A smiling man sits at a desk holding papers with a laptop open in front of him. Blue text on the image reads, “See How You Can Create a Winning Needs Statement,” with an arrow pointing to the right. The GrantWriterTeam logo appears at the bottom.
A smiling man sits at a desk holding papers with a laptop open in front of him. Blue text on the image reads, “See How You Can Create a Winning Needs Statement,” with an arrow pointing to the right. The GrantWriterTeam logo appears at the bottom.

How to Create a Winning Needs Statement for Your Grant Proposal!

There are a lot of moving parts in a strong grant application, but if there is one section that does the heavy lifting, it’s the needs statement. A Winning Needs Statement doesn’t just explain a problem. It sets the stage for everything that follows and convinces funders that your project truly matters and needs support now. Read on, GrantWriterTeam has a list of key elements you need to add to your Needs Statement.

What Is a Needs Statement?

The needs statement explains why your project deserves funding in the first place. It clearly defines a specific problem or gap in a community and shows how your organization plans to address it using grant funds. In short, it’s the “why this, why here, and why now” of your proposal.

Because the needs statement supports every other section of the application, it has to be focused and well thought out. A strong needs statement connects the issue directly to the people affected and outlines the concrete steps your organization will take to create change through the proposed project.

For example, imagine a school district experiencing a steady decline in literacy rates. If there are no existing after-school programs in a low-income area, a nonprofit might step in by offering targeted tutoring services. The needs statement explains that gap, who it affects, and why this solution makes sense.

Key Elements of an Effective Needs Statement

So how do you write a needs statement that actually strengthens your proposal instead of blending in with the rest?

Here’s what to focus on.

1. Zero in on one clear issue

Your organization may care about many challenges, but your needs statement should focus on one main problem. Be specific and direct. Using the literacy example, the issue isn’t “education in general.” It’s low literacy rates among students in a defined community and the lack of tutoring support to address it. Stay on target and avoid drifting into side issues.

2. Keep the funder in mind

Every funder has priorities. Take the time to understand what matters to the organization offering the grant and align your needs statement with those values. When your project clearly fits the funder’s mission, your proposal feels intentional instead of generic.

3. Support your case with data

A compelling story is important, but it’s the data that gives your argument weight. Use current, relevant statistics to show the scope of the problem and why action is needed. Local data is especially powerful.

For example:

  • Current literacy rates in the community

  • Trends over time within the school district

  • Comparisons to similar communities

  • Results from similar programs elsewhere

The more focused and recent your data is, the stronger your case becomes.

4. Add the human side

Behind every statistic are real people. Include quotes, brief stories, survey results, or feedback from the community you serve. This helps funders understand the real-world impact of the issue. Just remember, stories should support the data, not replace it.

5. Address the barriers and urgency

A strong needs statement doesn’t ignore challenges. It explains why the problem exists and what obstacles have prevented solutions in the past, whether that’s lack of funding, access, or resources. Then, show what could change if the project is funded and what’s at risk if it isn’t. Creating urgency helps funders see the consequences of inaction.

The Bottom Line

A strong needs statement can make or break a grant application. When it’s clear, focused, and backed by both data and real-world insight, it shows funders exactly why your project matters and why it deserves support. Taking the time to craft a Winning Needs Statement doesn’t just strengthen your proposal. It gives your project a clearer path from idea to impact.

About GrantWriterTeam

Are you a nonprofit or small business in need of some help? If you are searching for grants but are feeling overwhelmed, hiring a grant writer may be the perfect choice for you! Grant writers thoughtfully grant opportunities and consider the pros and cons of applying and the chance of success. Consider your writer an extension of your organization. They will coach you throughout the entire process and curate the project to fit your needs. Your grant-seeking success is our priority at GrantWriterTeam.

Disclaimer: There is no guarantee that grants will be awarded as a result of this information.