Before most foundations even look at a full grant application, they ask for one thing first: a Letter of Inquiry (LOI). Get the LOI right, and you earn an invitation to apply. Get it wrong, and the door closes before it ever opened. This guide walks you through exactly what an LOI is, what to include, what to avoid, and how to make yours stand out.
A Letter of Inquiry (also called a Letter of Intent) is a brief, introductory document you send to a foundation before submitting a full grant application. It's your first impression — typically 1 to 3 pages — and its only job is to answer one question: Does this organization align with our funding priorities? Think of it like a cover letter for a grant. You're not asking for money yet. You're asking for permission to ask. Many foundations — including PNC, Wells Fargo, and others — require an LOI before they'll share their full application. If you skip this step or submit a weak LOI, your application never gets reviewed.
Community foundations
Local and statewide community foundations that fund organizations serving their region.
Corporate foundations
Bank foundations, Fortune 500 giving programs, and other employer-sponsored philanthropy.
Private foundations
Family foundations and donor-advised funds that require a screening step before reviewing a full application.
Federal and state agencies
Some use a similar "pre-application" or "concept paper" process. If the foundation's website says "submit a letter of inquiry" or "contact us before applying," that's your signal. Always comply — foundations that require LOIs will disqualify cold applications.
- 1
Your Organization (2–3 sentences)
Who you are, when you were founded, your mission, and your 501(c)(3) status. Keep it tight. Example: Community Faith Wealth Mission is a 501(c)(3) nonprofit based in Cherry Hill, New Jersey, founded in 2022. Our mission is to empower underserved entrepreneurs and communities through financial literacy education, grant readiness training, and faith-based business development.
- 2
The Problem You're Solving (1–2 paragraphs)
What gap exists in your community? Use data where possible. Be specific about who is affected and how. Example: In Camden County, NJ, fewer than 30% of small business owners have access to formal financial literacy education. Many aspiring entrepreneurs — particularly those from low-income and minority communities — lack the foundational knowledge to access capital, build credit, or write a business plan. Without intervention, this cycle of financial exclusion continues across generations.
- 3
Your Proposed Program or Project (2–3 paragraphs)
What will you do with the funding? Name the program, describe the activities, and explain the timeline. Be concrete — "we will host 4 financial literacy seminars serving 100 participants over 12 months" is better than "we will educate the community."
- 4
Who You Serve (1 paragraph)
Describe your target population: age range, geography, income level, and how many people you expect to reach. Funders want to know their investment will touch real people.
- 5
The Funding Request (1–2 sentences)
State the amount you're requesting and what it will fund. Be specific. Example: We are requesting $25,000 to fund our Financial Literacy for All program, which will cover facilitator costs, materials, and participant scholarships for 100 community members over the next 12 months.
- 6
Why This Funder (1 paragraph)
Show you've done your homework. Mention the foundation's stated priorities and explain why your work aligns. Foundations can tell when you've copy-pasted a generic LOI — and they don't like it. Example: We are reaching out to the Wells Fargo Regional Foundation because of your commitment to advancing economic opportunity in underserved communities across the Mid-Atlantic region. Our work in Camden County directly supports the financial resilience goals you have outlined in your 2025–2026 grantmaking priorities.
Your full budget
Save the detailed budget for the full application. LOIs only need the total dollar amount requested.
A long organizational history
Two sentences max — this isn't your annual report. Grantors want to see your mission and credentials, not a timeline of your founding.
Jargon or acronyms
Write for someone who has never heard of your organization. Every acronym should be spelled out; every term should be defined in plain language.
Attachments (unless requested)
Most foundations want a clean, self-contained letter. Don't add 990s, board lists, or financial statements unless the foundation explicitly asks.
Urgency or desperation language
"We desperately need this funding" raises red flags. Write from a position of confidence and alignment — you're a strong candidate, not a last resort.
Length
1–3 pages, single-spaced, 11 or 12pt font.
Format
PDF or Word — check the foundation's preference before submitting.
Tone
Professional but warm — not stiff, not casual. You're starting a relationship, not writing a legal brief.
Header
Your organization's name, address, and contact info at the top of the first page.
Closing
Sign with your name, title, email, and phone number. Make it easy for the program officer to follow up.
Follow up in 2 weeks
If you haven't heard back, a brief, polite email is appropriate. Keep it short — just confirming receipt and expressing continued interest.
Keep records
Log the date submitted, contact name, amount requested, and any response you receive.
Track your LOIs in a grant calendar
Missing a response window can cost you an invitation to apply. Set calendar reminders for follow-up dates and decision windows.
If declined
Thank them for their consideration and ask if you may reapply in the future. A gracious response preserves the relationship for next cycle.
Length
LOI: 1–3 pages | Full Application: 10–30+ pages
Budget detail
LOI: Amount only | Full Application: Line-item budget
Attachments
LOI: Usually none | Full Application: 990, financials, board list
Purpose
LOI: Screen for fit | Full Application: Evaluate your proposal
Timeline
LOI: Before application | Full Application: After LOI is invited
Community Faith Wealth Mission has used the LOI-first strategy to open relationships with some of New Jersey's top foundations — including PNC Foundation and Wells Fargo Regional Foundation. This approach respects the funder's time, demonstrates professionalism, and creates a relationship rather than a transaction. If you're ready to submit your first LOI but don't know where to start, our Grant Ready E-Book walks you through every step — from researching funders to writing your first draft. And if you'd like hands-on coaching through the grant writing process, book a one-on-one consulting session with Dawn Hardwick — 35+ years of experience, including 5 years of active grant-seeking for CFWM itself.