The business proposal is a document used by companies to show interest in offering goods or services at an attractive cost-benefit to the potential customer.
Typically,
The business proposal is used in B2B segments between companies that wish to enter into commercial agreements.
This document is not the company’s mere presence but the express communication of interest to the client. A business proposal is a complex document because it involves many variables. It should explain what the project will encompass, what you are going to do, how long the project is going to take, what materials the client must provide.
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What to Include
We describe some fundamental sections that you should include in an efficient business proposal. Also, we have created a possible structure for the document you are going to create. However, each proposal needs to be personalized. In addition to contemplating the client’s essential aspects, it will also be adapted to your business context.
Client goals
In this section, you can identify the customer’s primary objectives because, based on them, you can create the necessary steps to achieve them. By demonstrating that you know what he seeks to achieve, it is easier to propose solutions with which he agrees.
If you use this requirement, describe the possible goals that the customer is currently looking for and devise methods for achieving them. Consider elaborating and describing the benefits of the solutions made specifically for the customer to make the right decision.
Competitor search
The research work can be ample to deliver a more detailed and complete business proposal as possible. Therefore, you can extend research on the customer’s business to create a more comprehensive proposal. Most of the companies that receive the proposal do not provide information about their competitors and customers, and you can surprise your potential customer if you do this job.
Segment data
You can deliver timely information about the customer segment. For this, it is crucial to put yourself in his shoes and understand his needs. This way, you also develop the questions you would probably have to answer for the potential customer. It is imperative that the proposal completely meets their needs, so you can use this exercise to think like him.
Experiences and qualifications
If your goal is to provide services, it is essential to show your client’s professional experiences, qualifications, and differentials. After all, he can choose another company to help his business, businesses that may even have submitted a more attractive business proposal. So, think about adding to your proposal what is different about your business, what sets you apart from other companies.
In the current market, many companies are fighting for space. The ability to write a business plan can determine the success of many of them.
Remember: The proposal is the bridge that puts your business on the path to increasing the customer base.
It is fundamental in the business because it allows you to prospect, show your business, highlight your company’s qualities, and show the potential customer what he can expect from your business. In this case, it is not an exaggeration to say that a business proposal can define a competition. Similarly, a business proposal letter is also used for sponsorship which is a way to get funding for an event and incentivize the sponsor. Moreover, a proposal letter is also useful in formalizing the internal collaboration between different companies to achieve different goals.
Writing a Business Proposal Letter (Format)
There is no single formula, but there is a structure that can help you. Above all, proposals must be flexible. Therefore, you do not need to get all the details contained here, but you can adapt them to your business. You can start with an introduction, then describe the project’s details and other information you consider most important. Deepen the essential parts and leave the small and insignificant aside not to stretch the document:
A business header
The cover must bear the name (title) of your proposal. It is also ideal for containing the company’s name to send it, preferably with the logo. Remember that it is essential to show that your proposal is personalized. The header must bear the name (title) of your proposal. It is also ideal for containing the company’s name to send it, preferably with the logo. Remember that it is essential to show that your proposal is personalized.
Address the recipient
Starting straight away with project details is considered unprofessional without addressing them appropriately. It needs to be short and friendly, just enough to encourage the reader to stay interested in the proposal or get in touch.
For example, you can begin with something like,
“Dear Mr. ABC
I would want to start by congratulating you on starting up a learning institution.”
Relevant background details
Describe your business, show what you do for your customers, your relevant work, and the value your company can provide. It is essential to demonstrate knowledge about the business at this stage to show that your company understands the sector in which the potential customer is and its difficulties. Also, it is essential to show that you also know the benefits and paths for the future of the client’s business.
For example,
“In our firm, we make sure that your services are known far and wide. We use print media, Televisions, radio, billboards, and the Internet to make it work for you.”
Define the proposal
Demonstrate how your company can help the customer’s company. It is essential to convince him; therefore, demonstrating the interest of both is essential. You are offering a service, and your client will invest in the future. Also, ensure that the proposal presentation is focused on him, based on the studies and research he has carried out. It is essential to show that your solution is good for the customer’s sector or segment but customized for his company.
For example,
“We propose a $2300,00 investment to continue our current aggressive expansion while providing outstanding returns to your company. We are willing to offer a 15% return on your investment over the next seven years.”
Supporting documentation
The proposal section is an overview of the customized solution that your company has created for the potential customer. However, the services or methodology section is indicated to address the details of that service. Anticipate their questions and guide them through the process to let them know what they are getting the opportunity to hire. Describe what results they can expect and when they can achieve those results.
A schedule that combines deliveries with expected dates makes your document more visually appealing, and the information is more scannable. Create a price card that identifies each product or service and combine it with the most accurate pricing information you can provide. Responsive rate cards allow potential customers to check the services they think they need and calculate their total cost. In this way, you allow your customer to personalize the service contract and that none of you must worry about errors when making numerical calculations.
