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How to write a business proposal, and when to screen the idea first

Summary, problem, result, scope, timeline, price, what you need and how to say yes: the 8 sections of a business proposal, plus the check a software project needs before you quote.

By Boris Binyaminov ·

Sections
8, in the order a client decides
Software projects
Screen the idea before you quote
Pricing
Choose who carries the risk

In the order the client decides

A proposal answers the client's questions in the order they decide

01

Screen the idea

Can it work at all?

02

Problem and result

In the client's own words

03

Scope and price

With exclusions and a payment schedule

04

How to say yes

One next step and a date

Problem, result, scope, timeline, price, what you need and how to say yes. For a software project, the client's idea is screened before any of it is written.

A business proposal tells a client what problem you will solve, what will be different when you are done, what is and is not included, how long it takes, what it costs and what you need from them, in that order and on as few pages as it takes. For a software project, do one thing before you write it: check that the client's idea can work at all. A well-built product nobody uses still ends with an unhappy client, and the proposal is where that risk gets priced.

The sections of a business proposal

Every proposal answers the same 8 questions. The order matters because the person who signs often reads the top and skims the rest, so the problem and the result come first. A proposal is written for one client and one project; a business plan is written about your own business, for you or an investor.

Swipe left to see the mistake each section invites.
SectionWhat it saysThe mistake to avoid
SummaryThe problem, the result and the price in a few sentencesOpening with your company history
The client's problemWhat is going wrong now, in the client's own wordsDescribing the problem you would like them to have
The resultWhat will be different when the work is done, and how you will both knowListing features instead of an outcome
ScopeWhat is included, and what is explicitly notLeaving out the exclusions that later cause the arguments
Approach and timelineThe phases, what each one delivers, and whenOne end date with nothing checkable before it
Price and paymentThe price, what it covers, and when each payment is dueA single number with no payment schedule
What you need from the clientAccess, content, decisions and who makes themAssuming the client will supply these on time
Terms and next stepHow long the offer stands and exactly how to accept itEnding without a clear way to say yes
A structure to copy, not a legal template. The right column is where proposals often go wrong: each mistake looks harmless when the proposal is written and costly when the work starts.

Two sections do most of the protective work. Scope with explicit exclusions is what you point to when a request arrives that was never part of the deal. What you need from the client turns the common cause of delay, a client who has not sent the content or made the decision, into a written dependency with a date.

For a software project, screen the idea before you propose

A client who asks you to build their product idea is asking two questions at once: can you build it, and should it exist. A proposal often answers only the first. If the idea has no buyers, no way to reach them or a price nobody will pay, you can deliver every line of the scope and still be blamed for the result.

So before writing the proposal, ask the client what they can settle about the idea itself. The guide to screening a client's idea turns our 10 Discovery questions into specific things the client can answer before you quote: public evidence of the problem, who pays and how often, a channel that already reaches the buyer, who answers support after handover. An answer the client cannot give is the part of the project that is not yet ready to be built.

Price the risk you cannot remove

The pricing structure decides who carries the cost when something unexpected happens. Choose it deliberately rather than by habit.

Swipe left to see who carries the risk.
StructureFits whenWho carries the risk
Fixed priceThe scope is clear and unlikely to moveYou carry the cost of every surprise
Time and materialsThe scope will change as the client learnsThe client carries the cost, and may stop paying for the learning
Paid discovery, then a fixed priceNobody can scope the build honestly yetShared: a small paid phase answers the unknowns before the big number
Three common structures, not the only ones. For an unscreened product idea the last row is usually the honest one, because nobody can scope the build before the unknowns are answered.

A paid discovery phase is also the cleanest way to screen an idea without insulting the client. It is a small, fixed piece of work whose output is a decision: build, change the idea, or stop. If the answer is stop, you have been paid for the most useful thing you could tell them.

Write it for the person who signs

The reader is often not the person you spoke to. Write so that someone who was not in the conversation can decide from the first page:

  • Use the client's words for the problem. They will recognize it faster than your summary.
  • Put the price on the first page. Hiding it makes the reader hunt, and a hunt reads as reluctance.
  • Keep the technical detail in an appendix. The decision is about the result, the cost and the risk, not the stack.
  • Give one clear next step and a date. A proposal that stays open forever invites the scope to drift while it waits.

When one page is enough

A small, fixed piece of work does not need eight sections. For a job you can deliver in a few days, a one-page proposal carries the same protection in five lines:

  1. The problem in the client's words, in one sentence.
  2. What you will deliver, and the one thing that is explicitly not included.
  3. The date it will be done, and what you need from the client to meet it.
  4. The price, and when it is paid.
  5. How to accept: a reply, a signature or a payment link.

The long form is for work where scope, risk or timeline can move. When they cannot, the extra pages only give the client more to renegotiate.

After you send it

Follow up once, on the date the proposal says it expires, with a single question: whether they want to go ahead, change the scope or stop. If they ask for a lower price, change the scope rather than the rate, so the price still matches the work. If they cannot answer the screening questions, offer the discovery phase instead of the build.

If you want to check the client's idea before you quote, run it through the idea check. It asks a similar set of questions about the idea and returns the reasons in writing.

Common questions

What should a business proposal include?

A summary, the client's problem in their words, the result they will get, the scope with explicit exclusions, the approach and timeline, the price and payment schedule, what you need from the client, and how long the offer stands and how to accept it.

How long should a business proposal be?

As short as the decision allows. The person who signs should be able to decide from the first page, with technical detail kept in an appendix.

Should I propose to build a client's idea if I doubt it will work?

Ask the client to settle the idea's open questions first, or propose a small paid discovery phase whose output is a decision to build, change or stop. That prices the risk instead of hiding it.