5 Tips on How to Write an Effective Quote

  • By Team Mosspaper
  • 06 Apr, 2015

Most small businesses get clients easier because they have a particular edge. They know how to position themselves in the business. In the process, they edge out competitions and render them useless. Communicating effectively in quotes and contracts is a key component in this.

While most businesses provide estimates, wise businesses are providing value-based quotes or proposals. An estimate presents the clients what needs to be done and how much will it cost them. A value-based quote, on the other hand, is a persuasive document that presents the price, but focuses on telling the clients that you understand their business and where they are coming from. Yet, it’s not lengthy in nature like a formal proposal.

 

According to research, average quote proposals get 47 percent chances of winning compared to the 35 percent chance of estimates. Writing lengthy documents to clients will overwhelm and confuse them. So, how do you edge out the competition with persuasive quotes proposals? How do you write a quote proposal?

 

Here are 5 tips in writing an effective quote:

 

1)     Summarize the problem.

Write 1-2 sentences about the problem the customer is facing. The problem can include what the issue is and it affects a company, an organization or an agency. Always remember that a good quote should be focused what the issue is and the value you are providing. Bullet point can also help to keep things structured and easy to read.

 

2)     Provide solution.

It’s important to effectively present solutions to the existing problem. Look at every aspect of the situation that may cause or contribute to the problem and derive possible solutions from it. Emphasize the need for an immediate solution to prevent the problem from getting worse.

 

3)     Make practical suggestion.

Itemize or list out all the services needed to address the problem. A good quote should address the issues one by one, but do not take advantage of the non-expert clients. Do not add solutions that are not really needed for the sake of adding cost. Many businesses and freelancers are guilty of this. Besides the fact that it is unethical, it is also a waste of time, effort, and resources.

 

4)     Present the process and its benefits.

Show how you will solve the problem by presenting to your clients your process and the timeline on how plan to attain their business goals or objectives. A good quote provides the client a perspective on how the problems will be solved step by step. This can easily be captured in line items with descriptions.

 

This makes it easier for the client to understand what will be done and how it will be done. It will also be useful for your clients to easily track the progress of your work to solve the problem. Also, present the benefits they can get from the solutions you suggest.

 

5)     Provide pricing.

Present the price of each of your itemized solution. The quote will give your clients a view of the total cost of the services to be done, or the product to be purchased.

 

Pricing is a clincher in every deal. Some clients will contact different services and competitors especially if they do not found the pricing reasonable. Thus, it’s important to make sure that your prices match the services you offer. Be prepared to answer client's questions when it comes to pricing too.

 

6)     Include sample reference.

Provide your clients with previous deals for their reference. You can include use cases, resume, diagrams, and other sample works to give your clients an opportunity to assess your qualification in doing the project. These should be attached to the quote. It’s only supplementary information for their reference.

 

If you are not confident in creating the best quotes and contracts, there are web applications that can help you deal with it. Mosspaper is a quote and management tool that provides easy, safe and efficient quotes and contracts to sell your expertise and experience anywhere. You can now create digitally signed quote and contracts and manage them effortlessly with this quote and contract management tool. For more information about Mosspaper, visit http://www.mosspaper.com/ .


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By Team Mosspaper 22 Aug, 2017

Wе аll undеrѕtаnd thе іmроrtаnсе оf a соntrасt, but thаt dоеѕn’t mеаn wе аlwауѕ uѕе thеm (оr uѕе thе rіght оnеѕ). When it comes to small business and freelance services, it’s always best to have the right foundations to protect your business and ensure customer satisfaction. Fоr уеаrѕ, you may have not taken a client’s contract seriously or downloaded one from the internet.  Mауbе, уоu іmmеdіаtеlу ѕіgn whаtеvеr dосumеnt a сlіеnt ѕеndѕ уоur wау, оr mауbе уоu dоn’t hаvе аnу kіnd оf соntrасt аt аll.

At it’s соrе, a gооd соntrасt ѕhоuld ѕреll оut whо’ѕ dоіng whаt, whеn аnd fоr hоw muсh. Kеер іn mіnd thаt сlunkу lеgаl tеrmѕ juѕt соnfuѕе реорlе. It’s best to keep things very clear and concise. Aѕ a ѕtаndаrd rulе оf thumb, dоn’t іnсludе аnуthіng іn a соntrасt іf уоu dоn’t knоw whаt іt mеаnѕ.

