Participatory Grantmaking: letting communities decide

Definition

Participatory grantmaking is an approach in which the communities affected by funding help decide how it is allocated. Rather than the funder alone choosing grantees, decision-making power is shared with the people the funding is meant to serve.

Grant Management
Published on
August 10, 2026
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What is participatory grantmaking?

Participatory grantmaking is an approach where the people affected by a funding decision take part in making it. Instead of a funder's staff or board deciding alone, community members, and sometimes potential grantees themselves, help set criteria and choose who gets funded.

The premise is that those closest to a problem have the clearest view of what will work. Sharing decision power is meant to produce better-targeted funding and to correct the imbalance of a distant funder deciding on a community's behalf.

How is it different from a selection committee?

A conventional selection committee is usually made up of the funder's own people or its chosen experts. Participatory grantmaking changes who sits at that table: it deliberately includes the affected community in the decision, not just as advisors but as decision-makers.

So the mechanism (a group evaluating and choosing) can look similar, but the composition and the power dynamic are different. The point of participatory grantmaking is precisely that the decision no longer rests with the funder alone.

How is it different from trust-based philanthropy?

They are complementary but address different stages. Participatory grantmaking concerns who makes the funding decision. Trust-based philanthropy concerns how the funder treats grantees once the decision is made, with lighter reporting and unrestricted support.

A funder could share decision power (participatory) without lightening its reporting, or lighten reporting (trust-based) while still deciding alone. In practice the two often go together, as parts of a wider effort to shift power in philanthropy.

Managing participatory processes in a platform

Involving external decision-makers raises practical questions of access, scoring and transparency. A grant management platform can give community reviewers controlled access to applications and capture their input in the same auditable flow as any other grantmaking decision.

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Related terms

The newest terms we've added, the words teams managing grants, sponsorship, and CSR come across most often.

Grant Management

International Grantmaking

International grantmaking is awarding grants to organisations based outside the funder's own country, which adds verification, currency, language and reporting requirements that domestic grants do not carry.

The additional work is front-loaded. Establishing that a foreign organisation can be funded is harder than paying it, and the route chosen at the outset determines the obligations for years afterwards.

Grant Management

Data Residency

Data residency is the country or region where a platform physically stores the data you put into it. It is a contractual commitment, not a technical preference, and a supplier should be able to state it in writing.

For grant, sponsorship and volunteering programmes the data in question includes applicant and employee personal data, which is what moves residency out of the IT conversation and into procurement.

Grant Management

Post-Award

Post-award is the phase of the grant lifecycle that follows the funding decision: disbursing funds, tracking how they are spent, collecting grantee reports, measuring outcomes against the objectives set at the start, and closing the grant.

Post-award is where impact is either evidenced or lost. A funder whose attention stops at the payment has spent the money without being able to say what it produced.

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