Project Cancellation Letter


For any ongoing project, there are a number of people involved, often from diverse fields where each person has a unique role to play. There goes a lot of brainstorming and toil for the smooth execution of a project of any kind. Which is why if due to any circumstance the project has been delayed or even cancelled, the head of the project is obligated to inform all the parties involved.

This is supposed to be a detailed letter which follows a professional tone and format. The whole purpose of the letter is to inform everybody involved, why exactly a project is being cancelled. These letters might also include a plea where parties are informed about the reason of cancellation and are approached for help to fix the problem if possible. Follow the sample on a Project Cancellation Letter given below as reference to write your very own personalized letter.


Company YY

3rd Floor, Cyber City


Date: 4th July 2017


Consulting Department

Company YY

3rd Floor, Cyber City



Subject: Project Cancellation Letter


Respected Ma’am

We recently approached a hotel consulting firm to carry out the primary research of our upcoming hospitality project- The construction of India’s very first Seven-star hotel.

According to the market analysis, primary research and feasibility study conducted by HSV hospitality consulting firm, it is not viable to go ahead with our project currently. Due to the recent introduction of demonetization, the economy of the country overall has slowed down. Therefore the demand for hospitality stay is currently at an all-time low.

Our primary competitors in the field are also currently suffering due to this development. Therefore, based on this extensive study I feel it is best for us to cancel our project for at least another year.

I sincerely apologize for informing you all about this recent update. I understand that all of you had invested not only your money but a lot of time and effort into this project.  We had gone as far as the subsequent steps of the project, that is approaching banks for loans and construction companies for materials had also begun. It is extremely unfortunate, but I need you all to understand that this was an unforeseen event.

I have spoken to the board of directors of YY company and next week onwards we will begin studying each and every stake holders contribution to this project and accordingly reimburse you all for the same. I request for some time and patience on your end. I hope you all understand our plight.

Thank you

Manu Sharma


Related Post

Leave a Reply

Your email address will not be published. Required fields are marked *

nineteen − six =