Define "soft match" in terms of grant funding.

The term "soft match" refers specifically to non-cash contributions that can be utilized to meet the required matching funds in grant funding scenarios. This includes valuable resources such as volunteer time, donated services, or materials that are not directly funded but have quantifiable worth. By allowing these non-cash elements to count towards the matching requirement, grantors recognize the importance of community involvement and support.

This form of matching funding highlights the notion that not all contributions have to be monetary to be significant. It emphasizes the value of community investment in a project and reflects a broader understanding of the resources available to a project. By acknowledging volunteer hours or donated goods and services as a soft match, it facilitates organizations with limited cash on hand to still participate in grant opportunities, thereby encouraging a diverse range of projects and initiatives.

The other options represent forms of contributions that do not align with the definition of a "soft match". Cash contributions directly involve monetary resources, whereas liquidated assets and loans imply financial transactions that do not constitute non-cash support. Overall, the significance of a soft match lies in enhancing access to funding by recognizing a wider array of contributions, ultimately fostering greater community support for grant-funded initiatives.