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Presentation on Business Letters

BUSINESS LETTERS

MEANING

Business letters are the letters that are exchanged between business houses. It is essential to write a business letter to maintain contacts with the external world including other businessmen, customers and government departments. It is a legal document that builds the goodwill.

FUNCTIONS
It provides a convenient and inexpensive means of communication. To seek or give information. To furnish evidence of transactions. That is to provide a record for future reference. Building goodwill.

It leaves more durable impression on the receiver's mind than an oral message. It establish contact between the two parties. It makes personal contacts and interviews to a great extent.

6CS OF GOOD BUSINESS LETTERS


Clarity Correctness Convencing Completeness Courtesy Conciseness

STRUCTURE
Parts of a business letters: Heading Name and address Subject Opening salutation Body of the letter

Complimentary close Signatures Enclosures

LAYOUT
XYZ traders 12, east park, Kolkata 21st November 2011 Mr. Rajiv Shah The manager ABC traders Old road, mumbai-400021 Subject: Dear sir, . . .. Regards Signature . XYZ

KINDS OF BUSINESS LETTERS


Trade enquiries and replies Offers and orders letter Circular letters Collection or dunning letters Complaint letters

Letters of credit Bank transaction letters Insurance letters Employment letters

TRADE ENQUIRIES AND REPLIES


It means seeking information relating to price, quality, terms of trade etc. of certain goods and services from a supplier to distributor. A letter of enquiry is intended to get as much information about the suppliers and his products as possible

It should mention the following items: i. Purpose of inquiry ii. Reason of interest in supplier goods iii. Hint about the size of order iv. Self introduction of purchaser business v. Information about discounts , mode of delivery, mode of payment.

LETTER OF ENQUIRY IN RESPONSE TO AN ADVERTISEMENT


Dear sir,

we have been very impressed by your advertisement for SMART milk powder. Your advertisement that your product is highly acclaimed by Central Govt. Will you please let us know much about your product, its taste and quality certificate.

ORDER LETTERS
Placing an order Cancellation of a order Letter on receipt of goods Placing an order:- it is a basis of a contract for the purchase and sale of the goods. It should be properly drafted to avoid any dispute later on between the parties.

Following points should be included in the order: Particulars of the goods ordered Quality, number, brand, size, packing The date of the delivery Trade and other discounts Mode of transportation

PLACING AN ORDER
Dear sir,

We now confirm our order for the following:-

We accept you discount terms of 5% and we note your guarantee to deliver the order not latter than 12 dec 2011.

CANCELLATION OF AN ORDER
Dear sir,

I placed an order with you on 30 oct for toys to be delivered within a month. However we had the entire stock of a general merchant at an extremely low price so we have cancel the order.

LETTER ON RECEIPT
Dear sir,

We thank you for all the articles we received, were in excellent condition we hope to be able to repeat our order quite soon as per the requirements.

BUSINESS CIRCULARS
It is a letter which is addressed to large number of customers for announcement or advertisement. Sending such letters to wide circles becomes necessary on many occasions such as: Opening a new branch or showroom Shifting of premises Setting up of new plant

Introduction of a new product Appointing a new agent Admission of a partner Retirement of a partner Granting power of attorney Obtaining an agency

OPENING OF A NEW SHOWROOM


Dear sirs, We are happy to announce that we have opened a new showroom at Janak Puri New Delhi. We have kept for display all kinds of goods in which we deal. A visit to the showroom will surely enable you to see goods of your choice. We would greatly appreciate your visit to our new showroom.

COLLECTION LETTERS

These are series of the letters, written for collecting over dues or outstanding amounts from the debtors. The creditor has to be very tactful while writing these letters. It should be polite and sent on time.

GUIDELINES
The first reminder should be courteous and friendly The reminder should aim at reminding to make the over dues payment. The threat of legal action should not be given in first two reminders. Legal action should be taken at the last resort.

MILD REMINDER TO DEBTOR


Sir, We wish to draw your attention to our statement of account no. A-123 date. 12/2/2011 for Rs.14000. This sum has not been received yet, please clear it after checking your records.

WARNING OF LEGAL ACTION


Sir,

We are surprised that you have paid no attention to our three reminders regarding the payment of rs.14000 which is outstanding. We have a good business over past few years. We are afraid that your further delay will spoil our reputation. We request you to settle your account immediately or else we handle this matter in the hands of our lawyer

COMPLAINT LETTERS
These are written by a business man when he is not satisfied by the goods supplied to him or the services offered to him. These are divided into two categories:i. Written by one business man to another ii. Written by business man to public authority

COMPLAINT REGARDING MISSING ITEMS


Dear sir,

Please refer to our order no. A-21. All machines were delivered yesterday and were inspected. The following items were missing:i. 3 machine covers ii. 10 instruction books iii. 2 cleaning kits

COMPLAINT TO PUBLIC AUTHORITY


Dear sir,

We took delivery this morning of 5 packets we found that the 10 bottles had been removed. Our estimate of the damage is Rs.2000. We request you to settle our claim as soon as possible.

INSURANCE LETTERS

A written undertaking by a third party (such as a bank or insurance company), on behalf of one of the parties (the first party) to a transaction or contract, to cover the other party (the second party) against specific loss or damage arising out the action (or a failure to act) of the first party. Also called insurance letters.

THE FOUR MAIN BRANCHES OF THIS BUSINESS ARE


o Fire

Insurance o Accident Insurance o Marine Insurance , and o Life Insurance

LAYOUT OF INSURANCE LETTERS


Ref. no. Date: Inside address Attention line Salutation.. Subject..

Body of letters
Signature Signatorys name. Enc