Operating a community foundation is not only about grantmaking, but also about trust-building. The list of operations is endless, whether it is overseeing donor-advised funds or simply complying with grants numbering in the dozens or even in the hundreds. The answer for foundations facing all these difficulties and yet remaining focused on grants is not spreadsheets but specialized software solutions.
In this blog, we will examine the different kinds of software options the average community foundation should be taking a look at, what the core attributes of the software should be, how to think about building out the tech stack, and the importance of Fluxx in the process.
What Is Community Foundation Software?
Community foundation software is an array of online tools that are aimed at assisting foundations in effectively administering grants, donations, financials, engagement with donors, and internal operations. These solutions are more specific than other general solutions for nonprofit organizations and provide unique functionality for fund accounting, administration of donor-advised funds, and grant processes involving multiple stakeholders.
As community foundations frequently function as hubs for both donors as well as grantees, it is necessary for this software to enable transparency, accountability, as well as strategic planning in every level of operations. Right from creating board reports to facilitating collaborative grantmaking, software is not just for back-office functions but is instead central to fulfilling their mission.
Types of Community Foundation Software
Community foundation software solutions can vary depending on their applications. Community foundations usually benefit from using various software solutions for smooth functioning:
- Fund Accounting Software: This is used to track individual funds, as well as both restricted and unrestricted contributions and distributions. This includes systems such as Financial Edge and Sage Intacct.
- Donor Management Software (CRM): Assists with tracking donor behavior, giving history, preferences, and engagement opportunities. Examples include Salesforce, and Bloomerang.
- Grant Management Software: The entire process of managing a grant, right from application intake to evaluation, can be done using this software. It's in this area that the value of Fluxx comes into prominence.
- Document Management Tools: Manage contracts, application forms, tax returns, and more. Applications such as Dropbox Business and Microsoft SharePoint are used here.
- Analytics and Reporting Tools: These allow foundations to analyze key metrics and outcomes and create reports for donors and boards. Power BI and Tableau are commonly integrated with other tools.
Each type of software caters to a different problem, but together they make up a technological base that allows community foundations to expand their reach.
What You Need To Look Out For
When evaluating software at your community foundation, consider the following:
- Customization: Your processes are unique, and your software should be too. Seek out tools that are able to accommodate your unique grant periods and funding models.
- User Access & Permissions: Foundations engage finance, development, program, and compliance units. Access based on role is critical for security and preventing mistakes.
- Ease of Use: It is essential that adoption rates are considered. The systems being utilized should be able to be easily understood and utilized by all members regardless of their tech knowledge.
- Scalability: Your software must also grow as your foundation evolves. That would include more functionality and more features for a growing number of people.
- Support & Training: It’s essential in any business software purchase and will help ensure your investment pays dividends from day one.
Selecting software effectively is about more than ticking boxes; it’s about empowering better, speedier, and more transparent decision-making.
Why Integrations Matter
Each app within your suite answers a particular problem, but the power is found when those apps are integrated. Integrations enable your systems to exchange information instantly, reducing manual input, minimizing duplication of effort, and helping to ensure that all departments are speaking the same language.
By having all aspects of your CRM, accounting system, and grant management technology work together as one system, you will not have to chase after information or resolve discrepancies in reporting. Rather, you will have everything you need to increase cross-team collaboration and enable your foundation to better react to community needs.
Whether you are creating fund-level reports for the donors, are getting ready for an audit, or are evaluating the results of a grant program, a connected software ecosystem is the foundation that allows you to make the transition from a reactive administration approach to a strategy-driven impact.
Community Foundation Software Stack Example
A contemporary, well-organized community foundation requires a technology stack that is designed to be flexible, scalable, and collaborative. As the footprint of foundations increases and the complexity of managing different funds rises, the need for tools that work well together increases.
Here’s what a networked and scalable software stack might look like in a mid-sized community foundation:
- CRM: Salesforce for Nonprofits
- Fund Accounting: Sage Intacct
- Grant Management: Fluxx
- Document Storage: SharePoint
- Reporting: Microsoft Power BI
- Email Marketing: Mailchimp or Constant Contact
- Board Portal: Boardable or OnBoard
The tech stack that we have supports all the way through donor development, fund management, grantmaking, compliance, and impact reporting. It’s all done through scalable solutions.
The Positioning of Grant Management Software
Your grant management system is a crucial piece of technology infrastructure for your foundation. This system is the functional center which integrates all of your funding sources, as well as all other aspects of your work. Without this system, you would have to try to assemble applications, compliance data, as well as outcomes information from different technology platforms.
The ideal grant management tool will assist you with application submission, grant compliance reminders, grant spending tracking, and performance reporting. This type of software will align your finance department, development office, and program employees for common objectives and deadlines.
With grant management software such as Fluxx, your organization's potential for success reaches beyond automation, and it equips your foundation with what’s needed to scale and makes every dollar count toward a measurable outcome. It’s no longer a choice. It’s base.
Fluxx and Foundations
Fluxx represents a more modern, cloud-based grant management system that offers the dynamism and functionality which community foundations need. As a foundation manages a growing body of funds, grant recipients, and programs, Fluxx will help you stay on top of things.
With Fluxx, foundations have access to a centralized hub that allows all grants, from application to evaluation to reporting, to take place under one roof. Real-time dashboards make it easy to track performance, while automated tasks mean that nothing slips through the cracks.
Moreover, Fluxx effortlessly integrates with accounting tools and CRM software, giving all the teams in the organization one version of the truth. Whether it’s the management of donor-advised funds, field-of-interest funds, or unrestricted donations, Fluxx will automatically conform to how the teams operate and adjust to the growth of the organization.
Building Your Technology Stack with Purpose
In the complex environment of philanthropy today, technology is one of the most significant investments a community foundation can make. Technology allows you to remove barriers, make the process transparent, and establish trust on all sides of the philanthropic equation.
Fluxx grant management software is a potent tool in this arsenal. Fluxx was developed with the goal of aligning individuals, data, and objectives to ensure that more can be done with every dollar to make a greater impact in the community.
Ready to see the role of Fluxx in the future of your foundation? Get a demo today and find out how we’re helping community foundations like yours modernize their grantmaking process with confidence and clarity.
