Business Letter Writing
Business Studies — Grade 12 | Chapter 9 | NEB Nepal
Table Of Contents
Introduction
In the age of email, instant messaging, and digital communication, the formal business letter remains one of the most important tools of professional communication. A well-crafted business letter conveys not only the message it contains but also the professionalism, credibility, and organizational culture of the sender. For students of business in Nepal — future entrepreneurs, managers, and professionals — mastering the art of business letter writing is both an academic requirement and a practical career skill. Chapter 9 covers the meaning and importance of business letters, their structure and qualities, and the drafting of five essential types: enquiry, order, confirmation, complaint, and job application letters.
1. Business Letter: Meaning and Importance
1.1 Meaning of Business Letter
A business letter is a formal written communication sent by one business entity or professional individual to another, for purposes related to commerce, employment, administration, or any other professional matter.
According to L. Gartside, “A business letter is a formal means of communication between two people, a person and a corporation, or two corporations. It is used for business purposes only — to convey information, make requests, place orders, acknowledge receipt, register complaints, or apply for employment.”
According to Lesikar and Pettit, “A business letter is a written message that follows a conventional format and is used for external communication — between an organization and its customers, suppliers, government agencies, and other external parties.”
According to Kitty O. Locker, “Business letters are formal written documents sent to people outside the organization. They establish a permanent record, convey respect, and signal that the matter is significant enough to warrant formal communication.”
According to Robert Lesikar, “The business letter serves as the ambassador of the organization — it represents the organization to the outside world and creates an impression that either builds or damages the organization’s reputation.”
Business letters are distinguished from informal written communication by their formal structure, professional tone, specific purpose, and permanent record status. Every business letter serves simultaneously as a communication tool and a legal document.
1.2 Importance of Business Letter
i. Creates Permanent Record: Unlike verbal communication, a business letter creates a written record that can be filed, retrieved, and cited as evidence. According to Peter Drucker, “If it isn’t written down, it didn’t happen.” In legal disputes, contractual disagreements, and regulatory audits, written letters provide the documentary evidence needed to resolve issues.
ii. Conveys Formality and Respect: Sending a formal letter signals that the sender treats the matter — and the recipient — with professional seriousness. It establishes the appropriate register for important business relationships.
iii. Reaches Distant Parties: Business letters enable communication across geographic distances — with suppliers in India or China, customers in the United Kingdom, or government agencies in Kathmandu — where face-to-face communication is impractical.
iv. Builds and Maintains Business Relationships: Well-written letters that are prompt, courteous, and clear build positive impressions with customers, suppliers, and partners — strengthening business relationships over time.
v. Serves Legal Purpose: Many business transactions require written documentation to be legally binding — contracts, orders, acceptances, and formal complaints may all need to be in letter form to establish legal standing.
vi. Promotes Goodwill: A well-crafted letter — particularly a response to a complaint or an acknowledgement of an order — demonstrates organizational care and professionalism, generating goodwill that translates into customer loyalty.
vii. Avoids Misunderstanding: Written communication is more precise than verbal communication — it allows the sender to think carefully about the message before sending, reducing the misunderstandings that verbal communication can generate.
viii. Supports Organizational Accountability: Business letters create a paper trail — recording who communicated what to whom and when. This trail supports organizational accountability and governance.
2. Structure of Business Letters
The structure of a business letter is standardized — using a conventional format that both parties recognize and that signals professionalism. The standard components are:
i. Heading (Letterhead) The sender’s name, address, phone number, email, and website — typically pre-printed on organizational letterhead. The heading identifies who is sending the letter and provides contact details for a response.
ii. Date The full date on which the letter is written — written in a standard format: day-month-year (e.g., 15 Ashadh 2081 or 29 June 2024). The date is legally important — it establishes when the communication was made.
iii. Reference Number An internal reference code assigned by the sender for filing and tracking purposes. Enables both sender and recipient to locate the letter quickly when following up.
iv. Inside Address (Recipient’s Address) The full name, title, and address of the person or organization to whom the letter is addressed. Written on the left side, below the date.
v. Subject Line A brief, clear statement of the letter’s main subject — appearing after the inside address and before the salutation, or after the salutation depending on convention. The subject line allows the recipient to immediately understand the letter’s purpose.
vi. Salutation (Greeting) The formal opening — “Dear Sir/Madam,” “Dear Mr./Ms. [Name],” or “To Whom It May Concern.” The salutation sets the tone of the letter.
vii. Body The main content of the letter, typically organized in paragraphs:
- Opening paragraph: States the purpose of the letter — why it is being written
- Middle paragraph(s): Provides the details, arguments, information, or requests that support the purpose
- Closing paragraph: States what action is expected or desired, and expresses thanks or goodwill
viii. Complimentary Close A formal closing phrase — “Yours faithfully” (when the salutation uses “Dear Sir/Madam”), “Yours sincerely” (when the recipient’s name is used). Followed by a comma.
ix. Signature The handwritten signature of the sender, followed by their printed name, designation, and department. The signature authenticates the letter.
x. Enclosure (Enc.) If any documents are enclosed with the letter, they are listed below the signature. This ensures the recipient checks that all enclosed documents have been included.
xi. Copy (CC) If copies of the letter are sent to others, their names are listed below the signature, preceded by “CC:” (Carbon Copy or Courtesy Copy).
