Business Letters

A business letter is a letter written in formal language, usually used when writing from one
business organization to another, or for correspondence between such organizations and their
customers, clients and other external parties. The overall style of letter will depend on the
relationship between the parties concerned. There are many reasons to write a business letter. It
could be to request direct information or action from another party, to order supplies from a
supplier, to identify a mistake that was committed, to reply directly to a request, to apologize for
a wrong or simply to convey goodwill. Even today, the business letter is still very useful because
it produces a permanent record, is confidential, formal and delivers persuasive, well-considered
messages.

A business letter is more formal than a personal letter. It should have a margin of at least one
inch on all four edges. It is always written on 8½"x11" (or metric equivalent) unlined stationery.
There are six parts to a business letter.

1. The Heading. This contains the return address (usually two or three lines) with the date on the
last line.

Sometimes it may be necessary to include a line after the address and before the date for a phone
number, fax number, E-mail address, or something similar.

Often a line is skipped between the address and date. That should always be done if the heading
is next to the left margin

It is not necessary to type the return address if you are using stationery with the return address
already imprinted. Always include the date.

2. The Inside Address. This is the address you are sending your letter to. Make it as complete as
possible. Include titles and names if you know them.

This is always on the left margin. If an 8½" x 11" paper is folded in thirds to fit in a standard 9"
business envelope, the inside address can appear through the window in the envelope.

An inside address also helps the recipient route the letter properly and can help should the
envelope be damaged and the address become unreadable.

Skip a line after the heading before the inside address. Skip another line after the inside address
before the greeting.

3. The Greeting. Also called the salutation. The greeting in a business letter is always formal. It
normally begins with the word "Dear" and always includes the person's last name.

It normally has a title. Use a first name only if the title is unclear--for example, you are writing to
someone named "Leslie," but do not know whether the person is male or female.
The greeting in a business letter always ends in a colon. (You know you are in trouble if you get
a letter from a boyfriend or girlfriend and the greeting ends in a colon--it is not going to be
friendly.)

4. The Body. The body is written as text. A business letter is never hand written. Depending on
the letter style you choose, paragraphs may be indented. Regardless of format, skip a line
between paragraphs.

Skip a line between the greeting and the body. Skip a line between the body and the close.

5. The Complimentary Close. This short, polite closing ends with a comma. It is either at the
left margin or its left edge is in the center, depending on the business letter style that you use. It
begins at the same column the heading does.

The block style is becoming more widely used because there is no indenting to bother with in the
whole letter.

6. The Signature Line. Skip two lines (unless you have unusually wide or narrow lines) and
type out the name to be signed. This customarily includes a middle initial, but does not have to.
Women may indicate how they wish to be addressed by placing Miss, Mrs., Ms. or similar title
in parentheses before their name.

The signature line may include a second line for a title, if appropriate. The term "By direction" in
the second line means that a superior is authorizing the signer.

The signature should start directly above the first letter of the signature line in the space between
the close and the signature line. Use blue or black ink.

Business letters should not contain postscripts.

Some organizations and companies may have formats that vary slightly.
Candidate Rejection Letter Example

Hiring Manager
Company Name
Company Address
City, State, Zip

Dear Candidate Name,

Thank you very much for your interest in employment opportunities with ABCD company.

I am writing to inform you that we have selected the candidate whom we believe most closely
matches the job requirements of the position.

We appreciate you taking the time to interview with us and wish you the best of luck in your
future endeavors.

Best regards,

Hiring Manager
Memorandum

Type # 1. Request Memo:

The objective of a request memo is to gain a favorable response to a request. The memo must be
written in a convincing way.

a. The request should be clearly stated

b. The reasons for the request should be presented.

c. If any financial costs are involved, they should be explained.

d. All expenses should be justified.

e. Recommendations for action should be presented.

f. Throughout the memo tact and diplomacy should be used.

If the memo is persuasively written, it should be easy for the reader to say “yes.” Following these
six guidelines, Hirdesh’s memo has been improved – see Figure 9.8. Notice the difference
between the first and second drafts of the memo.
The second version reminds the reader of a previous conversation during which the seminar was
discussed. This serves as an introduction to the main memo. The reasons are then presented
persuasively – showing indirect and direct benefits to the company (i.e., reader oriented). Finally,
there is a request for action.

Type # 2. Confirmation Memo:

A confirmation memo is designed to confirm in writing something that has been agreed to
verbally. Consider, for example, the sales manager who promises to provide sales coverage to six
more cities if the general manager provides him with three additional salespeople.

