Best Operating Grants for Nonprofits in Tennessee

The AdvoCare Foundation, established in 1993, aims to promote health and wellness for children through its grant program. Focused on year-round initiatives, the foundation supports local communities where AdvoCare distributors operate. Grants typically last one year with an average funding of $25,000, although multi-year support may be available. The foundation prioritizes programs that foster positive health changes and encourages collaborative efforts with previous grantees.

Mission

The mission of the Tennessee State Museum is to procure, preserve, exhibit, and interpret objects which relate to the social, political, economic, and cultural history of Tennessee and Tennesseans, and to provide access to educational and cultural programs and exhibitions for the people of the state.

Capital Maintenance and Improvements Grants

For the fiscal year beginning July 1, 2026, the Tennessee General Assembly included a direct appropriation in the amount of $5 million to the Tennessee State Museum “for the sole purpose of providing grants to museums with a 501(c)(3) nonprofit organization or affiliated with a governmental entity for capital maintenance and improvements” (Section 61, Item 21 of the 2026-2027 Appropriations Act). This grant will be facilitated by the State Museum and is open to museums located in Tennessee.

This appropriation is separate from any other funding provided by the State of Tennessee to a museum and must be used for the capital maintenance and improvements as described in the grant application.

The Historic Preservation Fund Grant (HPF) offers matching grants to support projects that provide public benefits, reimbursing up to 60% of eligible costs. Applications open from December 1, 2025, to February 1, 2026. Grants typically range from $15,000 to $65,000, focusing on architectural surveys, preservation plans, and restoration of historically significant buildings. The program prioritizes non-profit, municipal, and civic organization projects that demonstrate public use and align with the State Historic Preservation Plan.

Arbor Rising Grant, established in 2010, is a NYC-based nonprofit providing unrestricted multi-year funding and capacity-building support to nonprofits focused on alleviating poverty. The grant process occurs every three years, with the next round in 2025 being invitation-only. Eligible organizations must demonstrate high potential and effective leadership, typically operating on a modest budget. Arbor Rising prioritizes applicants from the NYC metro area while expanding to cover the lower 48 US states.

The Arthur F. and Alice E. Adams Charitable Foundation, established in 1985, supports various charitable initiatives focusing on arts, culture, humanities, and education. It primarily benefits organizations in Memphis, Miami, and New York City. Eligible applicants must be 501(c)(3) exempt organizations and seek project sponsorships. The foundation does not fund general operating costs or capital campaigns, and requests over $50,000 are generally discouraged. Proposals must be for projects commencing at least a year after submission.

The TAC Major Cultural Institutions Grant provides crucial operational support to established arts organizations in Tennessee. Eligible organizations must demonstrate a strong history of programming, with at least three consecutive years of annual revenue exceeding $1 million. This competitive grant allows for funding requests up to $200,000, based on documented operating expenses. The grant aims to enhance the cultural landscape of Tennessee by supporting organizations that make a significant impact on their communities.

The purpose of the Urban & Community Forestry Program is to ensure all Tennesseans experience the numerous benefits of urban and community forests by catalyzing and supporting the growth, management, and sustainability of healthy urban and community forests in all Tennessee communities.This grant provides funding in four key areas:

• Urban and Community Forestry Management: Supports a full range of community forestry activities, from canopy assessment and planning to planting and long-term maintenance.
• Tree Planting: Focuses on projects that address tree equity, reduce urban heat, replace trees lost to storms, and create new greenspaces.
• Program Development or Capacity Building: Helps establish or grow tree boards, nonprofit organizations, and advocacy groups dedicated to urban forestry.
• Workforce Development: Expands opportunities to build a diverse, skilled workforce in the field of urban forestry through outreach and training programs.

