How To Write A Business Proposal In 12 Simple Steps
A business proposal typically consists of elements like:
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- Title page
- Table of contents
- Executive summary
- A project section
- Portfolio
- Cost page
Step #1: Research Your Audience
Writing a business proposal will be familiar territory if you regularly write blog posts. What both mediums have in common is the need to understand the audience and tailor the content to them.Ensure you have the following details about your prospect:
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- Goals and business objectives
- Pain points
- Communication preferences
- Timelines
- Budget
Step #2: Design A Title Or Cover Page
Your title page or cover page is the first impression of your business proposal. Including a cover page accounts for a 4.6% increase in conversion rate. Not bad for a low-content page! It should include the following elements:- Your business name, logo, and contact information
- The prospect’s company name, logo, and contact information
- Date of submission
- Title and description of the project
- Name of the person to whom you’re submitting the proposal
- Bonus: a testimonial from one of your customers
Step #3: Generate A Table Of Contents
According to statistics, business proposals generally span 11 pages and are organized into 7 sections. It’s time to leverage a handy table of contents page for easy access! Odds are that multiple people will be involved in the decision-making process at the prospect’s company. Including a table of contents lets your prospect quickly find specific information when needed. If you’re using Microsoft Word, you can generate this section by selecting the References tab and clicking the “Table of Contents” menu item. In Google Docs, click Insert, then select “Table of contents.” How you generate the table of contents section on proposal platforms may vary by software.Step #4: Write An Executive Summary
Your Executive Summary should briefly introduce the reader to your business and how you can help them solve their problem. This page, also sometimes called the Introduction, is the most read page in a proposal, so make sure it includes all of the necessary details that move the conversion needle. The summary should be written in a conversational tone, avoiding jargon and buzzwords as much as possible. Boost your credibility by listing your company’s qualifications, associations, and achievements in the form of badges or icons. Keep it at most half a page or about 200-300 words.Step #5: Outline A Problem & Solution
This is where you’ll outline the problem or opportunity your prospect has encountered. Use learnings from your audience research to create a tailored solution that meets their needs. Start with a description of the current situation, then connect it to a solution you offer. Highlight results from your past experiences and successes. You can make it about 400-500 words but balance the page with lots of white space. Use any of the following sales enablement elements in this section:- Past results in the same industry
- Estimated cost and time savings
- Projected outcomes
- Images or a video (using media may result in up to 41-72% higher conversion rates, respectively)
- Supporting data from the industry
- Reviews and testimonials
Step #6: Add A Portfolio Page
Including a portfolio of your past work is vital if you’re in the creative niche, such as graphic design, web design, or even content writing. Highlight only your best work related to your prospect’s project. You can include your portfolio as screenshots or add a link to where you host them. Some great external portfolio sites include Behance, Dribbble, Coroflot, and even Microsoft Sway. Ideally, showcase 3-6 portfolio items in your business proposal.Step #7: Create The Projected Deliverables & Timelines
The deliverables section should outline the timeline of how and when you will complete the project. Break it down by tasks, start dates, end dates, approval details, and total duration. Support your outline with a Gantt chart which will help decision-makers visualize how long the project will take and how much time each task needs. You can also include how often you will be communicating with your client, how long it will take to receive feedback, and how they should request changes. Make sure the timeline is realistic and consider any holidays or other events that may delay progress.Step #8: Provide A Cost Breakdown
No pressure, but this page may be one of the main deciding factors for your prospects choosing you. The cost page is the second most read page in a business proposal. You need to list the project's total cost and how it’s broken down.- Service or product name
- Item price
- Quantity
- Taxes
- Subtotal
- Discounts (Be very careful with this tactic - data shows that discounted proposals see a 23.6% LOWER close rate)
- Total cost
Step #9: Provide Your Terms & Conditions
This part is about protecting yourself, your business, and your clients. Include things like payment schedules, confidentiality agreements, allowed revisions, or warranty information. Add any costs that may arise due to a change in scope. This place is also where to mention how and when you expect to be paid - will it be on delivery? On completion of specific milestones? What happens if they miss a payment or terminate the contract prematurely? When I worked at an agency, we found the best length of the T&C section was about a page or a page and a half at most.Step #10: Add an About Us Page
The About Us page is where you can make a personal connection with the prospect. You can use some of the content from the About Us page of your website, such as the company history or mission statement. It’s a great chance to show how you and your team are the perfect fit for their project, so make sure to include a short bio of everyone involved. Add awards, certifications, or other relevant achievements for each team member. Listing their experience and individual strengths can help prospects visualize how your team will approach the project. Pro-tip: Adding a video to your business proposal can increase close rates by up to 41%. Simply face the camera, introduce yourself, and explain how you and your team can help the prospect and how excited you are to work with them.Step #11: Edit Your Business Proposal
On average, business proposals are viewed 7.1 times by prospects. That’s why it’s essential to pay special attention to the editing process and ensure that you hand over a flawless, professional document. Make a checklist for yourself to review:- Typos
- Grammar and spelling errors
- Formatting issues
- Terms, abbreviations, or jargon that may be unclear
- The details around costs