A business proposal is a written offer from a seller to a prospective sponsor or client). It is a document that helps businesses earn clients and partners by describing their service and product offerings. Business proposals are often a key step in the complex sales process, whenever a buyer considers more than price in a purchase). A proposal puts the buyers requirements in a context that favors the sellers products and services, and educates the buyer about the sellers capability to satisfy their needs).
There are three distinct categories of business proposals):
- Formally solicited: These types of proposals are made when a private firm, government agency, or association negotiates to supply a service or product to a single company and when a company has excellent credibility and a track record of achievements. The standard format for this type of proposal consists of...
- Informally solicited: These types of proposals are submitted to a prospective client who has not requested a proposal. They are generally considered the easiest to write and are used to establish an initial contact.
- Unsolicited: These types of proposals are submitted to potential clients who have not requested a proposal. They are generally considered the most difficult to write and require a great deal of research and planning.
Writing an effective business proposal is key to winning clients, partners, and investors. A business proposal is your opportunity to grow your business, so its an important document. Every small business plan should outline how you intend to get customers, clients, and partners, but your proposal is how youll win their business. Whether youre proposing new products and services or trying to secure funding, your proposal needs to answer your potential partners questions about your business. A solid proposal can outline your value proposition and persuade a company or organization to do business with you.