3. Qualities of Business Letters
According to Koontz and O’Donnell, effective business communication must be clear, complete, concise, correct, courteous, and considerate. These principles apply specifically to business letters:
i. Clarity: The message must be expressed in simple, unambiguous language. Every sentence should have one clear meaning. Avoid jargon, technical terms unfamiliar to the reader, and complex sentence structures.
ii. Completeness: The letter must contain all the information the recipient needs to understand the message and take the requested action. An incomplete letter forces the recipient to follow up — wasting time and creating a negative impression.
iii. Conciseness: The letter should be as brief as possible while remaining complete. Every word must earn its place — eliminate repetition, padding, and unnecessary pleasantries. According to Blaise Pascal, “I have made this letter longer than usual because I have not had time to make it shorter.”
iv. Correctness: Facts, figures, names, addresses, and dates must be accurate. Grammar, spelling, and punctuation must be correct. Errors undermine credibility and may cause legal problems if incorrect information is relied upon.
v. Courtesy: The letter must be respectful and considerate, even when communicating complaints or refusals. A discourteous letter damages the relationship and reduces the likelihood of a cooperative response.
vi. Coherence: Ideas must be organized logically — each paragraph flowing naturally from the previous one. The reader should be able to follow the argument or narrative without effort.
vii. Positive Tone: Where possible, express messages positively — focus on what can be done rather than what cannot, on agreements rather than disagreements, on solutions rather than problems.
viii. Appropriate Format: The letter must follow the standard business letter format — proper layout, consistent fonts, correct margins, and appropriate salutation and close.
4. Types of Business Letters
4.1 Enquiry Letter
An enquiry letter (also called a letter of inquiry) is written to obtain information about goods, services, prices, availability, terms and conditions, or any other business matter.
Purpose: To request information before making a purchasing or business decision.
According to Gartside, “A letter of enquiry is a request for information — it should state clearly what information is needed, why it is needed, and what use will be made of it.”
Key elements of an enquiry letter:
- Identify who you are and your organization
- State clearly and specifically what information you require
- Explain the purpose or context of the enquiry (if relevant)
- Specify any deadline by which you need the information
- Thank the recipient for their assistance
Sample structure:
Subject: Enquiry Regarding [Product/Service Name]
Opening: Introduce yourself and your organization; state you are writing to enquire about [specific product/service].
Body: Specify the information required — product specifications, unit prices, minimum order quantities, delivery terms, payment terms, warranties.
Closing: Request a catalogue, price list, or detailed proposal; indicate any deadline; express thanks and willingness to discuss further.
SAMPLE ENQUIRY LETTER
[Your Organization's Letterhead]
15 Ashadh 2081
Ref: ENQ/081/001
The Sales Manager
Himalayan Stationery Suppliers Pvt. Ltd.
Kamaladi, Kathmandu
Subject: Enquiry Regarding Office Stationery Supplies
Dear Sir/Madam,
We are pleased to introduce ourselves as YEP Nepal Pvt. Ltd., an educational
organization based in Kathmandu. We are currently looking for a reliable supplier
of office stationery items for our expanding operations.
We would be grateful if you could provide us with information on the following:
1. Product catalogue with full specifications
2. Unit prices and applicable discounts for bulk orders
3. Minimum order quantities
4. Delivery timelines and delivery charges to Kathmandu
5. Payment terms and credit facilities available
We would appreciate receiving this information at your earliest convenience,
and no later than 30 Ashadh 2081, as we intend to finalize our supplier
selection by that date.
We look forward to the possibility of establishing a mutually beneficial
business relationship with your organization.
Yours faithfully,
[Signature]
[Name]
Procurement Manager
YEP Nepal Pvt. Ltd.
4.2 Order Letter
An order letter is a formal written instruction from a buyer to a supplier to supply specified goods or services at specified prices, quantities, and delivery conditions.
Purpose: To formally place an order for goods or services.
According to Lesikar and Pettit, “An order letter must be precise and complete — specifying exactly what is ordered, in what quantity, at what price, to be delivered where and when, and under what payment terms. Any ambiguity in an order letter may lead to incorrect delivery.”
