Why List Your Top Funders (And Why It’s Actually a Good Thing)

Why Funders Ask About Your Top Funders (And Why It’s Actually a Good Thing)

I had an interesting conversation with a client the other day. We were working on a grant application, and they asked,
“Why aren’t we asking this funder to fully cover a staff member’s salary?”

It’s a great question and one that many nonprofit leaders wonder about.

My answer was simple:

This grant is meant to aid in covering the cost, not fund it entirely.

Instead of leaning too heavily on one funder, we build a diversified grant pipeline. That’s not just a best practice, it’s what funders want to see.

And it’s exactly why so many grant applications ask for a list of your current and pending funders.

What Grantmakers Are Really Looking For

When funders ask, “Who else is supporting this work?” they’re not being nosy. They’re not trying to judge your worthiness based on the size of your donor list.

They’re asking:

Is this organization financially stable?
Are they diversifying revenue and managing risk wisely?
Do other funders trust this organization enough to invest in them?

In short:

They want to feel confident that their money isn’t the only thing keeping your lights on.

Funders are don’t just have a pot of gold sitting around, the too have limited resources. They want to invest in organizations that are here for the long haul—not those that might disappear if a single grant falls through.

But Doesn’t Listing Top Funders Scare New Ones Off?

This is a very common worry especially for smaller or mid-size nonprofits.
The concern usually sounds something like this:

“If we tell them we’re funded by XYZ Foundation and ABC Trust, won’t they think we don’t need their money?”

Honestly? No.That’s not how funders think. In fact, the opposite is true.

Financial stability attracts funders.

Funders want to know:

You’re not relying on a single source of income
You have experience managing grant funding responsibly
You’re operating on a foundation of sustainability, not desperation

Imagine you’re an investor. Would you rather invest in a business with one customer and shaky finances, or one with multiple revenue streams and a strong balance sheet?

It’s the same in philanthropy.

Why You Should Embrace This Question on Every Application

Instead of dreading the “top funders” section, see it as an opportunity to:

Demonstrate your momentum
Show you know how to build a funding pipeline
Position yourself as a worthy, stable investment

Here’s how I recommend approaching it:

1. List Your Current and Recent Funders With Pride

Don’t just include your largest grants. Include a mix of:

Government grants
Private foundation support
Corporate sponsorships
Multi-year commitments
In-kind or non-monetary support (when relevant)

This paints a fuller picture of your organization sustainability.

2. Highlight Strategic Growth, Not Just Survival

If you’ve increased your grant awards year over year, or added new funding partners, mention that!

Example:

“Over the past 3 years, we’ve grown our foundation support by 40%, including new multi-year investments from [name] and [name]. This reflects both the quality of our programming and our intentional approach to long-term sustainability.”

3. Don’t Fear the Pending List—Use It Strategically

Even if you don’t have a long list of current funders, you can show you’re actively building a pipeline.

In the “pending” section, include:

Applications you’ve submitted
Upcoming proposals
Re-engagement of past funders

And note the potential timeline. This shows momentum, not scarcity.

What Funders Really Think When They See a Strong List

When a funder sees that your nonprofit is supported by reputable foundations or multiple funders, here’s what they’re really thinking:

“They must be doing something right.”
“This organization is part of a trusted network.”
“Other funders have already done their due diligence.”
“They know how to manage complex funding portfolios.”
“We’re not the only ones who believe in this mission.”

These are all buy signals.

What to Do if Your Funder List Is Short

If your organization is early-stage or rebuilding, don’t panic. Funders don’t expect every nonprofit to have a six-figure grants portfolio.

But they do expect:

A plan for building one
Evidence that you’re moving in that direction
Strategic use of existing resources

Here’s what you can include:

“This is our first year applying to institutional funders following a successful individual giving campaign.”
“We recently hired our first Development Director to build a multi-funder grants strategy.”
“In 2024, we received our first grant from [name], which we’re using to seed a broader funder network.”

It’s all about the narrative of growth.

Here’s How We Help Clients Position This Effectively

At HousingGrants.co, I work with nonprofits every day to:

Build out a strategic grant pipeline
Showcase funder diversification in applications
Write narratives that tell a story of strength and stability
Answer financial questions with clarity and confidence

Because it’s not about how much money you have—it’s about how well you can leverage your funding story to build trust.

TL;DR: Don’t Hide Your Funders—Highlight Them

If you’ve ever hesitated to list your top funders in a grant application, let me leave you with this:

Transparency builds trust.
Partnerships build credibility.
Diversification builds sustainability.

When funders ask for a list of your supporters, they’re not questioning your need. They’re assessing your ability to steward their investment responsibly.

The stronger your funding ecosystem, the stronger your grant application.

Want to Strengthen Your Funding Story?

If you’re ready to start positioning your nonprofit as a strong, stable, funder-ready organization, let’s talk.

I help nonprofits build out powerful grant pipelines and messaging strategies that showcase your strengths—not your stress.

Learn more at HousingGrants.co

Your Turn:
Have you been asked to list top funders before? Did you feel confident or unsure about what to include?
Drop a comment—I’d love to hear how you approached it.