UNIT 2
BUSINESS LETTERS
Letters are the most widely used form of written communication
which can be between friends on matters of personal interest, firms or
companies on matters of trade and commerce.
In more traditional forms of written communication, the receiver
forms an impression on the sender based on the overall appearance
and format of the message. The cover letter enclosed with the resume
when one applies for a job communicates something about the sender
even before the receiver reads a word of it.
The letter’s appearance conveys nonverbal impressions that affect a
reader’s attitude. Elements of appearance that help produce favorable,
reactions are appropriate stationary and correct letter parts and layouts.
The letter should be clear, explicit and unambiguous in content
because the recipient has to understand both the meaning and feelings
of the message from the written words only. That is the reason the
letter is regarded as a silent “ambassador” on behalf of its writer.
Proper planning is required while writing a letter as the entire activity
may become counterproductive or may simply go waste. While
drafting a letter one should choose the right kind of message, right
style, tone approach and presentation or they may lose the goodwill.
Kinds of a Letter
Letter can be classified as personal and non-personal. Personal letter are
informal.
Letters to relatives and friends are personal letters. Personal letters are written in
a friendly and informal style.
Letter Writing Tips
Always proofread your letter after writing it, check for sentence structure,
grammar, spelling mistakes.
Proofread your letter again (and again) after you have revised it.
Keep the recipient in mind, and write in a way that he/she can easily understand
the letter.
Don't use abbreviated dates, i.e. use November 19, 2019, and not 11/19/19
Be respectful when you write, even if you are writing a letter of complaint.
Business letters
Every business whether big or small, has to maintain contacts with its suppliers, customers,
Government departments and the like. In his regular work, a businessman has to exchange
information with different parties.
It is difficult to maintain personal contact with all these persons and institutions, particularly
if the geographical distance between the firm and these outsiders is wide. The best
method to contact all these persons/ institutions is written communication; there are many
other means of communication like telephone, etc. But they can make only a temporary
impression on the receiver's mind.
The Importance of an effective business letter
The importance of a good business letter cannot be overemphasized. In fact, it is the
backbone of a successful business house. “A good letter can pacify an angry customer as
much as bad one can anger a friendly one”. It may sell a new product or spoil the sales of an
established one, collect debt without hurting the customer’s feelings or both the money and
the customer, refuse a request yet win respect or grant the request yet incur ill-will.
Kinds of a Business Letter
Business letters are non-personal letters. Business letters can be divided into following kinds:
(A). 1. Enquiries and replies
2. Orders
3. Credit enquires
4. Complaint
5. Collection letters
(B). 1. Circular letters
2. Sales letters
(C). 1. Bank correspondence
2. Insurance correspondence
3. Export-Import Correspondence
(D) 1: Application letter
2: Interview letters, testimonials, references letter of appointment, confirmation
promotion, resignation.
(E) Correspondence with state and control government.
(F) Letters to the press
Official Letters
These letters are written to government or semi-government bodies
Demi-official (D.O) Letters
These letter are official in purpose but are addressed to a person by name D.O.
letters may be written if the matter requires personal attention of the addressee.
The matter is so confidential in nature
The matter is urgent and requires immediate disposal
Internal letter or memos: These are in government offices and business
houses for internal communication.
Form letters: They are used in care of reminders, interviews, notices,
appointments etc. They have a standard form with some blanks left in them
letters are sent to the addresses with some relevant details filled in.
Essentials of an effective business letter
A business letter is an important form of written communication. The
principles of written communication that we have discussed in earlier chapter
are also applicable to business letters.
Keep Reader's Interest in Mind: Put yourself in the place of reader and
imagine yourself as the reader of letter. Think how would you feel & how
would you react if you read that letter.
Tone should be correct: In a business letter the tone should not be
dominating. It should be influencing the reader with a sweet tongue.
Knowledge the subject: This includes the knowledge of the post
correspondence.
Accuracy, completeness and clarity: All facts, figures, statements, quotations
etc. must be accurately mentioned. Make sure that all the important point
has been included. It should be absolutely clear so that it accomplishes the
purpose.
Tact: It is very important in handling complaints and adjustment and
letter seeking credits. The essence of tactfulness lies in retaining the
goodwill of someone even though his request has been turned down.
Pervasion: It means winning people to your point of view without any
force. It means making positive suggestions and explaining that what
you say is to their advantage.
Conciseness: Don’t load your letters with irrelevant details an
unnecessary if and buts. The letter will be more effective if it is concise.
The positive and pleasant approach: Avoid no's and sorry's instead of
these use positive and pleasant words.
'No' can be written as 'Another time' and 'sorry' can be written as 'I
will try’.
