Business proposals

What is a proposal?

• A proposal is a written document which seeks to

persuade the reader to accept a suggested plan of
action.

• It is a persuasive presentation.
 Business Proposals-cont
Egs.
• To buy a service or a product (an advertising agency’s
proposal to promote a product)
• To convince the reader of the existence of a situation
• To convince your department of your need for a new
technology
• To ask for a loan or grant
• To become a partner or shareholder
 Business proposal-cont.
• A college professor submits a request for research
funds to a government agency.

• A community organisation submits a request to a

philanthropic foundation for help in establishing a
drug rehabilitation facility.
 Bus. Proposals-cont.
• Proposals are usually written or a combination of
both-written or oral

• May be made by individuals or organisations

• May be made to an individual, a number of individuals

or organisations (government agencies, foundations,
business houses)
 Bus. Proposals-cont.

Types of proposals
• Internal and external
• Solicited and unsolicited
Examples
• Internal- The Chairperson of a company asks a Personnel
Manager to develop a training programme for the new
recruits.
• External- An independent consultant can propose to do a
project for another firm or a company in India may propose
to set up a waste water treatment plant in another country.
 Bus. Proposals cont.

Example cont.
• Solicited-arises out of a specific demand.
The awarding organistion announces that it invites proposals
for a particular project-eg The Delhi Metro
• Unsolicited- A proposal that is sent without the recipients
asking for it –eg What the writer or organisation could do if
the proposal is accepted
 Components of a Business Proposal
Formats differ

1. Executive Summary:
– A snapshot of what is to follow
– Summarises key information
– Designed to convince the reader that the project must be
considered for support
 Bus. Proposal-Exec Summary(cont)
The Executive Summary must include
• The problem –brief statement of
need (1-2 paras)
• Solution-Short description of the
Project-
• What will take place,
• How many people will benefit
• How and where it will operate
• For how long
• Who will staff it
• Funding Requirements-amount of
grant reqd.
• Future funding plans
• Details of Organisation- name,
history,purpose and activities of
the agency
• Capacity to carry out the proposal
 Business Proposal -components

2. Statement of Need- Helps the reader learn more about the issues

– Indicate what has brought about the need for the Proposal
– What problem
– What opportunity exists for improvement
– What the basic situation is
– Presents facts and evidence

Example
The owner of a pine timberland in Shimla may want the land to produce
saleable timber without destroying the ecology
 Business Proposal- Components
(cont)
3. Project Description

I. Objectives-measurable outcomes of the programme

• Be realistic
• Do not promise what you cannot deliver

II. Methods – How will you go about doing the proposal work
• Specific activities for implementation

III. Staffing /Administration/Qualifications

• Qualifications, knowledge and experience of the firm
• Like a mini-resume within the proposal
• Includes similar projects done references, training
 Business Proposal- Components
(cont)
3. Project Description

IV. Budget
• Cost of the Project
• cost of supplies and equipment
• Man hours needed
• Approx one page

V. Conclusion
• Focus on the positive aspect of the project (after costs!)
• Urge them to work with you
• Remind them of benefits
 Business Proposals –cont.
• Make your proposals powerful

• Use a memorable title to attract attention, generate interest and inspire

action

• Support your statement with facts and/or quotes.

• Make the proposal effective