5 “hidden” costs to a proposal – and how to save on them

Sometimes, you have to spend money to make money. But doesn’t this feel anti-intuitive when it comes to grant funding? After all, you are asking for money, which usually means you don’t have any to spend, right?overhead-costs

But to seek funding and prepare a competitive proposal, you should be aware of the “hidden” costs. I have included five below which, in my experience, have been the most surprising to my PIs. And in case you are really strapped for cash, I have included some ideas for saving a little on the way!

  1. Database Memberships
    • Why the cost? While it’s free to search Grants.gov for federal grants, to look through lists of foundations, you might need to pay for access to a database. Companies such as Foundation Directory Online and GuideStar are good places to start. (Click here to read a great article that goes more in-depth on these databases)
    • What’s the cost? Premium packages can run as much as $2,000 per year, and can be paid for on a bi-yearly, yearly, or monthly basis. Some databases charge per list.
    • How can I cut costs? If you are a professor at a university, talk to your development office about free databases that you might have access to. Visit your local library and see if they subscribe to databases that you can use. Otherwise, save money by researching databases thoroughly, and making sure the one or two you select will be proper for your organization, and not waste money on those that aren’t (you can take many on a free-trial test drive!).

      If you work at a university, you might have access to a database like Grant Forward
      If you work at a university, you might have access to a database like Grant Forward
  2. Grant Writer
    • Why the cost? After all, you can write yourself – or call in a favor from your cousin with the English degree – or ask your administrative assistant to write the narrative in her spare time. But unfortunately, grant-writing is just one of those things that you have to do (and fail at) for at least a year before you get the trick of it.
    • What’s the cost? Freelance grant writers charge anywhere from $20-$200 per hour, and professional grant writing agencies usually charge over one thousand dollars per proposal. If you work at a university, your research office may have a proposal development office, though these services often have an associated fee. (Click here for an article on questions to ask before hiring a grant writer)
    • How can I cut costs? Paying for grant writing on a commission basis is unethical, so that is definitely not a cost-saving solution. But if your institution simply cannot afford a grant writer, try and work with universities to see if you can offer an internship to non-profit management or technical writing students who are studying grant-writing, and might appreciate the opportunity to contribute to their portfolio.
  3. Startup for Project
    • Why the cost? Many sponsors (especially on the federal and state level) want to see work being done on the project, before they get involved. It’s a way of showing that the institution is committed to the project, and increases the chances that work will continue once sponsor funding ends.17123254699_c2f412c9ee_z
    • What’s the cost? However much it takes to get things rolling. Usually, costs consists of personnel, preliminary supplies, and associated overhead.
    • How can I cut costs? Instead of using up your own time beginning the project, work with your volunteer or intern pool, and see if there is someone who would be interested in beginning the project. Work with community collaborators on fundraising efforts for preliminary costs.
  4. Cost-Share
    • Why the cost? Though cost-sharing for federal awards is growing rare (yay!), many foundations and state sponsors still want to see a cash or in-kind commitment. This way, the project seems more like a collaborative effort that is supported by the university and/or community. (Don’t know anything about cost-sharing? Click here for a good Power Point presentation on the topic!)
    • What’s the cost? Anywhere from 10% of the total project costs, up to and beyond a 1:1 match. (Always be sure to note whether the cost-share requirement is a percentage of the request or a percentage of total project costs)
    • How can I cut costs? Carefully assess what you are certainly going to put into the project, whether the grant funds it or not. Is overhead not allowed to be charged to the sponsor? Ask the sponsor if you can cost-share with the unrecovered overhead. Will your graduate student, who is paid by the department, be working on the project? That sounds like cost-share to me!
  5. Overhead
    • Why the cost? You usually cannot help paying overhead when applying for grants. You will work on the proposal on your computer, use your phone system to call collaborators, schedule meetings in a conference room with lights…so on and so on.
    • What’s the cost? Overhead is hard to calculate, but they are real costs to the institution, and proposal-development overhead costs are almost never allowed to be recovered in the case of an award.
    • How can I cut costs? There’s no way to go without these costs – but make sure and request full overhead recovery from the sponsor for the award period! Your research overhead helps to pay for proposal development systems and general research costs. (Did you just balk at my suggestion? Click here to find out why overhead is so important!)

Was this helpful? Please share!

Have questions? Please comment!

Advertisements

5 grant proposal tips you can take from “Shark Week”

Hooray for Shark Week!

What is Shark Week? Well, if you have been living under a rock, let me tell you: Shark Week is an awesome week-long event that takes place on the Discovery Channel. It has been going strong since 1988, amidst some controversies over “fake” documentaries, bad science, and shark fear-mongering. As one ecologist has said: “I don’t necessarily think that it’s their [The Discovery Channel’s] job to inform people about sharks in a scientific matter.”

So maybe Shark Week won’t actually teach you a lot about sharks. But can it teach us something about…grant proposals?

02-shark-week.w529.h352.2x

Okay, okay you got me – this post is a little ridiculous! I just really like Shark Week! But I will take this opportunity to point out some proposals tips to keep in mind as you continue your quest for research excellence – and these tips may include some loose connections to Shark Week-related topics. 😀

An-encounter-with-a-Great-0011. Don’t bite off more than you can chew. In other words – don’t propose something that you cannot actually implement. After submitting a proposal, I have literally heard PIs and grant administrators collapse in weariness and say the words: “Wow, I really hope that doesn’t get funded.” Yikes! Can’t provide the cost-share? Don’t submit the proposal! Can’t pull together the personnel? Don’t submit the proposal! Already working 80 hours per week, your sanity hanging by a thread? Take a lesson from this shark and go find some smaller grants. There are plenty of fish in the sea! (FYI, that will be the last shark-related pun. Probably.)