If you find it convenient for your job, insert warnings, disclaimers, and other critical conditions about your business proposal. It is critical in some lines of business and can be helpful in others. You can also include what you cannot deliver to exempt the business from possible customer orders.
Here is how to issue a warning like this:
“[Your company name] will take care of all technical problems involving [the only specialties you serve]. We reserve the right to charge additional fees for implementing an issue that is not listed above.”
However, take it easy: if you put too many warnings, the customer may be frightened and believe that he may have more problems than solutions. You need to express yourself in the right way, defending your business but bringing value to the customer. That is the art of writing a business proposal.
Finally, enter the schedule, logistics, prices, and other data regarding delivery. If you want, add information and testimonials from satisfied customers and contact them if the prospect wants an opinion on your business.
| Service | Quantity and Duration | Cost |
|---|---|---|
| SEO | 12 keywords over 3 months | USD |
| Inbound Marketing | 3 months | USD |
| Outbound Marketing | 3 months | USD |
| Report | Weekly | USD |
Include a follow-up request
The follow-up must be considered from the beginning of the business proposal so that there are no bottlenecks in its negotiation wake, say. This way, your client enters a funnel that contemplates the resumption of contact and the negotiation monitoring.
Often, companies receive proposals in the hustle and bustle of everyday life and fail to give them due attention.
Conclusion
The final part of the proposal is also essential and cannot be ignored. After writing down all the essential details, it is now time to re-emphasize the results you intend to offer to the prospective customer’s business. Briefly reinforce the problem identified and the possible solution.
Strikingly finish the text, with a good sentence and with your business contact details. It needs to be a call to action (CTA).
Here is an example:
“We reaffirm our commitment to solving the [problem the customer faces] with [the solution offered]. We will be implementing our project through [implementation method] in [time]. Contact us right now to work on our business agreement.
Telephone number]
WhatsApp: [number]
E-mail: [address].”
Professional Business Proposal Samples
Business Proposal Letter for Marketing Services
Dear Mr. XYZ,
I would want to start by congratulating you on starting up a learning institution. It is a brilliant idea and a business venture that can bring in millions of dollars a year in year out. However, you must be aware that it can quickly turn out to be just another college without enough marketing. Make it an extraordinary college by trusting our firm.
In our firm, we make sure that your services are known far and wide. We use print media, Television, radio, billboards, and the Internet to make it work for you. Please allow us to make you a leading college; known in every corner of the world. Previously, we have worked with ABC institute and helped them in achieving their goals.
We reaffirm our commitment to solving your marketing problems with our time-tested marketing strategies. We will be implementing our project in 2 months. Contact us right now to work on our business agreement.
Telephone number]
WhatsApp: [number]
E-mail: [address]
ABC Marketing
Business Proposal Letter for Sponsorship
Dear Mr. XYZ,
With this proposal letter, we would like to invite you to be one of the sponsors for our upcoming charity event. We are hosting a fundraising event for underprivileged children, and we would like XYZ to be a part of it. Different sponsors are coming in through our NGO to ensure the success of this event. Now, our confirmed list of sponsors is attached.
We intend to raise enough funds to feed approximately 100 underprivileged children and provide them with a joyous Christmas this year. It is an annual occurrence. Your sponsorship includes some advertising space on event banners and mailers.
We look forward to an affirmative response of sponsorship from you to make this event successful. Please contact us on our official number for further information.
Yours Sincerely,
XYZ
Business Proposal Letter for Retailing
Our company has embarked on an ambitious initiative to raise brand awareness, and we have already seen some promising results. We are triumphant of these achievements and have reached a critical juncture in our development.
We propose a $2300,00 investment to continue our current aggressive expansion while providing outstanding returns to your company. We are willing to offer a 15% return on your investment over the next seven years.
We are sincerely your company for being a part of our success story. We continue to believe that developing and maintaining mutually beneficial business relationships is the key to success. Notify us if you require any extra details or information or if you have any questions. We are grateful for your assistance.
Sincerely,
XYZ
Tips for a Compelling Proposal Letter
Doing analysis and gathering information is only the first step. You have to know how to present a business project in a way that arouses interest among investors. If you are not sure how to present an attractive business proposal, here are some tips:
- Simplify the content- Avoid the use of technicalities and complex expressions. The important thing is to convey why your idea can be successful in the market.
- Short length- On average, a business plan is typically around thirty pages long. Include only the most relevant data to describe your project and its growth possibilities.
- Measurable objectives- The evolution of your company must be subject to variables that you can measure. It includes data-driven objectives so that you can confidently verify that they are being met.
Final Words
A business plan comprehensively collects all the details of the company you intend to launch. Include information on what you are going to sell, your company’s organization chart, its promotion plan, and the planned financing channels. For businesses, who work with a small number of customers, a well-crafted business proposal can completely change your business level.
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