The Connecting Joy Grant, provided by the Joy in Childhood Foundation, aims to enhance the hospital experience for children battling illness through engaging gaming programs. This initiative supports children's hospitals and nonprofits by funding equipment, staffing, and connectivity, ensuring children can enjoy gaming at their bedside. With grants ranging from $25,000 to $150,000, the program focuses on offering joy and distraction, helping young patients cope with their hospital stays while facilitating connections with peers.

What does this program do?

It provides loans and grants to Microenterprise Development Organizations (MDOs) to:

• To help microenterprises startup and growth through a Rural Microloan Revolving Fund.
• Provide training and technical assistance to microloan borrowers and micro entrepreneurs.

 What kind of funding is available? 

Grants are available to provide technical assistance to rural micro-entrepreneurs or microenterprises, up to $205,000 annually. Funding at the requested level is not guaranteed, and at least 15 percent matching funds are required.

Loans of $50,000 to $500,000 may be used for establishing a Rural Microloan Revolving Fund managed by the Microenterprise Development Organization. Total aggregate debt is capped at $2.5 million.

Are there other requirements?

Microenterprise Development Organizations must demonstrate experience in managing a Revolving Loan Fund, or:

• Certify that it or its employees have received education and training from a qualified microenterprise development training entity so that the applicant has the capacity to manage such a revolving loan fund.
• Demonstrate that it is actively and successfully participating as an intermediary lender in good standing under the U.S. Small Business Administration (SBA) Microloan Program or other similar loan programs as determined by the Administrator.

What are the loan terms?

• Maximum term is 20 years.
• Two-year payment deferral.
• Must establish a loan loss reserve fund.

What terms are required on loans to ultimate recipients?

• Up to $50,000.
• Fixed interest rate.
• Limited to 75 percent of project cost.

How may the funds be used?

Microlenders may make microloans for qualified business activities and expenses including, but not limited to:

• Working capital.
• Debt refinancing.
• Purchasing equipment and supplies.
• Improving real estate.

The Rural Arts Facilities Fund, established by the Tennessee Arts Commission, aims to support rural communities in enhancing their arts and cultural facilities. Grants of up to $200,000 are available for projects that benefit local arts programming, foster community identity, and promote economic growth. Eligible applicants include local governments and nonprofit organizations in rural Tennessee. By investing in these facilities, the program seeks to improve access to arts experiences, create jobs, and stimulate tourism in underserved areas.

The Watson-Brown Foundation Grant supports organizations dedicated to preserving the history and culture of the South. It offers various types of grants, including for educational programming and historic preservation, with a focus on southern studies. Eligible recipients include public charities in the southeastern United States. The Foundation's Junior Board of Trustees also awards grants to preservation projects in east central Georgia, emphasizing youth engagement in cultural heritage.

The Resilient and Connected Appalachians Grant Program, offered by The Nature Conservancy, provides up to $100,000 for projects that acquire land and easements throughout the Appalachian region. This program emphasizes equitable conservation, aiming to support historically marginalized communities and enhance access to nature while addressing climate change impacts. Projects must demonstrate community engagement and align with the program's goals to protect vital habitats and foster resilience in the face of environmental challenges.

CommonSpirit Health offers the Community Health Improvement Grant to enhance health equity and service systems for underserved populations. Through collaborative efforts with 501(c)(3) organizations, this initiative provides financial support for essential health projects. Grant amounts range from $19,500 for small grants to $150,000 for standard grants, varying by hospital. Participating hospitals include those under Catholic Health Initiatives and Dignity Health, aimed at addressing significant community health needs.

About Us

50 years of affordable housing innovation

Since 1973, THDA has been at the forefront of creating housing opportunities in Tennessee.

Our purpose

• Promote the production of more affordable new housing units for very low-, low-, and moderate-income individuals and families in Tennessee.
• Promote the preservation and rehabilitation of existing housing units for very low-, low-, and moderate-income individuals and families.
• Bring greater stability to the residential construction industry and related industries so as to assure a steady flow of production of new housing units.

