Cover Letter: What is it & How to Write it?

It’s not easy to effectively present your company to someone, you need to have an effective communication plan if you want to convince someone to sell your product or service.

Set your product or service apart from others and convince people that your proposal is the best one… and that’s when a proposal cover letter or executive summary enters the picture!

A proposal letter can give you the edge you need to grow your company. To write an ideal proposal letter, there are a few things you must understand.

In order for you to succeed, we will provide you with all the knowledge you need about a proposal letter in this blog article.

Definition of a Proposal Cover Letter?

A proposal letter is a type of business letter that you use to introduce someone to your product or services. It could be a new product, service, or project that you want to bring to their attention. The key to a proposal letter is to be clear and concise about what it is that you’re proposing, and why you think it’s a good idea.

There are different types of proposal letters, but they all have the same goal: to sell a service or product. Whether you’re trying to get a client on board with your new product line or convincing your boss to invest in your latest project, the principles are the same. The best way to write a winning proposal letter is to keep it short and sweet and make sure that your argument is airtight.

The letter should contain a detailed description of the products or services provided by your company, along with how they would benefit the client.

Why you should Create a Proposal Letter?

When you’re trying to land a new client or project, the first step is always to create a proposal letter. This document is your chance to make a great first impression and sell your potential client why they should work with you.

In addition to increasing your chances of landing a client, creating a proposal letter has other advantages for your company:

Provides a roadmap

First, it forces you to think through your idea and what you hope to achieve with it. This process can help you clarify your goals and objectives, which is essential for any successful project. It forces you to think through all aspects of your project before you even begin. This includes identifying your target audience, developing clear goals and objectives, and outlining a strategy for how you will achieve them.

Additionally, a well-written proposal letter can make a strong impression on potential investors or partners, helping you secure the support you need to move forward.

Addresses risks

A proposal letter is a tool that can be used to address potential risks in a project. By outlining the risks and their possible impact on the project, a proposal letter can help to mitigate these risks. Doing so can help to ensure that the project is completed on time and within budget.

A well-written proposal letter can also help to build trust between the parties involved in the project. By clearly outlining the risks and their potential impact, it shows that the team is aware of the risks and is taking steps to address them. This can help to build confidence in the team and its ability to deliver on the project.

It demonstrates professionalism and commitment

When you are ready to begin work on a new project, it is important to show your professionalism and commitment to the project. One way to do this is by writing a proposal letter. A proposal letter demonstrates that you have thought through the details of the project and have a plan in place. It also shows that you are committed to seeing the project through to completion.  This can go a long way in convincing a potential client or funder to invest in what you are doing.

A proposal letter can be a helpful tool in securing funding for your project. It can also help to build support for your project from potential collaborators or investors. Writing a well-crafted proposal letter is an important step in ensuring the success of your project.

 

How to Create a Proposal Letter? (Step by Step)

If you’re not sure how to get started, don’t worry. We’ve put together a few tips to help you create a winning proposal letter.

Step 1: Introduction and background information

The first step is to introduce yourself and your organization (if applicable). Be sure to explain who you are and what your qualifications are for making this proposal. If you are representing a company, you should also provide some basic information about the company.

The introduction should include a concise summary of the entire project and some background information about your firm.

If you have planned to schedule a meeting or have had any previous interactions, mention these in your opening statement.

In order to make it look like you’re contributing to the discussion on something they were previously considering, you should also address the client’s or partner’s business needs.

Step 2. State your purpose for the proposal

A proposal letter is a document that outlines a plan of action, request, or offer. It is important to state your purpose for the proposal letter in the beginning. This will help the reader understand the context of the letter and what you are proposing. The following tips will help you state your purpose for the proposal letter:

  • Be clear and concise in your statement of purpose.
  • Explain why you are writing the proposal letter.
  • Describe what you hope to achieve with the proposal.
  • Be specific about what you are offering or requesting in the proposal.
  • State any deadlines or timeframes associated with the proposal.
  • Indicate whether the proposal is confidential or not.

Step 3. Defining your goals and objectives

When creating a proposal letter, it’s important to first define your goals and objectives. What are you hoping to accomplish with your proposal? Once you have a clear understanding of your goals, you can begin crafting your letter.

Here are a few tips to keep in mind when defining your goals and objectives:

  • Be specific. Your objectives should be specific, measurable, achievable, relevant, and time-bound. In other words, they should be SMART goals.
  • Keep it simple. Don’t try to accomplish too many things with your proposal letter; focus on one or two key objectives.
  • Make them relevant: Make sure that your goals and objectives are relevant to the needs of your potential client.

