It is estimated that 14,015 nonprofits across the United States are at risk of exhausting their cash within three months if their government grants were to stop today, potentially jeopardizing nearly 2.8 million nonprofit jobs.
According to statistics from Candid, a nonprofit that compiles and analyzes data on the sector, 1,366 nonprofits in New York State alone could run out of cash within three months if government grantmaking stops. That puts more than 361,000 nonprofit jobs at immediate risk.
The hardest hit fields include human services, education, housing and shelter, and the humanities — sectors that millions of Americans rely on for basic needs every day. Candid’s research team is closely examining how even a temporary disruption in that funding stream could threaten nonprofit survival and destabilize essential community services, according to a statement from Candid.
“Government grants are a primary revenue source for many nonprofits. Over 35,000 nonprofits — about a third of government grantees — rely on these grants for more than 50% of their total revenue, Cathleen Clerkin, Ph.D., associate vice president of research at Candid, said via a statement. “Our team is analyzing this data not just nationally, but at the state level, across subsectors, and even down to individual congressional districts, to better understand where the risks are most acute.”
According to Ann Mei Chang, chief executive officer at Candid, “When nonprofits go under or scale back severely on services they provide, entire communities feel the loss. From veteran support services to community centers to youth arts programs, nonprofits deliver the services that create thriving communities.”
Candid was formed in 2019 when GuideStar and Foundation Center merged. Candid combined GuideStar’s tools on nonprofits and Foundation Center’s tools on foundations. Candid is offering free resources to help nonprofits that have lost federal funding find alternative sources of support:
* Free Access To Foundation Directory Professional: This prospect research tool that helps nonprofit staff identify and connect with more than 240,000 U.S. grantmakers. Smaller nonprofits with less than $10 million in revenue that have lost federal funding are now eligible. Learn more here.
* Free Live Training: Funding Beyond Federal: How to Diversify Funding to Ensure Stability in Uncertain Times (May 12, 2025 | 1-4 p.m. ET): It is a free, hands-on session that will focus on finding alternative funding sources and practical strategies for resilience. Register here.
