The business proposal is your bridge to the client. Whether the client walks across the bridge to seal the deal with a handshake will depend on how you crafted the business proposal.
Reality check: Your proposal is one of many the client will review.
Get your proposal right, and you win the business!
In this article, we’ll walk you through crafting a business proposal that consistently wins clients.
What Is A Business Proposal?
A business proposal is a formal document summarizing your plan to help potential clients achieve their objectives.
In an outline format, the business proposal presents your vision, qualifications and experiences, understanding of the problem, proposed actions, fees, and development timeline.
The Two Types Of Business Proposals
Business proposals can be sent upon request or proactively. There are two types of business plans: Solicited and Unsolicited.
- Solicited Business Proposal: A client can send out or post a Request for Proposal (RFP) with specific guidelines on the format and the required information.
Companies often send RFPs to existing partners and service providers if they launch a new project.
RFPs are common in online job sites like Upwork and Guru. Clients post new projects that include a description of the job and a summary of qualifications. Interested freelancers can fill out and submit the RFP.
- Unsolicited Business Proposal: A service provider proactively sends this business proposal to a company that they believe needs their products and services to address current issues or pain points.
A supplier of raw materials can send an unsolicited business proposal for the manufacturer or refiner to consider their products.
In their business proposal, the supplier will assert to the manufacturer that their products provide the highest quality at the most competitive prices.
The key differentiator is need.
With a solicited business proposal, the need has been established by the client. In comparison, with an unsolicited business proposal, the need was perceived by the service provider.
💡Pro Tip: Respond to RFPs, especially if you meet the requirements. Likewise, submit unsolicited business proposals to potential clients to land new accounts.
Sending out unsolicited BPs is a way of networking. You’re proactively marketing your services to businesses that might need them.
11 Steps To Crafting A Winning Business Proposal
The business plan is the central focus of negotiations between you and the potential client. Its goal is to convince the client that your proposal is the most viable option to address their need or solve their problem.
Here are 11 steps to help you craft a winning proposal that tells the client you mean business.
1. Research Your Client/Prospect
Whether you’re submitting a solicited or unsolicited business proposal, take the time to research your prospective client.
Like a blog, a newsletter, or a product guide, a business proposal is a type of content. The primary rule for creating content is to write for your audience.
The client is your audience. Learn as much as you can about the client.
The RFP summarizes the client’s requirements, but you can dig deeper and uncover valuable information that could put your business proposal on top.
What information are we referring to?
- Industry performance
- Signature product
- Suite of products and services
- Persistent pain points
- Achievements
- Company/business profile
- Recent issues or problems/situations encountered
The objective is to tailor-fit the business proposal to your client. Incorporating relevant information that wasn’t included in the RFP will create a positive impression with the client.
The business website and social media posts are good sources of information. If the client invites you for a preliminary interview, ask targeted questions and reference the answers in your business proposal.
💡Pro Tip: If you’re looking for clients on a job site like Upwork, post a business proposal in your online profile. Employers and clients using the site will be impressed with your professionalism. It will give your online profile a boost.
Instead of targeting a specific company, focus on the needs of the industry. Cite common problems, trends, and developments, and explain how your services can help companies overcome these issues.
2. Choose a Design For Your Business Proposal
Submitting a business proposal in plain Google Docs format is uninspiring. You can choose a professional-looking format to present your business proposal.
Google Docs has a format that’s specific to business proposals. You can make a beautiful presentation deck from Google Slides. If you have data, Google Sheets can help you create an impressive spreadsheet.
These programs allow you to create and insert charts, graphs, and images that add more value to your business proposal.
The client will appreciate the effort!
3. Include a Title Page
The popular marketing saying, “first impressions last,” applies to the title page of the business page because it’s the first page a client sees.
According to a Better Proposals study, business proposals that had a cover or title page generated a conversion rate of 44.7%.
What are the elements of an effective title page?
- Business/Trade name
- Logo
- Contact information
- The business name, logo, and contact information of the client
- Title or a brief description of the project
- Submission date
- Name of the client or company representative receiving the proposal
Go for a clean, simple, yet professional look for your title page. Use basic or straightforward font styles like Arial, Calibri, or Times New Roman.
💡Pro Tip: Include a client testimonial. Make sure the client’s full name and company name are indicated.
4. Organize the Sections With a Table of Contents
Business proposals can be a lengthy read and composed of several chapters. The table of contents functions as a guide for the client and will help them find essential information immediately.
Organize the table of contents into sections. If necessary, break the sections into subsections for better clarity and direction.
5. Write a Compelling Executive Summary
The Executive Summary consists of six parts:
- Opening Statement – Your “sales pitch,” how you plan to help the client achieve their objective.
- About your company – Who you are, what your company does, and why your company offers the most viable option for the client.
- Summary of the proposal – A 1-2 sentence statement that outlines what your proposal is about.
- Testimonials – Highlight your accomplishments with other clients.
- Call to Action – A command of what you want the client to do next.
- Personal information – Your full name, company name, designation, and a headshot. People want to know who they’re dealing with!