The layout of business letters
The arrangement of the different parts of a letter is known as its form or layout.
Layout includes the following:
(i) Physical Appearance:
As in case of any other article, the appearance of a letter is as important as its contents. The letter
takes the place of a salesman and represents the firm sending it. Like a salesman, representing his
firm will create a poor impression on the mind of the reader. A salesman representing his firm will
create a poor impression about the firm if he is poorly dressed or shabbily combed, if he has
unshaven chin, if his shoes are unpolished, or if he does not know the etiquettes of approaching and
presenting himself. Similarly, a letter bearing an unpleasant appearance fails to catch the reader’s
eye even if it contains an attractive proposition. “A letter is looked at before it is read, and the first
impression which it makes on the (reader’s) eye is often an important factor which influences the
reader’s opinion of the sender of the letter.”
Physical appearance includes following points.
Stationary:
Paper: Letter should be typed on good bond paper. Bond papers are more
durable and have fine texture. Letter typed on bond paper look graceful. Ink
marks also do not leave any unshapely blotches.
Size: Standard sheets measuring 11’’x 8 ½” are used because this size fits in
all standard office files. Big size of letter looks awkward and small size looks
cheap so standard size should be used.
Color: Business letter are written on white paper with black ink but black ink
on white paper gives a strong glare and is hard on eyes. Hence there is now a
growing tendency of using light colored paper. Using colored paper has two
advantages:
Color coding: Color coding makes papers stand out and
they are easy to trace at any point of time. If your
letters are always sent out on paper of a particular
color, that color becomes a symbol of your organization.
Psychological effect: Colors also have psychological
effect. If you adopt colors that correspond with your
logos or trademarks and advertising, it helps to project
your image. Colors also have a very strong association
with moods and attitudes.
Every color has some meaning like:
Blue Sincerity, Harmony
Green Life, Freshness, Cool
Gray Confidence,
Pink Femininity,
Grace,
Healthiness
Yellow Cheerfulness
Purple High Rank, Tradition
Brown Strength, Practicality
Red Excitement, Danger
Letterhead:
The first page of a letter should be typed on a letterhead. Modern letterhead
usually occupies about two inches at the top of the page. Letterhead includes the
following:
The full name of the firm or Individual
Address
Pin code
Telephone Number
Fax Number
E-mail address
Structure or Parts of the letter:
The structure of the letter includes the different parts of a letter that
should have their proper place in it. The arrangement of the different parts
of the letter is fixed by custom and makes a world of difference in the
impression it conveys. The usual parts of a business letter are as under:
Heading
Inside Address
Salutation
Body of the letter
Complimentary close
Signature
Enclosure
(1) Heading: It is also known as letterhead. It contains the following
information.
The firm's name,
The firm's address,
The nature of the firm's business,
Logo & symbols
Telephone Number
Fax Number
E-mail Address
Reference
(a) The Name and Address of the firm: The name of the firm and address are
usually given at the top center of the paper. While writing address, if the house
number or street number is given, do not put comma after it.
For Example: Leading Book Company
26 Metro Road
Mumbai
(b) Date: Putting the date on every letter is very important. It enables quick reference in
future and helps in prompt action and orderly filing. It is written below the address or the
heading, leaving some space for a better look. The date is typed either starting close from
the left margin or closing to the right margin, depending upon the style adopted. The date
may be written in the following ways:
25th June 2020 or 25 July 2020 or June 25, 2020
While writing the date, do not use abbreviations for months and do not cut short the year
as ‘07 or ‘08.
Avoid the following styles of writing the date:
25:6:2020 or 25, Aug, 2020 or August 25 th, 2020 or Aug.25, 2020
When the address and the date are written, they are written in one of the
following ways:
26 Metro Road, Mumbai
June 25, 2022
Or
26 Metro Road,
Mumbai
June 25, 2022
(Close to the margin)
[Don’t write cut short of the year as 09, etc. & do not use abbreviations of
mouth like: Nov., Dec. etc.]
(c) The reference: References are given below the date line
or on the same line in which date is written near the right
margin. In both the cases, the reference is written close to
the left margin. The reference helps to identify the
department, section to which or by which the letter is sent.
For Example:
Reference No.: EXL /APPTT/09/01
Ref: No: ABC/PB/02/99
(Close to the left margin)
(2) Inside Address:
The inside address contains the name and address of the firm or person to whom
the letter is written. It should be written below the reference line leaving some
space. It is also written at left side.
Inside address and consider address are same but outside address is written in
much detail
Outside address Inside Address
Rishiraj Textile, Ltd. Rishiraj Textile, Ltd.
