Lessons for 501(c)(3) Private Schools Seeking Grants: A Cautionary Tale

Curiononprofit grants, fundraising Leave a Comment

Our Experience with the Permian Basin Area Foundation

Recently, we reached out to the Permian Basin Area Foundation (PBAF) about potential grant opportunities for Nerd Academy, a 501(c)(3) nonprofit microschool in Odessa, TX. The response was clear: they don’t work with private schools. Their reasoning? Most of their donors prefer to support public education, teachers, and students in public school systems.

While disappointing, this interaction taught us valuable lessons about how nonprofit private schools should approach foundations and grantmakers. If you’re a 501(c)(3) school seeking funding, here’s what you need to know before applying for grants.

Do Your Homework Before Applying

Not all foundations fund all types of education. Many prioritize public schools, while others focus on specific initiatives like scholarships, STEM programs, or underserved communities.

Before reaching out to a foundation, ask yourself:
✅ Does this foundation have a history of funding private schools?
✅ Do they list any eligibility criteria that exclude private schools?
✅ Can we align our request with their existing funding priorities?

A quick look at a foundation’s website, past grant recipients, or IRS Form 990 filings can save you time and effort.

Understand Why Some Funders Avoid Private Schools

The push for school vouchers—especially in Texas—has created tension in the education funding space. Even though vouchers are not currently in place in Texas, the debate influences how donors and foundations distribute funds.

Many funders hesitate to support private schools because:

  • They believe philanthropy should support public education.
  • They associate private schools with exclusivity, even if that’s not the case.
  • They fear political controversy linked to school funding policies.

This means private school nonprofits must work harder to demonstrate their community impact.

Frame Your Request Strategically

Even if a funder prefers public education, you might still find a way to align your mission with their goals. Instead of asking for general school funding, consider grant proposals that focus on:

  • Community-wide educational programs (e.g., tutoring, summer camps, teacher training).
  • Scholarships for low-income students to attend your school.
  • STEM, arts, or literacy initiatives that could be offered to both private and public school students.

By shifting the focus from “help our private school” to “help all students in our community”, you increase your chances of securing funding.

Look for Alternative Funding Sources

If traditional education-focused foundations won’t fund private schools, where else can you look?

Corporate Foundations: Many companies support broad educational initiatives, including STEM, workforce development, and innovation in learning.
Faith-Based Foundations: If your school has a religious affiliation, faith-based grantmakers may be a good fit.
Local Businesses & Community Partnerships: Some companies and civic groups are open to funding local education efforts, especially when they align with economic development goals.
Individual Donors & Crowdfunding: Sometimes, direct donations and online fundraising campaigns can fill the gap where grants fall short.

Stay Informed on Policy & Funding Trends

While Texas does not have school vouchers, the topic continues to resurface. It’s important to understand how educational policy debates influence grant funding. Even if your school is not part of the voucher discussion, funders may lump all private schools together in their decision-making.

By staying aware of shifts in education policy, you can anticipate potential challenges and adjust your funding strategy accordingly.

Build Relationships Before Asking for Funding

Foundations receive hundreds (if not thousands) of grant applications each year. One way to stand out is to develop a relationship with funders before applying.

Ways to connect before submitting a grant request:
✅ Attend their events, webinars, or networking meetings.
✅ Engage with their leaders and program officers before applying.
✅ Seek an introduction from a mutual contact.

If funders already know and trust your organization, they’re more likely to consider your proposal—even if private schools aren’t their usual focus.

Final Thoughts: What We Learned

Our experience with PBAF was a wake-up call: not all funders will support nonprofit private schools. But instead of viewing it as a roadblock, we see it as an opportunity to refine our approach.

For other 501(c)(3) private schools seeking grants, remember:

✔️ Research funders before applying.
✔️ Understand their hesitations about private schools.
✔️ Frame your request around community impact.
✔️ Seek funding from a diverse range of sources.
✔️ Stay informed on policy trends that affect funding.
✔️ Build relationships before asking for money.

By being proactive, strategic, and flexible, nonprofit private schools can find the right funding partners—even when some doors seem closed.

What has your experience been with seeking grants for a private school or nonprofit? Share your thoughts in the comments!

Leave a Reply

Your email address will not be published. Required fields are marked *