Business Proposal

1.  Definition:
A business proposal is a written document
sent to prospective client in order to get
specific job.
A good proposal put the buyer requirement
in context that favors the seller product or
services and educates the buyer about the
capabilities of seller in satisfying their need.

2.  Proposal may be solicited or unsolicited.
 Solicited proposal mean the client has
decided to make a purchase, only the
selection of vendor remains to be done. An
unsolicited proposal, by contrast is sales
presentation dressed in another cloak

3.  The primary purpose of business proposal is to
attract customer and enhance sales and enjoy
good profit. Beside all of this an organization is
monitoring all of those factors on which their
profitability is based.

4.  Some key words for your purpose statement
might include the following action verbs:
 to persuade to present
 to convince to propose
 to provide to offer
 to describe to suggest

5.  There are three basic types of business
proposals business proposals mentioned
below.
i. Formally solicited proposals
ii. Informally solicited proposals
iii. Unsolicited proposals.

6.  These are the proposals written in response to
published requirement contained request for
proposals.
 Formally solicited proposals have four further
parts as follows.
i. Request for information.(RFI)
ii. Request for proposals.(RFP)
iii. Request for quotation.(FFQ)
iv. Invitation for bid.(IFB)

7.  Sometimes a customer before issuing
RFP,RFQ or IFB issue a request for
information. The purpose of RFI is to gain
marketing intelligence about the products,
services and vendors available. RFI is used
shape final RFP,RFQ,IFB so potential
vendors take great care in responding these
request.

8.  Customer issues RFP when their
requirement can not be met with generally
available products and services. It provides
detailed specifications of what the customer
is demanding.

9.  Request for quotation(RFQ)
This request is issued when large
amount of commodity is required and the price of
commodity is not the only issue.
 Invitation for bid(IFB)
When customer have to acquire some
services then invitation for bid is issued.

10.  These are the typically results of
conversation held between customer and
vendor. The customer is interested enough
in product to ask customers for a proposal.
The customer does not ask for proposal from
the competing vendors. This kind of proposal
is known as sole-source proposal.

11.  These are the marketing broachers. It have
no direct connection between customers
need or specified requirements. Vendors use
them to introduce a product or service to
customer.

12.  Requirement matrix
Requirement that matches the customer
needs with the paragraph and page no. of where
those requirements are addressed in proposal.
 Executive summary
Summary which outline the primary benefits
of vendors solution to customers requirement.

13.  Technical volume
Demonstrate how each requirement will
be met.
 Management volume
How each program will be managed.
 Cost volume
Provides all costing data, as well as
implementation plan and schedule.