How To Write a Fundraising Proposal? Free Example
FEB 24, 2025 | LAST UPDATED ON FEB 24, 2025 BY ANGELICA NAIDU
A fundraising proposal is more than a bare minimum of just ticking the boxes or informing the reader. It comprises engaging the readers with your objective, making them find your story, cause, project, and organization compelling, and persuading them to fund it.
Hence, that is why it is a two-fold challenge. Now, you must be wondering why it is essential and how it helps.
A good fundraising proposal gains the trust of funders and sponsors, boosting the chances of successful funding. Additionally, it becomes the blueprint that showcases your vision, the possible impact of the project, and how effectively you will utilize the funds.
While the content of a fundraising proposal may vary from writer to writer or the target audience, the basic structure remains the same. Therefore, we bring you a comprehensive guide on “how to write a fundraising proposal” and help you tackle the two-fold challenge it brings.
This guide will explain what a fundraising proposal is, its purpose, and the approach to writing a winning proposal. It will also include the types of fundraising proposals, tips on writing compelling proposals, and free PDF templates. Let’s start.
Key Takeaways
- A Fundraising Proposal is a document that persuades donors and investors to invest in the project, cause, or organization after estimating their worth and potential impact.
- The proposal should comprise the project, the cause or organization’s plan, the scope of the project, and an executive summary.
- For a winning fundraising proposal, remember to provide a detailed history, a problem statement, a solution proposal, and an outline of your goals and solutions.
- The proposal should provide information on the project’s budget, the organization’s portfolio and capabilities, and the timeline.
- The proposal should comprise a strong Call to Action to improve the chances of success or approval.
- Creating a fundraising proposal is creative and fun. However, remembering and following a few tips and tricks can make all the difference in making your proposal successful.
A fundraising proposal is a document used by many nonprofit organizations, businesses, and individuals to seek funding or resources for a project, cause, organization, or event from potential donors, sponsors, or investors. It comprises detailed information on the reason for fundraising, goals, and benefits.
They allow funders, sponsors, or investors to trust the document and the cause, project, or organization listed in it. As a result, it also includes real-world examples of how an issue was resolved and portfolios/past projects.
A well-crafted proposal explains the need for financing. They also give the project a fresh breath of life by displaying the plan of action (POA) for the issue, purpose, impact, and how it will go with the investor’s goals.
It also informs potential investors of how the project aligns with their mission or ideology and how tangible its impact would be. Additionally, it tells the investors what you and your cause, project, or organization do, along with what you aim to achieve with the support of their funds or resources.
A well-written proposal also helps you build trust with the investors and gain their confidence, improving the chances of the proposal being successful. Now that we have learned about the fundraising proposal, let’s learn about the step-wise guide to writing a fundraising proposal.
Steps to Write a Fundraising Proposal
To write a winning, engaging, and persuasive fundraising proposal, the proposal should be detailed, precise, crisp, and engaging. That is why you need a detailed step-by-step approach to how to write a fundraising proposal. Here are the steps you must remember to ensure your proposal succeeds.
Step 1: Thoroughly Research Potential Donors
One of the essential steps to writing a successful fundraising proposal is to recognize and know about the target audience. Learn who your potential donors or sponsors are that will support your project, cause, or organization.
Understand what causes your potential donors care about. Go through their past donations and sponsorships to learn what type of programs or projects they have donated to. A thorough research will help you understand it all, build strong professional relations with them, and increase the chances of your proposal’s approval.
To build a donor database, you must
- Keep the lines of communication open with funders is essential to building lasting relationships. Ensure your regular communication comprises informal updates, newsletters, and even in-person check-ins.
- Consult the funders or sponsors regarding project directions or strategic choices.
- You can also talk with them about upcoming projects or difficulties encountered, fostering a cooperative environment where both sides feel appreciated.
- It would also inform you about their requirements or expectations from the organization, project, or cause in which they invest.
In addition, it will successfully help you align your proposal with their requirements. As a result, you can ensure that the purpose and objectives of your project, cause, or organization are met with their requirements, priorities, and interests.
