What Is a Letter of Inquiry?
A Letter of Inquiryoften abbreviated as LOI, also called a Letter of Intent or a PreProposalis a short, formal document that introduces your organization, outlines a project idea, and asks a potential funder if they would be interested in receiving a full proposal. It is typically limited to one or two pages and is used before a more detailed application.
The primary purpose of an LOI is to save time for both the applicant and the funder. By screening projects early, a funder can decide whether the concept aligns with its priorities, and you can avoid spending weeks preparing a full proposal that may never be read.
When to Use an LOI
- Grantmaking organizations: Many foundations require an LOI before accepting full proposals.
- Corporate sponsorships: Companies often want a succinct overview before committing marketing resources.
- Government agencies: Federal and state programs may have a twostep submission process.
- Partnership opportunities: When seeking collaboration with other nonprofits or academic institutions.
If a funder explicitly asks for a full proposal without an LOI, skip the LOI and follow the stated guidelines.
Key Elements of an Effective LOI
- Header & Contact Information
Include your organizations name, address, phone, email, and the date. List the funders contact person and address, using the correct title. - Salutation
Address the specific individual (e.g., Dear Dr. Smith). Avoid generic salutations. - Opening Paragraph The Hook
State who you are, the name of your organization, and a onesentence summary of the project. Mention the amount of funding you are seeking, if known. - Organizational Overview
Briefly describe your mission, history, and credibility (e.g., years in operation, notable achievements, IRS 501(c)(3) status). - Problem Statement
Define the need you intend to address. Use concise data, a compelling anecdote, or a recent study to illustrate urgency. - Project Description
Outline goals, objectives, activities, timeline, and expected outcomes. Show how the project aligns with the funders priorities. - Budget Summary
Provide a highlevel budget (total cost, amount requested, and any matching funds). Include a simple table if space permits. - Evaluation Plan
Explain how you will measure success (e.g., metrics, data collection methods, reporting schedule). - Conclusion & Call to Action
Reiterate appreciation, request a meeting or indicate you will follow up, and provide your contact details. - Signature
End with a professional closing, your typed name, title, and an electronic signature if submitting electronically.
Formatting Tips
- Keep the LOI to **one page** unless the funder permits two.
- Use a standard, readable font (Arial, Times New Roman) at 1112pt.
- Set 1inch margins and singlespace the text; add a blank line between paragraphs.
- Label each section with bold headings for easy scanning.
- Proofread for grammar, spelling, and factual accuracy.
Sample Letter of Inquiry
April 12, 2026
Jane Doe, Executive Director
GreenFuture Youth Services
123 Oak Street, Suite 200
Springfield, IL 62704
(555) 1234567 | jane.doe@greenfuture.org
Ms. Emily Hart
Program Officer, Community Health Grants
BrightFuture Foundation
500 Pine Avenue
Chicago, IL 60601
Dear Ms. Hart,
GreenFuture Youth Services is seeking a $25,000 grant from the BrightFuture Foundation to launch Healthy Streets, a summer program that will provide 150 atrisk teens in Springfield with nutrition education, outdoor exercise, and mentalhealth counseling.
Founded in 2008, GreenFuture has served more than 8,000 youth through afterschool and summer programming. Our mission is to empower young people to become healthy, confident leaders in their communities.
Recent data from the Springfield Health Department shows a 23% increase in childhood obesity rates over the past five years, with lowincome neighborhoods experiencing the highest spikes. Without timely intervention, these trends threaten longterm health outcomes and increase community health costs.
The Healthy Streets program will:
- Deliver 12 weekly, 90minute workshops on balanced meals, physical activity, and stressmanagement.
- Partner with local gyms and dietitians to provide handson experiences.
- Track participants BMI, fitness levels, and selfreported wellbeing at program start, midpoint, and conclusion.
We project a total program cost of $45,000, with $25,000 requested from BrightFuture and $20,000 secured through municipal grants and corporate inkind donations.
Evaluation will be conducted by our research partner, Midwest Public Health Institute, and results will be shared with funders through quarterly reports and a final impact brief.
We would welcome the opportunity to discuss this project further and can provide a full proposal upon your request. Thank you for considering our inquiry.
Sincerely,
Jane Doe
Executive Director, GreenFuture Youth Services
Common Mistakes to Avoid
- Being too vague: Funders need concrete numbers and clear outcomes.
- Ignoring guidelines: Always follow the funders word count, format, and submission method.
- Using jargon: Write in plain language that a nonspecialist can understand.
- Overpromising: Set realistic goals; failure to meet them harms future credibility.
- Neglecting alignment: Show explicitly how your project matches the funders stated priorities.
Next Steps After Sending an LOI
- Confirm receipt: If you dont receive an acknowledgement within a week, send a polite followup.
- Prepare for a full proposal: Have a detailed budget, logic model, and letters of support ready.
- Stay organized: Track deadlines, requested documents, and any feedback received.
- Maintain relationships: Even if the funder declines, thank them and ask for suggestionsfuture opportunities may arise.
