Memo is also called a memorandum which is a concise and informal communication within an organization to inform about policies, procedures, or any other official message.
Letter is a form of written communication addressed outside the organization. It contains a long formal message to inform someone of a specific topic. The tone of the letter depends on the relationship between sender and recipient.
Email is another form of routine electronic communication within an organization or outside the organization. It requires an email account and internet connection.
Differences
The major differences between Memo, letters, and Emails are as follows −
| Short and Precise | Long and informative | Informal and routine message. |
| A signature is not required. | Duly signed by the sender. | A signature is used as a complimentary closing of the message, which is automatically inserted. |
| It is exchanged within the organization. | It is exchanged between the company and the client. | It can be exchanged between anyone. |
| It contains a header, date, and subject. | It does not contain any header. Formal language is used to convey information to a specific person. | It contains an introduction, body, a closing, subject line, and recipient's email id. |
The differences between texting and formal writing are as follows −
Texting simply provides the information whereas formal writing not only provides information but also provides the context and sub context of the information. For example, if we have to report sales figures by texting, we will simply write the data but when we formally write it, we will explain everything related to sales figures.
Texting is an informal way of sending messages across the person whom we intend to send it to. But formal writing is the formal way of informing the reader about the information.
Formal writing is more descriptive in nature whereas texting has simple intimation features. With the help of a text, we intimate the reader about the subject. Whereas, with the help of formal writing, we can give a detailed picture of the subject.
Updated on 21-Mar-2022 12:21:58
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- Career development
- 15 Types of Business Letters and the Purpose of Each
By Indeed Editorial Team
Updated May 31, 2022 | Published December 12, 2019
Updated May 31, 2022
Published December 12, 2019
Business letters are an important communication tool in professional settings. You will likely need to know how to write different types of business letters and emails throughout your career, from a compelling cover letter when applying to a position, to a persuasive sales letter or a formal resignation letter.
In this article, we discuss the main types of business letters, when to use each one and tips for effectively writing your own.
Image description
Business Letter Format
Date
Name and address
Greeting
Opening paragraph
Closing paragraph
Complimentary close and signature
Types of business letters
Here are some of the most common types of business letters and when to use them:
1. Cover letters
A cover letter is a business letter typically sent with your resume when applying to a job. While not all employers require a cover letter, it is a great opportunity to explain your professional experience, qualifications and interest in the company and job.
A cover letter should include the following sections:
Contact information
At the top of your cover letter, include your name, phone number and email address 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. Use a gender-neutral greeting such as “Dear Charlie Washington.”
If you’re unsure of their name, use the most relevant job title such as, “Dear Hiring Manager,” “Dear Recruiter,” or “Dear XYZ Team Lead.” Avoid using “To Whom It May Concern,” since it may come across outdated or impersonal.
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. Showcase your research on the job and company by expressing specific interest in both, explaining why you were drawn to the job posting and what interests you about their organization.
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. If possible, include a brief anecdote that represents your relevant skills, experience and qualities from the employer’s job description.
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 that encourages 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.
Other types of cover letters include:
Related: How To Format a Cover Letter [With Examples]
2. Letters of recommendation
A letter of recommendation is written on behalf of another professional to verify their qualifications and work ethic. A letter of recommendation can strengthen an application for employment, higher education or another professional opportunity.
A recommendation letter should include the following sections:
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. Recommendations letters are often written by coworkers, supervisors, mentors or teachers.
Evaluation of the candidate’s qualifications
The recommendation is often the body of the letter and speaks directly to the candidate’s skills, character traits, professional goals and their potential in the program or position. The qualifications in this section should be relevant to the program or job for which the writer is recommending the professional.
Examples
The writer should include specific examples of how the candidate demonstrated their skills during their time working together. This information can help prospective employers understand how exactly the candidate positively impacts their peers and employers.
Closing statement
The recommendation letter should conclude with a final confirmation of the candidate’s qualifications with the writer’s contact information should the reader want to know more.
Other types of business recommendation letters include:
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 should include the following sections:
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 on 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 should 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 on 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 they distribute bonuses and when 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.
Other types of commendation letters include:
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.
