How To Use The Correct Business Letter Format

If you find the information on Business Letter Format below useful, please share it with your friends by clicking on the buttons above.

Business Letter Format Video

Download Now

Why it is important to use the correct business letter format?

Because the way a business letter looks immediately gives the reader their first impression even before they read it. The quality of the paper, letterhead design, the margins, spacing and more all have something to say about the organization.

A weakness in any of these elements can detract from the effectiveness of the message, even though it is expertly written.

I have a long list of the elements of the formal business letter format below. There is also a sample picture with all the elements highlighted for easier reference.

The Paper

I recommend using the 20lb for normal use and 32lb for important letters like resume cover letters and thank you letters.

Color: White is the standard and should usually be used. Light tints (gray, blue, green, etc) are also becoming popular.

Size: To me the Letter or A4 are the only acceptable sizes. There are other sizes but I don’t recommend it unless you are in the creative field or you are trying to capture attention for a sales letter.

Layout

In a business letter format, there are many layouts; the three most popular are the semi-blocked, blocked and full-blocked. Below are samples of how these layouts will look like on a two page letter. (click on the image below to see the samples)

Business Letter Formats

Whatever layout you wish to use, it does not really matter. As for me, I prefer the full-blocked simply because it is easier to type on the computer.

Margins

Left and Right 1 Inch
Top and Bottom 1 ½ Inch

Spacing

Most business letters using the correct business letter format are single spaced. Use double space for short letters. Leave one blank line between paragraphs, 2 Blank lines before the complementary close (i.e. Sincerely) and 3 to 4 lines for the signature.

Envelopes

Make sure the address on your envelope is easy to read so that it does not get tossed in some mail room. Place the address just below the vertical center and just to the right of the horizontal center.

Any special instruction such as “Personal,” “Please Forward,” or “Confidential,” goes on the left side of the envelope below the return address. Place an “attention line” directly below the company name on an envelope.

Confidential: Ms. Susan Johnson

Make sure the address on the envelope is written so that a postal worker can read it at a glance.

When both a street and a post office address are given, the postal service will deliver your letter to the address that appears directly above the zip code.

On the envelope address, type the names of foreign countries all in caps.

Spell out all numerical street names from one to ten.
127 Ninth Avenue, North
127 E. 15 Street
Five Park Avenue
One Wingren Plaza

Use a hyphen between street and residence numbers.
556 - 91 Street

Common Business Letter Format Elements

The following example contains the most common elements in a professional business letter format.

1: Your own address.

In most business situation, you will be using your company pre-printed letterhead. If you are using a blank paper, then type out the address.

2: Date Lines

Place the date at least two spaces below the letterhead. The line may be flush left or right, or centered below the letterhead.

Do not abbreviate the month or use nd, st, or th with the day numbers, like May 5th, 2011. Also, do not use a month’s number, like 6/23/11.

Both date orders listed below are appropriate; however, the latter is used mainly by the government, the military, and those outside the United States.

December 10, 2010
10 December 2010

3: Receiver Address

Type the receivers address in this section.
Addressee
Address
City, State Zip

Make sure a person’s name is spelled correctly. A recipient may decide to ignore a letter that was written by someone who cannot spell his/her name.

Do not use both the title and the degree of a person. For example, write either Howard Wyatt, D.D.S. or Dr. Howard Wyatt and not, Dr. Howard Wyatt, D.D.S.

Two or more men are addressed as Messrs., which means Misters. Do not use first names with this abbreviation.
Messrs. Smith, Wyatt, and Fury

Two or more women are addressed as Mesdames, Mmes., or Mses. Do not use first names with these abbreviations:
Mses. Farb, Lionel, and Gray

When addressing couples, give both appropriate titles:
Dr. and Mrs. Harold Wright
Mr. Harold Wright and Dr. Margaret Wright
Drs. Harold and Margaret Wright
Dr. Margaret Wright and Mr. Steven Jones
Mr. and Mrs. Harvey Adams-Quinn
Ms. Margaret Wright
Mr. Steven Jones

In selecting a title, always notice the way an individual identifies him or herself. For example, some who hold degrees do not use their titles while others do.