Step 4. Discuss the utilization of budget and funds

When you’re writing a proposal letter, it’s important to make sure that your differentiators are clear. By highlighting what makes you and your company unique, you’ll be more likely to win over the client.

Here are a few tips on how to make your differentiators stand out:

  • Make a list of all the ways you’re different from your competitors.
  • Highlight the most important points in your proposal letter.
  • Use strong language to emphasize why you’re the best choice for the job.
  • Back up your claims with evidence, such as customer testimonials or case studies.
  • Explain how your differentiators will benefit the client specifically.
  • Use simple language that everyone can understand – avoid jargon or industry-specific terms.

Step 5. Highlight your differentiators

The client or business partner should be given a general estimate of the overall expenses associated with the deal. This does not imply that you must provide a complete budget and financial breakdown. Instead, a detailed explanation of the costs should be provided. This part is crucial since the ultimate decision-making process heavily considers a project’s cost.

Step 6. Call to action

The most important part of your proposal letter is the call to action. This is where you tell your potential client what you want them to do, and how you can help them. Here are some tips for creating an effective call to action:

  • Be clear and concise. Your call to action should be easy to understand and follow.
  • Be specific. Tell your potential client exactly what you want them to do, and how you can help them.
  • Be persuasive. Use strong language to convince your potential client that they need your services.
  • Use a strong close. End your letter with a powerful statement that will leave a lasting impression on your reader.

Step 7. Close the letter and provide contact details

The final step in creating a proposal letter is to close the letter and provide contact details. This allows the reader to know how to get in touch with you if they have any questions or want to discuss the proposal further.

To close the letter, thank the reader for their time and let them know that you look forward to hearing from them soon. Include your name, title, and contact information below the signature so they can easily get in touch with you.

Conclusion

In conclusion, a proposal letter is a document that states a problem and proposes a solution to that problem. It is important to remember the basic structure of a proposal letter when writing one, which includes an introduction, body, and conclusion. Following these tips will help you write a successful proposal letter.

How to Write an Executive Summary: Step-By-Step

Picture this: You’re in a bookstore, and you come across a cool-looking book. Great title. Looks like somebody cared enough to make the cover look good, too. There’s just one thing, though. You don’t know who the author is.
Should you take a chance on him? Will the book be worth your time and money? To find out, you start reading the description. “Nah,” you tell yourself a minute later, “I’ll pass,” suddenly visualizing the piles of crime novels sitting on your bedroom floor still waiting to be read.
Now imagine that instead of a contract employee deciding whether to buy a book, you’re an investor looking for a project to finance. You pick up the first file in a stack on your desk. Instead of the blurb on a hardback’s dust jacket, you go over the executive summary.

Will you want to know more about the project? Or toss the file where it will never be seen again?
The answer will largely depend on what the executive summary says.
An executive summary condenses a much longer document and conveys its findings, takeaways, and recommended action plans. It often appears as the introductory section of a research study, white paper, or business plan. In project management, it accompanies documents such as a project proposal, statement of work, or project charter.
Usually 1-4 pages long, depending on the size of the document it’s based on, it provides readers with an overview of the major points so they don’t have to read the entire material.

As is characteristic of summaries, the executive report summary is usually the last to be written and the first to be read. However, there is no rule saying it has to be written last. You can, of course, write it first and use it as a loose outline to be refined later when your project proposal or business plan is done.
Sometimes referred to as the management summary, it’s also the most frequently read section of a document and, in some cases, the only portion an executive or investor might read.

So if you’re looking to boost your business budget or secure funding for a project that’s tied to a major business development initiative, treat the executive summary report as your elevator pitch, the hook to lure your target audience into learning more about your project, business plan, or proposal.
What you include in an executive summary will vary depending on the content it covers. For example, a startup plan may contain a description of your product or service, financial projections, key business metrics such as revenue growth, and your funding request.
A project proposal executive summary may provide an overview of the project scope and constraints, a summary of the project resources, a high-level explanation of the change management plan, a description of the major deliverables, and so on.

So think about the type of information your target audience would be interested to know in the few minutes they’ll allot to your executive summary. Also, you may sometimes be required to follow certain formatting guidelines, so review any instructions relating to length and overall format.
The steps below will cover the key components to include when writing an executive summary for a proposal.
Open with a bang. Capture the client’s attention right out of the gate. You do that not by talking about yourself. Talk about them and the issue they’re trying to address.

