Success rates rise for grantseekers, but writing applications is still a constraint

Posted on 12 Mar 2026

By Matthew Schulz, journalist, Institute of Community Directors Australia

Australia’s not-for-profits win nearly half the grants they apply for, but time and resourcing constraints remain stubborn barriers to getting applications lodged, a new study has found.

The survey of users of the Funding Centre, an Our Community enterprise, found that win rates had increased by 11 percentage points in the past year.

The study of 93 users found they won funding from 46 per cent of their applications, up from 35 per cent the year before. Organisations submitted an average of 13 applications in one year.

About 41 per cent of organisations that participated in the survey had annual income between $250,000 and $1 million. The largest slice described themselves as community development organisations, accounting for nearly 19 per cent of those surveyed.

While the study did not spell out the reasons for the success spike, a landmark 2018 study, Grants in Australia, found that experience, disciplined processes and organisational capacity were strong predictors of grant success.

"Completing every application you start and building relationships with funders are practical steps boards can take."

Grace Dennis, Funding Centre

That large-scale study found that the most successful applicants (success rates above 80 per cent) had more than five years’ experience in the sector, submitted every application they started, and were more likely to build relationships with funders.

Despite the apparent improvement, grantseekers involved in the latest survey nominated time (30 per cent) as their biggest constraint, followed by finding the right grant (25 per cent) and being under-resourced (eight per cent).

Funding Centre spokesperson Grace Dennis said the most successful organisations, in her experience, were those that were strategic with what they applied for and when.

“Research shows that experience, focus and follow-through matter. Completing every application you start and building relationships with funders are practical steps boards can take,” she said.

Dennis said the survey also showed the use of artificial intelligence by grantwriters was still developing, despite its potential to help with time pressures, with 90 per cent of users yet to try the Funding Centre’s built-in AI tool Drafter.

“AI tools are beginning to play a role in supporting grant writing, but most organisations are still experimenting and working out how to use them responsibly and effectively,” she said.