Types of Formal Letters with Samples

Suppose you have to write a letter, how you want it to appear? It should be clear and
concise. It should be interesting and easily understandable. Since you have read about
letters, you are also familiar with informal and formal letters. Also, you have an idea about
the informal and formal letter format.

We know that all these letters have a pre-specified format. Everyone has to write business
letters of some type once in their life. It is important to express the main content of the letter
in clear and unambiguous term. In this section, we are going to study the types of formal
letters with samples. Let us start.

Formal Letter Format

A formal letter has a format which needs to be followed. A typical formal letter format is

1. Sender’s address
2. Date
3. Name / Designation of Addressee
4. Address of the Addressee
5. Salutation
6. Subject
7. Body – Introduction, Content, Conclusion
8. Complimentary Close
9. Signature / Name of the Sender
10. Designation of the Sender
Types of Formal Letters and Formal Letter Format
A. Letter of Enquiry
As the name suggests this type of letter is the source of collecting information. People
usually use a letter of inquiry as one of the most used business letter or formal letter. A letter
of inquiry helps a person to have information like some course or job inquiry, prices of
services and products, terms and orders or working agreements etc. One must always keep
in mind

 Give a brief introduction about yourself

 Include the name of the organization (if possible)
 Provide clear details about the area of inquiry
 Present your queries and doubt in a clear and understandable form
 Mention the deadlines by which you need the information
Learn more about the Business Letters here with examples in detail.

The format of this letter is the same as the formal letter format.

Sample

16 Ring Road
Nagpur – 01

November 30, 20xx

The Director
ABC Classes
35 Patel Street
Delhi − 18

Dear Sir,

Sub.: Enquiry about CAT Coaching Classes.

This is with reference to your advertisement in the ‘The Times of India’ for CAT Coaching
classes. I have passes the B.Sc. degree examination with Statistics as the main subject. I am
keen on joining your institute for the coaching classes.

Kindly let me know about the procedure of applying for the qualifying test and its date. I
would also like to know the duration of the coaching programme, the duration and the
number of classes per week along with the available mode of classes. Information about the
fees payable and the study materials is highly appreciated. Could you please send me a copy
of your prospectus?

I would like to enroll as soon as possible. Your early response will enable me to decide fast.

Thanking you.

With kind regards

XYZ

Browse more Topics under Writing Formal Letters

 Formal letters and Pointers for Formal Letters

 Format of Formal Letters
Learn more about Formats of Resume here in detail.

B. Order Letter
When a buyer needs to order some goods, he writes an order letter to the seller. The three
main parts of this letter are

 The details of the items or the goods being ordered must be clearly stated. It must have
complete information like the quantity of the goods, model number (if possible), etc.
 The information related to the shipping must also be clearly given. The mode of shipping,
shipping location and the desired date for the goods to be shipped must be clearly
stated.
 The inquiry related payment whether it is the mode of payment, date of payment or
terms and conditions regarding payment should be clearly mentioned.
Let’s look at the format with an example.

Sample

New Era Business

16 Ring Road
Delhi – 01

November 30, 20xx

The Manager
Woods and Worlds
35 Patel Street
Delhi − 18

Dear Sir,

Sub.: Placing order for furniture.

As we have discussed telephonically, on behalf of our company I like to place an immediate

order for the supply of the following set of furniture.

Model No. Name of the Item Quantity

 1254 Chair 25

1478 Chair 12

2148 Conference Table 03

4615 Table 50

2418 Sofa 02

As we have discussed, we are sending a demand draft of Rs. 20,000 as advance payment.
The rest will be paid at the time of delivery. Kindly ship the above order at the above-
mentioned address.

Kindly adhere to the terms of the agreement. We hope to receive the order in four working
days.

Thanking You.