Emergency Solutions Grant (ESG) Program

About the Emergency Solutions Grant Program (ESG)

THDA administers the federally funded Emergency Solutions Grants (ESG) Program on behalf of the State of Tennessee to fund the provision of services necessary to help persons who are experiencing homelessness or at-risk of homelessness to quickly regain stability in permanent housing.

The TAC Partnership Support Grant provides crucial operating support for arts organizations chartered in Tennessee. Eligible applicants include independent arts groups and local arts agencies with a minimum budget of $75,000. Organizations can request up to $100,000, representing 20% of their total cash operating expenses. Applicants must adhere to specific eligibility criteria, including prior funding history and having a full-time administrator. This competitive grant fosters community engagement and promotes the arts across Tennessee.

The Norfolk Southern Corporate Giving: Thriving Communities Grant Program supports initiatives that promote sustainability, workforce development, and community resilience across a 22-state network. With grants ranging from $1,000 to $50,000, the program aims to foster economic development and ensure equal access to basic necessities. Eligible organizations include tax-exempt nonprofits, government entities, and public schools, emphasizing diversity and inclusion in their community-focused efforts.

The Cigna Group Foundation is launching the Improving Youth Mental Health Grant, committing $9 million over three years to enhance mental health support for youth aged five to 18. This initiative targets post-pandemic challenges, offering resources to parents, caregivers, and youth service professionals. Nonprofits are encouraged to apply for funding between $100,000 and $150,000 to develop programs that promote social-emotional skills, enhance caregiver support, and improve access to mental health interventions in underserved communities.

Tennessee Office of Homeland Security

The Tennessee Office of Homeland Security (TOHS) has primary responsibility and authority for directing statewide activities pertaining to the prevention of and protection from terrorist related events. This responsibility includes the development and implementation of a comprehensive and coordinated strategy to secure the state from terrorist threats and attacks. Further, TOHS serves as a liaison between federal, state and local agencies, as well as the private sector, on matters relating to the security of our state and citizens.

Nonprofit Security Grant Program (NSGP)

The NSGP provides funding support to nonprofit organizations that are at high risk of terrorist attack and integrate nonprofit preparedness activities with broader state and local preparedness efforts. Additionally, the program is designed to promote coordination and collaboration in emergency preparedness activities among public and private community representatives, state and local government agencies, and Citizen Corps Councils.

Executive Summary

The NSGP improves and increases the physical/cybersecurity and facility/target hardening of nonprofit organizations’ facilities at risk of a terrorist of other extremist attack, ultimately safeguarding the lives and property of the American people.

There are two funding sources appropriated for nonprofit organizations: NSGP - Urban Area (NSGP-UA); and NSGP - State (NSGP-S)

NSGP - Urban Area (NSGP-UA)

NSGP-UA funds nonprofit organizations located within designated high-risk urban areas. Under NSGP-UA, each urban area will receive an allocation for nonprofit organizations within the designated high-risk urban areas.

Tennessee Housing Development Agency (THDA) will provide HOME funding under its HOME Rental Housing Development Program for the new construction and/or acquisition and rehabilitation of rental housing projects. 

Senior Center Capital Grants

The Department of Disability and Aging (DDA) is accepting applications for competitive grant funding for senior centers. The Tennessee General Assembly has provided $5 million to be distributed to senior centers throughout the state. The one-time funding is intended to support senior centers in providing older adults with access to resources, activities and social connection.

Senior centers are invited to apply for grant funding ranging from $5,000 to $50,000. The grant funding is encouraged to fund the following goals:

• Capital Projects, including building improvements and equipment

Agricultural Enterprise Fund

The Agricultural Enterprise Fund (AEF) is an incentive program that supports Governor Lee’s priority of job creation and economic development by facilitating agricultural development in Tennessee. It is administered by the Department of Agriculture in conjunction with the Department of Economic and Community Development.

