Key Elements of a Successful Proposal for Business Consulting Services

One of the most critical elements in operating a successful business consulting practice is writing a proposal that secures fee generating engagements.  Without a constant flow of work and related fee generation that begins with a well written proposal, a consultant cannot survive much less prosper. 

This essay outlines key elements that should be included in business consulting proposals.

Opportunities to Submit a Proposal

Generally there are there three opportunities to submit a business consulting proposal.   They include 1) a request from a potential or recurring client to submit a proposal, 2) a response to an open solicitation for a request for proposals (RFP) or 3) a proposal submitted on a cold call basis to a potential client.
 By far, the most fertile ground on which a proposal can fall is the scenario generated when you are requested by a potential client or existing client to submit a proposal. This case generally results from preliminary discussions you have conducted that result in a clear understanding of the problem to be solved or the work to be conducted, the value your firm can provide in working on the project and the fees that would result through this process. Opportunity two and three above can produce consulting clients, but are often much more difficult and require many more “irons in the fire” to solidify work that receiving a direct request for a proposal. 

Key Elements of the Successful Proposal

The most successful business proposals are succinct, easy to read, and provide the following essential elements.  Three to five pages is the optimum length for a proposal to a private sector business unless more detail is requested.  Proposals to public entities tend to be longer with specific content driven by the RFP request.

1)    A Cover Letter
A cover letter should clearly state the consultant’s interest in conducting the scope of work and note key sales points that encourage acceptance, such as the value to be created for the client, exceptional qualifications of the consultant and the consultant’s ability to conduct the work on the client’s schedule.  The letter should indicate when a call or meeting will follow to discuss the proposal’s content and reach agreement on the terms of a consulting engagement

2)    Statement of the Opportunity
Following the cover letter should be the body of the proposal which starts with a clear statement of the problem to be solved or the opportunity to be addressed for the client.  This statement should be several paragraphs long and show that you have a clear understanding of the client’s needs.

3)    Task Outline
The core of the proposal is a summary of tasks that your firm will undertake to address the problem or opportunity facing the client.  Tasks should be clearly numbered and systematically outline the steps you will take to create value for the client.  Each task should conclude with a statement summarizing what will be delivered to the client when the task is complete.

4)    Timeline
A timeline should be provided that highlights when each task will be started and clearly illustrates the entire timeline for the project.  A project timeline chart is essential because it shows how timelines for different tasks may overlap.

5)    Fees
The method by which fees will be charged should be clearly stated.  Fees may be charged on an hourly or monthly fee basis or other.  Strategies behind fee development, including earning bonuses, will be discussed in the next essay.  Whatever the method of fees charged, it should be made clear in the proposal that the value generated for the client through the proposed engagement is much more than the fees to be paid to the consultant.

6)    Presentation of Personnel
The proposal should provide a list of professionals that will be working on the client project and include brief biographies that highlight experience which enable the consultant team to address the needs of the client.

 Method of Submittal and Follow-up

Most often proposals are submitted via email to enable quick turnaround and allow potential clients to easily share the document with associates involved in the consultant selection process.  Proposals can also be submitted by first class mail or overnight delivery on occasions when the potential client may want a hard copy proposal.

Follow-up to the submittal is critical.  Both the cover letter and any email cover messages should indicate that a call will follow to discuss the proposal and verify acceptance or modifications.  This dialogue is critical to moving the process of the client committing to retain the consultant.

Proposals are an essential tool for generating client engagements.  Since clients vary in terms of their needs and proposal format that allows them to access the value of your proposed scope of work, it is recommended that discussions occur with potential clients before the proposal is written to make sure the final proposal form and method of submittal you choose heightens the probability of acceptance by the client.

The next essay will highlight key strategies to consider when formulating fees for client engagements. 


Mark Williams, President of Strategic Development Group, Inc. will be writing a series of essays for MidlandsBiz during the coming months targeted to entrepreneurs considering startup of professional business consulting practices.  The series of essays began publication in January 2011.