Business proposal: Contents of A Business proposal

                             Business proposal: Contents of A Business proposal

To start a business requires proper planning and requirement gathering and one of the things you will need to get ready before you finally start your business is a business proposal.

Considering the fact that there are lots of companies that are similar to the kind of business you like the start, your business proposal makes you to stand out from the crowd and makes your prospective client have enough reason to choose your company over others.

Business proposal is the best way to convince your prospective client without having to see them face to face and depending on how detailed and convincing your proposal is, you c an  will the heart of your prospective client even before starting the business.

That having said, the question that a newbie in a business will ask will then be "what is business proposal?".

In a nutshell, business proposal is a convincing document you send to your prospective client, outlining all the services you render or intend to render and why your prospective client should choose you over other business owners.

Having known what business proposal is all about, the next question will now be "what are the contents of a good business proposal?"

 Contents of a good business proposal:

• A good business proposal should have the name of the business that is proposing example "business proposal for the establishment of a cyber cafe".
• A good business proposal should have the name of the person writing the proposal with date
• A good business proposal should have table of contents and the table of contents should cover

1. Nature / Description of the business
2. choice of business
3. target customer
4. location of business
5. competitors - SWOT analysis
6. source of fund
7. budget
8. break-even
9. pay-back point
10. legal matter
11. conclusion.

The nature of the business should outline a little on what the business is all about. The nature of the business should be concise and straight to the point as not all prospective client will have the luxury of time time to read in details.

the choice of business outlines the channel of the business. This should also be concise and straight to the point.

Target customers explains who your goods and services are made for example is it for working class, business men, youths, dependent or unskilled individuals. Having this in mind will help you to decide on the best location of the business for maximum profit.

 Competitor -SWOT analysis helps you to properly analysis possible competitors you will have in your line of business. This helps you to do a proper planning in your line of business.

Source of fund helps you know in advance who and who you will be expecting to fund the business example family members, church, bank, school etc. If you don't have this in mind, your business might suffer in the shortest time after starting it up.

Budget helps you know where the funds will enter to make the business ready to operate example buying the set of equipment needed to run the business, business the furniture and projectors,  stabilizers, ups, wall clock, web cams, generators, air conditioners, printers and copiers. 

Break-even helps you to know how long you will need to run the business after startup before you finally start making real profit from the business. You will need to have this in mind there is usually little or no profit at the beginning of a business. The profit starts as you progress in the business.

pay-back point is the point at which you start making profit from the sale of your goods and services example if you make a gross profit of $400 and a net profit of $200 in a month, you pay-back point becomes $200 for the month.

legal matter is the license you have from the government to venture into such a business. this is one of the reasons why you need to register your business name before you finally start the business.

conclusion is where you summarize your document and convince you prospective customer why the business is viable and why they should work with you.

If you need more clarity on the contents of a business proposal, comment below and i will put you through.

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