Funded proposals are basically the platform where good introductory products are offered at a very low price to potential prospective clients with the intention of further enticing or encouraging them to commit to making a more impactful purchase or commitment to the business.
Ideally these introductory products should in some way be linked to the original core business intended to be introduced. In doing so the merchant is able to enjoy some revenue for the very onset of the whole exercise thus limiting perceived losses.
Besides being able to make some money, the merchant is also able to create a satisfactory level of interest in the business to encourage the client to be more confident and eager to make other follow up purchases.
The initial item offered at the lower price which acted as the enticing tool would then function as the ideal advertisement for other core products.
Even if the client is not converted to join the business venture, at the very least he or she will now be a valuable and loyal customer. Understanding that although freebies are good and often encouraged, having good introductory product that generate funded proposal are a better and more income orientated option.
The funded proposal systems also allows for the platforms of stable foundation setups that eventually contributes towards a more consistent growth rate. The use of prospect lists will also contribute to this higher percentage of gained income.