2013-08-06-shark-thumb2. Stand out from the crowd. With the impacts of government cutbacks being felt across agencies, it is more important than ever to be different from the hundreds of other proposals being submitted to federal agencies, state governments, and private foundations. How can you pump up your proposal? Work across disciplines. Insert a plan to disseminate research results to the community. Get in touch with your program officer ahead of time and make sure your project is a good fit. And be sure to write a well-written, error-free proposal. Make yourself a shark among the minnows!

279522-shark-week3. Be aware of your surroundings. Who has been securing funding from the agency you are proposing to? What do their proposals look like? Where is your field moving in terms of research trends? Do your homework before submitting a proposal – read successful narratives and study funded projects. Oftentimes, agencies will provided funded proposals, which usually are part of the public domain. You could also contact funded institutions directly and see if they are willing to discuss their success. When you submit the proposal, show how much you know about the field by providing detailed, complete references in your narrative (NSF infamously will return proposals that use “et al”, and this is also a no-no for NIFA).

fcevjnezhc9gvv78ppsl4. Collaborate, collaborate, collaborate! Apparently, sharks like to hunt together in packs from time-to-time (although I heard that on “Shark Week” so who knows if that’s true). And researchers should also play with others! One impact of less government funding is a new appreciation from reviewers for cross-discipline collaborations. Some agencies even provide special grants for those who are collaborating across departments, institutions, and borders (here is an example from NEH). Yes, collaborating can be like herding cats (or sharks), but it substantially increases chances of funding – and enhances your project in the process!

George Mombiot blog on sharks : German submarine and shark5. Never, EVER fabricate information in your proposal. Most academics never set out intending to engage in research misconduct – but it happens, so be careful! Usually, funders want to know what progress has been made on the project thus far, which is sometimes…nada. After all, you don’t have funding yet, right? That’s why you’re asking! Some PIs feel panicked at such requests for information, and exaggerate efforts thus far. Avoid inflating the work that has taken place – it will come back to hurt you if the proposal is funded and you are expected to have reached a certain point.

What do you think? Any more proposal tips or shark puns? Please share below!

5 Myths About Voluntary Cost-Sharing

5640567148_126afc5026_n

So picture this: you’re reading through your “Request for Proposals” from a sponsor and you find this sentence:

“Cost sharing not required”

Sounds great, right? Cost sharing, or, matching a percentage of sponsor funds, can be incredibly difficult to come up with. Especially in this era of tight budgets! You breathe a sigh of relief and move on.

But then you start thinking: “But what does ‘not required’ really mean? Will cost sharing make my proposal more competitive? Will it make me look like I have departmental support?”

But not so fast! Before committing yourself, do yourself a favor and review these 5 myths about voluntary cost sharing that are becoming increasingly prevalent in university culture.

Have additions to this list? Questions or comments? Leave them below!

Myth #1: “Voluntary cost share will make my proposal stronger!”

For federal grants? Nope. Local and foundation grants? Not necessarily. Some agencies, like NSF, straight-up prohibit cost share (because of how burdensome it is to track). The moral of the story – if the sponsor says cost sharing is not part of the scored review, piling it on will not help. If anything, gathering the third party pledges and convincing your chair to commit a percentage of the department’s budget will distract you from the required parts of your proposal. When a sponsor – like the NEH – says cost share is “recommended” talk to your department’s research administrator or grants manager to see what that has really meant for past proposals.

Myth #2: “I can just use the project expenses that weren’t allowed in the budget as easy cost share.”

This is a great way to get your proposal rejected without even getting read. Unless the sponsor says differently, costs that are unallowable for the proposed budget are unallowable for formally proposed cost share – even if it’s voluntary. The biggest exception sponsors make are unrecovered Facilities and Administrative (indirect) costs. So if the sponsor is only allowing a small percentage of your institution’s rate to be charged, you might be able to use that as match. But be sure to get that from the sponsor in writing.

Myth #3: “If the cost share is voluntary, I won’t have to report it back to the sponsor.”

If cost sharing appears in the agreement’s approved budget, you have to track it, regardless of whether your match was required or not. That means you must report it on fiscal communications, post it to the project, and make sure you meet the match. If, at the end of your project, you still have cost share to report, you could endanger future funding for yourself and your university, just as you would with a required match.

2485267144_6849cdeb6c_z

Myth #4: “Voluntary cost share is the best way for me to show that I have support for this project.”

Even if PIs don’t say this out loud, most of them believe it wholeheartedly. Thankfully, there are many effective ways to show that your proposed project enjoys widespread support. Most federal applications have sections in the narrative where you can list equipment, laboratories, community resources and departmental assets that will be available to you (for NIH, there are a few sections specifically designated for this information). Some smaller sponsors allow for letters of support to be attached, even if no cash amount is specified. But be sure not to include specific dollar amounts or effort percentages – these could appear in the agreement and you will then be required to track them. The NIH is particularly picky about this.

6355351769_766503f534_z

Myth #5: “Voluntary cost share is not ‘real money’.”

If my points above have not convinced you, let me reiterate – There is a real, tangible administrative cost to voluntary matching. These funds must be tracked and reported. They also commit you to fulfilling requirements that could become onerous and distract you from your research – the reason you asked for funding in the first place! 🙂