I wrote a Capability Statement for a client the other day and it got me thinking how few companies actually have a pre-prepared statement that they can hand out to new prospects.
For anyone not sure what a Capability Statement is, it’s a short synopsis of your company’s products and services. It should be hard hitting, informative, relevant and above all it should showcase your track record.
Giving a prospective customer this essential information will help them make a decision about whether you have the capabilities to perform to contract requirements. Obviously there are a lot of contract negotiations that would follow in, but a good Capability Statement is your foot in the door for new business, and is often a crucial requirement for RFI responses.
Capability Statements are particularly necessary if you are looking to secure Government or Corporate contracts, both of which are very competitive markets to crack. But businesses of all sizes, including sole traders or companies with just a handful of staff have been successful in selling products and services to Government agencies and Corporate firms at all levels.
A good Capability Statement should be concise – no more than 2 pages – and contain the following information:
Who You Are
This is your introduction – include a paragraph about what you do and how long you’ve been doing it for. What You Offer This section should include short statements about your core capabilities. It is not an opportunity to document everything you do but it needs to focus on your core business. If you offer a range of different products and services, stick to the main points or group products and services into several headings.
Why You’re Different
This is your opportunity to explain why you are better than your competitors. It should contain the essence of your market position and unique selling proposition.
Key Staff
Including details of key staff and their qualifications and experience isn’t strictly necessary but it does make your Statement more personable and demonstrates the depth of experience on offer.
What You’ve Done
Here’s where you showcase important projects that you’ve delivered on. Include relevant information such as deliverables and outcomes, size and timing.
General & Contact Information
Include the year your business started, your ACN/ABN and any relevant licences you hold, together with your contact details, branch details if appropriate and of course your website address.
Over a period of time, you’ll probably develop several versions of your Capability Statement, each tailored to a specific audience – it’s a bit like tailoring your personal resume to a specific job response.
Above all, a powerful and persuasive Capability Statement will differentiate your business from your competition. It will reinforce your business brand and it will showcase your value proposition to prospective new clients. If you don’t already have a good Capability Statement, it’s time to get started. If you’re struggling with what to say or how to say it, that’s what I’m here for and I can help you develop a professional and compelling Capability Statement that works. Drop me an email to pauline@worddynamics.com.au or give me a call on 0400 514579 and I’d love to chat.