By Fola Daniel Adelesi
As an entrepreneur, you will do yourself a lot of good to look up the meaning of nearly every business-related term that you come across. One of the most common terms everyone intending to go into business must look up is ‘proposal.’
Business owners often write these business proposals, describing their product or service without actually making their request clear to the recipient of the supposed proposal. Others simply write documents that show what they intend to do without making an offer. In writing a successful business proposal, you are required to describe your business, back it up with facts, and make an offer to the recipient of the proposal. The description of what your business does is only the first step.
When writing your next business proposal, be sure to cover the following points:
- Business Description: Any prospective investor who hasn’t met you must fully understand what your business is about from your proposal. In describing your business you need to state what you do, the need your business is meeting, how you business stands out, and the short and long term goals of the business.
- The Purpose: You have to state the purpose of the proposal. If you send a funding proposal to an investor, you must be clear about how much you need and convince the prospective investor about what the funds will be used for. If the purpose of your proposal isn’t clear , you risk the chance of getting a negative response from the recipient.
- Value Proposition: Besides describing your product, the recipient of your proposal must understand the value proposition in your offer. Describe how you stand out from other businesses in the same field and why your company should be considered. You should also communicate the benefits of your business proposal to your target audience to secure their buy-in.
- A Clear Offer: The offer you are making goes a long way to determine if the target audience will buy into the business or not. Make an offer that your target audience will find difficult to resist. The offer also depends on what the other party is bringing to the table.
- Revenue Projections: The most interesting part of your proposal is the revenue forecast and projections over time. This can also be used as the payback plan. Any smart and savvy stakeholder can access the feasibility of the business by carefully studying the revenue projections. However, be sure to back these projections with facts and realistic expectations.
As an entrepreneur, you should avoid writing lengthy business proposals. Keep it short, easy to understand and precise. Ensure that you sufficiently cover the points mentioned in your next business proposal, and you are sure to get a positive feedback.
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