Step 2: Create a Strong Cover Letter
A strong, interesting, and engaging cover letter is crucial to the fundraising proposal. It is the part where the donor or investors are introduced to the proposal and learn about your project, cause, or organization.
One important point to remember is that your cover letter should comprise a compelling opening statement. It should persuade the donor to become interested in your proposal or to know more about it.
The cover letter should outline your organization’s mission and history, your business or organization’s information, and brief details on what the donor expects from investing in the project, cause, or organization and how you plan to achieve it.
Step 3: Craft an Executive Summary
This proposal executive summary should include detailed information about the project or cause. You must inform the donors about the why of the project, clearly stating its importance and how it needs their time and money.
However, the information should be engaging, easy to understand, and straightforward. One easy way to do this is remembering that your summary should share a story instead of listing plain facts.
Moreover, you should talk about the project, problem, or the need you want to resolve succinctly and paint a picture with your words of a future that comes after resolving the need or problem. You should also give them an overview of your action plan, including how your solution will fix the problem.
Furthermore, you can learn what makes you and your project, cause, or organization stand out from the competition and how your team is the best choice to achieve an informed solution.
Step 4: Present Your Organization’s Background
This section of your fundraising proposal must include details about your organization’s background. You can inform the donor about your organization’s history, including when it was established and what projects it has done.
You should also write about the mission of your organization and the reason your organization was created. It should also include how your organization has ensured it remains true to its mission.
Additionally, you can write about how it will remain true to its mission in the future and what steps will be taken to ensure the same.
Lastly, this section should inform you about your organization’s impact from the time it was established to date. In addition, you can tell about how your desired impact led to the domino effect, bringing in other required or necessary changes in society or people’s lives.
Step 5: Define the Problem Statement
After providing detailed information about your organization, the next step is to explain and talk about the issue you or your organization will be addressing in detail. You can start by defining the problem and how wrong it is.
Additionally, you can talk about the possible causes of it happening and the consequences of it taking place.
You should use real-life stories, statistics, and infographics to make the information as humane as possible.
Once you’re done explaining the issue, explain why it is not too late to start tackling the problem or how you come into the picture. Your content should engage the funders or sponsors and make them feel empowered and emotionally connected with the issue.
Read more: How to write a rationale in project proposal?
How to write project justification?
Step 6: Propose a Solution
Now that you have addressed the issue and have put the limelight on it, it’s time to move on to the next step. The next step involves providing a solution.
For a better impact, start by talking about your solution. Explain the solution in detail, ensuring it does not bore out the funder. Inform the donors about your plan to tackle the issue head-on by going into the details and describing every aspect.
Tell him about the steps you will take to resolve the problem, your methods, and the resources you need for an effective solution.
Once done, tell them why your solution stands out and is the best possible solution to tackle the problem.
Use your research; past failed solutions, and examples of similar successful real-life projects. Remember to explain why your solution will be successful against the issue and not why other solutions failed.
Lastly, discuss your solution’s impact on society, people, or the environment and how significant that impact will be. Talk about how the situation will change after implementing your solution and the positive changes it will bring.
Step 7: Outline your goals and objectives
Now that you have provided the solution, it is time to introduce your goals and objectives. You might wonder why there is a need to deliver the goals and challenges separately, as they are the same. This is where you are wrong.
Goals and objectives are similar but not the same. While goals are the significant changes you want to achieve or make using your project, objectives are specific actions required to reach those goals.
Ensure that you follow the SMART Criteria while outlining your goals and objectives.
S (Specific – clear about what you want to do)
M (Measurable – allowing you to track progress)
A (Achievable – The goals are objectives are achievable and not fake promises)
R (Relevant – Make sure that they fit with the overall mission)
T (Time-bound – They have a detailed timeline)
For example, Your project aims to remove the taboo around mental health while providing information on the benefits of a healthy emotional state.
In this scenario, your goal might be to improve the mental of 1000 people in a year, irrespective of their economic background.