Some married women prefer Mrs.; others prefer Ms. If you do not know the title the woman prefers, use the standard Ms. or drop the title altogether:

Place the inside address at least two lines below the date.

Place a person’s title after his name unless it is unusually long, then go to the next line.
Ken Green, President
Ken Green
Vice President of International Operations

The comma before the abbreviations Jr. and Sr. is optional.
Michael Jordan, Jr.
Michael Jordan Sr.

4: Salutation

Always use the name of the individual if you know it.

Dear Amy: (personal friend or close business associate)
Dear Mrs. Rider:
Dear Miss Spears:
Dear Ms. Tyler: (use Ms. If you don’t know the marital status or the preference)
Dear Mr. Farnham:
Dear Dr. Doom:
Dear Sir Elton John:

If you don’t know the name of the individual, address it to the individual’s title in the company and then use dear Sir or Madam: Here is an example:

Head of Human Resource
ABC Company
123 Sesame Street

Dear Sir or Madam:

But please only use this if you really cannot find out the name of the person. Most companies will tell you who the person is. All it takes is a phone call. It is also quite easy to find this information on Linkin these days.

If you are addressing to an organization and not an individual, then use the following:

Ladies and Gentlemen:

And if you want to highlight the letter to an individual(s) in the organization, use the attention line as follows:

Attention: Miss J. Fonda, CEOand Mr. M.Jackson, CFO

Ladies and Gentlemen:

If you are addressing officials, it requires a more formal salutation. See Addressing Business Letters for Officials for more information.

Also see business letter salutation for more information.

5: Letter Body

This is the body of your letter. The rest of this site explains more about how to write effectively for each type of letter you want to write. I try to cover how to write the body effectively so that you can get your message across and achieve your objective.

6: Complimentary close

For a normal business letter format, I prefer to use Regards, Sincerely, and Sincerely yours. Other acceptable formal business letter close includes Cordially, Cordially yours, Very sincerely yours, Very cordially yours, Yours very truly, Very truly yours and if the person is of high stature, Respectfully yours.

7: Signature

Do use a title (Mr., Miss, Ms) to indicate your preference and you gender and give you First and Last Name.

Your official business title goes under your name. This is optional and depends on how serious you want to be. For example, a formal employment offer letter would require one.

Other Less Common Business Letter Format Elements

8: Reference Lines

“Reference lines” assist with filing or routing correspondence. A reference line can refer to your files and/or your reader’s files. Place your reference line before the salutation.

Our reference: Project #234
Your reference: Invoice #3444
RE Order #4558

9: Subject Line

Sometimes to speed up the handling of your mail, it may be wise to use a subject line. Placed after the salutation.

Dear Mr. M. Jackson:

Subject: Order No. 456-9A6

10: Identification Initials

The “identification line” gives the initials of the person who typed the letter.
For example, if Diana Michelle Smith typed the letter then she would put dms as the Identification Initials.
DDB:dms This indicates that the person who originated the letter
DDB/dms also typed it.

This is usually not necessary nowadays as most people (even big CEOs type their own letters) don’t have a secretary to type their letters.

11: Enclosure Notations

The “enclosure notation” goes flush left two lines below the signature block or the typist’s initials, if they’re included. Identify each and every enclosure that is being sent so that the reader will know if something is missing from the packet.

Enc.
Enclosures: 3
Enclosures: Hire contract
Check for $458
Enclosures:
1. Draft of absentee policy
2. Invoice #459990

12: Copy Notations

Use cc, meaning carbon copy, even though you may use photocopy or other reproductions.

This notation goes at the very end of your letter and flush left when used in a correct business letter format.

If you do not want your reader to know that you are sending a copy to another person, omit cc and instead, type bcc, blind carbon copy, only on your copy of the letter.

Below are the ways to present this feature.
cc: Sarah Smith
cc: Dr. Howard Stewart
12337 Rocky Lane
Houston, Texas 77070
Copy to: Sarah Smith
Copies to: Sarah Smith
Howard Jones

13: Postscripts

Postscripts serve two purposes:
1) to re-emphasize a key point
2) to be informal and personal.