Here’s an example executive summary format for your opening:

Firefly & Co. is a brand poised to reach great heights in the plus-sized women’s clothing industry. High-quality, reasonably priced basic wardrobe staples — you can’t go wrong with that! Especially with Firefly’s ethical and sustainable production practices.
Evidence of Firefly’s growing clout is its ever-increasing social media following. In just less than a year, it has gained over 1 million followers on Facebook and Instagram. While that is an accomplishment in and of itself, what Firefly fails to leverage are the benefits of an e-commerce store.

Tip: Be concise and direct. Build a solid case, and do so in a captivating way.
Clearly state the problem or goal your proposal aims to address. You want to assure the client or sponsor that you fully understand the situation.
Here’s an executive summary example defining the problem:
All purchases are currently done in physical stores. This limits sales potential and the possibility of gaining new customers. With the upcoming launch of Firefly’s summer bag collection, there’s no better time than now to step up its online presence.

Tip: Be very clear about the business need behind the project. The focus here is the client and their pain point, not you or your company — not yet, anyway.
Next, briefly explain the solution you’re proposing. Then, give them a mental picture of what their business would end up looking like once their problem is solved. You want to touch on the business benefits of the completed project, which will generally come in the form of:
Here’s an example of an executive summary describing the solution and expected outcome:
All this can be done with Shopify, a full-service e-commerce platform that provides retailers with an easy-to-use interface for creating professional-looking websites. It comes with all the features they need to manage product listings, inventory, sales, and customer information. It even offers customers different ways to pay — debit or credit cards, mobile wallets, and more!
These features can better translate Firefly & Co.’s social media success into profits. With a Shopify store, your customers won’t always have to travel to your store to get the Firefly essentials they need.

Tip: Keep things high level while still giving readers something to be excited about.
##promo-body-ecap##
This is where you briefly talk about your expertise and whether you’ve done any similar projects before — your qualifications, essentially. You want the client to know that you or your team can deliver on time and within budget. If you can, include relevant figures to highlight your ability to get things done.

Here’s an executive summary sample offering proof of your expertise:
We, at Wildling Creatives, have used Shopify in multiple projects, and most of our clients have seen growth in sales by up to 50% within six months of integrating their brick-and-mortar store with an e-commerce site.
We’re a team of handpicked professionals with a combined 30 years of experience in e-commerce marketing. We’re certified Shopify experts, and with our eyes for good design, web development skills, and expert knowledge in business and e-commerce, we’ve been helping brands like yours create and improve their online shopping presence for years.

Tip: Talk about your strengths, but never lie. Make sure the numbers you include are accurate. If you haven’t already, use project management software for easier tracking and retrieving of key project management metrics such as return on investment and profit margin.
Explain why they should work with you and what they can achieve by doing so. Your call to action can also include your contact information, in case the executive has a question.

Here’s an example:

E-commerce is the way forward. Done right, an unprecedented sales boom is just around the corner.
By partnering with Wildling Creatives, not only will Firefly & Co. significantly boost local sales and improve brand recognition, but it will also open its doors to international customers. We’ve done it for swimwear superstar Bonnie Smith Swim Co., and we’re confident we can also turn Firefly & Co. into the global success it’s meant to be.
If you’re ready to take the next step, this proposal outlines in more detail what you can expect and how we’ll do it. If you have any questions, I’d be happy to personally take your call at (55) 555-5555.

Tip: The goal of an executive summary is more to sell than describe, so this is where you try and close the deal.
To get a better sense of how different executive summaries look, here are templates you can download from rfply.com

Now that you’ve written your executive summary, you want to give it a run-through before you send it off to investors, clients, or potential partners. Be sure to check for the following:
An executive summary should be brief, usually just one or a few pages long. It cannot be comprehensive. If your reader has questions, they can read the details in the proposal or business plan. As a rule of thumb, the length of your executive summary should be between 5-10% of the full report or proposal.

Avoid jargon. Use language your target audience understands. Writing for medical experts will be vastly different from writing for people in finance.

Discuss the major points in the same order as they appear in the full document. Refrain from introducing information not found in the proposal. And, of course, edit and proofread. You don’t want any typos or errors in your executive summary.
Check if there are any formatting guidelines to follow. Otherwise, structure your executive summary in a way that’s easy to skim. Instead of long blocks of text, use bullet points to break down complex information, headings/subheadings to organize topics, and even images to enhance the reader’s understanding of the summary.
Also, it’s a good idea to get someone to critique your executive summary to see if there’s anything you’ve forgotten to include.

A project goes to the project planning stage because the client or a body of decision-makers believes it can solve a problem. But before that, the project manager or service provider writes a proposal, which generally takes time to write. Surely, you don’t want all your efforts to go to waste.

With a well-written executive summary, you get to highlight all the good points of your proposal and entice your target audience to take action.