Other types of resignation letters include:
Related: Resignation Letters: Tips, Templates and Examples
8. Thank you letters
A professional thank you letter is an important way to let colleagues, employers, vendors or other business contacts know you value their time or efforts. Sending a professional thank you letter will build rapport with the recipient and communicate your intentions for the future. It might be appropriate to send a thank you letter after someone helps you with a job search, when a customer makes a purchase, or if a business awards you a contract. You can also send a formal thank you letter to simply state your general appreciation for someone.
A business thank you letter typically includes the following:
A greeting: Start your letter with a simple but professional greeting. Consider your relationship with the recipient.
Reason for gratitude with specific examples: In one or two brief paragraphs, clearly express your gratitude to the recipient, being specific about what you're thanking them for.
Details from your conversation: Sharing additional details from your encounter can help personalize the letter and show the depth of your gratitude.
A polite closing: Conclude your email with a closing statement like "my regards," “thanks again,” or another personable, yet professional closing.
Other types of thank you letters include:
Related: How to Write a Professional Thank You Letter [With Examples]
9. Complaint letters
Complaint letters are usually sent by consumers to businesses when they're unhappy with a service or product. Businesses may also occasionally need to write a complaint letter. For example, an employee may be asked to write a complaint letter on behalf of a company who is dissatisfied with a product.
Components of a complaint letter include:
A formal greeting: When writing to a company, it is acceptable to use “To Whom It May Concern” as it may be unclear who will read and act on your complaint.
A description of the purchase: Include all pertinent details, such as an account number or order number, what and how much of a product or service was purchased and when the transaction occured.
Explanation of the problem: Clearly state the problem you have encountered with the product or service. For instance, the product does not work properly, the service was not performed correctly, you were billed the wrong amount, something was not disclosed clearly or was misrepresented.
Specific request or resolution needed: Propose a satisfactory solution, such as a refund or discount on services performed, a repair or an exchange.
10. Apology letters
An apology letter is an important tool in the workplace that acknowledges a mistake, expresses regret and asks for the letter recipient's forgiveness or patience. Apology letters create a formal record of your admitting to and attempting to rectify a mistake or failure.
An apology letter should include the following:
An acknowledgement of the mistake
Begin by explaining what you have done wrong and acknowledge the consequences of your mistake. Owning up to your mistake from the very beginning of your letter shows sincerity and will help ensure your recipient hears about your mistake from you instead of someone else. Confronting your mistake and reaching out to the affected party directly will help you resolve the issue as quickly as possible.
A sincere apology
A sincere apology will involve saying you are sorry without any caveats or attempts to shift blame to anyone else. Expressing a genuine regret for the consequences you caused may be sufficient in earning your recipient's forgiveness.
Your plan to fix the problem
Assure your recipient you will do everything in your power to correct the matter, and share the specific steps you will take to do so. Be willing to make whatever personal sacrifices are necessary to make things right with your reader.
Read more: How to Write an Apology Letter [With Examples]
11. Office memorandum
An office memorandum or business memo is a short yet formal document used for communication between the business and its employees. Effective memos are brief and easy to navigate. The document is primarily for internal use, such as an announcement regarding changes to personnel within an organization or updates on company gatherings.
Office memos should include:
A clear and straightforward subject: If you are issuing an email, communicate the message of the memo in the subject line. If the memo will be distributed to employees on paper, you can still include a brief subject line at the top of the letter.
The intent of the memo: List the purpose of the memo in the introductory paragraph. Be concise and keep the language positive throughout.
A breakdown of the information: Use the body paragraph and conclusion to outline the information you are sharing. Include details of how employees can act on this memo or reach out to a specific point person with any follow-up questions.
Read more: How To Write a Business Memo [With Template and Examples]
12. Welcome letters
A welcome letter is a formal way of introducing a company or employee and provides basic information to the recipient. For example, while a new employee welcome letter provides employees with the information to help them better prepare for their first day of work, a new customer welcome letter thanks the customer for their business and provides them with an overview of the company. Overall, these letters use a welcoming tone to help establish a greater working relationship.
A welcome letter usually includes the following:
A warm greeting
The first few lines of your letter may differ depending on your intention. For example, if you're writing a new employee welcome letter, emphasize your enthusiasm about them joining your team. For a new customer or client welcome letter, start by expressing your appreciation for their business.
