A well-written business proposal and its presentation can often mean winning or losing a prospective client.
In this in-depth guide to creating business proposals, I’ll show you how you can close more deals, make more sales and crush your business growth goals — all by using easy-to-edit professional business proposal templates.
What is a business proposal?
A business proposal is a plan designed to persuade clients, stakeholders, investors, or partners to engage with your business. It serves as a written sales pitch, highlighting the benefits of working with your company.
A business proposal outlines what your business does and what you can do for your client. It can be general like this business proposal example:
Or it can be more specific, like this business proposal template which focuses on proposing a project for the Newton Center Rail:
Or this business proposal sample, which presents a plan for a social media strategy and campaign:
To design an effective business proposal that holds the client’s attention, identify specific pain points such as delayed timelines, high costs or lack of expertise. Then provide your buyer with the right solution to alleviate those frustrations and showcase how they’ll gain a competitive advantage in their industry.
Working on a new project? Use these project proposal examples.
What are the components of a business proposal?
While details may differ, A business proposal typically includes the following components:
- Title: Start with a title that grabs attention and reflects the purpose of your proposal.
- Table of contents: Include a section-by-section outline for easy navigation.
- Executive summary: Provide a short summary that highlights what your proposal is about and why it’s a win for the client.
- Problem statement: Clearly define the issue or opportunity you’re addressing.
- Proposed solutions: Outline your ideas and how they solve the client’s problem.
- Team expertise: Highlight your team’s relevant skills, experience and achievements.
- Realistic Timeline: Include a detailed plan with steps, milestones and deadlines.
- Financials: A clear cost breakdown, payment terms and how the client will get value for their investment.
- Terms and Conditions: Specify legal agreements, timelines and other critical details.
- Call to Action: Wrap it up with the next steps, like signing the agreement or scheduling a meeting.
- Appendices (optional): Add any extra details, like charts, case studies, or anything else that supports your proposal.
How to write a business proposal step by step
Creating a business proposal might seem daunting, but breaking it into simple steps makes the process much easier. This step-by-step guide will walk you through crafting a persuasive proposal that impresses clients and helps you close deals:
- Create a compelling business proposal title
- Build a table of contents
- Craft the executive summary
- Write a detailed problem statement
- Propose your solutions
- Showcase your team’s expertise
- Create a realistic timeline
- Present your payment structure
- Specify the terms and conditions
- Receiving the decision
1. Create a compelling business proposal title
Start strong with a title that grabs attention and sets the tone. It should be clear and to the point, like “Social Media Strategy Proposal for ABC Corp.” A simple, well-thought-out title shows professionalism without overcomplicating things.
Here are the essential elements to include in your business proposal title:
- Include your name and your company’s name.
- The name of the prospect (or their business)
- The date you’re submitting the proposal
The gray business consulting proposal template above contains all the details a prospect would want to know. The title also offers a strong tangible benefit to the prospective buyer.
2. Build a table of contents
Having a table of contents makes your proposal scannable and easy to read, setting the stage for a smooth negotiation process.
Think of this as a roadmap for your reader. Listing each section and its page number makes it easy for them to find what they’re most interested in, especially if your proposal is longer. You can see how this abstract business proposal template uses the table of contents:
3. Craft the executive summary
The executive summary is your chance to make a stunning first impression. Briefly summarize what your proposal is about, what problem you’re solving and why you’re the right fit. Keep it short and sweet—focus on the benefits for your client and leave the detailed explanations for later.
The goals of your executive summary are:
- Introduce your company to your buyer
- Provide an overview of your company’s goals and objectives
- Showcase your company’s milestones, overall vision and future plans
- Include any other relevant details like funding sources and strategic objectives
This gray business proposal example has a detailed yet short executive summary including some social proof in the form of clients they’ve worked with:
Crafting a concise and compelling executive summary can be tricky, but AI tools like online summarizers or proposal generators make it easier. They’re designed to pull key points from your text and present them as bullets or a polished abstract.
4. Write a detailed problem statement
The point of writing a business proposal is to solve a buyer’s problem. Your goal is to outline the problem statement as clearly as possible. This develops a sense of urgency in your prospect. They will want to find a solution to the problem. And you have that solution.
A well-defined problem statement does two things:
- It shows the prospect you have done your homework instead of sending a generic pitch
- It creates an opportunity for you to point out a problem your prospect might not be aware they had in the first place.
For example, this bold business proposal template clearly identifies the problem while offering a promising solution—showing exactly how you can address your prospect’s needs.
5. Propose your solutions
Here’s where you share your plan. In the proposed solution section, you show how you can alleviate your prospective buyer’s pain points. This can fit into the problem statement section but if you have a comprehensive solution or prefer to elaborate on the details, a separate section is a good idea.
Provide comprehensive details about the solution and implementation process you will deliver. When you write a business proposal, explain how you plan to deliver the solution, along with key projections for expected results and growth.
For inspiration, look at how this business proposal template quickly and succinctly outlines the project deliverables, plan and metrics:
6. Showcase your team’s expertise
Here’s where you get to highlight your experience and your team’s strengths, showing why you’re the right fit for the job. Share past successes that relate to what the client needs and don’t be afraid to include client testimonials or a quick intro to key team members.
These personal touches go a long way in building trust and confidence, showing that you’ve tackled similar challenges before and can deliver the results they’re looking for.
This free business proposal template showcases the company’s accolades, client testimonials, relevant case studies and industry awards. You can also include other forms of social proof to establish yourself as a credible business.
Pro Tip: Attaching in-depth case studies of your work is a great way to build trust with a potential client by showcasing how you’ve solved similar problems for other clients in the past. Our case study examples post can show you how to do just that.
