The Importance Of Using References in Business Proposal

References in business proposal can be either a person or a project. Most references would involve the two parties especially as it concerns drawing up business proposals. You would need to point out projects of interest that you had been involved in, your role in the projects, and people they could contact for verification purposes.

1. References Points To What You Have Done

This could sum up your experience as far as those you are submitting the proposal to are concerned. When it comes to drawing up winning proposals and including your past projects, they have to be projects that are closely related to the one you are hoping to secure.

SEE ALSO: Introduction To Oral Proposal Presentation

That is, only use projects that showcase what they are looking for, and underscore what you are trying to project about yourself and your capabilities. Using such projects as references as well as the people involved during that project would underscore your competence.

2. Reference Points To What You Can Do

There are times when you may not have done exactly the same thing, or you have a couple of projects that highlight different aspects of the service you intend to provide and how you intend to deliver such a service. In such cases, references help to point to what you can do.

One of the key aspects of drawing up a business proposal is the ability to show the potential clients that you can deliver on what you are trying to sell. It would be foolish for them to rely on words alone, because just about anybody can paint a great picture about himself or herself. This is why they lean heavily on references, which is indicative of the kind of experience you have had on the job as you refer to previous projects you have undertaken.

3. It Backs Up Your Qualification

References serve as a backup to your qualifications. While it could be a thing of formality for them to verify your educational qualification, potential clients intend to hold references and previous jobs handled in a high pedestal.

They want to see that you have a practical experience that would underscore your qualification. This is why it is important to include the right kind of references that are connected to similar projects whether in area of complexity or in the same field.

4. References Also Serves To Back Up The Cost

This goes a long way in reinforcing and justifying the amount you want them to pay for the service you are about providing. Everything in your proposal should be directed to have a single focus i.e. you clinching the deal. While your business proposal should focus on what they need and you having the capacity to provide it, the main issue for you is the amount they are willing to pay you for the service. Therefore your proposal should serve the twin purpose of meeting their aspiration and your bottom line.

SEE ALSO: Writing A Business Proposal: Benefits Of Good Articulation

This is why some (who make proposals) go as far as providing multiple price options. They adopt this method to give those that are appointed to decide whether to accept or reject the proposals,  every reason to want to pick theirs over others. Of course they would include a price option that would not make them run at a loss as such, but everything they add to their business proposal would positively affect their bottom line.

5. Tips On Using References in Business Proposal

Even though you might have been fully involved in your past projects, it is important you do not rush into including them in your new business proposal without due diligence. Due diligence in this case means verifying from the people you want to get involved before including the projects. Due to the following reasons-

• • They might not be predisposed towards confirming or giving you a glowing reference for one reason or the other.

• • There might have been a change of management and the people you worked with might have left.

• • They might not have the specific clearance to speak on the matter and may present delays if they are called to verify your claims,

The point is, so many things could make it impossible for them to speak on your behalf even when it is clear you played a pivotal role in the project. It is therefore imperative you contact them and get their approval. They might then give you the right person to talk to, the person that will be readily available if called upon to make a case for you at anytime because they have been prepped up.

SEE ALSO: Things To Consider When Making Oral Proposals

Another thing you should consider doing when working is to get an official testimonial as soon as it is completed and approved. The project and its completion would still be fresh and they may be more than willing in addressing it, since it is still on their table in a manner of speaking and the company have not moved on to other things. Look for the right people like the liaison/project coordinators you have to report to, and any top management personnel that had oversight function.

Every business proposal is unique because it presents another opportunity to interact with a different set of people. These people would naturally want to have proof that you are competent enough to handle the project, and this is why the use of reference is very important.