The Letter of Inquiry:
Your Opportunity to Make a Great First Impression
Grant writing is an essential tool for every nonprofit. Previous Topics of the Month have
covered the basics of Writing Effective Grants1 as well as developing a Grant Writing Cycle.
This paper will focus on what is often the first step in the grant writing process, the letter of
inquiry or LOI.
While you may be tempted to immediately send a complete grant proposal to a foundation,
many actually encourage or require organizations to submit a letter of inquiry as a first step in
the grant process. In fact, if you research a foundation, you may notice that most foundation
databases have an “initial approach” section wherein they outline the way in which the
foundation wants to receive information from the organization. In many cases, a letter of inquiry
is the preferred initial approach.
A letter of inquiry can be used as a way to introduce your organization to a foundation. This can
be particularly helpful if you are approaching a larger foundation or one that has multiple
program officers. The letter of inquiry will be routed to the appropriate program officer who can
then provide additional information about how their giving priorities may or may not be a fit with
your organization’s mission.
In summary, a letter of inquiry is your first – and possibly only – opportunity to capture the
program officer’s attention and demonstrate that your organization is an excellent match for their
funding priorities. It is therefore important to make an everlasting impact that shows a clear
picture of your organization.
Introduction
A letter of inquiry is similar in concept to a cover letter you would attach to a resume. As such, it
should be short, no more than one or two pages. It is also important to check the foundation’s
guidelines, as they may restrict a letter of inquiry to one page.
The letter should be written formally on your organization’s stationery and should convey a
sense of professionalism. A standard business formatting with date and address should be
used, as outlined in the example below. In addition, to the extent that you are able, ensure that
you are addressing a specific person, and avoid using “Dear Program Officer.” You can usually
find the name of the executive director or a program officer through an online search or by using
the Foundation Directory’s guide to online grant research.
1
http://www.cathedralconsulting.com/content/effectivegrants
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Example:
May 27, 2013
Ms. Susan Krantz
Cathedral Foundation
th
55 West 39 Street
New York, New York 10175
Dear Ms. Krantz,
Introductory Paragraph
The first paragraph of the letter sets the tone for rest of the letter. Before writing this paragraph,
it is good to think through what you want the reader to know about you, if they only read the first
paragraph of the letter. Therefore, the introductory paragraph should mention the name of the
organization, the main reason why the foundation’s funding priorities are a match with your
organization’s, and the reason why you are requesting funds. For example, if the foundation
states that they have a priority for working in disadvantaged communities, mention, “Our
organization exclusively serves disadvantaged communities, which are highlighted as a funding
priority for the foundation.”
Example:
On behalf of ABC Afterschool, a program that provides educational enrichment activities to over 800
Latino children and youth in the Mott Haven neighborhood of the Bronx, I am writing this letter of inquiry
to ask you to consider contributing to the expansion of the ABCWorks program. Just like Cathedral
Foundation, ABC Afterschool desires to enrich the quality of lives of minority groups, like Latino children,
in New York City.
Summary of the Organization
The second paragraph is used to tell more about your organization. You want the reader to
know about your organization’s mission, how long you have been operating, the total budget
size, and the number of people you serve annually. Finally, you should outline the different
types of programs you run in order to fulfill your mission.
Example:
ABC Afterschool is a non-profit organization in the Bronx that, through the use of basketball and
educational activities, inspires, teaches and coaches youth to recognize their potential and work toward
achieving their dreams. Started with three volunteers and two basketball courts in 1998, ABC Afterschool
has built off its initial success and expanded significantly over the past fifteen years. Now, the
organization runs eight different programs for youth ages 5-24. We serve more than 800 children yearround with a staff of 80 people. All of our programs incorporate service learning projects, educational
enrichment, and team building activities.
Demonstrate the Need
The goal of the third paragraph is to show the reader that your work is necessary, and that you
are the right organization to meet the need that you outline. This paragraph can be approached
in two different ways. First, it can be helpful to draw a picture of the context you are working in.
For example, in the case of an afterschool program, cite the graduation or literacy rates of
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children to demonstrate the need for extra education. For a food pantry program, provide data
on the number living below the poverty line in the neighborhood(s) you serve as a way to
demonstrate the need for your program in the community.
Second, this paragraph can show the reader how the organization made a difference in the past
and demonstrate its capacity to do even more work in the future. This can be accomplished by
highlighting the breadth and scope of your current programming, including the number served,
key benchmarks, such as increases in graduation rate or a reduction in the number of homeless
in your community, and by sharing a brief testimony of a client. As the writer of the letter you
can choose what approach fits better to your organization.
Example:
The Mott Haven neighborhood in the Bronx consists primarily of Latino and African-American families.
While these families are rich in history, culture and traditions, many lack access to basic needs. In fact,
the poverty level in this area is nearly twice as high as the rest of New York City (38%), and only 13% of
the youth finish college.
