overlapping but distinct missions
The funder explicitly likes collaborative applications (read the RFP carefully)
You have the bandwidth to coordinate — coalitions take more upfront work, even if the funded amount is bigger

Don't form a coalition just to inflate your numbers. Funders see through it. Form one because the partners genuinely make the work stronger.

Pick your Lead Applicant

One org has to be the named applicant. The Lead:

Submits the application as the official applicant of record
Receives the funds into their bank account
Distributes funds to partners per the signed Subgrant Agreements
Reports to the funder on what everyone did
Carries the audit and IRS responsibility if anything goes sideways

Pick the partner with: the most stable 501(c)(3) status, the strongest accounting capacity, and the best grant-writing track record. Not necessarily the org with the biggest mission — the org with the best operations.

Invite your partners on FlashGrants

From your coalition page, click "Invite Partner" for each partner org. We'll email them — they accept by signing into FlashGrants.

Maximum 6 members total (1 lead + 5 partners)
Partners don't all need their own 501(c)(3) — the Lead can act as fiscal sponsor (see the FAQ below for details + the two big exceptions)
Wait until everyone accepts before generating documents

Agree on Scope of Work and Budget Split

This is the most important conversation you'll have as a coalition. Hash it out before signing anything.

Scope of Work — what each partner will deliver. Be specific. "Run 4 workshops" beats "support programming."
Budget Share % — how the total grant gets split. Must sum to 100%.
The Lead typically takes 5–15% extra for administrative overhead. Disclose it openly.
Once agreed, the Lead enters these into FlashGrants. The system enforces the 100% rule.

Rule of thumb: if the conversation about money feels uncomfortable, surface it now. It only gets worse after the funds arrive.

Generate and sign the paperwork

FlashGrants auto-generates two documents based on your coalition data:

Memorandum of Understanding (MOU) — the umbrella agreement signed by ALL members. Lays out roles, responsibilities, distribution schedule, and dispute resolution.
Subgrant Agreement — one per partner. Spells out their specific dollar amount, scope of work, and reporting requirements.

Open each document → print → all parties sign → keep one signed copy per organization, in your records.

These are templates. For grants over ~$25K or anything involving federal money, have an attorney review before signing.

Submit the application — then disburse

Only the Lead submits the application on the funder's portal. Partners do not submit anything to the funder directly.

If awarded:

Funder cuts ONE check to the Lead
Lead disburses to partners per the Subgrant Agreements (default schedule: 50% on award, 40% midpoint, 10% final)
Each partner submits progress reports to the Lead
Lead submits the consolidated report to the funder

Print the Coalition Setup Checklist from your coalition page and check items off as you go. Keep signed paperwork in a shared folder accessible to all members.

Common Questions

What if a partner doesn't deliver?

The Subgrant Agreement should specify what happens. Default: Lead can withhold remaining payments and document the breach. For larger grants, have an attorney write a remedy clause.

Do all partners need 501(c)(3) status?

No — but only if the Lead acts as a fiscal sponsor. This is a well-established legal structure. The Lead 501(c)(3) becomes the fiscal sponsor for partners that don't have their own determination letter. From the funder's perspective, it's one tax-exempt org running a partnered program.

What this means:

The funder writes ONE check to the Lead (full amount is tax-deductible)
Partners can be LLCs, sole proprietors, churches, grassroots collectives, or new nonprofits waiting on their IRS determination letter
The Lead's audit and IRS responsibility expands — they're legally accountable for how ALL partners spend the money
The Lead typically charges a 5–15% fiscal sponsorship fee on top of regular overhead (industry standard — disclose it openly in the budget split)

Two big exceptions where this won't work:

Federal grants — most federal funders require every subrecipient to have their own 501(c)(3) or be a governmental unit. Fiscal sponsorship usually disqualifies you.
Foundations that explicitly exclude it — search the RFP for the words "fiscal sponsor," "subrecipient," or "fiscally sponsored project" before you apply. When in doubt, email the program officer.

Can the Lead take an overhead percentage?

Yes, and it's standard. Most coalitions allow the Lead to keep 5–15% of the grant as administrative overhead. Disclose it openly in the budget split.

Who handles the audit if there's an issue?

The Lead. The Lead is the applicant of record and carries the formal responsibility. This is why picking the right Lead matters more than who has the biggest mission.

Can we add a partner after submitting the application?

Almost never. Funders treat the application as locked once submitted. Add partners before submitting, not after.

What if the application is denied?

No money changes hands. The MOU you signed remains valid — you can use it to apply for the next grant together without redoing the paperwork.

Ready to start your first coalition?

Or find partners first if you're not sure who to team up with.

The MOU and Subgrant templates on FlashGrants are starting points. For grants over ~$25K or anything federal, have an attorney review.