Tapping into the government contracting arena can be a lucrative endeavor for a small business. But landing government contracts is hard work. When a government agency puts out a request for proposal (RFP), it's up to you to prepare a proposal in an effort to win the contract. These lengthy documents can take weeks, even months, to prepare and must be written with the utmost care and detail according to the agency's specifications.

Remember that your proposal is, in effect, a sales pitch. Craft it as such, highlighting the creative solutions you can provide and differentiating your company from the competition. Common components of a proposal include:

1. Executive summary — sums up your understanding of the project and explains your solutions for their needs.
2. Technical approach section — outlines how your company will creatively approach the project.
3. Management section — describes how you will manage the project, such as overseeing staff and any independent contractors.
4. Personnel section — details the experience and capabilities of staff members who will be working on the project.
5. Related experience section — describes projects your company has handled that are similar in nature to the one you're bidding on.
6. Pricing section — details what you will charge for the project.

Action Steps
The best contacts and resources to help you get it done

Choose a proposal team

Writing a winning proposal is a team effort. Choose employees to be part of the team and give them specific responsibilities. One group of employees may be in charge of cost analysis; another group may handle the actual writing of the proposal.

I recommend: The Magic of Winning Proposals is an interactive manual that shows you the various people and departments that may be involved in writing a proposal and how they interact.

Create a schedule

To craft the best proposal possible, create a schedule and stick to it. Hold regular meetings with your proposal team to ensure that people meet their deadlines and to address any questions. Be sure to leave ample time at the end for binding and copying.

I recommend: Keep your proposal team aware of upcoming deadlines and meetings with scheduling software, such as OfficeTracker.Some contact management software programs, such as Act!, also include an appointment tracker.

Use storyboards

Develop the main themes for each section of your proposal with storyboards. Include the main benefits you want to highlight in each section and jot down notes about important elements you want to cover.

I recommend: CapturePlanning.com offers a proposal forms package that includes storyboard layouts along with dozens of other useful worksheets.

Executive summary

The executive summary is the most important section in your proposal and may be the only section an evaluator reads. Put the most critical information in the first few paragraphs. This section should introduce your company and key personnel and describe your expertise, your approach to the project, your management approach and your price.

I recommend: Purchase a proposal template that includes tips on writing a strong executive summary from Klariti.com.

Pricing section

The RFP will indicate if your proposal's pricing structure should be a fixed fee, cost-plus, cost-reimbursement or time and materials. In order to come up with a bid that will be profitable for your company, consider all costs associated with the project: raw materials, labor, transportation, packaging and overhead. Perform a thorough cost analysis and prepare a spreadsheet of items to include in your budget.

I recommend: Download cost-analysis and expense budget spreadsheet templates in Excel from Microsoft.com.

Use the proper terminology

There's a whole new vocabulary to learn when dealing with government proposals and buying practices. Make your proposal competitive by using the appropriate terminology.

I recommend: Visit the National Science Foundation for a glossary of procurement terms.

Use tables, charts and other graphic elements

Graphic elements give your proposal a professional polish and make it easier to read. They break up the text and provide quick summaries for evaluators.

I recommend: Download templates for charts and diagrams from Microsoft.com.

Review other proposals

Take some time to review winning proposals that landed contracts.

I recommend: Onvia offers a search tool that allows you to access a database that includes government bids and proposals. CapturePlanning.com offers proposal case studies, templates and samples.

Get help

Given the amount of work and detail that has to go into preparing for a government contract proposal, it may be worth investing in software or hiring a professional who knows all the ins-and-outs.

I recommend: CRMFederal is sales and proposal-writing software that offers instructions and electronic content generation. ProposalKit.com offers templates and software to facilitate the writing process. Visit a Procurement Technical Assistance Center in your area for help navigating the proposal process. FedSources.com is a consulting firm that helps businesses win government contracts by providing assistance with proposals. Deborah Kluge, Cohen International, GSAProposal.com and Onvia provide proposal writing, RFP review and coaching services.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Make sure your proposal meets all the requirements. Send the required number of copies. Make sure your proposal and any supporting documents arrive prior to the deadline. Clearly identify any required samples.
• •  Using the RFP as a guide, create an outline that covers all the required sections. For each section, list the name of the person responsible for supplying the necessary information. Include important deadlines and requirements, such as page limits and page margins on the outline.
• •  Appearances count. Make sure your proposal looks professional.
• •  Check spelling and grammar and verify the consistency of page numbering, and use of headlines and fonts.
• •  Don't leave any sections blank. If you've covered a topic elsewhere, write 'Please see Section X'.
• •  If you need to make changes after you've sent in your proposal, send a letter to the purchasing office prior to the bid opening.
• •  Government evaluators are supposed to make decisions based solely on what appears in your proposal. Therefore, it's imperative to include all pertinent information about your company.