Consider that you are pitching your project proposal regarding agriculture products to a group of investors who specialize in finance. In such a case, you must include more data regarding break even, sales forecast, etc. instead of your methodologies.
DEFINE THE PROBLEM THAT YOU’RE TRYING TO SOLVE
Every project proposal must have a clear definition of the problem at hand. It is evident that every business arises from a need. Your proposal should be able to explain why the project is necessary, what are the problems it will solve, and how it will help fulfill the need in a better manner.
It also helps you demonstrate the level of urgency and commitment that is required for the project and how it will yield results that are beneficial for everyone involved.
CONDUCT A SITUATION ANALYSIS TO UNDERSTAND THE CURRENT STATE OF THE ISSUE
Now that you are aware of the problem you’re trying to solve, the next step involves conducting a situation analysis to identify the current state of affairs.
In simple words, since your project does not exist now, how are people coping with the problem that you’re trying to solve.
Once you get a firm understanding of the situation, you can demonstrate why your business can help deal with the problem in a better manner, and most importantly, identify the competition in the market.
It will only help to add features and services that are unique to your business and help you create a stronger impact.
EXPLORE POTENTIAL SOLUTIONS
When you write a project proposal, it is important you provide multiple solutions to a problem. After you’ve explored all the potential solutions, you can then demonstrate how the project utilizes the most optimum solution.
Consider that you’re proposing an expansion project. Generally, expansions are an expensive affair and hence difficult to get approved.
If you make a project proposal that explores all possibilities like saying upgrading machinery, adding more manpower, or cutting down the costs of raw materials, and then demonstrate why expansion would be the best possible solution, it would be much easier for you to get an approval.
EXPLAIN HOW THE PROJECT WILL AFFECT THE COMPANY
There are multiple ways in which a project affects a company. A new project can help establish a stronger image in the market, improve brand credibility, consume resources, reduce profits for a certain period of time, increase the workload on the manpower, reduce competition, etc.
Considering that a project can have both positive and negative consequences, it is essential that you maintain transparency regarding how the project will affect the company. Including all consequences also helps highlight that you have a pragmatic sense of approach.
SET A TIMELINE AND ALLOCATE RESOURCES
Expounding the above-mentioned points helps you set a foundation for explaining the number of resources that your project will consume.
You must now include a time-bound plan in your project proposal. In case of a complex project, you can break it down into simpler tasks with individual deadlines. The timeline helps you set goals and divide the project into a series of tangible tasks.
Your project proposal must also contain a rough estimate regarding the resources that it will require, and what are your plans for acquiring these resources. You can then include statistical data like a sales forecast, break-even analysis, shares, etc. if required.
Since the project proposal is usually created during the early phases of your business, the statistics are generally rough.
WRITE THE PROJECT PROPOSAL
There are certain things that you must consider before writing down your proposal. These are clear formatting, use of concise languages, adding visual aids, avoiding grammatical errors, and adding a touch of creativity.
Now that you’re aware of how to write a project proposal, let us have a look at what data it should include:
PROJECT PROPOSAL OUTLINE
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Project Information: Include basic information like the motivation behind the project, the title of the project, the project site, the responsible people, the time frame, prepared by, etc.
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Project Summary: Contains brief info regarding the background of the project, the objectives, and the outcomes. It should be able to explain your entire idea in a matter of a few paragraphs.
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Project Methodology: Write down the project deliverables, the task breakdown, time estimate, and the approach that you’re taking to tackle the tasks at hand.
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Project Risk Management: Risk Management includes identifying the risks, the amount of impact it will have, the areas that it will affect, and the mitigation strategies.
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Project Costs: This section contains details regarding your budget. This includes the breakdown of your requirements into various categories, a short narrative or quotations, and estimates justifying the cost. Additionally, you can also include profit-loss statements, tax returns, funding sources, etc.
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Conclusion: Write a brief overview of the entire project, which explains the gist of your project in the most efficient way. This helps you create a long-lasting impact on the people that you’re proposing the project to.
Share in the comments: What were your key takeaways from the article OR what questions do you have about preparing a project proposal?
