A business proposal is a written document sent to a potential client to get a new project. In the document, the company willing to do the project outlines a plan and prepares a job quotation and if the client trusts the company and agrees to the terms specified, a business deal is made. Moreover, a business proposal shows the company’s capabilities and highlights the strength.
Some business proposals do not stand out among other proposals as it fails to deliver a clear message to the client. Hence to obtain new clients and projects a proper, well-written business proposal is essential. In the competitive market, companies send many business proposals and get no results. A planned, well-written business proposal will describe everything in details with accurate and precise information about the company willing to do the job.
Here are steps to write a planned, structured business proposal for the Client to pitch your idea.
The cover of the proposal
The cover is the first thing that your client will notice, so design it properly to make a good impression. It does not need to have colorful images, the color used should be mild, and the proposal should be written in a simple yet intricate language with sophisticated design to grab the attention of the client. The cover should consist of the following information:
• Project’s name
• Client’s name and contact number
• Company’s logo
• Company’s name and contact number
• The date of submission
In this segment, briefly introduce your company, the activities it is involved in, state the reason behind the company’s existence and mention all the unique selling propositions (USP) of a company.
A USP detects what makes your business unique, and why your targeted customers should choose your product/service among the available options in the market. Also, the USP can be a very effective tool for branding your business. Include all the products/services that your company offers to the clients even if it is not relevant to the proposal. This will show the diversity, capability, and reliability of the company.
Also, mention about the wonderful team who will be working on the project along with their educational background to gain confidence and trust of the potential client.
To ensure that you will prioritize the needs of the clients, share experiences of the clients you previously worked with to build trust. Highlight what differentiates your company from your competitors, mention the company’s accomplishments and awards received in the business sector.
Moreover, keep in mind to write a short and concise introduction. The length of the introduction should not exceed than half a page but may vary depending on the type of your proposal. Include what is important since adding unnecessary details will make your introduction unnecessarily long and monotonous to read. As a result, the client may not look into your proposal any further.
The executive summary is one of the most vital parts of a business proposal. It is an outline of the business plan, focusing on the main features of the business. This section will give a clear idea of the business activities and will provide the client with comprehensive details about the business operation for a fair valuation of the business.
The summary should be short and informative to engage the clients. Moreover, the executive summary converges on key factors only, this can help in the growth of the business. Arrange the highlights of the company in the order of importance to the client read about the important things of the company first which increases the curiosity of the client to know more about the company.
Write the summary with facts, figures, and statistics to ensure the credibility of your claim and engage the reader. People tend to decide based on the executive summary, so you need to avoid a monotonous tone in your writing.
Many companies submit business proposals without analyzing the budget of the work in advance. It is important to conduct market analysis to find the current market value. The estimated cost in the job quotation should be based on experience, market research and considering other important factors like -inflation.
Estimation of the budget will help the company to consider different changes in the market valuation to make sure they do not incur a loss. This also allows you to show the client a forecasted progress report for the project. Any fundamental business budget contains three main elements, they are- the projected total costs of the project, the number of workers needed and the time needed to complete the work.
Writing a job quotation with the value of the estimated cost is quite tricky. Try not to offer a lower price to get the project, offer a price that will be profitable for you after all the expenses incurred. Many companies have policies to include additional profit markup percentage on the actual cost. Make sure your company adopts such strategies to avoid loss.
However, no matter how much research you have done your competitors might offer lower prices. In such cases show your clients the value of your company in the market and the value you can add to their company. Lastly, if you think lowering your profit margins will not affect your business, try to negotiate the pricing.
To conclude a business proposal is the first step of securing any business ideal. The business proposal represents your company to the potential client hence it is like the foundation of getting new clients and projects. Business proposals simply tell the client why the company is the right fit for the project. This proposal shows the capabilities of the company and allows the client to take proper decision.
Also, if a business proposal lacks flexibility and transparency, the company is likely to lose a new client. That is why a good business plan is considered to be one of the fundamental elements of a successful business.