HI Michelle,
Excellent question that may be relevant for many potential organizers!
There is three categories of funding I would suggest they could consider:
1. relevant local funding: this is usually very advisable to consider. Whenever you can find local funds from governments etc, it will help the group develop also more long term relationships. Think about heritage organizations, tourist boards or even companies willing to sponsor a prize.
2. WMF funding. This will depend on their affiliate status within the Wikimedia movement. See
this page for a full overview. The
rapid fund is probably what you're looking for, with relatively low requirements and a maximum funding amount of $5000. I see there's a new timeline and this means that the deadline to submit grants is July 1 (the September 1 deadline will be too late for WLM).
3. WLM minigrants. Up to a few hundred dollars, the WLM international team has limited ability to fund local organizers with basic prizes, events. The idea behind this is to have even faster turnaround times, and also help groups that want to apply below the minimum amount of $500 that the WMF has set. Sending a quick email with a brief description of what you're looking for and want to do, is the way to go.
Hopefully this is helpful. I'm sure a member of the international team would be able to give more information in the group 3.
Lodewijk