25 Near Red Tower Meerut Road
Straight Lane Delhi
Ghaziabad Road
Delhi: 6
•
(A)Mode of Address:
(a)Addressing Individuals
'Mr.' or 'Shri' is used for men, both married and unmarried.
'Miss' is used for unmarried woman
'Mrs.' or 'Shrimati' is used for married woman
'Ms.' is used for both married and unmarried woman
'Messrs' (Messieurs) is used for as the plural of 'Mr.'
'Mmes' (Mesdames) is used as the plural of 'Mrs.'
Examples:
Mrs. Sapna Gupta Shri A.H.Sharma
Near Taj Palace Production Department
Delhi BHLM
Miss Asha Johri
101 Ram Colony Mrs. I.M. Bhatnagar
Ghaziabad Ms.Rohini
Some married women prefer to be addressed by their
husband’s name, e.g. Padmini Sharma, the wife of
Mohan Sharma, may be addressed as: Mrs. Mohan
Sharma or Shrimati Mohan Sharma
(b) If you are using: titles of rank: Dr., Prof Etc. then
do not use Mr., Shri etc.
Example:
Dr.A.K.Mehta
Prof.D.S.Gupta
(c)Use of ‘Messrs’
This is plural form of Mr. is used in addressing firms with titles that contain
personal name or names:
Messrs. Rahul Bros. Messrs. Verma & Co.
However, when addressing (i) an individual, or (ii) an anonymous official in a firm,
or (iii) when the title is impersonal, or (iv) when it starts with ‘The’,
Messrs. should not be used:
(i) Dr. Komal (ii) The Finance Manager
M.D.College BEHL Mills Ltd.
Chennai Dehradun
(iii) Nagpur Stores (iv) The Patel Shoe Store
Pehalgam Road Nagar Lane
Hugli Dhanbad
(d)Addressing a limited company: In following examples a
particular officer is being addressed, therefore Messrs. Is not
prefixed to the name of the company:
The Advertising Manager
The Secretary
A.B Harrison & Sons Ltd.
Taj Tea (India) Ltd.
(3) Salutation-The salutation is the corresponding
greeting with which the writer opens his letter. It
should be written below the inside address, leaving
some space and should start with the left-side margin.
For ordinary business purpose 'Dear sir' is used or
Dear Madam'(for both married and single women) is
used for addressing one person and ‘Dear Sirs’ (or
‘Mesdames’) for addressing two or more persons, i.e.,
a firm or an association
Some commonly used salutations are:
Sir/ Madam These are rather formal and
are used in official correspondence
(not proper for use in business.)
(Government officials, judges, ambassadors, editors of newspaper
should be addressed as Sir or Madam.)
Dear Sir/ Dear Madam/ These are very commonly used in
Dear Mesdames/ Ladies/ business correspondence
Gentlemen
Dear Mr. Sharma/ My Dear These salutations are used when
Mr. Sharma/ Dear Sharma/ My there is a close relation between the
Dear Sharma correspondents
(4) Body of the letter: This is the part of the letter which
contains the message or the information to be
communicated.
The body consists of the following:
a) Subject and reference b) Opening Paragraph c) Main
Paragraph d) Closing Paragraph
(a) Subject and Reference: A brief, one line mention of the major theme of the letter right in the
beginning adds to its clarity. In case of very lengthy message it is used. It is usually written below the
salutation, beginning from the place firm where the first line of each paragraph starts, or is placed in
the middle of the line.
Reference is useful to the correspondents at both ends for back reference, filing, sending replies, etc.,
Sometimes the term ‘Regarding’ is also used in place of ‘Subject’.
The common forms of mentioning the subject and reference are as follows:
Dear Sir
Sub: Complaint for damaged goods
Ref: Letter No. AJ/N/19:20
Dated 8 July, 2020
Dear Sir
Re: Payment of dues
Ref: Letter No. MNB/204/19:20
(b) Opening Paragraph: There is an old German proverb that ‘a good beginning
is half the battle (won)’. This applies to business letters also It is here that the
reader’s attention should be attracted and he should go ahead with interest.
Following opening should be avoided:
Acknowledging your letter dated…….
We are in receipt of your letter……
We beg to say…..
The letter should be open with the expression of pleasure. Some better
openings are :
Thank you for your order:
With the reference:
(c) Main Paragraph: This paragraph contains the subject matter of the
letter. It should be brief and to the point but it should cover all relevant
aspects. It should written in clear and simple language so that the
reader can understand it easily.
(d) Closing Paragraph: The closing of the letter should be motivating to
reply and it must be natural and logical. It should stress the ‘YOU’ point
of view. The ending of the letter should also be very good. It can be
thank you or thanking you etc.
