Entering a grant in your plan Follow


Whether your business is a nonprofit or a for-profit company, it's possible that you may need to enter grant funding into your forecast. The method you'll use depends on the type of company you have.

Entering a grant for a nonprofit

For a nonprofit, a grant will be part of your funding forecast, so you'd enter it as a revenue stream. 

  1. In the Forecast tab, on the revenue page, click Add Revenue Stream.
  2. Give the stream a title that identifies it as a grant:
  3. Select the Revenue Only model:
  4. Choose Varying amounts over time, so that you can enter the whole amount in the month in which you'll receive it (or, if you'll receive payments, you can enter those instead):
  5. Click Save & Close to save the changes.


Entering a grant for a for-profit company

In a for-profit company, you'd want to enter your grant as an investment instead of as a revenue stream. (If you add it as a revenue stream, that will affect the gross margin in your financial statements, causing your product or service to be significantly more profitable than it really is.)

In addition to the investment entry, you may want to add some notes to the plan, explaining the nature of the grant.

  1. In the Forecast tab, click More, and then click Financing.
  2. Click Add Investment. Give the entry a name that designates it as a grant. Click One-time amount, and enter the amount you've received, and the month in which you received it:
  3. Click Save & Close to save the change.
  4. Click on the Plan tab now, and then click Outline. Navigate to the Financial Plan chapter. Add a custom topic, and give it a title that designates it as notes on your grant:
  5. Navigate to the Plan tab's View & Edit page now, navigate to your new custom topic, and add some notes on your grant:

Notes to add about your grant

It's a good idea to mention in your custom text topic that the grant is a non-dilutive investment. This means that it's an investment that doesn't reduce your ownership of your company, or that of any investors you already have. In other words, it's investment money coming into your company that doesn't have a specific investor attached, so those percentages of your company that are already owned by you or others won't be reduced.

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