Ask Jacquee: What are the elements of a needs statement? [Video]

What is a needs statement? 

A needs statement, also known as a problem statement, outlines how your organization will address a gap in your community.    

What are the elements of a needs statement? 

Three elements create a strong needs statement: 

1. Problem 

   Clearly define the problem or challenge your organization aims to address. Using data, explain why it matters, who it affects, and the magnitude of the issue.

   
   

2. Gap

   Identify the gap between the current situation and the desired outcome. Showcase how existing resources or interventions fall short of fully addressing the problem. Emphasize the urgency and the consequences of not taking action.

   
   

3. Solution

   Present your solution. Outline your strategic approach, objectives, and activities that will bridge the gap. 

   
   

How long is a needs statement? 

Unless there is specific guidance on character or word counts, we suggest that a needs statement should be at least one to three paragraphs long. 

Prepare your needs statement! 

Write your needs statement to help your organization become grant ready. Consider systemic or root problems to your organization's clients when explaining the community need. Cite and use reliable and relevant external data to prove your problem exists, and that your solution is viable.

Is your organization grant ready? 

We created the Grant Readiness Toolkit to help you pursue funding with confidence. Our toolkit equips nonprofit leaders to succeed at every stage of the grant writing journey with in-depth assessment questions, guided reflection, and a comprehensive checklist to prepare your organization for grant success. 

GET GRANT READY

Letter of Intent: Structure & Process

Discover how to structure and submit your letter of intent (LOI) to grant funders. 

Some funders require a Letter of Intent (LOI) as part of their grant application process, but not all LOIs are created equal. For some funders, the LOI is a form developed by the funder, with specific questions or prompts to follow. However, for others, there is less structure, and crafting an LOI from scratch can be a bit more nuanced.

An LOI is a fundamental document that formally communicates your nonprofit organization’s interest in a grant opportunity to a funder. It helps the funder evaluate your organization for potential alignment with their funding priorities.

In this blog post, we'll guide you through how to structure and submit a letter of intent, making sure you're grant-ready when it’s time to communicate with funders. Understanding how to craft an effective LOI can increase your chances of securing the funding your organization needs.

LOI Structure

Make a good first impression with a clean presentation on organizational letterhead. 

We recommend that you format your letter of intent as a one-page document. This ensures a simple and brief introduction of your organization to a funder. Consider your letter of intent an abbreviated version of a grant application. 

Break your letter of intent into four paragraphs that introduce your organization, outline your needs statement, present your impact and the outcomes you aim to achieve, and thank the funder for the opportunity to share your work.  

Introduction

Before diving into your request, introduce yourself and make your request: “We respectfully request the opportunity to submit a full proposal to _____ Foundation”.

Paragraph 1

Provide an overview of your organization. Share your mission and vision. 

Paragraph 2

Define your needs statement. A needs statement outlines the problem your organization aims to address and how it plans to address it. Your needs statement should clearly articulate the issue and use data to explain why it matters, who it affects, and its importance. 

Paragraph 3

Outline the desired outcomes your organization aims to achieve. Present your strategic approach and outline the program activities you’ll implement to solve the problem.

Paragraph 4

Close out your letter of intent by thanking the funder for the opportunity. Share your interest in engaging the funder and provide your contact information. Sign off sincerely! 

This concentrated approach will focus your letter of intent to include the most important information that a funder needs to know to begin assessing your organization for funding. 

LOI Process

Funders have a variety of approaches for considering and evaluating nonprofit organizations for funding that may change based on the size or structure of the funder. 

The LOI process requires intentional prospect research to identify funders, understand their interests, anticipate deadlines, and meet proposal requirements. The LOI process is a two-step process that funders use to gauge interest from nonprofits and consider if an organization is in alignment with their priorities before accepting a complete application. First, organizations submit a letter of intent; second, selected organizations are asked to submit a formal grant proposal. 

Research prospective funders and note if they have an established LOI process. We recommend sending letters of intent to foundations that do not list a formal application process on their Form 990. 

By submitting a letter of intent, you are articulating your interest in the opportunity to submit a formal funding request. 

There are several benefits to the LOI process: 

1. Relationship-building

This process allows your organization to build relationships with potential funders. Submitting a letter of intent is an excellent opportunity for your organization to introduce itself to a potential funder and provides a natural opportunity for an impact-driven discussion.

2. Time Saving  

Submitting a letter of intent requires less time and effort, which can support organizations with limited capacity. If selected to submit a formal grant request, you know that your organization is strongly aligned with the funder, allowing you to prioritize the best opportunities for your organization and not waste time on funders that aren’t a good fit.  

In conclusion, a letter of intent is a one-page document that introduces your organization to a funder and expresses your interest in submitting a formal grant request. This crucial document helps articulate your organization's mission, vision, and service to the community clearly and concisely, while allowing funders to determine whether your organization is a good fit for grant funding. 

Our team can help you prepare your letter of intent! 

Contact us to learn more about how we can help your organization become grant-ready.  

