Business Letters

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 8"x11" (or metric equivalent) unlined stationery.
There are sixparts 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 8" 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.

Business letters are important because they serve as a formal method of communication
between people. They provide valuable information on business-related matters, such as
purchase transactions, and they serve a legal purpose. Business letter also are used as a
reference material to future transactions between individuals and organizations. Furthermore,
business letters promote and sustain good will. Good business relationships are formed and
maintained through effective communication. Properly written letters give a positive impression of
a company or individual. Every business needs constant marketing and promotion of its products

or services, and one of the ways this is done is by sending letters to customers and clients. These
letters serve as a micro-level substitute for advertisements.
Retailers and agents also distribute new information to clients through formal letters. Through this
communication tool, existing contracts are reinforced, and new ones are forged. Letters enhance
an organizations image and reputation and maintain ethical business values
Incoming and outgoing letters also serve as references to future actions, and they provide
substantial evidence to transactions and disputes. They have legal validity. Problems, such as
customer service issues, are solved through proper communication between the involved parties.
Examples of a business letter are sales letters, response to customer complaints, legal
discussions and correspondence between businesses and clients

Kinds of Business letter

The term business letters refers to any written communication that begins with a salutation, ends
with a signature and whose contents are professional in nature. Historically, business letters were
sent via postal mail or courier, although the Internet is rapidly changing the way businesses
communicate. There are many standard types of business letters, and each of them has a specific
focus.

Sales Letters
Typical sales letters start off with a very strong statement to capture the interest of the reader. Since
the purpose is to get the reader to do something, these letters include strong calls to action, detail
the benefit to the reader of taking the action and include information to help the reader to act, such
as including a telephone number or website link.

Order Letters
Order letters are sent by consumers or businesses to a manufacturer, retailer or wholesaler to order
goods or services. These letters must contain specific information such as model number, name of
the product, the quantity desired and expected price. Payment is sometimes included with the letter.

Complaint Letters
The words and tone you choose to use in a letter complaining to a business may be the deciding
factor on whether your complaint is satisfied. Be direct but tactful and always use a professional tone
if you want the company to listen to you.

Adjustment Letters
An adjustment letter is normally sent in response to a claim or complaint. If the adjustment is in the
customers favor, begin the letter with that news. If not, keep your tone factual and let the customer
know that you understand the complaint.

Inquiry Letters

Inquiry letters ask a question or elicit information from the recipient. When composing this type of
letter, keep it clear and succinct and list exactly what information you need. Be sure to include your
contact information so that it is easy for the reader to respond.

Follow-Up Letter
Follow-up letters are usually sent after some type of initial communication. This could be a sales
department thanking a customer for an order, a businessman reviewing the outcome of a meeting or
a job seeker inquiring about the status of his application. In many cases, these letters are a
combination thank-you note and sales letter.

Letters of Recommendation
Prospective employers often ask job applicants for letters of recommendation before they hire them.
This type of letter is usually from a previous employer or professor, and it describes the senders
relationship with and opinion of the job seeker.

Acknowledgment Letters
Acknowledgment letters act as simple receipts. Businesses send them to let others know that they
have received a prior communication, but action may or may not have taken place.

Cover Letter
Cover letters usually accompany a package, report or other merchandise. They are used to describe
what is enclosed, why it is being sent and what the recipient should do with it, if there is any action
that needs to be taken. These types of letters are generally very short and succinct.

Letters of Resignation
When an employee plans to leave his job, a letter of resignation is usually sent to his immediate
manager giving him notice and letting him know when the last day of employment will be. In many
cases, the employee also will detail his reason for leaving the company.

Clarity
The first element of all business letters is that they should be clear. This includes the
purpose of the letter and words used within the text. Clearly state your point near the
beginning to allow the reader a clear understanding of the letter's purpose.
Conciseness
Avoid using extra words in a business letter. The element of conciseness refers to stating
an idea in the fewest words possible. Don't add superfluous information or extra words to
fill space. Simply state the information that's important and pertinent, and leave it at that.
Consideration
A business letter should also be considerate. This element is important because you must
think about the reader and his feelings and point of view. Make the letter about him and
not you.
Courtesy
Business letters should show respect to the reader and should demonstrate the writer's
personal respect for the reader and the company he works for.
Concreteness
Concreteness refers to using vivid wording within the letter that appeals to the reader's
senses. If a business letter is dull, the reader may skim through, missing important points.
Cheerfulness
When writing a business letter, demonstrate a positive attitude that expresses joy and
cheer.
Correctness

A business letter must always be accurate. This means ensuring every word within the
document contains accurate facts and figures. This includes proofreading the letter to
check for grammar and spelling mistakes.
Character
Every business letter should show a bit of uniqueness from the writer. This gives the letter
character and may make it more interesting.

