Business Letters and Essentials of Business Letter

A Business Letter is a type of letter which serves as a means of communication written for various commercial purposes. These purposes can include a business deal, complaint, warning, notice, invitation, declaration, information, apology and various other corporate matters. Letters of business are the most popular and the most widely written types of letters. Business letters are also the oldest form of official correspondence and promoters of the mailing system.

Essentials of Business Letter:

Letterhead – A letterhead is topmost heading printed on the letter. The heading consists of name, address generally accompanied by a logo of the organisation. Most professional firms have their own pre-designed letterhead. Preprinted Letterheads showcase the repute of a company. However smaller firms may not have it. They use their name and address in place of the letterhead.

Date – The date has to written exactly below the letterhead. The date is an important part of a letter and is used for reference. The date is supposed to be written in full with day, month and year. Example – 31st May 2012 or May 31st, 2012

Recipient – Recipient or receiver’s name and address is the next part of a business letter. This part includes the name of the receiver, his designation and full address inclusive of phone and email.

Salutation – Salutation is the word of greeting used to begin a letter. It is a courteous gesture and shows respect to the receiver. Dear Sir / Madam etc. are specifically called opening salutations.

Body – It is the main part of the letter. The message of the letter is to be clearly mentioned in the first line, itself. The body has the relevant subject matter which is to be divided into several paragraphs, as need be. If there are instructions etc. these are to be in a bulleted or numerically listed in separate lines. The last paragraph should sum up the whole letter and offer any assistance or take a course of action as required or instructed.

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Closing (subscription) – Closing refers to the end of the letter. It is courteous and shows a mark of respect towards the recipient. Yours sincerely or sincerely etc. are commonly known as closings.

Signature – Signature follows after a few spaces. If the name is printed, then the signature is placed above it. An electronic signature can also be used. Scanned image of signature can also be used, if it is in accordance with the rules of the organisation.

Sender’s Name, title and contact information – If these have not been incorporated in the letterhead, one can include Name, Title, Address, Phone, Email etc. in separate lines.

Enclosure – If some documents have been attached, the word ‘Enclosures’ should be typed/ written a few lines after the signature of the sender. Thereafter, the number and type of documents attached e.g. ‘Enclosures (2): brochure, resume’ is to be mentioned.

Example -1

Business Letter for the order of Refrigerators

Malhotra and Sons
123 Marine Drive Road

15 October 2016

Mr Rakesh Sharma
Customer Service Representative
BPL Electronics, Inc.
987 Akbar Street

Dear Mr Sharma,
I am writing to you concerning a recent purchase of Refrigerators.

Two weeks ago, on October 1, I ordered a total of 50 Refrigerators for my Company via the BPL Electronics webpage. I received an email notification two days later confirming the receipt of payment and the shipment of the Refrigerators. According to your website, shipments should have reached their destination within 3-5 business days of being sent, but I have yet to receive the Refrigerators. Do share if you have any information on what may have happened to cause a delay in the shipment or where the shipment currently is.

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I have been dealing with your concern for several years in the past and have the greatest confidence in your products and customer service. The shipment of refrigerators is required urgently. I hope you might be able to expedite the delivery of the order. Thank you in anticipation.

Sincerely Yours,

Raveesh Malhotra
Incharge, Purchase Dept.
Malhotra and Sons

Example -2

To Business Loan Application Letter

Loan Approval Manager,
State Bank of India

21st April 2014

Subject: Business loan application letter.

Dear Sir,
My name is Vivek Kumar and I hold a savings account with your bank with A/C No: SB 689787689698. This letter is to brief you about the new venture I plan to open up and also to request an amount of loan from your bank so that this concept can actually see the light of the day.

The business concept for which the loan is required is opening up an event management firm. The basic amount required to open up this firm will Rs. 850000. I guarantee to start its repayment after three months of its approval. This is the estimated time in which I think the firm will start making a marginal profit and will be in a state to pay back its loans.

As proved from the records, I have always been an honest customer to the bank with a clean record. I hope that my history with the bank will add on to the reasons for an early approval to the loan. I am also attaching a copy of y bank statement and my past three salary slips for your kind perusal. To support my application, I am attaching the copy of my photo identity proof, address proof and my passport size picture. I hope the documents attached will suffice for a successful transaction. Any other document required will be mailed immediately by me. I shall be very happy to provide it to you. I request you to process his application at the earliest. Anticipating an early and positive response.

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Thanking you,

Vivek Kumar

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