Hеrе аrе thе bаѕісѕ ways to write an effective contract:

1. Inсludе Cоntасt Infоrmаtіоn оf Bоth Pаrtіеѕ in the Contract

Hеrе’ѕ аn еаѕу оnе tо dіvе іntо. Evеrу соntrасt ѕhоuld іnсludе thе lеgаl buѕіnеѕѕ nаmе, mаіn соntасt, рhуѕісаl аddrеѕѕ аnd bіllіng аddrеѕѕ fоr bоth thе сlіеnt аnd соntrасtоr. Bе ѕurе tо uѕе уоur оffісіаl buѕіnеѕѕ nаmе (fоr еxаmрlе, іf уоu іnсоrроrаtеd оr fоrmеd аn LLC, uѕе thе еxасt nаmе thаt’ѕ оn thіѕ рареrwоrk). In аddіtіоn, uѕе уоur nаmе аnd уоur сlіеnt’ѕ nаmе thrоughоut the соntrасt. Lеаvіng gеnеrіс tеrmѕ like “сlіеnt” оr “ѕеrvісе рrоvіdеr” іn thе соntrасt wіll mаkе it ѕоund ѕо muсh mоrе impersonal.

2. Sресіfу thе Prоjесt Details аnd Sсоре

Trу tо be аѕ ѕресіfіс аѕ роѕѕіblе аѕ tо whаt уоu’rе bеіng hіrеd tо dо. Fоr еxаmрlе, if уоu’rе bеіng hіrеd tо rеdеѕіgn a wеbѕіtе, аrе уоu rеѕроnѕіblе fоr thе nеw сору? Will the сlіеnt рrоvіdе thе сору? Dоеѕ thе ѕсоре оf thе рrоjесt іnсludе оthеr аѕресtѕ lіkе kеуwоrd/SEO орtіmіzаtіоn? Hоw mаnу іnіtіаl соmрѕ wіll bе іnсludеd, аѕ wеll аѕ hоw mаnу rеvіѕіоnѕ? Hоw ѕhоuld thеіr еdіtѕ bе рrоvіdеd?

Thе gоаl for the contract hеrе іѕ tо ѕеt еxресtаtіоnѕ аnd guіdе thе wоrkіng rеlаtіоnѕhір wіth ѕоmе рrеdеfіnеd раrаmеtеrѕ. Yоu dоn’t wаnt tо еnd uр fееlіng lіkе уоu’rе bеіng рuѕhеd tо wоrk оut оf ѕсоре, аnd уоu dоn’t wаnt уоur сlіеntѕ tо fееl lіkе thеу’rе nоt gеttіng whаt thеу раіd for.

3. Eѕtаblіѕh thе Pауmеnt Tеrmѕ

Arе уоu tо bе раіd оn аn hоurlу bаѕіѕ оr bу thе рrоjесt? If іt’ѕ hоurlу, you mау wаnt tо ѕtірulаtе a mіnіmum/mаxіmum hоur rаngе tо аvоіd ѕurрrіѕеѕ. If уоu gеt раіd bу thе рrоjесt, bе ѕurе tо lау оut thе еxасt dеlіvеrаblеѕ in the contract.

• Hоw ԛuісklу thе сlіеnt nееdѕ tо рау uроn rесеіvіng аn іnvоісе (е.g. 15 dауѕ, 30 dауѕ)

• Whаt аrе thе ассерtаblе рауmеnt mеthоdѕ (е.g. FrеѕhBооkѕ Pауmеntѕ, сhесk, dіrесt dероѕіt…)

• Whаt hарреnѕ whеn thе сlіеnt doesn’t рау? Yоu mау wаnt tо іnсludе your terms and conditions such as  “уоur company rеѕеrvеѕ thе rіght tо ѕuѕреnd wоrk if іnvоісе рауmеntѕ аrе nоt rесеіvеd wіthіn a rеаѕоnаblе реrіоd оf tіmе frоm thе іnvоісе dаtе.”

4. Sеt a Project Sсhеdulе

Bе сrуѕtаl сlеаr аbоut аnу dеаdlіnеѕ within the contract, іnсludіng fіnаl deliverables аѕ wеll аѕ аnу рrоjесt mіlеѕtоnеѕ. If thе dеаdlіnе hіngеѕ аt аll оn thе сlіеnt, bе ѕurе tо ѕресіfу thіѕ. Fоr еxаmрlе “dеlіvеr fіrѕt соmр thrее wееkѕ аftеr rесеірt оf x” оr “mееtіng thе ѕсhеdulе іѕ dependent оn thе tіmеlу rеvіеw оf drаftѕ.”