The postscript may be handwritten or typed:
P.S. Just return the enclosed card to see if you aren’t pleased with the service you receive!
PS. Give my regards to the others who had a part in making the program such a success.

The use of PS before the message is optional, but I prefer if it is there. It helps gets the readers attention.

The following are some examples of letters:
Free Business Letter in the correct Business Letter Format.
Sample Business Letter on Company Letter Head in the correct Business Letter Format.
Business Letter Sample in the correct Formal Business Letter Format.
Example of business letter format
Business Letter of Introduction
Example of business letter for project update

Although this page is about business letter format and this site is about writing business letters, I think it is prudent to talk about other types of written business correspondence. This will include the fax, memos and e-mails. Knowing when to use each type of correspondence is just as (if not more) important as the content itself. For example, you don't send a memo to congratulate someone.

The Fax

The facsimile machine has dramatically changed the pace of business communications in the past 10 years. Some say it is a blessing and some say it's a curse. Either way, knowing the proper use of this communication tool will help you improve your business image.

The fax cover page
Often, fax transmissions are received in a common area and then forwarded to the proper recipient. The fax cover page is used to route your communication to the correct person and to ensure all the pages are received.

Here is a sample of a fax cover page

Follow these guidelines when using the fax

Use the fax only when the communication needs immediate attention
In addition to the cover page, format the message in either the memo or business letter format.
Do not send documents in which the appearance is important.
Avoid dark areas such as graphics. It slows down transmission time and the recipient printed fax may be moist from the heavy application of ink.
Use simple, legible type for your fax. Arial, Courier and Times New Roman all transmit clearly. Use at least an 11-point in size.
Avoid handwritten notes. They often don't transmit well.
If you are faxing a letter, be sure to follow the correct business letter format as above.

The Memo

The memo is short for memorandum. It is used for short reminders, quick announcements or concise pieces of information. When using the memo format, don't communicate something of vital importance. Use the business letter format instead. Memo tends to be given less attention than a business letter written on the company letterhead. Memos should not be used for communications to people outside the company.

There is no rule for the format of the memo. Pick one and make it a standard for your company. The vital information in a memo are the date, the recipient, the sender and the subject matter.

The following is an example:

Date:

To:
From:
RE:

The e-Mail

Since you are on the internet reading this site, I would assume that you know what e-mail is and you probably have one or more e-mail account. The e-mail has replaced many functions of the business letter. Here are some tips on writing effective e-mail.

Format: Do use the format provided by the software properly. Include the e-mail you are sending to on the proper column. To is for the individuals the letter is directed to, cc for those you want to have a copy and bcc to those you want to have a copy but don't want people to know they are in the list. And do fill in the subject line. Begin the e-mail with the salutation.
Contents: As with the business letter, keep it brief. All the business letter essentials apply to the e-mail as well.
Links: If you are referring to a web site, do provide a link.
Don't use ALL CAPS: In the real world, all caps mean that you are stressing a point. However when online, all caps means that you are YELLING! Bold the word or put asterisks around it to stress the word.
Don't get too informal: The tendency when it comes to e-mail is to write less formally, just remember, you are still writing a business letter only via e-mail.
Don't use emoticons and acronyms: There are two reasons for this, first, while many net-savvy users are familiar with it, there are still a lot of people who don't understand what the symbols mean. Secondly, you are still writing a business letter, emoticons and acronyms are just too informal. Imagine a letter that reads like this:
WTG Imagine my =:O when I heard your good news. IMHO you earned the promotion. ;-)
Do use the advice on business letter format above. Just because you are sending a letter via email does not mean that proper business letter format do not apply.

So there you have it, I have given you the elements of a correct Business Letter Format. Some of these elements are flexible, so always make your own judgment when selecting your Business Letter Format.

If you need more information, please see the page on business letter format FAQ. Below are the questions covered in the FAQ.

Business Letter Format

Addressing Business Letters for Officials
Business Letter Salutation
Business Letter Closings
Business Letter Format FAQ
Business Letter Format Examples