Matching Grant

A matching grant is a type of funding where a donor, such as a foundation or corporation, agrees to contribute a specific amount of money to a nonprofit if the organization is able to raise an equal or predetermined amount from other sources, often within a set time frame. This approach is designed to encourage broad community support, maximize fundraising efforts, and demonstrate a nonprofit’s ability to mobilize resources. Matching grants are commonly used in fundraising campaigns to incentivize donors, leveraging the promise of additional funds to boost overall contributions. Accurate tracking and reporting are essential, as nonprofits must prove they have met the matching requirements to receive the pledged funds.