Personalized information
Personalize your letter by referencing prior conversations you've had. If you're writing a welcome letter for a new employee, explain why you're excited to have them by mentioning something that was discussed during their interview. If you're writing a new customer letter, reassure them about the value of the product or services they purchased. In a new client welcome letter, reassure them of how you can meet or exceed their expectations.
Important details to know about your business
Ensure the recipient knows everything they need to know at the start of this new partnership. For example, in a new employee welcome letter, explain the orientation process, give them an idea of what their first day will look like and where they should go. You can also make a list of required documents they need to bring on their first day and outline any company dress codes.
Other types of welcome letters include:
Read more: How To Write a Welcome Letter
13. Request letters
A request letter is a way to formally ask for something in the workplace. You can use this letter to request a raise, a training class, a recommendation or even a meeting to ask for a promotion. Letters of request can also be a beneficial way to acquire specific information.
Request letters should include:
An explanation of the request
Start your letter with a clear and succinct explanation of your request. The overall tone of your request letter should be polite yet convincing.
Supporting documentation
If applicable, include evidence or other documentation related to your request. For example, if you are requesting a recommendation, it could be helpful to attach your resume so they can quickly refresh their memory with your qualifications. If you are requesting a raise, you can include a paragraph explaining the value you bring to the role or attach a document with more concrete evidence of goals you’ve exceeded or average industry salaries for your job skills and experience level.
A deadline for response
For many request letters, it can also be important to give a timeline. For example, if you are requesting a recommendation letter, you may need to submit it by a specific date. Sharing that deadline and asking them to let you know if they are unable to provide a letter by that time allows you the opportunity to send your request to someone else.
Other types of request letters include:
14. Announcement letters
A business announcement letter is a letter sent out to employees, vendors, customers or the press to declare something of note for the company, such as a change of policy, an employee or management change, a merger, a takeover, a product release or an event. The letter is typically short and written in a formal note.
Announcement letters should include:
An introductory paragraph with the announcement
Don’t bury the lede—present the news you are announcing in the first or second paragraph. This statement should be concise and to the point.
Additional details
Next, your letter should explain your announcement in more detail. If you are hosting an event, share the event’s purpose here. If you are announcing the opening of your business, share details like how long you’ve been working behind the scenes to open your doors or a special promotion you are offering to celebrate your opening.
The specifics
Most importantly, your announcement will need to include specific details pertinent to your announcement. This might include store hours, or contact information like a physical address, phone number or website. If you are announcing something internally to employees, such as a merger, you can offer a point person for employees to direct their questions.
Other types of announcement letters include:
15. Termination letters
A termination letter is a respectful yet effective way to dismiss an employee from their current job. Termination letters are also called a "letter of separation," "a notice of termination of employment" or "contract termination letter."
Termination letters should include:
Notification of termination date
First, inform the employee that their employment is terminated and specify the date it will effectively end. This eliminates any potential confusion and allows the employee to prepare for their dismissal.
The reasons for termination
Your explanation for the employee’s involuntary termination should remain clear and accurate to avoid misinterpretation. If applicable, include evidence to support your reasoning.
Compensation and benefits going forward
Next, explain any benefits or compensation they will receive once their employment ends. This can include severance pay, payment for unused leave days and any other salary owed. Also, let them know what will happen to their healthcare, life insurance and retirement funds. Remind them of any signed agreements, like a non-disclosure agreement or other documents from the onboarding process, that might impact their compensation and benefit payout.
Next steps
Finally, list the next steps for the employee to take. Notify the employee of any company property they must return, such as a company cell phone, laptop, keys, ID badges and parking passes. Then include contact details for their HR representative to direct any questions regarding compensation, benefits and other details in the letter.
Read more: 3 Example Termination Letters [With Template]
The seven parts 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:
1. 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.
2. 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.
3. 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.
4. 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.
5. Detailed information
The body of your business letter includes specific details about your purpose, including asking or answering questions and providing additional information.
6. 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.
7. 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.
Read more: The 7 Parts of a Business Letter
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 their 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.