Yours truly
XYZ
HR

C. Letter of Complaint
Suppose you placed an order of some items. The quality promised and the quality of the
items received is not the same. What will you do? You either want to replace them or want
your payment back. How can you do so? This is where the letter of complaint comes into
play. While writing this type of letter,

 One must clearly provide the details of the problem faced

 Tell what action you want to be taken
 Provide information like the date of arrival of orders, order number, or the details of the
previous complaint (if any)
 Give a deadline to respond within
 Attach a copy or a specimen of the invoice or any other receipt
 Use polite yet assertive words regarding complaint issue
 Never excuse or make any allegation by self
Let’s look at the format with an example.

Sample

New Business World

16 Ring Road
Delhi – 01

November 30, 20xx

The Manager
ABC Stationary King
35 Patel Street
Delhi − 18

Dear Sir,

Sub.: Complaint against Order No. S/24-201S-1147.

This is with reference to the Order No. S/24-201S-1147 place on Nov 17, 20xx. The order
consists of letterhead and business cards. As per the agreement, we were promised of
receiving the order latest by Nov 22, 20xx. First of all the order did not reach in time. Also,
the quality of the papers and design selected for business cards is not matching with the
selected one.

We have faced a lot of embarrassment and inconvenience and our reputation is at stake in
the eyes of our clients.

Kindly ensure that the order will be replaced latest by Dec 4, 20xx, failing which payment
will be stopped or the will be cancelled. I sincerely request you to look into the matter and
do the needful as soon as possible.

Thanking you.
Yours truly
XYZ
General Manager

D. Reply to a Letter of Complaint

Suppose sometime you received a letter of complaint and you want to reply to it. It is most
important to try to look after such complaints as they may cost you your/ organization’s
reputation. How will you do so? How can you provide better customer services? It is
important for you to

 Clearly address the problem and the trouble costs to the customer

 Apologize for the error on your side
 Clearly state the course of actions you will take for the arisen issues and the time until
you will do so
 Assure the customer for no more future grievances and troubles
 Be very clear and specific about every detail
The format of this letter is the same as the formal letter format.

Sample

ABC Stationary King

35 Patel Street
Delhi − 18

December 02, 20xx

The General Manager

16 Ring Road
Delhi – 01

Dear Sir,

Sub.: Reply to the complaint against Order No. S/24-201S-1147.

This is with reference to your Order No. S/24-201S-1147 which you placed with our
company on Nov 17, 20xx.
We sincerely apologize to you for the inconvenience caused. Right now we are facing
problems with supply from the manufacturer’s end. Also, we are flooded with a large
number of orders.

We are taking steps in regard to your complaint and we ensure that we will replace the order
latest by Dec 05, 20xx also a similar problem does not occur in future again. We would
appreciate your support on this matter.

Thanking You.

Yours Truly
QPR
Manager

E. Promotion Letter
This type of letters mainly refers to the one of promoting new developments and up-
gradation. The promotion can be of anything new opening of a new branch or show-rooms,
new schemes, or any other promotional discounts. For any promotional letter, it is very
important to

 Use clear, definite terms

 Proper use of punctuations and correct spelling
 Avoid slang, fancy terminologies of jargon
 Clearly discuss the promotion
 Avoid the use of abbreviations
Let’s look at the format with an example.

Sample

ABC Group of Company

16 Ring Road
Delhi – 01

November 30, 20xx

The Manager
XYA Agency
35 Patel Street
Delhi − 18
Dear Sir,

Sub.: New Branch at QPR Colony.

We are glad to announce the grand opening of a new branch of our company in QPR
Colony, Delhi on Dec 05, 20xx.

As a respected client, we are extremely delighted to inform you that this branch is also fully
efficient. It offers various solutions to your problems and anything that you would ask for.
We are dedicated to providing you with the best service that you deserve.

We would be very happy to have you as our guest in our branch and encourage you to find
more of our products.

Looking forward to your visit to our new branch.

Thanking you.

