A company description is like the “About Us” section for a business. It gives a quick summary of what a company is all about-its purpose, what it does, and what it values. By reading a company description, people understand the basic identity of the business, including how it operates, what’s important to it, and where it wants to go in the future.
This type of document usually covers important company information such as the name, legal structure (like sole proprietorship, LLC, partnership, or corporation), when it was founded, and where it is located. It can also touch on the company’s mission statement, a summary of what it sells or does, and who its main customers are. The goal is to answer important questions like who the company is, what it does, when and where it operates, why it exists, and how it works-in a clear and simple way.
Why is a company description important?
A strong company description does much more than meet a basic requirement. It’s a valuable tool that helps in many areas of business. This short introduction allows different groups, from investors to customers, to quickly understand what the company does and why it’s different from others. This section is especially helpful when looking for new investment or building a reputation.
The company description explains the business philosophy and highlights what makes the company unique. It’s especially useful for new businesses but should be updated as the business grows and changes. It’s often used like an overview slide in a presentation-giving context and encouraging further interest.
How it benefits investors and partners
- First impressions: This is often the initial way investors or partners learn about a company.
- Sets expectations: Shows the company’s vision and how it plans to make money.
- Attracts interest: Including details about what makes the business different increases chances of getting support.
- Proves alignment: Potential partners can see if their own goals match with the business direction.
This section is meant to help sell the business idea by outlining strengths and what makes the company stand out. Painting a picture of stability, growth, and unique value can make others want to work with your company.
Role in business plans and proposals
- Usually comes right after the executive summary in a business plan.
- Gives a brief overview before more detailed sections.
- Shares details like location, number of employees, what the business does, and notable achievements.
- Keeps the whole team on the same page about what the company is trying to achieve.
It acts as a guiding document, helping everyone-including outsiders-understand the main goals and how the business wants to reach them.
Influence on how customers see the business
- Builds trust: Sharing the business’s story makes it easier for customers to relate to the company.
- Highlights uniqueness: Explains why your products or services are special.
- Connects emotionally: Including a background story or mentioning a cause can help your brand stand out.
A well-written description helps customers feel connected and creates interest, making them more likely to learn more about the company or try what it offers.
What should you include in a company description?
A good company description should include the most important information about your business but also show its personality. The exact things to include can change depending on your audience, but these are the most common parts:
- Company basics (name, structure, location)
- Mission statement and values
- Summary of products or services
- Industry and main customers
- Brief company history and key achievements
- Leadership team or important staff
- Unique selling point
All these pieces help people understand what your business does, why it exists, and what makes it stand out in the market.
Mission statement and core values
The mission statement says what your company is trying to accomplish. Core values are the main beliefs or principles that guide your decisions and actions. Sharing these lets others know what you stand for and helps you attract people-whether they’re customers, workers, or investors-who agree with your approach. This can set your business apart from others and build loyalty.
Products and services overview
- Short summary: Describe what you sell or provide.
- Focus on benefits: Explain how these products or services help customers.
- Use simple words: Make it easy to understand.
For example, a marketing company could mention digital advertising, SEO, and social media management. Say what you offer and who benefits from it, without listing every detail.
Industry and target market
- Name your industry (e.g., food, tech, education, retail)
- Describe your ideal customers (age, location, needs, interests)
- Show you know your market and have a plan to reach the right people
For instance, a modern cafe for tech workers in Austin, Texas, should mention how it attracts that specific group. Showing this focus helps others see you have a plan and understand who needs your business.
Business structure and location
| Detail | Example |
|---|---|
| Legal structure | LLC, Sole Proprietor, Corporation, etc. |
| Main office location | Draper, UT |
| Service area | Utah County |
These details tell others how your business is set up and where it works, so they know the basics.
Company history and milestones
- Mention when and why the business started
- Highlight important moments (opening a first store, a major award, new products)
- Share personal or family stories to add interest
For example, a restaurant could talk about starting in 1989 with family recipes from Greece. This shows a story of growth that helps people feel connected.
Leadership and team highlights
- Share information about owners or managers
- Mention relevant experience or passion for the work
For instance, stating that the owner is a certified dog trainer makes a dog daycare sound trustworthy. Talking about team strengths shows the business is in good hands.
Unique selling point (USP)
- Explain what makes your business different
- Give clear reasons why customers should choose you
This might be a special technology, a unique service, or high-quality customer support. For example, a café that customizes drinks with AI technology or a plumbing company that promises excellent customer service. Your USP tells people why you’re not just like everyone else.
