You know that report your team creates every year? The one that’s supposed to highlight all your hard work but ends up buried in inboxes or printed out and forgotten on someone’s desk? Yeah, that one.
Your annual report doesn’t have to be like that. It can actually be something people want to read. It can make donors feel good about giving. It can show impact without being dry or overly polished. And yes, it can still include all the important stuff your board wants to see.
If you’re about to create or redo your nonprofit’s annual report and you don’t want it to be boring, this is for you.
What a Nonprofit Annual Report Actually Is
This isn’t just a financial document. Or a slideshow of your year. Your annual report is how you explain what happened, what mattered, and who made it all possible.
It can be:
- A breakdown of your impact (with some numbers, yes)
- A way to showcase donors and say thank you without sounding generic
- Proof that you're transparent and trustworthy
- A reminder of your mission and why it still matters
- A tool to keep people engaged, or get new folks to care
Basically, it’s a report, but with heart.
Annual Reports vs. Impact Reports: Are They the Same Thing?
Here’s the simple version.
An annual report usually covers your whole year—finances, programs, goals, and general updates.
An impact report is more focused. It might zero in on one program, campaign, or time frame. It’s great for showing results and outcomes, especially to specific funders or stakeholders.
You don’t have to pick one. You can combine them. Make an annual report with a heavy focus on impact. Call it whatever you want. Just make it clear, honest, and readable.
Who’s Going to Read It?
Hopefully more people than just your executive director and one very dedicated donor.
The folks who are likely to care include:
- Donors who want to know where their money went
- Foundations doing their due diligence
- Board members who want to understand the big picture
- Corporate partners scoping out potential collaborations
- Volunteers who are proud to be part of your work
- People thinking about giving for the first time
Your job is to make sure that when they read it, they feel something. Clarity is good. So is purpose. But don't forget humanity.
How to Make Your Nonprofit's Annual Report Not Terrible
Start With Real People
Stories make numbers mean something. Start with someone whose life changed because of your work. Make it specific. Give them a name. Let them speak for themselves, if possible.
Structure it simply: what was hard, what happened, what’s different now.
End by zooming out—how does that story reflect the work you do all year?
Don’t Get Lost in Jargon
If you have to read a sentence three times to understand it, rewrite it. If you’re using phrases like “capacity-building” or “leveraging resources,” ask yourself why. You can probably say what you mean more clearly.
Say this:
“We trained 45 local leaders to run workshops in their communities.”
Not this:
“We increased community engagement capacity through leadership development initiatives.”
See? Better.
Let the Numbers Support the Stories
Once you’ve told a story, use data to back it up.
That might look like:
“Marco found a safe place to live through our housing program. He’s one of 212 people we helped find housing this year.”
Stats are helpful. They’re just not the whole thing. Use them with purpose.
Give People Something to Do
A report isn’t just about what happened. It’s a chance to ask for what’s next.
Say this:
“Give today and help another family like Marco’s.”
“Share this report if it inspired you.”
“Join us at our next volunteer day.”
Don’t assume people will figure it out on their own. Be specific.
And don’t save your calls to action for the very end. Sprinkle them throughout, right after the moments that make people care.
Common Questions About Annual Reports
How do I make a nonprofit annual report?
Start by gathering your stories, stats, and visuals. Organize them by theme or section. Write clearly, design thoughtfully, and check your facts. Then share it like it matters. Check out our guide on creating cool annual reports.
How do I write one that people will actually read?
Use plain language. Include real stories. Keep it short. Break up the text. Add clear section headings. Make it skimmable and human.
How do you organize a nonprofit annual report?
Structure it like this: Introduction, Mission Statement, Achievements, Financial Overview, Future Plans, and Acknowledgments. Use clear headings and add visuals to boost understanding.
What is the difference between an annual report and an impact report?
A nonprofit annual report gives a comprehensive yearly overview, including financials. An impact report zeros in on the outcomes of your programs, showing how you’re making a difference. But hey, nobody says you can’t create both in one document!
Read more: What is a Nonprofit Annual Impact Report?
What is typically included in an annual report?
You’ll want your mission, key achievements, financial statements, future plans, donor recognition, and CTAs. Think of it as your year’s highlight reel with a dash of number-crunching.
Download this resource we created for more info: The Guide to Annual Reports That Drive Engagement and Support
How long should an annual report be?
Shorter than you think. Aim for under 24 pages. If it feels like too much, it probably is.
Do I need a printed version?
Not necessarily. Digital is often easier to share and update. But a short printed version can be helpful for major donors, meetings, or events.
What’s the best format?
PDFs are easy to email. Flipbooks look nice online. A dedicated microsite makes it fun to engage with and to track views. Pick the format that fits your audience best.
Let’s Make Your Annual Report Shine!
You’re not just reporting numbers. You’re telling people what their support made possible. Do it with clarity, care, and your real voice.
Skip the corporate fluff. Lose the buzzwords. Focus on what matters. The people, the mission, the progress.
If you want help turning your stories and numbers into something polished and readable, we offer a two-week annual report design sprint that gets it done fast without losing meaning.
Or, if you’re more of a DIY type, grab our an Annual Report Template Kit and start building it your way.
Happy reporting!
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