The AEF awards grants to starting or expanding agricultural, food, and forestry businesses; nonprofits, local governments, and other entities in Tennessee, or those whose project will be located in Tennessee. The program focuses on value-added and processing projects that benefit other producers or forest landowners.

Successful grant recipients must demonstrate a strong potential for impact on local farm income, access to markets, increased capacity or agricultural innovation.

Project Categories

Projects funded by the Agricultural Enterprise Fund must match the description of at least one of the following four categories. Many projects will potentially match the description of more than one category and applicants should indicate so on their application.

The Arts Education Community Impact Grant, provided by the Tennessee Arts Commission, aims to enhance arts education through sustainable, community-driven initiatives. This three-year funding opportunity encourages partnerships among K-12 public schools, nonprofit arts organizations, and local agencies to address gaps in arts education. By emphasizing collaborative efforts and shared leadership, the grant seeks to create lasting systemic change, ensuring high-quality arts learning for all Tennessee K-12 students while supporting innovative projects and community engagement.

The Appalachian Landscapes Project Capital Grant, offered by the Open Space Institute, supports vital conservation initiatives aimed at preserving biodiversity and enhancing landscape connectivity. Established in 1974, the OSI has protected over 2.5 million acres in the Eastern US and Canada, focusing on land that ensures clean drinking water and wildlife habitats. This grant is specifically for projects within the Appalachian Landscapes Project service area, promoting sustainable community benefits.

The Lottery for Education: Afterschool Programs Grant Opportunity aims to enhance academic enrichment for Tennessee students. This initiative supports public and not-for-profit organizations that provide afterschool educational programs. Eligible applicants must offer services that complement regular academic curricula and address the needs of at-risk youth. With a focus on educational development, the program prioritizes those serving students aged 5-18 who qualify for free or reduced lunch or face educational disadvantages. Grant funds are intended to supplement, not replace, existing educational resources.

The Tennessee Housing Trust Fund Competitive Grants support the development and preservation of rental housing for low- and very-low income households, including the elderly and special needs populations. Eligible projects can receive funding between $100,000 and $600,000, focusing on those with incomes at or below 80% of the area median income. Priority is given to projects in rural areas and those serving the most vulnerable populations, ensuring access to safe and affordable housing.

Tennessee Office of Homeland Security

The Tennessee Office of Homeland Security (TOHS) has primary responsibility and authority for directing statewide activities pertaining to the prevention of and protection from terrorist related events. This responsibility includes the development and implementation of a comprehensive and coordinated strategy to secure the state from terrorist threats and attacks. Further, TOHS serves as a liaison between federal, state and local agencies, as well as the private sector, on matters relating to the security of our state and citizens.

Nonprofit Security Grant Program (NSGP)

The NSGP provides funding support to nonprofit organizations that are at high risk of terrorist attack and integrate nonprofit preparedness activities with broader state and local preparedness efforts. Additionally, the program is designed to promote coordination and collaboration in emergency preparedness activities among public and private community representatives, state and local government agencies, and Citizen Corps Councils.

Executive Summary

The NSGP improves and increases the physical/cybersecurity and facility/target hardening of nonprofit organizations’ facilities at risk of a terrorist of other extremist attack, ultimately safeguarding the lives and property of the American people.

There are two funding sources appropriated for nonprofit organizations: NSGP - Urban Area (NSGP-UA); and NSGP - State (NSGP-S)

NSGP - State (NSGP-S)

NSGP-S funds nonprofit organizations located outside of a Designated highrisk urban area. Under NSGP-S, each state will receive an allocation for nonprofit organizations in the state located outside of Designated high-risk urban areas.

The Rural Business Development Grants in Tennessee aim to support small rural businesses by providing essential technical assistance and training. With no maximum grant amount, priority is given to smaller requests, which can be used for various projects like training, land development, and community economic development. Eligible applicants include rural public entities and nonprofits, focusing on enhancing economic opportunities in rural areas. This program helps foster growth and sustainability for small businesses, benefiting the local economy.