A letter to shareholders summarizes the company's year, highlights its accomplishments, gives a financial overview and sets goals for the coming year. It lets people who have invested in the company know the state of the company's affairs. Company executives write the letter, which can be several pages long, using company information. They organize it and present it in a straightforward manner, typically placing it in the opening pages of the annual report.

Gather the Information

Step 1

Meet with company leaders or division leaders to collect information about top-performing services or products. Gather insights from your team as well as hard data.

Step 2

Meet with your company financial director to review financials, stock performance and projected revenues for the coming year. Get an idea of the company's accomplishments and challenges.

Step 3

Take detailed notes and record the meetings for review later. Conduct follow-up interviews as needed to fill in any gaps.

Organize the Information

Step 1

Review your notes and transcriptions. Sort them into general categories such as financials, accomplishments, performance, challenges, operations, changes and the year ahead.

Step 2

From your sorting, create a formal outline to further organize the information. Each broad topic should represent a paragraph and each subtopic a sentence.

Step 3

Expand your outline to include transitions as you move from topic to topic. Add details as needed.

Writing Your Letter

Step 1

Use a conversational tone throughout your letter. Although it is part of a formal document, it should be less formal than the rest of the annual report.

Step 2

Decide what voice to use. Warren Buffet of Berkshire Hathaway uses first-person voice, while the letter to Microsoft's shareholders uses the collective "we."

Step 3

Include an engaging introduction that gives shareholders an idea of what to expect in the letter. Hit the major accomplishments or changes with broad strokes. Make the readers want to find out more.

Step 4

Revise until your document is free of mistakes that will undermine your credibility. Let people you trust review the letter to check for mistakes or areas where it can be improved.


  • This is a public document meant to maintain, if not boost, investor confidence in your company.


  • Be positive despite challenges and don't overstate your accomplishments.


Photo Credits

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About the Author
