Business proposals are quite important in business activities. The Business Proposal is a written document by an entrepreneur containing all relevant details regarding the new business plan he wants to establish. Starting from internal to external will appear in this proposal.
With a business proposal, everyone can go through the steps to do their business because the document contains ideas and various things that can convince investors to help you in capital matters or other business needs. Which of course, will be very helpful for business people.
Table Of Contents
Business Proposal Function
The function of the business proposal is very important. Especially for an entrepreneur who wants to hold a program of business activities. The following are some of the functions of making a business proposal:
1. As a basis for establishing small, medium and large businesses.
Business proposals allow entrepreneurs to clarify the goals of their business. Because in a business proposal several elements must complete. As; (1) business profile, (2) company organizational structure, and so on.
2 Conditions for submitting tenders to government and private institutions.
Of course, a business proposal is one of the requirements for submitting a tender. this is because, in the later selection, government and private institutions will select based on the business proposal first.
3. Terms of holding seminars, discussions, training, and so on.
In holding event management, a proposal is needed because the event must be approved by certain parties. Our task is to design how detailed the event will be in the proposal. So that later the proposal document that we submit is accepted.
Conducting research related to religion, society, politics, economy, culture, and so on.
To conduct research, it is necessary to write a proposal. To get the approval of several parties, the details of the proposal that we will make are very crucial.
Also Read: Marketing Strategy For Your Enterprise
Types of Business Proposal
1. Formal Business Proposal
This type of proposal is often used as a response to requests for proposals from other parties who plan to collaborate with other companies. although the content of this proposal has similarities with the proposal in general. The content of this formal business proposal requires minor adjustments to increase cooperation opportunities.
2. Informal Business Proposal
These proposals are generally made by potential customers who have an interest in the company’s products. The content tends to adapt to the client’s point of view to make it easier to understand and increase sales conversions.
3. Unsolicited Proposal
An unsolicited proposal is a type of business proposal that is prepared without a formal request. With content that is neat, concise, and clear. The placement process is done specifically to run according to the purpose. Usually, this type of proposal only contains generic data.
Elements to Include in a Business Proposal
After understanding how important a business proposal is, now we will discuss what elements must be in it. and of course how to make it more attractive to investors.
The introduction contains the vision, and mission of the company. After that, there is a background for establishing a business. And how this proposal has opportunities that can benefit investors. A few tips in the opening section, try to write concisely and clearly. Don’t forget to use persuasive sentences.
2. Business Profile
The business profile section contains an explanation of the proposed business in more detail. Usually in this section, explain the type of business, the name of the business or brand, and the location of its operations.
3. Organizational structure of the company
Next is the section that describes the organizational structure. The contents of this section explain the business system that will work later. What parts will the organization form? Then, who are interesting people in it, and of course how this structure can support the success of the business?
4. Company Products
Keep in mind, that this part of the product is the most important thing in it. This company’s products can later bring profits. Because it is important, in making this section we must be able to explain well what the product looks like, the type of product, and the appeal of the product.
5. Target Market
The target market in a business is usually in line with the product that our business produces. Prove it through the data in these proposals about the target market. And how the product can enter the market with a clear source.
6. Marketing strategy
To ensure product sales, there must be promotions and marketing strategies. In the business proposals, we must explain what will we do for the success of this sale. Make sure the strategy You are using and developing is in line with the product.
7. Financial statements
Contains fund allocation, profit calculation, and a profit-sharing system if there’s any. it is designed based on the need for funds and the expenditure of funds when the business is already running. Don’t forget to write down various other things related to the financial condition of the company as well as being a reference for investors to understand the risks and opportunities for success.
For the closing section, try to make this section with a convincing statement and increase the curiosity of investors. Don’t forget to say thank you for being willing to read the proposal.
This section contains biodata of business owners, business licenses, agreement letters, and training or business certificates.
In addition to the above elements, it is necessary to pay attention to the potential for the business proposals to look good by investors, also include realistic business goals, business flexibility, deadline for achieving targets, as well as commitment from all related parties.
Read related articles: How to Write a Professional Apology Email
Tips and Tricks for Business Proposal
Not only an explanation, here are some tips and tricks to get a business proposal intriguing:
1. Create a Flexible Business Proposal
If the proposal is flexible and can changes according to the needs of investors, of course, the business will be approved faster.
2. Support Business Proposals with Other Media to Convince Investors
Don’t forget to use various media to help with business proposals. Like PowerPoint to product sample demonstration videos, it will certainly make a good impression on investors.
3. Apply for Trial Period and Milestone
This trial period and milestone are where we receive funds and start business operations, but when investors see that the business is not going according to plan, they can withdraw their capital. Has a fairly high risk, but is better than nothing.
That’s a complete basic explanation of the business proposal. Of course, we get to know how much a business proposal is for entrepreneurs. With a business proposal, we can develop our business, because many investors are interested in collaborating. Switch your business proposal to a paperless system by using a document management system. This software can make share any video, e-book, and other documents digitally easily and swiftly.
The process of making a business proposal, of course, requires data that has been processed properly. HashMicro provides software-based enterprise resource processing services. If you have an interest in managing company HR using ERP Software, click here to register and work with our company.