Career Center Business CommunicationBusiness proposal is crucial for anyone who needs to obtain capital for business. If you seek out Venture Capitalists or Angel Investors, most will not even talk to you unless you have a well written business proposal. One that gives them convincing reasons as to why they should invest in your business.
Many business ideas require a large amount of capital, and this capital can only be obtained from three sources. This is either through loans, using your own money, or getting an investor to invest in it.
For expensive business plans, loans and your own wealth will typically not be enough. You will need a wealthy group of investors, but they will not risk their money unless your plan is good. A business proposal is used to present the business plan and convince its feasibility to the investors.
A business proposal is a document which outlines the plans for a business. It will often include things such as the start-up costs, the size of the market, the demographics you are targeting, and how much you can expect to generate.
A good business proposal will also outline the competition that you face, as well as their strengths and weaknesses.
A business proposal is a solid document that can give potential investors a good idea of why they should invest in your business.
It can outline both the risks and the rewards, and if you write it and present it properly, you will be able to gain capital that could allow you to embark on a very lucrative venture. A good business proposal is crucial in any situation where you need capital for a business.
In this article you will learn the techniques to write a perfect business proposal. Start off by using the “Five Ws.” What are the “Five W’s”?
The Five “W” are as follows:
1. Who
2. What
3. Where
4. When
5. Why
Who: You want to know who is going to manage all the work, and who is going to present themselves to the client. This is the first step in writing your proposal.
What: Knowing the problem that the customer wishes have be solved is the second step to writing your business proposal. You would also want to know aspects of the problem with every detail, and make sure you know exactly what the customers expect from you.
Where: You will want to know where you are to solve the problem, is it going to take place in our company or our customer’s company? When you are finally done with the solution to the problem, you will want to know where the product is to be delivered.
When: know the time-line in which your product will be delivered. Stand out amongst competitors with your time-line; challenge their delivery by being more prompt. You definitely want to notify the client when the work will be done and delivered.
Why: Explain why you have chosen the alternative as a solution. When explaining try your best to convince the client that your solution is the best since your company may not be the only one in providing a solution to the problem.
Include these five “W’s” to your business proposal, who, what, where, when, and why. Also, don’t forget to mention the “How” in your proposal, explain with detail the product’s functions and how it will work; this will certainly capture the client’s eyes.
When explaining the “how” you may include how such solutions will benefit the customer.
Next Page: Business Proposal Application
