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What are you hoping to achieve with the sponsorship letter – specifically? What do you want the business to do? What are you using the sponsorship for and why does it matter? Before you write a sponsorship letter, you should know the answers to these questions.  Sponsorship letters should be specific and focused. If they are too vague or you don't know what you're seeking or why, they won't be very effective. Understand why you want to meet the goals. Sponsorship requests are more successful if they are accompanied with a sense of purpose or passion. Convince people why it's worth giving time or money to this cause, perhaps by telling them a story about how the cause has helped someone or the community Who might have a motivation to support your cause? Maybe there's a business owner who has a personal reason to support your goals. Or maybe there's a non-profit that's supported similar missions. Who has given to similar events? You need to research the field.  Make sure to include businesses or people on the list with whom you or others who work with you have a personal connection. Never underestimate the value of personal connections.   Don't overlook small businesses or those that don't have storefronts. They might be willing to give, too. Remember that you can play up the "local" angle. Hometown businesses often see an advantage in remaining connected to their communities. If you are working on a team, divvy up the businesses on the list and give each team member the task of contacting some of them, so each gets personal outreach. Sponsorship can take many different forms. Before you write a sponsorship letter, you need to determine what you're asking for.  Cash or in-kind donations are both possibilities. In-kind donations mean the business donates materials or products that can be used at the event instead of just giving money. Sometimes these take the form of services not tangible goods. Perhaps you are willing to take volunteer work instead of a product. Either way, you need to be very clear in what you're seeking - specifically. Often sponsorship letters will allow people to choose from different sponsorship levels. This allows businesses to give when they don't have as much expendable income as larger firms.  Decide sponsorship levels. You should clearly outline the different benefits achieved by different levels of sponsorship. People who give more should get more. An advertising banner, a public announcement about the company or sponsorship, and the company's logo appearing on a website or in promotional materials or programs are all examples of benefits you could offer. Don't ever address the cover letter to the generic “to whom it may concern.” That seems too impersonal.  Often, the proper person will be the person who runs the company's Human Resources Department or its CEO. You should call the company or look on its website and determine who handles sponsorships. Don't guess at this. To be effective, the sponsorship letter absolutely must be addressed to the right person. Get the spelling of their name and their title right. You should also figure out if the organization has a charitable giving policy so you don't waste your time and can align your request with the policy.
Determine your goals. Make a list of businesses. Determine what you're seeking. Determine what you're offering. Determine the name of the specific person who should get the letter.