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Creating an annual report is essential for communicating to donors the impact of their contributions. Sandy Race, Chief Encouragement Officer at Get Fully Funded, suggests that for small nonprofits feeling overwhelmed, a simpler approach can be beneficial. Instead of lengthy, costly traditional reports, nonprofits can use a one-page annual report format, which resembles a large infographic. This format allows organizations to effectively showcase their achievements and what was made possible through donations in a concise, visually appealing way.