A compelling, well-organized, and succinct letter of inquiry to describe your organization and programs to prospective funders is an essential document for all nonprofits. It should be 1 - 2 pages long, and each letter should be customized to meet individual funder requirements or requests.
A letter of inquiry (LOI) introduces your organization to a funder. It’s purpose is to provide a brief but persuasive overview of your nonprofits mission and programs. The funder should be able to relate to and be excited about the work.
Use these tips as a loose guideline for creating your LOI.
Open by explaining how your program is a best fit for the funders priorities
Describe your organizations history, vision and mission - be succinct
Provide the program overview in 1 paragraph - including intended outcomes and the budget
Include a statement of need which describes the problem you are solving, why your project deserve to be funded, and how funding will make a difference in your work
Explain how you will evaluate the program and how you will know if the program is a success. List specific activities.
Provide a statement about the program budget. Here you might also include the cost per participant and additional funding sources expected or applied for. If the 100% of board members have contributed financially to the program, or the organization carries no debt or operating deficit you should include this information as well.
Close by providing contact information, and offer to answer any additional questions. If you are including attachments, note them. Thank the funder for their consideration of your work.
LETTER OF INQUIRY TEMPLATE
Purpose. The purpose, or mission, of the organization.
Organization Profile. What it is and what it does.
Organizational Strategy. The approach the organization uses to achieve its mission (high level only, details not required).
Population Served. The primary persons served by the organization and their need for services (what problems you address).
Program Description. Snapshot of the program for which you seek support—what it seeks to achieve, for whom, and how.
Outcomes. What outcomes the program achieves for the persons served—changes in behavior, skill, knowledge, attitude, or situation.
Use of Funds. The exact purpose for which funds would be requested.
Contact Person. The name and contact details for the person who would submit a Grant Proposal, if approved (the Foundation will respond to this person and copy the author of the Letter of Inquiry, if different).
Website. The organization’s website, or the program’s if it has a separate site.