A Better Proposals survey revealed that clients spent the most time, 38.2%, on the Executive Summary.
Spending time writing a compelling Executive Summary is time well spent!
6. Introduce the Problem Statement
The Problem Statement outlines the issues that are hindering the client from reaching their business objectives and the potential solutions needed to resolve them.
It’s a concise statement that’s essential to the business proposal because it identifies the project’s challenges, establishes direction for the team, and ensures everyone’s on the same page.
The Problem Statement also puts the client at ease. They know you have a good grasp of their situation and will be more engaged and interested in learning about your proposed solution.
Here are four tips on writing an engaging problem statement.
- Provide a comprehensive description of the client’s situation. Include details such as statistics, results, and company milestones.
- Identify the client’s current issues and future pain points. Discuss the potential risks if these issues and pain points aren’t resolved.
- Share a case study: An experience with a client who was in a similar situation. Discuss your approach, proposed solutions, problems, and outcome.
- To support your case study, present actual data, video, and a testimonial from the client. Compare your performance with updated industry data.
The problem statement must be comprehensive, but concise. Keep it within 400 to 500 words.
7. Present Your Proposed Solution/Course of Action
Now’s the time to showcase what you can do!
After you’ve discussed the client’s problem, shift gears and present your solution.
You want your proposed solution to get the client nodding in agreement. Here’s how you do it.
- Organize the solution as a process. A step-by-step guide can help the client follow your timeline and justify your charges.
- Support your proposal with numbers, graphs, and charts.
- Discuss projected outcomes.
- Present courses of action.
- Discuss risks or possible adverse scenarios.
- Present alternative courses of action.
- Discuss Key Performance Indicators (KPIs) and benchmarks.
- Present actual case studies that are similar to the client’s situation.
- Include a timetable for deliverables.
Review your computations to assure the client of their accuracy. You wouldn’t want the client to notify you of corrections in your computations.
💡Pro Tip: Use infographics to support your proposed solution. Numbers and statistics can be intimidating for some clients. Infographics help simplify complex data, improve readability, and enhance engagement.
Clients prefer business proposals with infographics!
8. Discuss Your Pricing
27% of clients spend their time on the pricing page.
You might get sweaty palms creating this section, but don’t worry, as we have you covered.
- Present a line-by-line cost breakdown.
- Itemize the expenses into particulars (what the expense is for), quantity, unit, cost per unit, and sub-total.
- Include other charges such as shipping costs (if any) and taxes.
Writing the pricing page can be unpleasant and unnerving, but it has to be done because clients expect it.
Conduct research before finalizing your pricing. Find out the industry rates and how your prices compare to others.
It’s important not to price yourself out of the market. Likewise, it’s important not to commoditize your services by pricing your services too low.
The final price should give you flexibility in negotiations without compromising profit margins, the ability to handle contingencies, and your brand reputation.
9. Include an “About Us” Page
52% of website users visit the About Us page because it creates a human connection between them and the company.
Including an About Us page in your business proposal allows clients to understand you and your team better.
- For consistency, use the About Us page of your website.
- Share your vision and mission statement.
- Introduce yourself and your team. Include the relevant skills and experiences.
- Include headshots. Clients want to see the faces behind the names. That’s how you build trust!
- Highlight awards, certifications, citations, and other achievements.
When writing an About Us page, use a conversational tone. An effective strategy would be to explain the “why” of your business.
The “why” refers to the purpose of your business. Why did you decide to start this particular type of business? Was there a particular experience that served as a sign this was the enterprise for you?
10. Share Your Contact Information
Provide the client multiple ways to contact you:
- Business/Office address with directions and map
- Business phone number (landline and mobile)
- Email address
- Website chat support
- Social media addresses
- Messaging apps
- Name of authorized representative
- Email address of authorized representative
Make sure all of the contact information is updated and that the social media, apps, and website links are working.
11. QA Your Business Proposal
Clients will scrutinize your proposal. They’ll have their teams review the information, data, and calculations supporting your proposal. It might take only one error to send your proposal to the trash bin.
Take one step backward.
- Review your calculations, graphs, charts, and spreadsheets to make sure they’re accurate, updated, and aligned with your proposed solutions.
- Check for errors in grammar and spelling. Run your business proposal through Grammarly or another spell-checking software. Grammatical and spelling errors leave a poor impression with clients.
- Get the team involved in the QA process and solicit their feedback.
Sloppiness doesn’t win business deals. Be detail-oriented and review your business proposal before submitting it to the client.
Conclusion
With our 11 steps in mind, you’ll feel more confident preparing a business proposal. Winning a contract from a client requires submitting a proposal that has image and substance.
The business proposal has to look professional, present information and solutions that are relevant and customized to fit the needs of the client.
If you’re part of the 23% of businesses that still don’t have a website, you’ll hinder your business proposal.
In 2025, 29.9% of business will be conducted online. A website enhances your online presence. If you don’t have one, you’re missing out on opportunities to grow your business.
Contact us now!
