Why You Should Not Use Free Software for Your Nonprofit
Discover the hidden risks of free nonprofit software and why investing in paid solutions like Fluxx ensures security, compliance, and efficiency.
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Effective grant management helps government agencies ease the complexity of the application, ensure compliance, and efficiently disburse money. While some grant management free tools exist, most will not be able to meet the high demands placed by most government agencies. This blog will review some of the best free grant management options, their advantages and disadvantages, and why investing in a powerful platform like Fluxx is worth considering for the long term.
A grant solution automates the entire grants lifecycle, from application to reporting. They let government agencies manage submissions, track fund disbursement, ensure compliance, and develop insight that allows them to better intercept outcomes. The right grant management system will save time by eradicating errors and further improving collaboration across agencies and recipients.
Many nonprofits begin their grant management journey using free tools simply because they are accessible, familiar, and budget-friendly. Free options often feel appealing during early growth stages, when teams are small and administrators wear many hats. Tools like spreadsheets, free project boards, and simple databases allow organizations to track deadlines and applications without upfront investment. However, as nonprofits scale, manage more awards, or face stricter compliance requirements, these basic tools quickly become limiting. This is when nonprofits typically begin searching for grant software for nonprofits that centralizes information, automates workflows, and reduces the risk of missed deadlines or compliance issues.
Free grant solutions make a pretty attractive case for agencies on a shoestring budget. Generally, these will involve basic functionality such as application forms, a way to track funds, and maybe some lighter reporting functionality. A few popular free solutions include:
Airtable (Free Version)
Airtable is a nimble, spreadsheet-like platform with the ability to be tailored for grant management workflows. The free version allows task tracking and collaboration but lacks the advanced automation and reporting required for more complex grant programs.
Foundant for Grantseekers (Free Version)
Foundant's basic version is free and supports tracking of grant applications, but the features are highly limited for free, hence difficult to scale into larger government operations.
Google Workspace
Though not a grant management tool per se, grants collaborations are tracked using Google Workspace which is a combination of Google Drive, Google Docs, and Google Sheets. This may, however, lead to a promise of probable errors and inefficiencies since activities such as data entry involve manual effort and are not automated.
Smartsheet (Free Version)
Smartsheet has a free version which can only provide basic project and task management but can be leveraged for grants management. It is also highly flexible; the implication of this, however, is that users would have to build workflows from scratch through a process which may turn out to be very time-consuming.
While these can help manage smaller and less complex grant programs, they mostly lack the advanced features needed in larger agencies due to partial features, lack of automated workflow systems, data security, and/or integration that may not suit high-volume, high-stakes grant programs.
Although many businesses and institutions rely on spreadsheets due to their free nature and familiarity, when it comes to management of grants and awards, spreadsheets can be a disaster waiting to happen. A spreadsheet used to track grants and awards from a non-governmental entity cannot be compliant when it comes to government requirements and the information can also be prone to various types of errors when handled in spreadsheets. This increases risks of problems when the information involves money and beneficiaries. Additionally, spreadsheets do not allow automated controls.
Many government agencies use a combination of free tools available to manage different parts of grant management, be it application tracking, fund disbursement, and reporting. But it mostly creates glaring inefficiencies:
Managing grants with disparate tools slows everything down by limiting collaboration and introducing more room for error. In every case, agencies seeking to optimize the grantmaking process need an all-in-one solution that centralizes and automates those processes.
Of course, there can be free solutions that can be used, but again, most of those require so much manual work to keep up with, and security is usually lacking. That's the point where a paid platform like Fluxx begins to shine. Because Fluxx was built with government grant management in mind, this solution takes care of some of the most challenging areas of the grant lifecycle.
The key benefits of Fluxx are the following:
While there is surely an up-front cost to investing in a platform like Fluxx, the long-term savings both in time, security, and efficiency make it the better option for agencies managing complex or high-volume grants.
Of course, free tools work when the programs are small. But when one is representing government agencies dealing in high volumes, the challenges are many that no free solution is prepared to handle. Paid solutions like Fluxx provide degrees of automation, integration, and scalability not possible with free tools. Fluxx ensures, for an agency, better compliance and resultant transparency and outcome improvement in agencies.
Fluxx is representative of that one-stop shop where everything concerning grant management is brought under one roof. This gets rid of multiple tools and manual processes while raising efficiency and security. With everything in one system, it allows agencies to have full visibility over the grant lifecycle, minimizing the chances of errors, thereby improving overall performance.
Free grant solutions might be great, but for agencies with much smaller, less complicated grant programs. Certainly, as the needs of your agency grow, these solutions inevitably fail to deliver on a scale and intricacy that government grant management demands. Fluxx offers a feature-rich, secure, and configurable solution that meets the growth of your agency's needs, no question. As for investing in a professional grant management solution like Fluxx, that is what would make good sense if top efficiency and accuracy are prime considerations.
Ready to see how Fluxx can change the game of grant management? Schedule a call today.
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