1. Heading (or) Letterhead

Many business houses use their unique
letterhead (Heading) which can be used to
write your business letters. When you use
the letterhead of the company in which you
are working, your letter carry authenticity.
The Letterhead of the company is unique for
each company. The emblem of your company
might have been printed there in that
letterhead. Few situations might arise in
which you could not write your business
letters in the letterhead of your company. Or
your company may not have its letterhead.
In such situations, it is better to include your
address in the heading according to the style
you follow. There are many styles of business
letters. You have to choose one of your taste.
Although adding the name of your company
is not must, it is better to add it in your
address.

The Letterhead with the name of the sender,

designation of the sender and the name of
the company :
Clinton M.N.,
Marketing Manager,
Infosys Tech.,
1762, Jalan Bandar,
Narimon Point,
Mumbai 400012
Phone : 022 56267322
FAX : 022 56267323
The Letterhead only with the name of the
sender :
Clinton M.N.,
1762, Jalan Bandar,
Narimon Point,
Mumbai 400012

Phone : 022 56267322

FAX : 022 56267323
Both are acceptable. Choose the one which
appeals to you the most.
2. Reference (or) File Number
This reference number of the business letter
(file number of the business letter) is useful
to refer to the previous letters which are
related to the current letter. The recipient will
refer those old letters for relevant matters.
Although this is not necessary, adding the
reference number is advisable in many
cases. Adequate space might have been
provided for this reference number in the
letterhead. Depending upon the layout of the
business letter that you are adopting, you
should add the reference number in the
appropriate space provided for it. So, all
these things make it simple to simply type
the reference number.
3. Date of The Letter
Date of The Letter should be mentioned in
every letter. Either the left-hand side or the
right-hand side can be used to add the date
of the letter. Both sides are acceptable. But
writing the date on the left-hand side of the
letterhead is mostly practised among the
business people. The date can be written in
various formats. The formats which are
widely used are
12 January 2010
12th January 2010
12 Jan 2010
12th Jan 2010
12.01.2010
12/01/2010
12.01.10
12/01/10
The last four formats are quite confusing,
because they are not followed in USA where
the date is written in either one of the first
formats.
12.01.2010
12/01/2010
12.01.10
12/01/10
These four formats are widely used in UK,
India, Pakistan, Malaysia, Singapore and
other Asian countries.
12 January 2010
12th January 2010

These formats are commonly used in USA.

So, it is up to you to use the appropriate
format keeping in mind where your receiver
is located.
4. Private and Confidential
PRIVATE AND CONFIDENTIAL
Type these words on the left-hand side just
above the Recipients Address in capital fonts
as written above. This means that the letter
should be opened and read only by the
addressee. That means that this letter
contains some important and confidential
matter which others should not read. By
typing these words, I make it clear that
others have no business with the letter.
And do not forget to type or write these
words on the envelope so that the person
who happens to take the letter will not open
the letter.
In case, you do not put any confidential
matter in your letter, you need not use these
words either inside or outside the letter.
5. Recipients Address (Style of Address)
The Style of Address is the address of the
person to whom you are writing the letter.
His/her name, his/her title (if relevant), the
name and the address of the company in
which he/she is working should be included
in this address. The style of address is also
called Inside Address or Recipients Address
or TO Address.
This address should be written in the lefthand side of the letterhead.
Mr. Hendry Hun,
Financial Manager,
Petrotech Company Ltd.,
762 : Jalan Madhir,
90812 Kuala Lumpur.
Before writing this, you should choose the
correct form of writing your letter. The postal
code of the town in which the recipient is
should be added. You should be aware of the
different ways of writing the postal codes
which are used in different countries. By
adding the correct form of the postal codes,
you will make an impressive letter. Few
countries use short forms for their states or
counties or territories. You should add the
same form of abbreviations so as to make
your letter informed of what is the custom
there.
A letter without the correct postal codes is
treated shoddily. You should fold your letter
in such a way that the address of the
receiver should appear in the window of the
envelope which you use.