Key elements of an order letter:
- Clear description of each item ordered (name, code, specification)
- Quantity of each item
- Agreed unit price and total amount
- Required delivery date and delivery address
- Payment method and terms
- Special instructions (packaging, labelling, documentation)
- Reference to prior enquiry or quotation (if applicable)
SAMPLE ORDER LETTER
[Your Organization's Letterhead]
5 Shrawan 2081
Ref: ORD/081/015
The Sales Manager
Himalayan Stationery Suppliers Pvt. Ltd.
Kamaladi, Kathmandu
Subject: Order for Office Stationery Items
Dear Sir/Madam,
Thank you for your prompt response to our enquiry letter dated 15 Ashadh 2081
(Ref: ENQ/081/001) and for your detailed catalogue and price list.
Having reviewed your offer, we are pleased to place the following order:
| S.N. | Item Description | Quantity | Unit Price (Rs.) | Total (Rs.) |
|------|-----------------------|----------|-----------------|-------------|
| 1 | A4 Copy Paper (500 sheets/ream) | 50 reams | 650 | 32,500 |
| 2 | Blue Ball Pen (box of 12) | 20 boxes | 180 | 3,600 |
| 3 | Stapler (medium size) | 10 pcs | 320 | 3,200 |
| 4 | Staple Pins (box of 1000) | 30 boxes | 45 | 1,350 |
| | | | **Total** | **40,650** |
Please deliver the above items to our office at Hattisar, Kathmandu, by
20 Shrawan 2081. Payment will be made within 15 days of receipt of goods
and invoice, by bank transfer.
Kindly confirm receipt of this order and the expected delivery date at
your earliest convenience.
Yours faithfully,
[Signature]
[Name]
Procurement Manager
YEP Nepal Pvt. Ltd.
4.3 Confirmation Letter
A confirmation letter is a formal written acknowledgement that a verbal agreement, reservation, appointment, order, or arrangement has been received, understood, and accepted.
Purpose: To create a written record of a prior agreement or communication, preventing misunderstanding and providing legal documentation.
According to Kitty Locker, “Confirmation letters serve the critical function of converting spoken words into written record — they protect both parties by ensuring that what was agreed is clearly documented.”
Key elements of a confirmation letter:
- Reference to the communication being confirmed (date, nature, parties)
- Clear statement of what is being confirmed
- Any relevant details — quantities, dates, prices, conditions
- Invitation to contact if there are any discrepancies
SAMPLE CONFIRMATION LETTER
[Your Organization's Letterhead]
8 Shrawan 2081
Ref: CONF/081/022
The Sales Manager
Himalayan Stationery Suppliers Pvt. Ltd.
Kamaladi, Kathmandu
Subject: Confirmation of Telephone Conversation – Order No. ORD/081/015
Dear Sir/Madam,
This letter confirms our telephone conversation of today's date (8 Shrawan 2081)
with your representative Mr. Ram Bahadur Thapa, regarding our Order No. ORD/081/015
dated 5 Shrawan 2081.
As discussed and agreed:
1. Delivery of all items in the above order will be made on 18 Shrawan 2081
(two days earlier than originally requested), at no additional charge.
2. A 5% discount on the total invoice value of Rs. 40,650 will be applied,
reducing the payable amount to Rs. 38,617.50.
3. Payment will be made by bank transfer within 15 days of delivery and receipt
of invoice.
Please confirm by return that the above accurately reflects our agreed arrangement.
If there are any discrepancies, kindly contact us immediately.
We look forward to receiving the delivery as scheduled.
Yours faithfully,
[Signature]
[Name]
Procurement Manager
YEP Nepal Pvt. Ltd.
4.4 Complaint Letter
A complaint letter formally notifies a supplier, service provider, or organization that goods delivered or services rendered were defective, incorrect, or otherwise unsatisfactory, and requests remedy.
Purpose: To formally record a grievance and request corrective action — replacement, repair, refund, or apology.
According to Gartside, “A complaint letter should state the facts of the complaint clearly, precisely, and without personal attacks. It should specify what remedy is expected and set a reasonable deadline for response.”
Key elements of a complaint letter:
- Reference to the original order or transaction
- Clear, factual description of the problem
- Evidence or documentation of the defect (if available)
- Specific remedy requested
- Reasonable deadline for response
- Professional, firm tone — not emotional or abusive
SAMPLE COMPLAINT LETTER
[Your Organization's Letterhead]
25 Shrawan 2081
Ref: COMP/081/008
The Sales Manager
Himalayan Stationery Suppliers Pvt. Ltd.
Kamaladi, Kathmandu
Subject: Complaint Regarding Delivery of Order No. ORD/081/015
Dear Sir/Madam,
We write with reference to our Order No. ORD/081/015 dated 5 Shrawan 2081,
delivery of which was received on 18 Shrawan 2081.
Upon inspection of the delivered goods, we have identified the following discrepancies:
1. A4 Copy Paper: 10 reams out of the 50 ordered were found to be damaged —
the packaging was torn and the paper was damp and unusable.