Yours truly
XYZ
HR

F. Sales Letters
These letters are written to tell about a product to the customers with an intention of selling
it. A sales letter helps in the sale promotion and presenting introductory offers. It makes it
easy to understand the facts and figures and also strengthen the partnership and the joint
ventures. While writing a sales letter one must keep in mind the following points:

 The language must be formal

 Only use easy and clear language
 Avoid slang and use of abbreviations
 The content must be clear, concise and understandable
 Avoid adding extra details or information
 Pay attention towards the targeted audience
 Provide details, features, uses of a newly launched product
The format of this letter is the same as the formal letter format.
Sample

ABC Bank
16 Ring Road
Delhi – 01

November 30, 20xx

The Manager
XYZ Agency
35 Patel Street
Delhi − 18

Dear Sir,

Sub.: Availability of new scheme of an automobile loan.

It provides us with immense pleasure to inform you that we have launched a new scheme
for an automobile loan. As a respectable and trusted client, we are providing you with the
details of this scheme.

It will take only a couple of minutes to complete all the formalities. The rate of interest of
the loan is also very low compared to the schemes of other banks. The bank also provides an
opportunity to buy or sell any of the automobiles.

All other information is kept strictly confidential. This service is fast and free and we will
provide you with the service within 24 hours.

We will highly oblige to help you to clear any of your doubts. Free feel to contact us.
Looking forward to hear from your side.

Thanking you.

With regards,
KLM
Bank Manager

G. Recovery Letters
There are sometimes when a company or an organization needs to collect money from a
client or a customer. The intention behind writing recovery letters is to recover the money
form the customer without bothering or annoying the client. This type of letter includes
detail information regarding the amount of unclear payment, last date of payment of the
amount, the detail of the legal action in case of non-payment of the dues. Although it is a
recovery letter, one must always keep in mind

 The remainder must be in the polite language

 The detailed information and the reasons must be clear and understandable by the client
 The language should be formal
 Provide the detail of legal action in case of non-payment of further delay in clearing the
dues
Let’s look at the format with an example.

Sample

ABC Bank
16 Ring Road
Delhi – 01

November 30, 20xx

The Manager
XYA Agency
35 Patel Street
Delhi − 18

Dear Sir,

Sub.: Reminder for paying dues.

This is to remind you that your organization has taken a loan of Rs. 2 crores two years back
on June 18. As per the agreement and loan guidelines, on completion of one and a half year,
you would need to pay back the 80% of the principal amount with the appropriate interest.

Since now we have received just 50% of the principal amount. As the payment is due since
long, we would appreciate if you send the cheque immediately.

I request you to kindly look into the matter within the next six working days. Otherwise,
strict legal action will be taken. Kindly acknowledge the matter.

Thanking You.
 Yours Sincerely
FMG
Manager

Solved Example on Types of Formal Letters

Problem:  Which of the following can be used as a Complementary Closure in any formal
letter?

 Yours faithfully
 Yours truly
 With sincere appreciation
 Yours sincerely
 With sincere thanks
Solution: Except for yours faithfully any of the above can be used as a complementary
closure in the formal letters.

This concludes our discussion on the topic of the types of formal letter format.

What is a Business Letter?

The business people, by the nature of their jobs, use a form of written or printed documents to get their
ideas and thoughts across. These can be sent to give a positive message, to give negative messages or
apologizing, to place a straight or modified reply, or simply to resign from the job in consideration (oops!).

Since they are written by serious people for serious business, they are rarely informal. They may be polite,
but not informal, and are formal to semi-formal (again, rarely, but also depends on the type of the
business). They convey a clear message and therefore should leave no room for obscurity. So naturally, they
become an important carrier of useful information.

Types of Business Letters

Business letters can be written between to an employer of the same company, by an employer to his
employee, can be written to the suppliers or other business partners, and of course to the customers. There
are different types of business letters:

Business-to-Business Letters:
o Letter of Appreciation
o Letter of Acknowledgement
o Cover Letter 
o Letter of Reference  
o Inquiry Letter
o Letter of Termination
o Letter to Place Order  etc.
Business-to-Customer/Customer-to-Business Letters:
o Letter of Apology
o Letter to Inform about Circular
o Letter of Complaint
o Letter for Payment Collection
o Letter before Signing a Contract
o Follow-up Letter 
o Appointment Letter
o Sales Letter 
o Welcome Letter
o Goodwill Letter
 

When to Write Which Type of Business Letter:

Business letters start with the date, salutation, have professional content in the body, and end with a
signature of the person writing it and/or enclosures. This is a generalized format of different types of
business letters.

