How Nonprofits Can Maintain Momentum During a Government Shutdown

We get it—that sinking feeling in your gut when news breaks about a possible government shutdown. Over the past 15 years, we’ve endured several shutdowns, ranging from just a few hours or days to the record 35-day stretch from December 22, 2018, to January 25, 2019. With the volatility and uncertainty of the federal government and what it means for nonprofits, we understand your concerns.

When a government shutdown looms, nonprofit leaders often find themselves grappling with tough questions: How will funding interruptions affect programs? How can we maintain donor trust? What steps can we take to keep momentum alive?

At the Fox Advancement family of brands, we know uncertainty can strain organizations working tirelessly to serve their communities. That’s why our Fox Advancement family of brands—Fox Campaigns, Fox Grants, and Fox Fractional—is uniquely positioned to help nonprofits adapt, stabilize, and thrive, even when government systems pause.

Strategies for Navigating Funding Gaps in Grants

Government shutdowns can stall federal grants and reimbursement programs, leaving nonprofits with unexpected cash-flow challenges. 

• Diversify revenue streams: Identify and pursue private and foundation funding to reduce reliance on federal dollars.
  

  
  Examples:

  • Target regional community foundations for program support.

  • Build relationships with corporate giving programs (e.g., Target Foundation, Wells Fargo, Cargill) that prioritize local community impact.

  • Pursue multi-year general operating support grants from large national funders such as the Ford Foundation or MacArthur Foundation.

• Keep proposals moving: We track deadlines, adjust submission strategies, and help you strengthen narratives that appeal to a wider funder base.
  

  
  Examples:

  • Use this window to conduct an in-depth prospect research sprint.

  • Maintain a rolling proposal calendar so applications can be quickly adapted and submitted to alternative funders when opportunities open.

• Manage compliance with confidence: Even when agencies close temporarily, we ensure your organization is ready to move quickly when systems reopen.
  

  
  Examples:

  • Prepare all required attachments and financial documentation for federal portals (e.g., Grants.gov, SAM.gov, eRA Commons) so they’re submission-ready.

  • Conduct internal mock audits to ensure grant management systems meet both federal and private funder standards.

  • Monitor agency communications during a shutdown so deadlines and technical requirements are updated in your system immediately after reopening.

Sustaining Donor Confidence

Periods of uncertainty are when your supporters need to hear from you most. Don't miss a beat by:

• Crafting timely messaging that reassures donors and demonstrates how you’re navigating challenges.
  

  
  Examples:

  • Send a donor email during a shutdown explaining how you’re adjusting program schedules to continue serving clients without interruption.

  • Share a short video update from your executive director on social media, highlighting staff adaptability and immediate next steps.

  • Publish a blog post showing how your diversified funding strategy protects your programs during federal uncertainty.

• Engaging your base with campaigns that emphasize resilience and the ongoing importance of your mission.
  

  
  Examples:

  • Launch a “Resilience in Action” campaign spotlighting stories of community members directly impacted by your work.

  • Use DAF Day,  Giving Tuesday,  or another giving day to tie support to continuity of essential services, even in times of government delay.

  • Create an infographic for social media showing the difference donor contributions make when federal funding pauses.

• Building long-term loyalty so donors see their investment in your work as steady and secure, regardless of federal disruptions.
  

  
  Examples:

  • Develop a recurring gift program framed around “sustaining impact through uncertainty.”

  • Share a quarterly impact report with transparent updates on funding sources, showing how donor dollars ensure stability.

  • Host a virtual donor town hall where leadership discusses both challenges and future vision, positioning donors as partners in resilience.

Strengthening Operations

When resources are stretched, leadership teams need extra capacity without the commitment of full-time hires. Consider fractional staffing as your solution.

• Fractional executive expertise to stabilize strategy and operations.
  Examples:

• • A fractional CFO steps in to create contingency budgets during a funding delay, ensuring payroll and essential services stay on track.

  • A fractional CMO develops a rapid communication plan to reassure stakeholders and donors during a shutdown.

  • A fractional COO streamlines internal processes so staff can stay focused on mission delivery despite resource constraints.

• Objective, outside perspective to help leadership teams make quick, confident decisions during uncertain times.
  

  
  Examples:

  • Facilitate an executive team workshop to prioritize programs based on impact and sustainability.

  • Provide a neutral assessment of financial health and offer data-driven recommendations for resource allocation.

  • Guide board members through scenario planning exercises to prepare for best- and worst-case funding outcomes.

Turning Uncertainty Into Opportunity

A government shutdown doesn’t have to stop your mission. With the right partners, nonprofits can use this moment to strengthen resilience, engage supporters more deeply, and diversify funding strategies.

At the Fox Advancement family of brands, we believe momentum matters most when the future feels unclear. Our Campaigns, Grants, and Fractional teams are here to help you stay steady and focused on impact.

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