Modern APIs are the secret behind many of the conveniences we enjoy today, from getting weather updates on our phones to ordering food online.
They are also a powerful tool for grantmakers who want to quickly and easily tailor their grantmaking system to streamline their processes, save time and resources, and scale with their needs. In this blog post, we’ll explain what modern APIs are, how they work, and how they can help you improve your grantmaking.
What is a Modern API?
An API, or application programming interface, is a set of rules that define how two pieces of software can communicate with each other. It is a technical handshake that allows one system to request pre-determined data from another system and get a response in a standardized format. For example, when you use Google Maps to find directions, you’re using an API that connects your browser to Google’s database of maps, locations, and traffic information.
APIs have been around for a long time, but they have evolved significantly over the years. Modern APIs are based on web standards and protocols, such as HTTP and JSON, that make them easy to use, secure, and interoperable. They can handle complex queries, large amounts of data, and real-time updates. They also follow best practices of RESTful design, which means they are organized around resources, use consistent methods, and have self-descriptive endpoints. This makes it easier for low-code and no-code developers to understand and use the API without needing extensive documentation.
Many platforms you already use for your grantmaking processes have modern APIs built in, such as your grant management solution that surfaces due diligence data from third-party sources within your GMS. By using these systems that provide modern APIs, you can access and exchange data across different applications, without having to worry about compatibility, formats, or versions.
How Do APIs Help Grantmaking Organizations?
By using software with modern API endpoints, you can tailor your system to enhance your grantmaking processes and outcomes. Instead of relying on a single system that does everything okay but nothing well, you can choose the best solutions for each function and connect them seamlessly through APIs.
Here are some of the benefits of using modern APIs for grantmaking.
Get data faster
With APIs, you can get data from external sources, such as Candid’s database of nonprofits and foundations, into your system with a few clicks. You don’t have to download files, upload them to your system, or manually enter data. You can also get data from your system to other platforms, without having to export or email files. These integrations help ensure strong data management and internal controls.
Improve data accuracy
The automatic transfer of data with APIs reduces the risk of human error, duplication, or inconsistency in your data. You can ensure that the data you get from or send to other systems is accurate, complete, and up to date. You can also validate and verify data, such as organization names, addresses, or tax IDs, using APIs that connect to authoritative sources.
Analyze More Data
With APIs, you can access and aggregate data from multiple sources and analyze it in real time. You can use APIs to create dashboards, reports, and charts that show your grantmaking performance, impact, and trends. You can also use APIs to automate workflows, such as sending notifications, reminders, or approvals, based on data triggers or events.
Streamline processes
Working with other systems that have modern APIs, you can simplify and standardize your grantmaking processes and make them more efficient and user-friendly. You can use APIs to integrate with other tools, such as email, calendars, or messaging, that can help you communicate and collaborate with your team, partners, or stakeholders.
Examples of APIs in Grantmaking
Many philanthropic organizations are already using modern APIs to get data faster and simplify their grantmaking processes. Here are some examples of how APIs can be used in grantmaking.
- Grantee Research: Candid is a leading source of information and data on nonprofits and foundations. They offer a range of APIs that can help you find and research potential grantees, track grants and outcomes, and automatically monitor news and staff changes for your records. For example, you can use the GuideStar API to get detailed profiles of over 13 million nonprofits, including their mission, programs, finances, and impact. Some grant management systems provide these APIs natively in the software, pulling the data without any work on your part.
If your organization re-grants funding, you can also use Candid’s Funding APIs to get comprehensive data on over 235,000 foundations, including their grants, assets, and giving priorities.
- Data Visualization Tools: Your grant management solution provides a variety of reports and dashboards, but when you want to compile your grantmaking data with other sources, it helps to use an API to plug into an external data visualization tool. For example, you could layer community demographic data over your impact data. These visualization tools can also make it easy to embed your charts and graphs into other applications, such as websites, portals, or presentations, and share them with your stakeholders.
- Grantmaking and fund accounting: Grantmaking and fund accounting are two essential functions of any grantmaking organization, but they often involve different systems and processes. You can use APIs to connect your grantmaking system with your fund accounting system and ensure that your financial data is consistent and accurate across both platforms.
Create a Flexible Grantmaking Ecosystem with Blackbaud Grantmaking
At Blackbaud, we understand the value of modern APIs for grantmaking organizations. That’s why we are committed to updating and enhancing our API endpoints and making them more accessible and user-friendly for our customers. We want to help you create a flexible grantmaking ecosystem that can meet your specific needs and support your mission and impact.
If you want to learn more about how Blackbaud Grantmaking can serve as the hub for your robust and flexible grantmaking organization, schedule a demo today. Check out our updated API documentation to see how you can improve data accuracy, analyze data faster, and streamline your processes.
