How do I write a business proposal? What does it entail? – this is a question that most definitely many business startups have been faced with.
Being a success in business consists of many components of which the quality of product or service is just one of them.
A business proposal is aimed at attracting potential clients with what a company sells.
It is a document in either soft or hard copy form that explains product or service features, taking into consideration the lead’s needs and wants.
Basically, business proposals show how a company can help solve a customer’s specific problem effectively.
There is a lot to say about the types of business proposals but we won’t be delving very deep into that as our focus is channelled towards the business proposal itself. But let’s take a sneak peek.
TYPES OF BUSINESS PROPOSALS
They solicited proposals can be solicited and unsolicited:
-Solicited proposal is sent upon customer request and it can be formal or informal.
-Unsolicited proposal is sent out as a base test and, in this sense, is similar to a cold email.
How do you write a business proposal?
Let’s get into that right about now!
There is no conventional way to write a business proposal, so you may either compile it yourself or pick up a nice business proposall template, for example, on PandaDoc or Canva and twick it to your taste. But know that some relevant components must be included, which brings us to our steps.
SIX SIMPLE STEPS
1. Introduction
Here you should put your name, your company’s name, and a proposal title, for example “Catering Services Proposal”. It should provide your client with what sets your company apart from the competition, and reasons why it is the best vendor to undertake a job.
It needs to be comprehensive without being lengthy, one page or less would do. Don’t give out every detail about your company’s history and lines of business, because hey, it is only an introduction.
You can also include your company’s registered address, phone, email, logo, and the name of the prospect.
2. Table of Contents
After you have introduced your business, next you will want to create a table of contents. It is a common courtesy that you list all chapters and specify pages which will create an outline of what is expected.
And if you are sending an electronic proposal, you may want to make the table of contents clickable so the client can easily jump from section to section by clicking the links within the actual table of contents for easier access.
3. Executive Summary
Despite the word “summary,” this section is not a summary of your whole business proposal. Instead, this section should serve as your elevator pitch or value proposition.
Discuss your areas of expertise, similar problems you have solved, and the advantages you provide over your competitors all geared towards the benefits your would-be clients stand to gain.
This will definitely tell your clients that you understand them.
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4. Main Body/Project Details
This is where your potential client will understand how you will address their project and the scope of the work.
You will start by explaining in details your recommendations, solution, or approach to servicing the client,your goal being to let the client know that you are bringing something truly custom to the table.
Show that you have created this proposal solely for them based on their needs and any problems they need to solve. The level of precision is up to you and your client; however, it’s better to be as specific as possible.
5. Budgetaren’tre is no way around the fact that pricing projects isn’t easy or fun
After all, you need to balance earning what you are worth and providing value, while also not scaring away a potential client, or getting beaten out by a competitor with a lesser price.
Nevertheless, a budget or pricing section is an integral part of a business proposal, so you will want to prepare your pricing strategy ahead of time before getting into the weeds of any proposal writing.
There are times you might fear the fee might seem too high to your potential client,simply break out the individual components of the budget into sections—for-ins, dance, appetizers for 100 guests =#105,000;Wine =#150,000 etc. This will help prevent your overall fee from appearing too steep.
With these points in mind, once you have determined how to outline your pricing, you will list it out (you might even include optional fees or services) and the overall cost for the scope of work you’ve described.
Specify the exact sum and payment details. You can also include shipping terms, in case there is goods delivery.
An important aspect you shouldn’t forget is, “additional clauses”. If some details may vary, for example,you predict that some additional costs can occur during the agreement execution,do well to also mention them in this chapter.
6. The Concluding Chapter
Guess what? This is that chapter where you wrap up your offer mention the expected duration, payment methods,schedule,term’s and conditions of applicable.
This is what I call the “closing round” where you either nail it or fail it,sounds funny right? But I mean it. It is your last opportunity to make a compelling case within your business proposal—reiterate what you intend to do, and why it beats your competitors’ ideas.
Bonus step: Appendix (this is optional)
In case you want to share samples of your work or other relevant information.
In conclusion, don’t get confused,business proposals and plans differ greatly in both their purpose and their audience.
A business plan is all about you,as it provides details about your company’s strategy and demonstrates how you intend to grow.
While a business proposal is all about them. A business proposal is designed to sell your services to someone else.
Lots of companies offer free business proposal software and templates such as Proposify which you should check out.