A handbook explaining the conditions under which government agencies and foundations make grants is presented, outlining a process for organizing such efforts to obtain support. The rationale for grant making is discussed. Steps in proposal development are: putting the idea into a project format by developing a project outline (statement of need or problem to be addressed, goals and objectives, plan of action, project design, or methodology, budget and personnel requirements, and title) and reassessing one's position; identifying potential sponsors; ascertaining sponsor interest (noting program purpose, stated program priorities, recipient eligibility requirements, type of activities eligible for funding, particular funding mechanism used, level of competition, availability of application forms or proposal guidelines, application deadlines and review cycles, and giving history); and preparing a full proposal (narrative, evaluation, budget, abstract, and appendices). Four helpful suggestions are: be creative in examining the applications of one's work; become thoroughly familiar with the agencies that are apt to support the work; review other work supported by potential sponsors; and explore the possibility of establishing relationships other than that of grantor-grantee. A bibliography offers information under the headings of announcements of government grant and contract opportunities, resources for identifying potential sponsors, and proposal development. (SM)