While using the title of the person, do not

use Esq. This should never be used in front of
Mr. Mrs. Dr. and Miss.
You can write Mr. Hendry Hun, Dr. Hendry
Hun or Hendry Hun Esq.
You should not write Mr. Hendry Hun Esq.
If that person is a surgeon, then he/she
should be referred to as Mr. not as Dr.
Esq. should not be used together with Mr.
Mrs. Dr. and Miss.
Use Miss. Mrs. or Madam when addressing
woman. These days women prefer to be
addressed with Ms.
Messrs. should be used for addressing a
partnership company unless the name of the
business begins with THE or the title of the
person.
Messrs. S.T. Raman & Bros.,
The One-Stop Music Stores,
Sir Ronald Stevens & Co.,
Messrs. should never be used for limited
companies.
SRM SDN BHD,
Chennai Textiles Pvt. Ltd.,
OHM Wools Pvt. Ltd.,
6. Attention Line
The attention line is used to indicate that the
letter is supposed to be ready for any
particular person or particular department.
Attention : Head of Marketing
This indicates that you do not know the
name of the head of the marketing team and
that the letter should be directed to the head
of marketing.
Attention : Peter Hun Marketing
Department
This indicates that you know the name of the
addressee, but not his/her designation. In
that case, you should use the attention
option. That means that the letter should be
routed to the person Peter Hun who is in the
marketing Department.
But these days this attention option is used
to note that the core matter of the letters is
for Mr. Peter Hun although the letter is
addressed to the Head of the Marketing
Department.
This option is used to draw the attention of
the addressee to the core issue.
7. Salutation
Salutation is the formal way of addressing
the person to whom you are writing the
letter. This is used in all letters including
social letters.
Here are the few typical examples of
salutations.

Dear Sir,
The way in which you write the salutation will
decide the way in which you will write the
complimentary closing.
8. Subject of The Letter
You need not write the subject of the letter,
in case your letter is so short. This is not a
compulsory issue. But now a day, business
letters are written with this. This should be
written just below the salutation line.
Normally this is types and underlines. You
can type this either at the left-hand side or at
the center. This is to indicate what is there in
the letter. Just the most concise form of the
letter should be mentioned here.
The subject of the letter becomes must when
the letter is lengthy one.
9. Body of The Letter
Body of The Letter is the central part of the
letter. That is why this is called body of the
letter. This part fulfils the purpose of the
letter. The main purpose of your letter may
be acknowledgement, acceptance, order,
command, apology, appreciation,
congratulation, demand, felicitation, inquiry,
request, reply, reminder, complaint,
recognition, proposal, resignation, thanking,
warning and welcome.
Be concise, clear and up to the point. Never
beat around the bush. The person to whom
you are writing this letter may not have time
to read your letter, if you write a lengthy
letter. In order to make your letter effective,
make your letter as short as possible.
In case the subject matter of the letter
happens to be lengthy, break it into few
short paragraphs. Lengthy paragraphs are
hard to read. Short ones are easier for
reading.
If possible, complete your letter within one
page. In case, the letter demands more than
one page, the new page should be begun
with a new paragraph. A new page with only
one or two sentence may look awkward for
the addressee.
Use P.T.O. (please Turn Over) or Continued in
next page at the bottom of the previous page
to indicate there is another page as the
continuation of this page. The next page
should start with -Page 2 - to indicate that
this is the second page of the number.
In case there are more pages in your letter,
each page should be numbered.
10. Complimentary Closing
Complimentary Closing depends upon the

formality of the salutation that you used in

the letter.
Dear Sir : Yours Faithfully
Dear Ms. : Yours Sincerely or Yours Truly
Although these types of expressions of
complimentary closings are required,
business world is not following these strictly
these days.
The normal complimentary closings are :
Yours,
Very Truly Yours,
Yours Very Truly,
Sincerely,
Yours Sincerely,
The closings should be typed at the left-hand
side just below the body of the letter.
In few cases, it is used at the center of the
letter just below the body of the letter.
11 & 12. Signature & Name and Designation
Signature and Designation of the person who
writes the letter should be added in the right
place meant for it. The letter should be
signed by the person who writes that letter.
Then only the letter will be treated lawfully
and authentically. A letter without the
signature of the person who writes the
letters will be names as anonymous letter.
There should be adequate space between
the complimentary closing and the name and
the designation of the person who is writing
the letter. The space should be enough to
sign.
After the introduction of computer, business
world has started to produce computer
generated letters in bulk. Those computer
generated letters will not get the signature
and the designation of the person who writes
those letters. But that statement will be
there in those letters. This practice is
adopted to save the time of signing the
letters individually and of checking those
letters for spelling correctness. In that case,
the same letter can be sent to various
persons (addressees) after changing the
name and the address of the recipient.
This new practise is also accepted these
days.
13. Postscript
You may think some other matters after the
letter is written. In such situations, the
postscript option can be used to add the new
matter just below the signature. This implies
that there are few more points you want to
add to the letter.

After the introduction of computer, this

option is left behind.
14. Enclosures
Enclosures are used to support the core
matter of the letter. Any additional
information can be provided in separate
sheets. Those sheets should be enclosed.
Just below the postscript, you should write
Enc. or Encl. or Enclosure to indicate that
there are enclosures attached with that
letter.
Enc. (3)
Encl. (3)

Enclosure (3)
This indication means that there are three
enclosures attached with the current letter.
15. Typists Name and Initials
The Initials of Typist can be added. In case
there are many typists in a company, the
typists initials are required to verify who
types the letter. The typists initials should be
added or types just below the enclosures. In
the case of the computer generated letters,
typists initials are not compulsory.