A business proposal is a formal suggestion or plan from one party to another to buy, sell, partner with another or supply goods and services to them. There are many other terms that mean a business proposal, like a marketing as well as a grant proposal, one common factor of them all is that they require collaborative efforts to make them a reality. A business proposal is quite different from a business plan. Whilst a business plan is primarily put together to guide the formation and establishment of a new business, new business idea, business unit, strategic business expansion or extension, a business proposal on the other hand is designed to attract another party to get involved in the execution of a business plan, the business itself or the product and services the business has to offer. The other difference is that a proposal is made to address the needs of the targeted potential shareholder while a business plan addresses the needs of the business. The party to be addressed in the business proposal is therefore the customer. The following steps are instrumental towards the writing of an effective business proposal
The first step towards an effective proposal is to clearly identify and itemize its objectives so as to ensure the purpose of the proposal is not derailed. Specifying early the objectives of the proposal tells the customer exactly what you intend to achieve and whether or not they can identify with this objective. The objective laid down should be measurable, time bound, realistic as well as specific.
All the relevant information should first be gathered before beginning the process of writing it down. For instance, if you are preparing a marketing proposal, you will need to gather all necessary information about the market, your competitors, the product, suppliers and distribution information, customer demographics, consumer buying patterns, government policies affecting the market or the product etc. One should be able to address any concerns and issues that arise upon having the information before hand.
One should make sure that the information presented to the customer is validated because it shows how attentive to details one is. This is often the first step towards building customer loyalty and trust. One should make sure that any analysis, material, ratio used is examined accurately to make sure that what is presented is objective.
4. Sort and Group Your Information: Sort and group your information under relevant headings, titles and sub titles.
A business proposal is made upon assembling all the information collected and grouped under one final document. The last step generally involves properly categorizing all the information that you have obtained above to make it look presentable. Make sure that all the subtitles and titles are in the correct sequence.