In the last blog post sample business proposal, I have listed the contents of a typical business proposal.In this blog i would like to give examples to illustrate the contents.
Business proposal starts with executive summary that summarizes the proposal in short. Below is an example.
Business proposal starts with executive summary that summarizes the proposal in short. Below is an example.
The project envisages production of xxx,xxx pieces of item name..... per annum. The total investment outlay requirement of the project including the working capital is estimated at about Birr .......; of which Birr ......is for machinery and equipments and Birr ........ is the cost of the working capital. Based on the cash flow statement, the calculated internal rate of return (IRR) and simple rate of returns (SRR) of the project are ..... % and ........%, respectively. The net present value (NPV) at ........ discounting rate is about Birr ........ The plant is expected to create employment opportunities for about ...... persons.
Product Description and Application
As the tittle shows this section should introduce the product and mention the applications of the product. The following example shows product description and applications of knitwear. Notice the level of product description required in business proposals. Simple definitions are given but they are not too much. Instead comparative advantages are also introduced and applications are put comprehensively.
Example
Knitting is a process which involves interloping of thread with the aid of needles. Unlike woven cloth, knitted fabrics are made of only serious of yarns; and it involves simple process and machinery. It is now among the best products for small scale investment. Knitted fabrics are more elastic than woven cloth, and therefore provide better fillings. It is more durable and many times provides elegant appearance.
Synthetic knitted outwears are common items used by all people during the winter season. Synthetic fiber by virtue of its low weight, high bulk, super soft touch, high color variety and wrinkle resistance property fills a wide range of applications.
Market study
This is the crucial part of the project and determines the success of a proposal. Here is a great post explaining the market study with worked out examples. Market study in process plant design
Coming soon,
Raw materials and utilities
Site selection
Technology and engineering
Financial analysis
Related posts
Since we can't develop a skill we can't define, the following list offers a few common characteristics of businesses that value creativity. Any of these may be adopted and studied by you and your business as a way of working through issues and stimulating growth.
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