Subsequently, your objectives would comprise the following:
- detailed actions like opening five to ten mental health clinics across the city
- conducting 50 mental health counseling sessions across the city in a year
- providing free counseling sessions and medicines to 200 people belonging to lower-income groups
- And conducting 200 anonymous group therapy sessions across the city in a year so that people don’t feel alone in their fight for better mental health
Step 9: Showcase your Portfolio and Organizational Capabilities
It is time to show why your organization and team will be the best fit for this cause or project. At this stage, you can explain how your team’s right skills, experiences, and the ability to always see the tasks through will aid the project.
Start by speaking about your organization’s most significant wins since its establishment. Talk about the projects or actions that have made a significant impact or difference, along with the projects you had some success with.
While discussing the less successful projects, discuss how your team and organization utilized the learning in the following projects. You can also talk about some of your current projects, the stage they are at, and the success you’ve experienced with them.
Talking about some failed or less successful projects helps build credibility and trust with sponsors. However, ensure that your focus is on utilizing what you have learned to gain success in another project and not on failures.
Lastly, talk about your team members or the community members you work with and how their role has helped achieve success with the cause or project. Doing so will reflect on your or your organization’s collaboration skills. It will put you in the limelight, leaving a lasting impression on investors or sponsors
Step 10: Provide a detailed timeline
Explain how you will keep the project viable after the initial promotion days have calmed down in this step. In this stage, start by sharing your strategy for keeping the project financially and operationally feasible.
Your strategy might involve any number of ways, like collaborating with other teams or sponsors, managing the resources, receiving more funding, or ensuring the money from the project’s commercial activities is utilized back in the project. The key idea here is to ensure that you plan to keep running your project when the first round of funding has ended.
The second point would include your plan for evaluating the project and how you will warrant that your donors or sponsors have real-time updates on the project. Informing the donors about this step will cast an impression that the project will get your attention and that the donors will have the latest information on how their funds or resources have been utilized.
Step 11: Inform them about your Sustainability, Evaluation, and Reporting Plan
Explain how you will keep the project viable after the initial promotion days have calmed down in this step. In this stage, start by sharing your strategy for keeping the project financially and operationally feasible.
Your strategy might involve any number of ways, like collaborating with other teams or sponsors, managing the resources, receiving more funding, or ensuring the money from the project’s commercial activities is utilized back in the project. The key idea here is to ensure that you plan to keep running your project when the first round of funding has ended.
The second point would include your plan for evaluating the project and how you will warrant that your donors or sponsors have real-time updates on the project. Informing the donors about this step will cast an impression that the project will get your attention and that the donors will have the latest information on how their funds or resources have been utilized.
Step 12: Include a Call to Action
Now, all that is left is to provide a solid and strong call to action (CTA). Remember that it should leave an impact on the readers, your target audience, or the donors and sponsors you are presenting the proposal.
The CTA might involve information on donating the money, knowing more about the project, cause, or organization in detail, or setting up a meeting to discuss the proposal and charges. Remember to stress why their help is critical for the success of a project or cause and how it will bring a positive change.
Step 13: Proofread and polish your fundraising proposal
Now that you have created a CTA, proofread your proposal twice. Once done, then use tools such as Grammarly for additional help. Ensure the project has no grammatical, spelling, punctuation, or formatting errors.
Additionally, check that the information is accurate and consistent with the latest facts and figures. Furthermore, ensure that your font size and style are easy to read and catch the eye of readers or investors without seeming to be dull.
Best Practices for Writing a Fundraising Proposal
To write a winning fundraising proposal, you need to ensure that you follow a few do’s. They will help in keeping your proposal picture-perfect and help you stand out from the crowd.
Use Case Studies
Use case studies, real-life examples, statistics, infographics from research, or your portfolio. You can also use testimonials from your past works to build trust with your project, cause, or organization.
Provide an engaging executive summary
Always add a separate section for an executive summary. The content must include precise and crisp information in an engaging way that gives an overview of the project’s main activities, the changes they will bring, and why your organization or cause is the best chance to bring this change.
Use short, concise sentences
Keep your content concise and avoid unnecessary jargon to make relevant points. Ensure that your report is focused so the main message is not lost.