How to write a good company description
Writing a strong company description is more than just giving facts. It takes planning, clear writing, and some energy to make it stand out. The goal is to give useful information and make people want to know more about your company. Your description should sum up the business in a way that is easy to read and interesting.
Know your audience and main message
- Think about who will read your description (investors, customers, new employees, etc.)
- Decide what you want them to know and feel.
- Change your focus depending on the audience-for investors, cover financial details and for employees, talk about company culture.
Keep it clear, brief, and specific
- Use simple language and short sentences.
- Cut out unnecessary words.
- Share specific facts or examples when possible.
Example: Instead of “We offer great food,” say “We serve homemade Mediterranean meals from family recipes created in 1975.”
Show your company’s excitement and dreams
- Share what excites you about your business.
- Add personal stories or motivation if possible.
For example, say “Helping our community is at the heart of what we do,” to show what drives you and help readers relate to your brand.
Mix overall summaries with important details
- Give a big-picture overview first, then include only the most important facts.
- Don’t include every single detail-stick to what matters most.
Edit, proofread, and check your length
- Read over your writing several times to catch mistakes.
- Get someone else to check it if possible.
- Make sure it’s not too long-just give enough to interest people and explain your business.
Company description examples for different audiences
Changing the focus and tone of your company description based on who’s reading it can make a big difference. Here are examples for different groups:
For investors
- Highlight how the company will make money
- Mention expert team members or unique business models
Example: An investment-focused description can point out a skilled staff, strong experience, and how the team builds business relationships for future growth.
For potential employees
- Describe what it’s like to work there
- Include skills development and company values
- Mention working style (in-office, remote, etc.)
Example: “We offer digital marketing services to universities worldwide with a remote team and the chance to work on real results for our clients.”
For customers
- Focus on what makes the product or service special
- Tell a short story to build trust
Example: “We prepare fresh Mediterranean recipes passed down through generations, served in a friendly, cozy setting.”
Tips for writing company descriptions on different platforms
Company descriptions should be changed depending on where they’ll be posted. Different platforms have their own space limitations and audience expectations.
Social media (LinkedIn, Facebook, Instagram, Twitter)
- Keep it short and clear
- Stick to key achievements or your main message
- Use a friendly tone
| Platform | Recommended Length | Example |
|---|---|---|
| Up to 2,000 characters | Highlights company history, mission, and culture | |
| 255 characters | One-sentence summary: “Serving fresh Tex-Mex with a touch of humor since 1975.” | |
| 150 characters | Short tagline and location: “Dog daycare in San Diego, CA.” | |
| 160 characters | Short bio with hashtags for extra info |
Review and directory sites (Yelp, Google Business Profile)
- Describe your services and locations up front
- Use keywords that people might search for
- Mention specialties
For example: “Plumbing, heating, cooling, and more-fast service across Utah County.”
Company websites and business plans
- More space allows for more detailed storytelling
- Include company background, goals, and team profiles
- Edit for length and clarity, but don’t be afraid to add depth
Example: On a company site, you can talk about when and why the company was started, how it’s grown, and what guides its team.
Common questions about company descriptions
What’s the difference between a company description and overview?
- A company description is usually a section in a business plan, offering all the vital details (name, mission, products, target audience, etc.).
- A company overview is a broader introduction, sometimes just a short paragraph or slide, generally used in presentations, websites, or marketing materials.
How long should a company description be?
- For business plans: anywhere from a paragraph to several pages, depending on how detailed you need to be.
- For social profiles: stick to platform limits (usually between 150 and 2,000 characters).
- For review sites: 750-1,500 characters is typical.
The most important thing is to include only what’s necessary for your goals and audience.
Mistakes to avoid
- Being too vague or generic-explain exactly what you do, for whom, and how you’re different.
- Using too much technical language or business jargon.
- Ignoring your main audience-you should change the message based on who’s reading.
- Not proofreading, which can make you seem unprofessional.
- Failing to update your description as your company grows or changes.
Key points for writing your company description
Your company description is more than a standard introduction-it’s often the first thing new investors, customers, or team members see. Making it clear, brief, specific, and full of real enthusiasm can give your business a strong first impression. Remember to focus on your mission, specialties, and what makes you different, and keep your description up-to-date as your company moves forward. A well-written company description can help shape your brand identity and open up new opportunities for your business to grow.