By giving children a safe place to play, learn and grow, we, just like Cathedral Foundation, believe we can
make a difference in the lives of the children of the Bronx. This year we saw 35 of our seniors graduate
from college, and 100% of our students got accepted at college. Our expanded ABCWorks program will
ensure that the children in our program who are now 16-18 years old will also graduate from high school
and have the opportunity to attend college.
Need for Resources
Once you gave a brief overview of you organization, the work you are doing, the results you had
so far and the context you’re working in, you are ready to present your need. Most foundations
want to know how much funding you need, what percentage of the total budget this represents,
and how this funding is going to make a difference in your organization. Make sure that you
review the foundation’s funding priorities, as many limit funding for general operations or capital
projects.
Be sure that you articulate why you need the money, how you are going to spend it, and what
results can be reached with the gift. Also include the specific amount of money you are asking
and highlight the fact that you have a full budget that can be provided upon request (or with the
full grant proposal). Review projects that the foundation has funded in the past and make sure
that your request for funding falls within the amounts that they typically donate. Make sure that
you do not ask for too much – or too little. In addition, if the foundation gives grants by
categories, make sure that you state the specific category or funding program for which you are
applying.
Example:
The ABCWorks program is one of the eight programs ABC Afterschool runs. In this after-school program,
we prepare youth in grades 11 and 12 for their SAT exams, college and scholarship applications, and
financial aid. In addition, the youth participate in an entrepreneurial project, where they learn different
practical life-skills that can prepare them to attain full-time employment.
Last year, 100% of our students graduated from high school, which is much higher than the average
graduation rate of 76% in the Bronx. Currently ABC Afterschool serves 63 students in the ABCWorks
program, but starting in September 2014 we want to add 40 more spots to the program. Therefore, we will
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need 1.5 FTE to assist the new students as well as additional sports and educational materials. Our
recent building expansion provides us with enough space to accommodate the extra students. We
estimate the cost of this expansion the first year at $30,000, and we would like the Cathedral Foundation
to consider supporting this project with a grant of $18,000.
Funding Plan
Most foundations want to know that they are not the only supporters of this project. In this
paragraph, you can highlight other support that you have obtained or the plan that you have to
raise the additional funds that are needed.
Example:
To date, we received a $5,000 grant for this project from the W.A. Smith Family Foundation, and we have
a proposal pending with the McKnight Foundation. We are also planning on raising an additional $5,000
from individual donors at a special event that is planned for this Fall.
Closing
You should close the letter with a call to action. This is either going to be a request to submit a
full proposal or a statement that you will follow-up directly with the organization. We recommend
calling or emailing the foundation within a week of submitting the letter of inquiry to ensure that it
has been received. At this time, you can also ask if they have any questions or comments. The
letter should be signed by one person, typically the executive director or board chair. It is also
important to remember to include your contact information, including phone and email.
Example:
We would welcome the opportunity to submit a full proposal to the Cathedral Foundation. I will contact
you within a week to answer any additional questions you may have. In the meantime, please do not
hesitate to contact me at Mary@ABCWorks.org or 212-123-4567 if you need any additional information. I
would enjoy the opportunity to meet with you to discuss how ABC Afterschool can be the outward
expression of Cathedral Foundation’s mission to serve youth in the Bronx.
Sincerely,
Mary Smith
Director of Development
ABC Afterschool
123 Main Street
New York, NY 11111
Follow up
Finally, do not forget to follow up within a week of sending the letter of inquiry. This is a great
opportunity to introduce yourself to the foundation and potentially connect with the appropriate
program officer. Also, remember that on average, only one in five letters of inquiry are
answered, so do not be discouraged if your first few letters go unanswered. If you do receive a
rejection, take it as an opportunity to call the foundation and ask why they rejected you. It could
be a simple matter of timing, or perhaps your request was too high, or the foundation’s priorities
recently changed. Information you receive from being rejected can often help you develop a
better proposal. It is important to remember that your relationship with a foundation is similar to
your relationship to a major donor. The letter of inquiry is simply the first step of beginning a
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long-term relationship. Please refer to Cathedral’s paper on the Grant-writing Marathon2 for tips
on how to incorporate a grant-writing program into your development initiatives.
Additional Resources
The following organizations provide online databases for foundation research. In addition, the
Foundation Center has a number of physical libraries that are open to the public and provide
free access to the online databases.
1. Foundation Center: www.foundationcenter.org
2. Foundation Search: www.foundationsearch.com
Kimberly Reeve is the Managing Director of the New York Office of Cathedral Consulting
Group, LLC, and Rachelle Bottenbley is an Associate in the Amsterdam office.
For more information, please visit Cathedral Consulting Group LLC online at
www.cathedralconsulting.com or contact us at info@cathedralconsulting.com.
2
http://www.cathedralconsulting.com/content/grant-writing-marathon
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