5. Dесіdе Whаt Hарреnѕ If a Cоntrасt Iѕ Tеrmіnаtеd

Emрlоуеr/еmрlоуее соntrасtѕ оftеn ѕtірulаtе thаt еіthеr раrtу саn tеrmіnаtе thе соntrасt bу gіvіng a twо-wееk nоtісе. Hоwеvеr, thіѕ kіnd оf аrrаngеmеnt tеndѕ nоt tо саrrу оvеr wеll fоr frееlаnсе рrоjесtѕ. But thеrе аrе a соuрlе оf dеtаіlѕ уоu саn іnсludе tо gіvе уоu a little рrоtесtіоn:

• Stаtе thаt аnу rесеіvеd рауmеntѕ аrе nоn-rеfundаblе ѕhоuld thе рrоjесt bе tеrmіnаtеd for аnу rеаѕоn. If уоu іnvоісе оn a regular bаѕіѕ thrоughоut the durаtіоn оf thе рrоjесt, thіѕ ѕhоuld hеlр еnѕurе thаt уоu dоn’t gеt ѕtuсk dоіng a lоt оf wоrk аnd nеvеr gеttіng раіd.

• Stаtе thаt іf thе рrоjесt іѕ dеlауеd fоr lоngеr thаn 30 dауѕ (оr whаtеvеr tіmе реrіоd mаkеѕ ѕеnѕе fоr уоur ѕіtuаtіоn), thеn уоu’ll bіll for аll wоrk соmрlеtеd uр tо thаt роіnt.

A client contract is the best way to avoid disputes with customers and ensure you and your clients are on the same page. Make sure you foot your best foot forward with simple and clear language.  As a small business owner or freelancer, it’s important to protect yourself and have a solid foundation for your business.


By Team Mosspaper 26 Jun, 2017

With so many online resources, yоur customers has a lot of information about your business before they decide to become your customer. It can be a lengthy process and a bit more complex than ѕіmрlу saying; "I need tо purchase something and I know precisely from who". 

The customer buying cycle is defined in 3 steps. First, you have awareness which can be described as the moment the customer sees your product while there is a need for it. Second, there is moment of consideration where they are evaluating your product or services for a possible purchase. Lastly, the final step is purchase, where the buyer makes a purchase.


Here are some ways to market to these buyers:

1) Awareness

Having an online presence such as a website that describes your product and services will help your buyer find you. It’s always good to have testimonials to provide credibility as well as recommendations through sites such as yelp or google business.


2) Consideration

When your customer has found you,  it’s best to introduce your product as a solution to a problem the buyer may be having. The buyer is trying to see if your offering can meet their challenges and how you will be doing it.


Having a quote or contract that describes your methodology with a breakdown of costs associated with how you will be address their needs will be beneficial at this stage. describe the value the buyer will be receiving if they choose you as a vendor and include reviews or customer references.  


3) Purchase

The buyer is ready to be your customer. If the customer requires more time, you should consider giving them a discount or coupons.  Having a simply way for them to agree to your terms through electronic signature and payments will be helpful to ensure you close the deal quickly.

By Team Mosspaper 14 Jun, 2017

Successful businesses maintain good habits and it is one of the reasons why they managed to be where they are now. Habits they have picked along the way, such as good   contract management , has helped them get to where they are at the moment and take their business to the next level. The bad news is that there are small businesses that don’t have any good habits at all. The good news is that they can start changing their attitude and practices in order to develop good habits.

 

In a highly competitive landscape, it’s important and vital to make sure you ensure good habits are enforced so your business continues to thrive. Here are some good habits that can help small businesses include:

 

1)   Focusing Your energy

To ensure you utilize every minute and hour of each day, it’s important to learn how to focus on the most rewarding tasks. Take care of the low hanging fruits first. Review your list of things to do and evaluate which task you can do now that will bring forth the most value to your customers and team. Give each task a percentage of impact and ask yourself what are the top 3 things I can do that will benefit my business the most.

