Having just completed a couple of client proposals, it got me thinking about what a proposal needs to communicate and things to look for when you receive a proposal for services.

First, be aware that you won’t get a good proposal if you haven’t spent some time talking with the vendor about your needs and objectives. They need to know enough about your business to understand where and how their service fits in. Once they know that, they can prepare a proposal that not only answers your questions about cost and schedule but also provides a roadmap for integrating the service into your business.

Of course, each service is different but these are the areas to look for in a well written proposal:

Background

This introductory section describes the current state of the business, in the area that the service will address. It may also include a summary of the new services being proposed and the resulting benefits. This section lets the service provider demonstrate that they understand the nature of the business and the issues that they are being hired to address.

Objectives

Expanding on the issues introduced in the background section, the service provider should describe the specific objectives or outcomes that will occur after their service is in place. Examples include increased sales or inquiries, improved customer satisfaction, a healthier work environment, etc. Objectives may also include identifying different types of customers and how the proposed services will affect each of them.

Services being provided

Having a detailed list of the services being provided can prevent unpleasant misunderstandings as the project progresses. Depending on the complexity of the service and project, this list can be quite lengthy. Think carefully as you read through this list, to make sure that all of your specific needs are being addressed.

Responsibilities

In any successful project, there are responsibilities on both sides. In my business, the client usually has the responsibility of providing the content that will be included in their website. This can be a significant amount of work on their part and it’s important that they understand it early in the proposal process. Make sure that you understand what your role will be in implementing the service.

Cost and schedule

Understandably, many people turn to this page first. This section should include both one-time costs of implementation, and any ongoing costs. It should also spell out any retainers or progress payments that may be required. In some cases there will be costs payable to third parties which you should be aware of, even if they’re not made directly to the service provider making the proposal.

The schedule may be within a range (e.g. within 30 business days) or may include milestone dates for specific segments of the project. Over many years of proposal writing experience, I have learned to include the caveat, “provided that all content is made available in a timely manner.”

Terms

In many cases, the proposal is separate from the contract that you must sign to engage the service. However, the proposal should define items like the term of the contract, the process for making changes to the project after it is in progress, any relevant copyright issues and other items that will be described in more detail in the contract.

In summary, a well conceived proposal will address your specific business needs and describe in detail the process that the service provider will follow in order to implement their proposed solution. You will know exactly what services they will provide and your responsibilities in the process. You’ll know what you are expected to pay and when. You’ll also be made aware of any contractual issues relevant to the service being provided.

Remember too that until you sign on the dotted line, everything in a proposal is negotiable.