Before starting a business letter, you should always remember to:

o Choose the topic according to the issue to be addressed

o Consider your audience and the type of content that will suit their profession
o Choose a fitting tone
o Write a one-line statement of purpose
o Stick to the format and mention details
o Organize the details
o Proofread the draft for simple sentences, proper grammar and punctuation and finish editing

The end result should be a clear and understandable business letter which is likely to get the job done. It is
needless to say, the biggest advantage of writing is in the fact that all our thoughts can be put to paper,
solved for mistakes be it on paper or online, and finally sent to the recipients.

Now let us understand what the most common business letters mean and when to write them.

o Acknowledgment Letters: This type of letters is otherwise known as Letter of Receipt and do not mean
anything more than just a confirmation. They are usually written for and are a sign of legal evidence,
and do not necessarily mean that the action in question has been started, but the recipient has
“acknowledged” that they have an understanding of the situation.
o Apology Letters : Letters of apology are written to simply say sorry for what has happened in the past,
what measures are being taken to solve that issue or what the writer plans on about the inconvenience
occurred. Substantially, these letters say something negative, but with a positive tone. Here the writer
accepts their responsibility and shows sincerity about the problem so that the recipient doesn’t feel
demoralized or ignored.
o Appreciation Letters : These letters are written by someone of the top management to the lower
level to motivate or to express gratefulness. These are also called Thank-You Letters or Letter of
Thanks.
o Circular Letters: This letter is sent to a small group but has the intention to grab the attention of
larger groups. They are an important form of advertisement and promotion. They usually inform
about new improvements in a company, about new facilities, or to show if any product or service
is on sale.
o Complaint Letters: These letters are seen as actual problems and are addressed immediately to
rectify the mistakes. These shouldn’t sound like the writer is nagging, but also shouldn’t lose its
importance and professionalism if the writer wants to be taken seriously.
o Cover Letters: Cover letters usually accompany something more. They are used to describe what
comes with them, why, what should be done with it and so on. These types of letters are
generally very short. It might be attached with a resume explaining the applicant’s credentials
and how it relates to the vacancy in the company.
 o Follow-Up Letters: Follow-up letters are usually sent after some an initial communication has
been made with the writer. This could be the thanking letter for an order requested by a
customer, a review of the decisions taken in a meeting or an applicant inquiring about the status
of his application.
o Inquiry Letter: This type of letters asks direct and detailed questions usually bullet-listed to
derive/request information from the recipient. So, they are brief but powerful. They should be
answered with accuracy.
o Order Letters: A business can write to another business requesting for an order or placing routine
or modified buy. An individual can also request a firm and place an order. The model number,
name, amount, size, date, location and other specifications are cleared out in the utmost detail
in this letter.
o Payment Letters: These are collection letters or letters requesting for payment. These act as a
reminder to the customer whose payment date is approaching or is due.
o Recommendation Letters : This is one of the requirements of the employer who ask for such kind
of letters before hiring an employee. They contain the relationship between the applicant and the
person whose recommendation is given.
o Resignation Letters: This letter is written when an employer plans to leave his job, explaining
why and when the employee is leaving. It is usually given to the immediate senior of a worker.
o Sales Letters: These letters start with an interesting topic sentence to attract potential
customers. These include the benefit that the customer will have from the sale, and often induce
direct action by including a mode of communication with the seller, like a telephone number,
email address or website link.