Avoid repeating the content and include the material or findings irrelevant to the project.
Focus on Pitching the idea
Remember to show experience and expertise while avoiding marketing and promotional activities, as a proposal is a pitch for an idea, not your organization.
Coherence and continuity
Ensure that the content is coherent and consistent with the flow. It will help maintain the logical structure of the proposal and the content written to support it.
Avoid introducing an idea without proper buildup or explanation, as it might negatively impact the cohesiveness of the proposal.
Sources
Cite your sources and the resources for your information, statistics, and research. Doing so will build credibility and trust of the audience with your proposal and ensure that your content is based on thorough research.
Time Management
Manage the time effectively to ensure that the proposal quality does not suffer.
Better Value for Money
Your proposal should offer a good ROI (return on investment) to the donor and collaboration of resources.
Viable Methodology accounting risks and assumptions
Ensure that your decisions are viable and risk-assessed, as donors don’t invest in proposals where the organizations fail to make informed and careful decisions.
Free Fundraising Proposal Template in PDF: Example & Template
Use these fundraising proposal templates to immediately compel the donors to donate their time, efforts, and funds to your cause or organization. It is possible only if your proposal is impressive, engaging, and consistent with the content flow and design.
But how can you ensure that your fundraising proposal contains all that? It is where the Super Proposal proposal software comes in. Available free of cost, you can create a state-of-the-art, immersive, and splendid fundraising proposal in just minutes using the Super Proposal.
Super Proposal lets users quickly draft and modify a professional fundraising proposal to suit their needs. The project outline, solution, timeline, budget expectations and justifications, complete project timeline, and other details must be filled out in the template.
You can download the complete proposal in PDF format with ease. You can also send it straight to the clients via email, saving time and giving the proposal a polished appearance.
Conclusion
In conclusion, you need to follow a step-wise guide for a winning fundraising proposal, and your project, cause, or organization gets the resources and funding it needs. Additionally, you need to employ the best practices to make your proposal stand out from the competition.
Creating a fundraising proposal may seem a tedious process at first. However, you can edit the proposal according to your requirements with Super Proposal’s free and pre-existing fundraising proposal template. You can also download the template and save the changes made as a new one.
So, what are you waiting for? Sign up now for a 15-day free trial without registering any payment method, and try out your favorite templates as much as you want to. With our state-of-the-art expert-curated proposal template, you can also book a demo to witness how easy fundraising becomes for you.
FAQs
What makes a fundraising proposal successful?
To make your fundraising proposal successful, you must design your proposal to align with the donor’s priorities and interests. You must thoroughly research your potential funders and focus on the executive summary and the project’s key goals and objectives.
Additionally, detailed and complete information about the budget and timeline, taking ownership of the project, and involving as much real-time data and examples as possible also make the proposal successful.
How long should a fundraising proposal be?
There is no fixed rule on the length of a fundraising proposal. It should be long enough to include all the necessary details and information concisely and engagingly. However, this usually means keeping the proposal 5 to 10 pages long, depending on the project’s complexity.
What are the most common mistakes in fundraising proposals?
The most common mistakes in fundraising proposals are lack of goals, inability to align them with fundraisers’ priorities, inadequate budget planning, ambiguity on goals and objectives, insufficient research, and not providing real-world data to support your claims.
Can a small organization apply for large grants?
Yes, a small organization can apply for large grants. However, it would have to research the grant requirements thoroughly and showcase that they can manage a large project.
Can I add images and charts to my fundraising proposal?
Yes, you can add images and charts to the fundraising proposal. Doing so, will make the proposal engaging and immersive and add credibility to your proposal and research.
What are the 3 C's of fundraising?
The 3 C’s of fundraising are competition, creativity, and consistency. Employing these three in your fundraising proposal will exponentially increase its chances of approval or success.
Increase your close rates today!
Secure every pitch that you make with Super Proposal. Craft winning proposals, share and track them on a single, comprehensive platform.
✓ 15-Day Trial. No Credit Card Required.
Recent Post