7. Create a realistic timeline
To further demonstrate just how prepared you are, lay out the steps you’ll take to deliver your solution and include realistic milestones and deadlines. This shows the client that you’ve put thought into the process and can deliver on time.
Provide a detailed timeline, such as 5 key milestones over 3 months, for completing all deliverables. You can also do this by designing a flow chart. Or add a roadmap with deadlines. Pitching a long-term project? A timeline infographic would be a better fit.
If you look at this abstract business proposal template below, even something as simple as a table can do the trick.
The timeline is more of an estimate than a fixed schedule. The goal is to address any questions your potential client may have about how you’ll deliver throughout the B2B sales process.
8. Present your payment and terms
On this page, you’ll want to lay out your fees, payment schedule, invoice terms and any legal details related to the deal.
For small businesses, using invoice templates is a real time-saver—it makes the invoicing process smoother and helps you keep things professional. Plus, using small business invoice software can keep everything organized and polished.
You can include the legal details in the terms and conditions section, or if you want to keep things simple, add them to the signature section.
When it comes to pricing, it’s always a good idea to give your client options. A pricing comparison table works wonders here, offering flexibility without scaring them away with a high price or underpricing your services.
Another great tactic is breaking down your pricing in stages. This helps your client understand exactly what they’re paying for. Just look at how this straightforward business proposal template does it:
9. Specify the terms and conditions
This section is about setting clear expectations. Include the legal details, timelines and agreements, but keep it simple—no one wants to wade through complicated jargon.
Summarize everything you’ve promised to deliver and what you expect from your potential client in return. Add the project timeline, payment methods and schedule, and consider using an online project management tool to keep both sides on the same page.
This part is crucial because it covers all the legal aspects of the deal. That’s why it’s important to keep the terms and conditions straightforward and clear.
If you’re unsure, it’s always a good idea to consult a lawyer or legal team. But if you’re familiar with the legal side of your business, you can use the same terms across your proposals.
10. Receiving the decision
The final step is sealing the deal. Add a section at the end for signatures so both you and your client can officially confirm the agreement.
Don’t forget to include your contact details as well—make it easy for your client to reach out with any questions. You can even include an e-business card with your info, email and social links for a professional touch.
Looking for a shortcut? Watch this quick video for an overview of everything to include in your business proposal:
4 business proposal writing and design tips with examples
Now that you know how to write a business proposal, here are some winning proposal templates, examples and design tips to help you create one that delivers results!
1. Know your audience
Knowing your ideal buyer—their pain points, budget and deadlines—gives you a major advantage. Identify which customers to pitch based on the services you offer, whether it’s running giveaways or growing their blog.
Mapping user personas helps you position your proposal effectively and increases the chances of landing a “Yes!”
2. Put your brand front and center
If your company has brand guidelines, make sure to incorporate them into your proposal. This example showcases how using consistent color palettes, logos and fonts creates a unified, professional look.
3. Try less text, more visuals
A proposal with only text rarely stands out. This free business proposal template follows the “less is more” approach by using icons and visuals to make the content clearer and easier to scan.
If you prefer a professional look, replace icons with team headshots to show your buyer who they’ll be working with. Check out this formal business proposal format for inspiration:
4. Switch up your business proposal designs
Enhancing your proposal with a splash of color can make it more engaging and help buyers retain information faster.
For example, this SEO proposal alternates between black, white and grey backgrounds while maintaining consistent branding. This approach adds variety while staying professional, much like a well-designed website.
Pro Tip: Not a color expert? Our guide on picking colors can help you pick the right color scheme for your proposals.
3 types of business proposals
Generally, there are three types of business proposals:
1. Formally solicited
A formally solicited business proposal is made when you respond to an official request to write a business proposal.
In this scenario, you know all the requirements and have more (if not all) information about a prospective buyer. You simply need to write the business proposal for your buyer to evaluate so you can begin the sales process.
2. Informally solicited
Informally solicited business proposals are written when there isn’t an official request for a proposal. A prospective buyer is interested in your services and asks for a proposal so they can evaluate it.
An informally solicited proposal requires a lot more research from your end. These types of proposals are usually created out of informal conversations. They are not based on official requests which often contain more detail.
3. Unsolicited
Think of this as a marketing brochure or a cold email. Unsolicited business proposals will often take a generic, one-size-fits-all approach to business proposals. Unsolicited proposals lack any understanding of the buyer or their requirements.
But with additional market research, personalization and identifying customer pain points, you can propose a customized solution based on your buyer’s needs. This can be a very persuasive approach, such as in this business proposal example:
FAQ about business proposals
What is the purpose of a business proposal?
The purpose of a business proposal is to persuade clients, stakeholders, investors or partners to engage with your business by presenting a clear plan, showcasing your value and highlighting the benefits of working with you.
What are the best practices for business proposal design?
- Proofread thoroughly: Nothing kills credibility like typos, so take the time to review your proposal before sending it.
- Keep it simple and clear: Write in straightforward language, break up long sentences and simplify any tricky sections to make it easy to follow.
- Let your brand shine: Use visuals, a creative layout and a tone that reflects your personality to stand out from the competition.
- Save it as a PDF: PDFs look professional, are easy to share and let you include extras like case studies or videos. Bonus: it’s better for the environment too!
How long should your business proposal be?
A business proposal should typically be 5 to 10 pages, long enough to cover key details while staying clear and concise.
Need more inspiration? Check out this blog on the 5 marketing proposal examples that’ll help elevate your business.
Ready to write your winning business proposal?
Successful business proposals address buyers’ pain points and position your company as the solution.
Now that you know how to write compelling business proposals, what are you waiting for?
Take action and start creating your own business proposals to close more deals and grow your business today!
More business communications templates + writing tips you might be interested in…
