A letter of inquiry (LOI) is a short request that lets a funder decide whether to invite a full proposal. It saves time on both sides: you learn early whether there is a fit, and the funder reads a page or two instead of a full proposal. Here is what to put in it, how to check that the funder wants one, and how to replace the openings that make reviewers skim.
How long a letter of inquiry should be
Candid describes letters of inquiry as short, no more than three pages. When a funder sets its own limit, in pages, words or characters on an online form, that limit wins. Candid also advises including attachments only when the funder asks for them.
Short does not mean vague. The funder should finish the first paragraph knowing who you are, how much you are asking for, for what, and for whom.
Check that the funder accepts letters before you write
Many private foundations fund only organizations they invite. Before drafting, check two places.
- The funder's website: priorities, geography, grant size, what it does not fund, how to apply and any length limit.
- Its latest Form 990-PF: every private foundation files one. On current forms, Part XIV (Supplementary Information) gives application information on line 2, including a box the foundation checks when it contributes only to preselected organizations and does not accept unsolicited requests. Line 3 lists grants paid during the year and grants approved for future payment, with their purpose. Older returns number the parts differently, so look for the Supplementary Information section.
You can read 990-PF filings free on ProPublica Nonprofit Explorer, and check an organization's status on the IRS Tax Exempt Organization Search. The grants a foundation has made to organizations like yours show you a realistic amount to request. If the funder names a program officer and welcomes contact, a short call before you write helps. If it asks not to be contacted, respect that.
The six parts Candid describes
| Part | What it does | What makes it strong |
|---|---|---|
| 1. Introduction | Serves as the executive summary: your organization, the amount requested, the project, staff qualifications, evaluation and timetable | The amount and the project in the first two sentences |
| 2. Organization description | Short, focused on your ability to meet the need | One documented result, with its source |
| 3. Statement of need | The problem the project addresses | Local facts with source and year, and the gap in what exists |
| 4. Methodology | Main activities, key staff and objectives | Objectives a reader can check later |
| 5. Other funding sources | A brief sentence or paragraph | Honest status: secured or pending |
| 6. Final summary | Restates the intent of the project and thanks the funder | One sentence on the change you expect |
Weak openings and strong forms to adapt
Weak letters warm up instead of asking, and describe good intentions instead of checkable facts. Replace the bracketed parts with your own facts.
| Section | Weak form | Strong form to adapt |
|---|---|---|
| First sentence | We are a nonprofit that has helped our community for many years, and we would like to tell you about our work. | [Organization name] requests [Amount] over [Number of months] months to [main activity] for [who] in [where], so that [main result]. |
| Fit with the funder | Your foundation supports many worthy causes, and so do we. | This project matches your priority of [priority, in the funder's words] because [one specific reason]. |
| Need | The need in our area is enormous. | [Local fact] ([source], [year]). Today [what exists], which leaves [the gap]. |
| Objectives | We will make a real difference in people's lives. | By [date], [number or share] of [participants] will [change], as measured by [tool]. |
| Other funding | We hope you can fund the whole project. | The total project budget is [Amount]. [Source] has committed [Amount]; [Source] is pending. |
| Closing | Thank you for reading our letter. | [Restate the request and the change.] [Name] can answer any question at [email] or [phone]. |
Fill every figure from your own records or a named public source.
One letter, three kinds of funder
Keep the six parts and change the emphasis.
- Private and family foundations: fit with the foundation's stated priorities, in its own words, and your track record.
- Community foundations: local need, the area you serve, local partners and how the people affected shape the project.
- Company foundations and corporate giving programs: benefit to the communities the company cares about and any employee volunteering opportunity. Offer a simple thank-you, never advertising.
The Letter of Inquiry Kit includes all three versions in Essentials_LetterOfInquiry_LOI_TEMPLATE.docx, each built on the six parts above.
After you send it
- Log the date sent, and the funder's published decision timing if it gives one.
- Follow up only as the guidelines allow; a short, polite note is enough.
- If you are invited to apply, record the new deadline and start the full proposal from the letter, so the figures stay identical.
- If you are declined, thank the funder. If it offers feedback, ask for it and note what you learn.
General information: this guide is general information, not legal, tax or fundraising advice. No template can guarantee funding. Always follow each funder's own guidelines.
The Funder File is not affiliated with, endorsed by or connected to Candid, ProPublica or the Internal Revenue Service.
Sources
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