Starting and growing any business is a huge undertaking. It requires incredible dedication, long hours, and often, a small fortune. Despite all that effort, however, most businesses fail within 10 years.
So, what differentiates the businesses that fail from those that succeed? While many factors contribute to the ultimate success or failure of a business, the ability to clearly communicate your business purpose and stand out from the crowd is an essential component of success. A great capability statement can help you do that.
What is a Capability Statement?
A capability statement is a clear, concise document that summarizes what your business offers, how it differs from competitors, and examples of your past performance. Think of it as a resume for your business. A good statement allows potential clients to quickly evaluate your business and is especially important in the bidding process.
Just as you would hand out your resume when applying for jobs, it’s useful to provide potential clients with your capability statement when you are competing for a contract. Some agencies, like the federal government, require capability statements as part of the bidding process.
Examples of When a Capability Statement is Used
Submitting an effective capability statement gives your business an edge in a variety of situations, including:
- Winning a federal contract.
- Differentiating your business from the competition when meeting potential clients.
- Attracting high-quality talent.
- Networking with B2B clients.
- Promoting your business at events.
Benefits of a Capability Statement
A good capability statement brings a multitude of benefits to your business. In addition to serving the obvious purpose (helping your business win new contracts,) it also helps you:
- Determine your core competencies.
- Present your business in a compelling yet concise fashion.
- Highlight unique features of your business.
- Forge new business connections.
- Create a distinct company culture.
- Make a positive first impression on clients.
- Effectively pitch your services.
Elements of an Excellent Capability Statement
Your capability statement is only as good as the information it contains. An effective capability statement is well-organized and visually appealing while clearly covering your company’s strengths. Remember, you want potential clients to get a good idea of what your business has to offer without needing to spend a long time reading.
Your capability statement should be divided into sections so your potential clients can easily skim to the information they are looking for. Additionally, it’s a good idea to use visual elements such as highlighting and bullet points to organize your document. Tables can also be effective for illustrating your company’s past performance.
Start by including your company logo at the top of your page, along with your slogan, if you have one. Your capability statement should be eye-catching, but it shouldn’t include so many colors or images that it looks disorganized. Limiting yourself to two bold colors is often sensible.
It’s best to stick to one page when possible (and essential for submitting to federal agencies), so you need to make good use of the available space. Highlight essential information about your business into clear, organized categories.
Introduction
Introduce your company with a short, compelling summary. Give a quick, concise description of your business and services here.
Core Competencies
Highlight what your business does well. A bulleted list brings attention to a number of strengths without taking up too much space.
Differentiators
What makes your business different from the competition? Pitch what makes your business unique and better than other companies.
Certifications
If you have any applicable certifications or staff clearances, be sure to include them. These are especially critical when bidding for government contracts.
Past Performance
Choose a few recent projects to highlight and include names of major clients. Include details like the size and length of jobs, along with any notable achievements.
Business Information
You should include basic information about your business, such as its name, phone number, email address, website, and year of incorporation. If your business has a special status, such as being woman-owned, minority-owned, or veteran-owned, mention it here.
Let Our Pros Take the Guesswork Out of Your Capability Statement
It’s understandable if this is all starting to feel a little overwhelming. There’s a lot of information to pack into a single page, and you only get one chance to make a good first impression. But that doesn’t mean you need to flavor your coffee with the bitter tears of frustration born of trying to write a capability statement on your own. Just Let Dez Write It instead.
Our copywriting pros will expertly distill your business into an attractive, easy-to-read capability statement that catches the eye of everyone from federal agencies to B2B clients. So, let’s grab a coffee (topped with a layer of foam, not tears) and get started on your capability statement today
Follow us on social media for more great content!