The Grant Writing Process

The writing process includes a series of simple, actionable steps. Applying the writing process to your grant writing will help your organization implement an easy and replicable proposal process. In this blog post, we’ll explore the grant writing process and offer insights on how to successfully implement it.

The Grant Writing Process

The grant writing process includes five steps: 

1. Research

2. Prewriting

3. Drafting

4. Revising

5. Editing 

Research

Thorough research is the first step in the grant writing process. Proper preparation will help you develop a strong grant proposal. 

Begin by carefully reviewing the funder's grant guidelines and application requirements to ensure you follow the funder's instructions precisely. This is a common grant mistake that is easily avoided. Inadequate research into the funder's guidelines and application requirements can lead to unsuitable proposals and missed opportunities. 

During your research, ask questions and request clarification from funders about aspects of the application guidelines or requirements. This provides an opportunity to connect with the funder while securing all the information needed to develop the strongest proposal possible. 

More broadly, it is crucial to understand the funder’s preferences to develop a proposal that aligns with their interests and priorities. 

Once you understand the funder’s guidelines, requirements, and preferences, you’ll be ready to begin the prewriting phase. 

Prewriting 

Prewriting is the second phase of the writing process. In this step, you decide on your funding request and structure your proposal. 

Begin this stage with a brainstorming session to determine your funding request. Consider your organization’s needs and programming in relation to the funder’s priorities. Reflect on your research to confirm that your request resonates with the funder’s interests. 

Once you have determined your funding request, develop an outline to organize your proposal. 

Creating an Outline

An outline provides the scaffolding for your grant proposal and ensures your funding request is thorough. 

We recommend that you begin your outline with the funder’s proposal prompts. Copy and paste each proposal prompt into a Word document. Then, consider how you might tell a story based on the order in which the funder requests information. 

Your outline should include a clear introduction, comprehensive needs statement, objectives, methods, evaluation plan, and budget.  

Once you have an outline, you can begin writing your first draft. 

Drafting 

Drafting is the third phase of the writing process, where you develop a powerful thesis and let your ideas flow freely onto the page. 

Before you begin writing, give yourself space to do so. Schedule time and find a quiet setting for writing to limit interruptions. This will allow you to put all of your focus into your writing. 

Begin to draft your proposal based on your outline. Write using plain language to ensure it is easy to read and understand. Break down your proposal into easily digestible sections using subheadings and bullet points to simplify complex topics. 

Utilize your boilerplate document to answer common grant prompts efficiently. Although you may be repurposing commonly used language about your organization, be sure your application remains authentic and speaks directly to the funder. The more you can connect your proposal with the funder's priorities, the more compelling your proposal will be.

Focus on progress over perfection and prioritize writing down all of your thoughts. Your first draft is a rough draft. It is a work in progress that you’ll continue to craft throughout the final steps of revising and editing. 

After completing a draft of your proposal, we recommend taking a step back before beginning revision. It’s important to allow yourself time away from your writing to revise with a fresh perspective. 

Revising

Revising is the fourth step of the writing process, allowing you to refine your proposal to improve its flow, clarity, and alignment with the funder.

Read your proposal and critically evaluate its structure and clarity. We recommend reading your proposal aloud. This will help you quickly identify confusing sentence structure and repetitive phrasing. As you read, mark up your writing with comments and suggestions. 

Rearrange, replace, and remove sections or unnecessary words. Cut the fluff and prioritize conciseness. 

Confirm that the information in your proposal is accurate. Errors and inconsistencies can harm your credibility and negatively impact your chances of receiving funding. 

Once your revision is complete, request approval from program staff to confirm the proposal reflects their work and aligns with their program objectives. Staff review can ensure the accuracy of your proposal. 

In addition, review that your proposal meets all application requirements for formatting, character, and word counts. 

Editing 

Editing is the fifth step of the grant writing process and is crucial to the success of your funding request. 

Begin by proofreading your proposal for spelling and grammar. This is a simple way to improve the professionalism of your request. 

Next, review your proposal for clarity and cohesiveness. 

Verify that your proposal adheres to all guidelines and requirements. 

Review your research and consider the funder's priorities. Does your proposal align with their unique goals and objectives? 

Request constructive feedback. It’s essential to improve your grant writing for the proposals you write today and those you will write in the future. Reach out for feedback from trusted colleagues to better understand how others interpret your proposal. Provide them guidance on what to look for in the proposal, including evaluating the clarity and conciseness of your writing. If available, provide the funder’s evaluation guidelines to your reviewers so they can provide feedback based on the criteria against which your proposal will be reviewed. 

Complete final edits to your proposal and proofread your final proposal. A well-edited proposal will allow you to submit your proposal confidently. 

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In conclusion, the grant writing process includes five steps: research, prewriting, drafting, revising, and editing. Breaking these steps down can help your organization navigate the process easily and efficiently. 

We understand the grant writing process can be challenging to navigate. Our team members at Bloom Grant Consulting are experienced grant writers. We offer a range of investment options, including leading all grant efforts as your contracted teammate, building grant programs from scratch, developing content, creating grant calendars, researching funders, and more. Contact us to learn more about how we can help your nonprofit Bloom.