When the general manager and the sales manager agree on this plan of action, it is common to
find the general manager confirming this agreement with a memo.

In such cases, three important guidelines should be followed for writing the memo:

a. Be specific regarding the major points that were discussed and verbally agreed upon.
b. Enumerate the major points to emphasize them and allow easy reference to them in future
discussions.

c. Encourage feedback on any misunderstood or unclear points.

Type # 3. Periodic Report Memo:

Periodic report memos – monthly cost control reports, quarterly sales reports – are submitted at
regular intervals.

Since these memos are written frequently, they are designed and preprinted so that the writer can
complete them quickly.

There are three helpful guidelines for constructing a periodic report memo:

a. The memo should be designed as a fill-in form on which data can be entered quickly.

b. The form should be designed so that it can be duplicated and re-used.

c. If narrative or descriptive commentary is necessary, a place should be provided on the form.

Type # 4. Ideas and Suggestions Memo:

Sometimes memos are used to convey ideas or suggestions. Very often managers ask
subordinates for suggestions for tackling certain problems. In such instances, an ideas and
suggestions memo is required.

Follow the guidelines listed below for writing this type of memo:
Write directly – the manager would not have asked for ideas unless he thought the writer had
something to offer.

a. Begin with positive comments about the current situation (no one likes to be shot down), and
then tactfully present suggestions for change.

b. Group ideas according to subject and use headings to highlight them.

c. Be specific and don’t stray off the point.

i. The writer is too general. She has not pointed out what the company should do to tackle its
problems.

ii. She is more concerned with keeping her boss happy than with presenting useful suggestions.

Now read the memo in figure 9.13 and see how powerful it is.

Much better, isn’t it? The opening paragraphs define the problem tactfully. The
recommendations are grouped by headings, and each is carefully explained. The conclusion is
action oriented. The writer indicates how the recommendations can be implemented.

Type # 5. Informal Study Results Memo:

Organizational personnel are sometimes asked to write the results of an informal study in a
memo. The objective of the message is to present the information in an easy-to-read,
understandable form. To this end, follow the guidelines listed below:

a. State the purpose at the beginning (and stick to it).

b. Use headings and sub-headings to make the reading as easy as possible. Present data in a
“Findings” section and interpret it in another called “Conclusions” (or other similar terms).

c. Be specific. Stay on the point and address different issues one by one, systematically.

d. Unless there is good reason to do otherwise, write the memo in informal language and use
personal pronouns.

The memo in Figure 9.14 is an example of an informal study results memo that was written in
response to a request from a top manager.

The opening paragraph states the purpose of the memo; headings and sub-headings act as
signposts for the reader. Specific numbered points make the memo easy to read and understand.
Memorandum Structure

A memorandum is the primary correspondence document within an organization just as a letter is

the primary correspondence document between organizations. Put another way, memos are in-
house documents, whereas memos go into the public mail system.

A memo has a heading consisting of four parts.

To: Name and position of the reader

From: Name and position of the writer
Subject: A phrase that focuses the reader's attention on the subject of the memo
Date: Date the memo is sent

Normally, the writer puts his initials next to his or her name as an official signature.

After the heading comes the body of the memo, the message being sent. The body of a memo
will be organized according to the purpose of the memo. For instance, a progress report in memo
form will usually be divided into a purpose statement, a work completed section, and a work
scheduled section. An accident report will state the purpose, give a narrative and descriptive
background discussion of the accident, and then discuss the investigation and findings.

Although the body is adapted to the purpose of the memo, we can still mention the overall
structure of the body to any memo. Basically, a the body of the memo has two parts: the purpose
statement and the explanation. Because the reader of the memo is often very busy, she is not
likely to read the memo closely. Therefore, the first sentence should state the whole message
of the memo in one sentence. This sentence is like an abstract to a report. One should not begin
a memo with background information and work gradually to the main point. Instead the main
point should come first and then the background and explanation of the message in fuller
detail should follow. If the purpose of the memo is to ask someone to do something, that request
should be in the first sentence. If the memo's purpose is to announce something, the gist of the
announcement should be in the first sentence. If the purpose is to report something, the first
sentence should summarize the report and the rest of the memo should elaborate.

One is often tempted to end the memo with a "cordially yours" and a signature, but these are not
necessary and are usually excluded. When the message is complete, the memo is complete.
Because memos are usually short, it is seldom necessary even to write a conclusion or summary;
however, if the memo happens to be more than a page long, a summary may be in order.