For many associations, sustaining financial growth relies heavily on membership dues and events. While these are tried-and-true revenue sources, they’re no longer sufficient for long-term viability. To remain competitive and impactful, associations must diversify their income by exploring additional funding opportunities. Let’s explore three underutilized revenue streams that can help associations strengthen their financial foundation while staying aligned with their mission and member needs.

1. Grants

Grants are funds provided by external organizations to support specific projects or initiatives. Unlike loans, grants do not need to be repaid, making them a valuable funding source. While many grants cater to nonprofits, associations classified under certain other IRS codes, like 501(c)(6), may still qualify for a wide range of opportunities.

Grants have different characteristics to keep in mind, such as:

• Restricted versus unrestricted: Restricted grants must be used for specific purposes defined by the grantor, while unrestricted grants offer flexibility in how funds are used.
• One-time versus installments: Some grants are paid as a lump sum, while others are disbursed in installments over a set period.

Why pursue grants? When secured, grants allow associations to:

• Expand initiatives without significant financial risk
• Launch strategic projects that improve member value
• Build credibility by aligning with prominent funders

Best Practices for Pursuing Grants

Understand compliance requirements. Familiarize yourself with the regulations associated with each grant, as failure to comply could jeopardize funding.

Use grant databases. Thompson Grants suggests using purpose-built grant databases to find grants that align with your mission and goals efficiently.

Master proposal writing. Develop compelling, well-researched grant proposals that clearly articulate your association’s impact and objectives.

Diversify applications. Don’t rely on a single grant; apply for a mix of restricted and unrestricted funding to ensure stability.

2. Corporate Partnerships

Corporate partnerships are strategic collaborations between associations and businesses, which can benefit from these relationships by improving their reputation and building community connections.

Why pursue corporate partnerships? Aligning with corporations is a mutually beneficial strategy that:

Generates income for associations through sponsorships, in-kind donations, and long-term collaborations

Boosts the association’s visibility and credibility in the industry

Allows corporations to prioritize corporate social responsibility programs by funding initiatives that align with their values

Best Practices for Building Partnerships

Identify aligned corporations. Research companies whose values and goals complement your association’s mission.

Build long-term relationships. Focus on fostering genuine connections rather than transactional deals. Trust is key to enduring partnerships.

Develop custom proposals. Tailor sponsorship tiers and packages to meet the partner’s needs while delivering value to your members.

Ensure mutual benefits. Partnerships should provide clear advantages for both parties, whether through brand exposure, added value for members, or shared industry impact.

3. Earned Income From Digital Offerings

The digital age has opened opportunities for associations to monetize their expertise while also offering greater benefits to members. With this revenue stream comes the obvious benefit of greater profitability, as digital offerings tend to have lower overhead costs and more efficient scalability than in-person events. A digital presence also allows associations to expand their global reach and grow their audience, as virtual resources transcend geographical limitations. Going digital even enhances member value. Exclusive online resources like certification programs or webinar series attract new members and improve retention.

What digital products can you offer?

• On-demand webinars featuring reputable industry thought leaders
• Online certification programs and courses tailored to your members’ professional growth
• Digital resource libraries, complete with templates, guides, and industry research

Best Practices for Monetizing Digital Offerings

1. Align resources with your purpose: Ensure your digital content supports your association’s overarching goals and serves member needs.
2. Repurpose content: Turn existing conference sessions or workshops into virtual courses to maximize efficiency and return on investment.
3. Create modular courses: Provide flexibility by designing courses that members can complete at their own pace.

Diversify Now for Greater Impact and Stability

By actively pursuing grant funding, corporate partnerships, digital offerings, and other new revenue streams, you can strengthen your financial resilience while enhancing the services you deliver to your members.