So, now that you know what business letters are and what each of them means, you have a good
understanding when to write which. Use this knowledge in the future and combine it with your writing talent
to get the most out of your business.
Published By LearnGrammar.Net

CAREER DEVELOPMENT

7 Types of Business Letters and When

To Use Them
February 12, 2020

Business letters are an important communication tool used in the professional world. You may write business
letters in various stages of your career, including when applying to a position or resigning. In this article, we
discuss the many commonly used business letters, when to use each one and tips for effectively writing your
own.
Types of business letters
Here are some of the most commonly used types of business letters:

1. Cover letters
Cover letters accompany your application when applying for a new position. You can use cover letters to
introduce yourself, describe your interest in a company and outline your qualifying skills. A cover letter will
include the following:

 Contact information: Include your name, phone number and email address on the cover letter to
ensure the reader knows how to contact you after reviewing your application.

 Salutation: Begin the letter by addressing the person to which you are writing the letter. This person
may be the hiring manager, department head or other company representative identified in the job
listing.
  Purpose of the letter: In your introduction, discuss why you are writing by mentioning the job title, the
company name and where you found the job listing.

 Qualifying skills: In the body of your letter, highlight the specific skills that make you a strong
candidate for the open position. Your cover letter should complement your resume, so build off of the
information in your resume to provide more specific details of your professional experience.

 Conclusion: End the cover letter with a memorable statement about why you are a good fit for the
open position. Include a call-to-action to encourage the reader to follow up on your application should
they want to interview you and learn more about how you could fit into their company.

Related: How to Format a Cover Letter (With Examples)

2. Letters of recommendation
A letter of recommendation is written by another person who can confirm a professional’s qualifications and
work ethic. A letter of recommendation can strengthen an application for employment, higher education or
another professional opportunity. This letter often includes the following information:

 Relationship of the recommendation: The letter should state the relationship of the person making
the recommendation to ensure the reader knows what qualifies the writer to speak on the applicant’s
behalf. Those who write these letters might include a professor, supervisor or coworker.

 Evaluation of the candidate’s qualifications: The recommendation is often the body of the letter and
speaks directly to the candidate’s skills, positive character traits, professional goals and their potential in
the program or position.

 Examples: The writer can include specific examples of how the candidate demonstrated their skills
during their time working, studying or otherwise interacting with each other. This information can help
prospective employers understand how the candidate positively impacts their peers and supervisors.

 Closing statement: It should conclude with a final confirmation of the candidate’s qualifications and
include the writer’s contact information should the reader want to know more.

Related: How to Write a Letter of Recommendation (With Examples)

3. Interview follow-up letters

You can send a follow-up letter after interviewing for an open position to thank the interviewer for their time and
to demonstrate your interest in the job further. A follow-up letter will include the following:

 Overview of the interview: Include key topics discussed during the interview, such as specific job
tasks or a talking point that interested you. Be sure to mention the title of the position. These details
demonstrate active listening while expressing your continued interest in the open position.

 Skills related to the position: The follow-up letter is a good time to reiterate the skills you offer as they
relate to the open position.

 Gratitude: You can also use the follow-up letter to thank the hiring manager for taking the time to meet
with you. This step shows professional courtesy that can leave a good impression with your prospective
employer.

Related: Follow-Up Email Examples For After the Interview

4. Offer letters
An offer letter is an official offer of employment that describes the specific terms of the position. If you agree to
the terms the letter offers, then you will sign the offer letter and accept the job.

An offer letter will usually include the following:

 Job description: This item outlines the specific job tasks and requirements of the role.

 Job title: A letter that states the official name of the position can ensure you are hired for the right role.

 Requested start date: This is the date in which you will begin employment. You may discuss with your
employer if you need to adjust the date.

 Salary and benefits: This information includes the offered salary, bonus and benefits that come with
the role. Some employers may specify when bonuses are given and benefits, such as health care,
begin.

 Acceptance timeline: This is the date by which you must respond to the offer letter.

Related: How to Accept a Job Offer

5. Sales letters
The purpose of a sales letter is to introduce a service or product to a client or customer. Sales professionals
often use these letters when making new contacts with prospective buyers or strengthening relationships with
longtime clients.

