How to write a budget

A budget is a tool that is managed between companies and between families practically every day. From simple budgets in a house to go to the supermarket, to huge complex budgets that need elaboration, when for example a construction company does a great job. In any case, numbers and the economy play a fundamental role in all of them, so in this article of .com we will explain how to write a budget.

Photo source:

Steps to follow:


When a company offers a service or product to a client, normally it will have to prepare a budget for them, in the case that it is a purchase of large quantities or that it offers a service. For example, if a customer decides to buy a large quantity of stationery from a wholesaler, data such as price, quantity, form of payment or discounts must be included in the quotation.


In the first place, a budget must present certain basic information in any of the cases in which it is carried out. This information must be:

  • Company that issues the budget and makes the sale
  • Client
  • Transaction concept
  • Prices, including VAT
  • Way to pay
  • Always include data such as the NIF of the companies, contact telephone number or address.


When defining the economic amount of the budget and to break it down, we will have to take into account some details that will help us to determine the final price of our sale:

  • It will be necessary at least to cover costs of what we sell or the effort of our service.
  • We must determine a profit margin, to know how much we want to earn in relation to what it has cost us.
  • If the situation requires it, we must take into account the discounts that we will apply to our client, special promotions, payment by credit card or for prompt payment, and so on.
  • Know the prices of our competitors, so that our prices are in the general line of the market and are not too different.


It is important that the budget is realistic and adapted to the needs of our company and our client. Ideally, we offer the client a budget that fits what he requires, after studying their problems or needs. Subsequently, we must be open to possible modifications that may be agreed, after the budget study by our client.


Finally, there are some details that must be taken into consideration, since it is not advisable to leave loose ends in any economic transaction. These are:

  • Legal conditions to which the sale is subject
  • Guarantees offered by the manufacturer and by our company
  • After sales technical service
  • Term and delivery method