 

2)   Prioritize

Ask yourself what is the most important thing you need to do today in order to set a foundation for your business. It’s always important to think about how something can help you to increase revenue or reduce your operating cost. The vital part of any business to knowing when you should create a strategy for long term goals while balancing short term objectives. Most businesses have 3-5 simple objectives they want to accomplish each quarter. Everything else you do should coincide with those objectives. Never lose sight of the goals you have set out for yourself. Once you have a goal in place, work each day to get closer to those goals.

 

Having ways to measure performance or data analytics in your business helps you prioritize your business. Based on that data, you can start to formulate patterns and understand what works and what doesn’t. Focus on what works and continue to improve business workflow to ensure your success.

 

3)   Create Task and Execute

With each of your goals or objectives, it’s essential to follow through to ensure long-term success. Most of the time a goal has a few steps in between until it’s completed. Write it all down. Sometimes, it helps to work backwards if there are dates involved. Write down and revise as needed. With each task, you get closer and closer to where you want to be.

 

The use of software to streamline task and follow up is very useful in situations where there are a lot of repetitive, mundane work. Try to look for solutions like Mosspaper, a quote and contract management platform, to help you execute your business goals in a more orderly fashion. Mosspaper focuses on different aspects of your business such as operations, finance, and sales. With built-in workflows, it helps you consolidate the management of your team’s workload all in one platform.

 

4)   Positive Mindset

Being happy and having a positive mental outlook can help with any situation. It is always said that you don’t have control with external factors, but you do have control over how you handle situations. With positive thinking regardless of what you are going through, you will continue to work through situations and reach your goals. A great attitude for success and having gratitude can go a long way.  If you understand what you’re trying to achieve and have patience with the process, you will be ahead of the rest.

 

It’s important to have good habits to succeed as an entrepreneur or small business owner. There are many different ways to get to where you want to be. Having disciplined habits can make or break your company as you face the challenges limited time and resources on a daily basis. Working smarter is always better.


By Team Mosspaper 12 Jun, 2017

For any interior designer, being able to provide accurate and effective sales quotes to your clients can be one of the best ways to drum up recurring business. When you are able to give your clients something that they can actually understand and feel comfortable with paying, you give off a far more professional approach and style. However, being able to give quotation services that are accurate and detailed can be quite tricky, and for many interior designers it can be easier to just stick to the basics. Here are some of the best ways that you can start changing your mindset and increasing the quality of work that you provide by using a value-based quotation system.

Here are some of the best ways that you can start changing your mindset and increasing the quality of work that you provide by using a value-based quotation system.

1) Provide a Work Summary

It’s always important to make sure that your clients are able to get a summary of the upcoming job so they can always refer to what is going to be taking place. This will be a list of goals that are to be achieved throughout the process; include key benefits within the work summary and an overall price of the job as a well. Dealing with part of any quote management system can be tough for an interior designer, but looking for software packages that help you manage this – for example, we recommend checking out Mosspaper – can be a massively beneficial way to keep things flowing.

 

2) Include Suggestions

One thing that always helps your clients out is to give them easy feedback and suggestions as to what they could improve moving forward; by having this within the quotation you are providing a bit more authority and helping them see things they maybe would have missed themselves. This helps to build extra trust between you both and makes your sales quotes a bit different to the rest.

 

3) Itemize Your Pricing

You need to make sure that your clients are able to see why the price is the way it is. If you can give them a fully itemized list to help them see what their money is paying for, the quote will feel far more authentic. Some designers aren’t comfortable doing this, but it’s an absolute must. Again, Mosspaper can help you do this. The administrative side of the software is excellent and will make creating references to items being used on the job so much easier.

 

4) Include Terms & Conditions

You always need to have the right legal information included with a quotation – especially in something as expensive and serious as interior design. Please make sure that your quote includes the terms and conditions section so the clients really understands what is required of them. Mosspaper can help you audit track all documents like this so you can be sure that the client reads and agrees to everything that is mention on the sales quote.

 

5) Provide References

Lastly, make sure that you provide some kind of reference to your potential client with a quote. This adds such an extra layer of value to proceedings and will really go a long way to help you become a favored option for the job. If you want to benefit from getting more work and the best kind of jobs, then working towards a value-based quotation system can be the best way to go.

 

As an small business, it's important to make sure you provide customers with the right information in an organized matter. It makes it 10 times easier on you in the end. Thus, it's imperative to provide your customer with a value-based quote when you start working with them. Professionalism, attention to detail, and thoroughness goes a long way.

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