What to include in a letter of inquiry

A letter of inquiry (LOI) is sent by a nonprofit to a foundation or other entity that concisely introduces a funding need and asks if the foundation is willing to receive a full proposal. LOIs are a useful tool for both the nonprofit seeking funding as well as the funder. For the nonprofit, LOIs are much shorter than full applications. This means you can make a case for support without investing time in a full application process. For funders, LOIs allow them to screen organizations for eligibility, ensuring that their applicant pool includes only applicants who are eligible.

In your LOI, you need to demonstrate that your organization’s work aligns with the funding priorities of the grantmaking organization. And, you need to do so clearly and concisely, since LOIs are intended to be brief (typically aim for one to two pages on your organization’s letterhead, unless the funder provides guidance otherwise). Being clear is key. Instead of saying, “Our afterschool program benefits youth in our community,” be explicit: “Our afterschool program aligns with your funding priority of youth and families.”

What to include in your letter of inquiry:

• A brief history of your organization, including its mission
• The amount you’ll request if invited to submit a proposal, and the purpose of those funds: What problem is your organization working to address, and how will the requested funds contribute to that effort? Do your research in advance so the amount stated is within the typical range of grants (you can often find this information on the foundation’s website or by reviewing its 990s)
• A sentence or two about why this work aligns with the priorities of the foundation
• Contact information for a point person at your organization
• A copy of your organization’s 501(c)(3) determination letter
• Anything else that the foundation specifies (this might include a program budget or current board roster)

Tips:

• • If you’ve already raised some funds to date toward this program or project, include that information
  • Grant writer Stephanie Mathers has seen great success when organizations incorporate a photo or two into letters of inquiry to visually convey the heart of their organization

Keep it brief

All of that information needs to fit into one or two pages. Brevity is important, but it’s not always easy. If you’re struggling to be concise, think of your LOI as the jacket copy of a novel. It should hook the reader and make them want to read more. If your LOI is successful, you’ll be invited to submit a full application and you can go into details then.

Conclusion

When you send an LOI, your organization has the opportunity to make a positive first impression. Be brief, make it clear that your organization is a good potential fit, and compel the funder to invite you to submit a full grant proposal.