2. Staplers: Only 8 units were delivered, whereas 10 were ordered.
We are enclosing photographs of the damaged paper reams and a copy of the
delivery note for your reference.
We request that the following remedial action be taken within 7 days:
1. Replacement of the 10 damaged reams of A4 Copy Paper with undamaged stock.
2. Delivery of the 2 outstanding stapler units.
We trust that you will treat this matter with the urgency it deserves. If we
do not receive a satisfactory response within the specified period, we will
be compelled to seek an alternative supplier and may take further action
to recover our losses.
We look forward to your prompt response.
Yours faithfully,
[Signature]
[Name]
Procurement Manager
YEP Nepal Pvt. Ltd.
Enc: 1. Photographs of damaged goods (3 pages)
2. Copy of Delivery Note dated 18 Shrawan 2081
4.5 Job Application Letter
A job application letter (also called a cover letter) is a formal letter sent to a prospective employer to express interest in a specific vacancy and to present oneself as a suitable candidate.
Purpose: To introduce the applicant, highlight their relevant qualifications and experience, and persuade the employer to invite them for an interview.
According to Lesikar and Pettit, “The job application letter is a sales letter — the product being sold is the applicant. It must be persuasive, professional, and tailored specifically to the position and the employer.”
Key elements of a job application letter:
- Reference to the specific position and how the vacancy was learned of
- Brief statement of why the applicant is interested in the position
- Summary of relevant qualifications and experience — matching the job requirements
- Reference to the enclosed CV/Resume
- Request for an interview
- Professional, confident, and positive tone
SAMPLE JOB APPLICATION LETTER
[Applicant's Address]
Baluwatar, Kathmandu
Mobile: 98XX-XXXXXX
Email: applicant@email.com
10 Bhadra 2081
The Human Resources Manager
Nepal Investment Bank Ltd.
Durbar Marg, Kathmandu
Subject: Application for the Position of Credit Officer
Dear Sir/Madam,
I am writing to apply for the position of Credit Officer advertised in The
Himalayan Times on 5 Bhadra 2081. I am confident that my academic background
and professional experience make me a strong candidate for this role.
I hold a Bachelor of Business Administration (BBA) degree from Tribhuvan
University, where I graduated with distinction in Finance and Banking (2080 BS).
I have additionally completed a six-month internship at Nabil Bank Ltd.,
Thamel Branch, where I gained practical experience in credit assessment, loan
documentation, and customer relationship management.
Key competencies I would bring to this position include:
- Strong understanding of credit risk assessment and financial analysis
- Proficiency in banking software including PUMORI and Finacle
- Excellent written and spoken communication skills in both Nepali and English
- Demonstrated ability to manage multiple priorities under deadline pressure
I am enthusiastic about the opportunity to contribute to Nepal Investment Bank's
growth and am particularly drawn to the bank's strong reputation for customer
service and professional development.
I have enclosed my Curriculum Vitae for your consideration. I would welcome
the opportunity to discuss my application in an interview at your convenience.
I look forward to hearing from you.
Yours faithfully,
[Signature]
Sita Sharma
5. Business Letter Writing in Nepal
i. Official Languages: Nepal’s formal business correspondence is conducted in both Nepali and English — Nepali for domestic government and official correspondence, English for international business and many private sector communications. NEB students must be able to write business letters in English as a core professional skill.
ii. Nepali Calendar: Business letters written in Nepali contexts often use Bikram Sambat (BS) dates rather than AD dates — students must be comfortable writing dates in both systems.
iii. Digital Transformation: While email has replaced many routine business letters, formal business letters remain essential for: legal matters, official government correspondence, formal orders and contracts, complaint registration, and job applications. In Nepal’s expanding formal economy, the ability to write professional letters remains a critical employment skill.
iv. Common Errors: The most frequent errors in Nepali students’ business letters include: incorrect salutation/close combinations, missing reference numbers, overly long and repetitive body paragraphs, vague requests that do not specify required action, and errors in dates. These errors are regularly penalized in NEB examinations.
Conclusion
Business letter writing is the formal written expression of professional relationships. A well-written letter achieves its purpose — obtaining information, placing an order, confirming an agreement, resolving a complaint, or securing an interview — while simultaneously projecting an image of professionalism, competence, and integrity.
According to Robert Lesikar, “Every business letter is a representative of its writer and their organization — it speaks for them in their absence.” For Nepal’s future business professionals, the ability to write clear, correct, and effective business letters is not merely an examination requirement — it is a professional tool that will serve them throughout their careers, in every organization they lead or serve.
Prepared for NEB Grade 12 Business Studies — Chapter 9: Business Letter Writing Aligned with the National Curriculum Framework 2076, Curriculum Development Centre, Sanothimi, Bhaktapur