(c) Complimentary close: It is the polite way of ending the letter.
The usual forms are given below:
Salutation Suitable Closure Remarks
Dear Sir / Yours faithfully Standard closure for business
Dear Madam, Mesdames, letters
Ladies
Dear Sir/ Yours truly Less formal and used by
Dear Madam, Mesdames correspondents on intimate
terms with each other
Dear Sir/ Yours very truly Express more feeling than ‘Yours
My dear Sir/ truly’
Dear Madam
My dear Madam
Sir Yours respectfully, (Avoid: Appropriate while addressing
Gentlemen Yours Obediently) superiors in official
Madam correspondence
Mesdames
Dear Mr. Gupta, Yours sincerely, Reflects very informal relations
My dear, Mr. Bose, Yours very sincerely
Dear Kajal,
My dear Kajal
Signature: Now it is essential to put signature of the person who has dictated the
letter. It is usually hand written. These signature/initials are helpful in fixing the
responsibility. It is put just below the complimentary close.
Enclosure: Sometimes letter includes some other papers such as draft, receipt,
invoices, catalogue, prospectus etc. In such case these are mentioned in the
enclosure. It is written below the signature.
Enclosure. : (1) …
(2)….
Punctuation in Business Letters
There are three kinds of punctuation which are discussed below:
Open Punctuation: In open punctuation, full stops and commas are not used
while writing the address and closing. Punctuations appear only in the body of
the letter.
Sample of Open Punctuation
8 July 2022
The Vice-Chairman
Shiva Shakti Enterprise
74 Old Avas Vikas Colony
Meerut
Sub:
Sir,
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
:::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::
Yours sincerely
xyz
Mixed Punctuation: If mixed punctuation, a comma is used in the date line, after lane no. or
sector no.
Sample of Mixed Punctuation
8 July, 2022
The Vice-Chairman
Shiva Shakti Enterprise
74,Avas Vikas Colony
Meerut
Sub:
Sir,
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::
Yours sincerely
XYZ
Closed Punctuation: In this style, the address and complimentary close are punctuated.
Sample Closed of Punctuation
8 July, 2022
The Vice-Chairman,
Shiva Shakti Enterprise,
74,Avas Vikas Colony,
Meerut
Sub:
Sir,
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
Yours sincerely,
xyz
Formats of Business Letters
There are three following kinds of formats:
Block Letter Format
In block letter format, all parts of the letter i.e. the letter head, date,
complementary close, signature, initials enclosures are all assigned with the left
margin. ½ inch margin is left only on the left hand side. No punctuation marks
follow the address lines. This style is known as open punctuation.
Semi-Block Format
In semi-block format, the sender’s address is aligned towards the right hand
margin. And the address of addressee is flushed towards the left side margin. ½
inch margin is left on both the sides of margin. The signature, complimentary
close and designation also lie on the right hand side. Whereas the initials,
enclosures and carbon copy remain on the left side margin as in block format.
Modified Block Format
The modified block format does not contain salutation and
complementary close, but it always has a subject line. The first
paragraph starts with the recipient’s name.
Sample of Block Letter Format
Sender’s Address
:::::::::::::::::::::
:::::::::::::::::::::
Date: :::::::::::::
Address of Addressee
:::::::::::::::::::::
:::::::::::::::::::::
Subject: :::::::::::::::::::::::::::::::::::::
Sir,
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
Thanking you
Sincerely yours
Signature
Name in block letters
Designation
Initials
Enclosures:
C.C.:
Sample of Semi-Block Letter Format
Sender’s Address
:::::::::::::::::::::
:::::::::::::::::::::
Date: :::::::::::::
Address of Addressee
::::::::::::::::::::
:::::::::::::::::::::
:::::::::::::::::::::
Subject: :::::::::::::::::::::::::::::::::::::
Sir,
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
:::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::
Thanking you
Sincerely yours
Signature
Name
Designation
Initials
Enclosures:
C.C.:
Sample of Modified Block Letter Format
Sender’s Address
:::::::::::::::::::::
:::::::::::::::::::::
:::::::::::::::::::::
Date: :::::::::::::
Address of Addressee
:::::::::::::::::::::
:::::::::::::::::::::
:::::::::::::::::::::
Subject: :::::::::::::::::::::::::::::::::::::
Dr. Atif Khan, as a result of the discussion with the committee
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
Signature
Name in block letters
Designation
Initials
Enclosures:
C.C.:
1. Letter to bank to issue passbook and ATM card.
2. Letter to claim car insurance.
3. Letter to XYZ mobile company, Complaining about
the defect in mobile phone.
4. Request Letter (Document Submission)
