How to Format a Formal Business Letter

Although most business communication happens digitally these days, knowing how to format and draft a formal business letter is still important. You never know when you might be asked to write a letter of recommendation for a colleague or report, or when you might need to submit a formal letter of resignation (two weeks notice). Keep reading to learn more about how to write a formal business letter.

What is the purpose of sending a business letter?

At its most basic, a business letter is a formal document used to communicate with another peer, company, clients, employees, or stakeholders. Business letters are often used for serious and important correspondence, such as job offers, recommendations, resignations, and cover letters.

The recipient of your message may have a pile of other characters to read. As such, ensuring your business letter is properly formatted, well-written, and error-free is of the utmost importance. You may not get another chance to get your letter across, so taking the time now to learn how to write a business letter may pay off in the future.

Format your formal business letter

Now that you know the “why” behind business letters, let’s dive into the “how.” Here are some general steps to follow the next time you need to write a formal business letter.

Understand the assignment and gather the necessary information

Although all business letters should be professionally written, it is important to remember that the type of business letter you write drives the goals you need to achieve. For example, you will draft a reference letter differently than you would a resignation letter or a post-job interview. Keep the mission in mind when crafting your letter.

Likewise, you must gather all the necessary information before you begin. You’ll want to know who the letter should be addressed to, as well as the recipient’s contact information. Having this information is essential to ensuring that the message gets to the right place and person.

Choose the appropriate greeting

Choosing the wrong salutation or one that does not match the seriousness of the correspondence may offend the recipient or cause them not to read your message. On the contrary, choosing the right salutation can help you get off to a good start and be taken seriously.

If you know the recipient’s name, be sure to include it in the salutation. Here are some examples:

• Mr. or Mrs. first name last name,

• Dear FirstName LastName,

• Dear Mr. or Mrs. first name last name,

If you don’t know the recipient’s name—which you likely would be if you’re writing a job reference, letter of recommendation, or cover letter—it can be difficult to know how to address a business letter. If this is the case, do an online search to see who the potential person is, or the name of the team or department you’re writing for. If you can’t find an individual, write “Dear [Department/Team]Or, if you’re using a very formal style, it’s best to address the letter with something like “To Whom It May Concern.”

Get to the point and stay on track

Don’t dwell on irrelevant matters in your professional communications. Introduce the purpose of the communications, define your points, and keep the messages simple and concise. Most business letters should be one page long, which means a real estate letter may be limited. Staying on track will help you fit your message onto one page and focus on the goal you hope to achieve.

Seal it with a letter and signature

You’ll want to provide the closing at the end of the business letter, which typically includes a call to action. For example, if it is a cover letter for a resume, you will need to indicate that you are interested in the job and why you think you would be a good fit, and that you are looking forward to hearing from the employer. If it’s a letter of resignation, you’ll want to end it on professional terms and indicate the timeline. Try to keep this conclusion to a brief paragraph.

Next, you’ll want to insert four single-spaced lines between the closing paragraph and the formal closing salutation. Examples of a formal business letter format for a closing salutation include: Respectfully, Sincerely, Sincerely, Respectfully Yours, Sincerely Yours. Then, enter a few more lines before writing your full name and listing your surname. If you are printing and mailing the letter, sign your name in the blank space between the closing salutation and your printed name.

If you’re sending the letter electronically, don’t include the address/date sections at the top and start with the salutation instead. At the end, include an electronic signature with your name and contact information.

Business letter format template

Here is an example of a business letter format. This sample is based on a mock presentation of an employment letter.

[Your First and Last Name]

[Title of Current Position]

[Name of Current Company]

[Current Address]

[City, State ZIP code]

[Phone number]

[Email]

[Send Date]

[Name of Recipient]

[Recipient’s current position (if known) – If unknown, address it to the company or department within a company]

[Recipient’s current company]__[Recipient’s City, State ZIP code]

my dear [Insert full name of contact]And

I am writing to inquire about a position with [company name].

[Insert supporting details that may be relevant to the letter (e.g., background, relevant experience, why you are interested in the role, etc.).]

[Add a concluding line (e.g., “I am very excited about the opportunity and would love to join the team. Please reach out to me at the contact information below. ”)]

sincerely,

[Actual or electronic signature]

[Your Name]

[Phone number]

[email address]

[Any additional contact information (ex. website, social media links, etc.)]

Tips for writing an outstanding formal business letter

There are some important elements to consider when writing a formal business letter. By keeping these tips in mind, you’ll be on your way to writing business letters that stand out for all the right reasons.

• Don’t underestimate the importance of proofreadingEven professional writers need to build in time to review their drafts before they’re released. Proofreading your business letter, in addition to reading it out loud, can help you spot silly mistakes or typos, which can help protect you from potential embarrassment. If the message does not contain sensitive, confidential, or proprietary information, consider asking a peer to proofread to have another set of eyes on the message to help spot errors.

• Prioritize brevity and clarityFocus on the intent of the message, and only include the most relevant details in your communications. Don’t leave out important information, but avoid including wrong and unnecessary details that will make your letter confusing or overly long.

• Communicate deadlines or work items clearly—If you’re writing a letter to ask someone else to do something on a date, write that clearly in the letter. Explain the reasons behind the actions, if necessary.

Formal business letters and you

At some point in your career, you will likely be assigned to write a formal business letter. Sticking to the basic format presented here can help guide you toward writing a successful and polished business letter.