A sales letter often includes the following:

 Description of product or service: Include specific details about the item or service you are offering.
Consider identifying a possible solution this product or service provides to the recipient to best
demonstrate its value.

 Cost: Some letters include information about the price of the product or service, especially if the buyer
is a current patron. It may be included if the cost was already discussed in a previous meeting as well.

 Call to action: Include directions to the reader explaining how they should take action if they want to
buy. You may include your contact information, the best times to reach you and a date by which they
should reply to take advantage of your offer.

Related: 15 Sales Jobs That Pay Well

6. Letters of commendation
Letters of commendation are a form of employee appreciation, and companies send them out to the entire staff
to congratulate an employee for a job well done. They may include the following:

 Purpose: Begin a letter of commendation identifying who is being commended and for what reason.

 Details of the commendation: Include details about the specific tasks, achievements or awards for
which the team member is being recognized.

 Call to action: This letter may include a call to action that encourages fellow employees to congratulate
the team member on their success.
Related: The Importance of Positive Feedback and How to Deliver It to Others

7. Letters of resignation
A letter of resignation informs your employer of your intent to resign. While you may verbally notify your
coworkers and employer of your plans to leave, many organizations prefer to have an official letter for
documentation purposes.

A letter of resignation often includes the following:

 Statement of resignation: Begin this letter with the official statement declaring that you are resigning
from the company.

 Reason for leaving: Depending on your situation, you may consider mentioning why you are leaving
so your employer understands your decision. This may include accepting an opportunity elsewhere,
pursuing higher education or relocating.

 Dates: Include the date on which you are delivering the letter and the date of your official last day of
employment. This step can ensure your employer can best prepare for your leaving and fill your
position.

 Thank you: Consider thanking your employer for the opportunity and the skills you gained while
working for them. This step is a professional courtesy that can strengthen your professional relationship
with your employer should you need their recommendation in the future.

Related: Resignation Letters: Tips, Templates and Examples

Important components of a business letter

Though many types of letters have certain formatting requirements and include a variety of information, there
are a few components that are consistent across most business letters, including:

 Contact information: This step is essential, especially when ending a physical copy of a business
letter. Your contact information should include your name, phone number, and business address or
email address.

 Subject line: A subject line is used when sending a business letter via email. This brief line often
includes a few-word summary of the purpose of your letter.

 Greeting: The formality of the greeting will depend on the type of business relationship you have with
the reader. If you are looking for a new job, your greeting should be formal. If you are sending a quick
follow-up to a customer that you have already created a relationship with, then you might choose to use
their first name.

 Introduction: The introduction describes the purpose of the letter and what you are hoping to achieve
with it. This is your chance to grab the reader’s attention with information such as a discount on a
product you sell or that you’re inquiring about an open position.

 Detailed information: The body of your business letter includes specific details about your purpose,
including asking or answering questions and providing additional information.

 Conclusion: Your conclusion should leave the reader with a call to action, such as how the reader can
order a product or reach out to you for more information.
  Signature: A signature can be as simple as writing your name or as complex as including your
credentials and certifications. How you sign a business letter will also depend on your current
relationship with the reader.

Business letter tips

Here are a few guidelines to keep in mind when writing a business letter:

 Customize your letter: All business letters should be written explicitly for its intended recipient. For
example, a cover letter should state why you want to work for that particular company. 

 Be punctual with delivery: Timely business letters can demonstrate your time management skills to a
prospective employer or let your recipient know that you value their time.

 Consider the method of delivery: Your relationship with the recipient, the type of letter and the level of
urgency may influence whether you send it via email or traditional mail.

 Choose the appropriate level of formality: The majority of business letters you write will be worded
professionally. Your relationship with the recipient, the type of letter and your intent may dictate the
formality of the language in your letter.

 Limit your letter to one page: Concise business letters that quickly get to the point are more likely to
be read in full. Evaluate each paragraph for relevancy, and only include information the reader needs to
know.