What is a Capability Statement?
Your Complete Guide to Winning More Contracts!
Picture this: you’ve found the perfect government tender that matches your expertise perfectly, but your application gets lost in a sea of competitors who seem to present their qualifications more effectively. Or perhaps you’re networking at an industry event, meeting potential clients who could transform your business, but you struggle to communicate your value in those crucial first moments. This scenario plays out daily for businesses where exceptional skills and experience often go unrecognised due to poor presentation.
A beautifully designed capability statement solves this fundamental challenge. It’s a professional document that showcases your business’s skills, services, and achievements to potential clients in a format that decision-makers actually want to read. Think of it as a resume for your business, a powerful marketing tool that opens doors to major clients and transforms how procurement officers perceive your organisation’s capabilities.
In fact, you could think of your capability statement as a superhero cape for your business. It’s slick, it’s powerful, and it shows off your company’s superpowers: your core competencies, amazing achievements, and unique value proposition. It’s your business résumé, only shinier.
Whether you’re targeting government contracts, building relationships with major contractors, or expanding into new markets, understanding what a capability statement is and how to create one effectively can be the difference between winning contracts and watching opportunities slip away to competitors.
Capability Statements: What Every Business Owner Needs to Know
Before we jump into the details, here’s the lowdown on capability statements, because if you’re serious about growing your business, this little doc needs to be on your radar.
- It’s your business resume: A capability statement showcases your skills, services, and wins to the people who make big decisions (like awarding contracts or choosing suppliers).
- It helps you land more work: Think of it as your ticket into tenders, partnerships and new opportunities. It builds trust and shows you’re the real deal.
- It’s a must-have for government and B2B work: Whether you’re chasing council jobs or pitching to big private clients, a well-designed capability statement gets you noticed.
- It can be short and sharp or more detailed: Need a quick overview? Go single-page. Got lots to share? Go multi-page. It all depends on who you’re talking to.
- It’s not about you – it’s about them: The best capability statements focus on how you solve problems, not just what you do.
And here’s a stat to back it all up: over 60% of successful government tender applications include a tailored capability statement. In construction and engineering? It’s even higher – 80% of major public tenders ask for one just to get through the door.
The bottom line? If you’re not using an eye-catching capability statement yet, you’re missing out on opportunities. Let’s fix that.
Why You Need A Superb Capability Statement?
First, Communicate Like a Pro: Share your services, extensive projects, and special talents. Showcase what differentiates your company from competitors by highlighting your unique selling points and proven track record. Whether you’re aiming for that big contract or impressing a potential client, your capability statement will help you stand out. It’s truly the ultimate elevator pitch, minus the awkward small talk.
Build Instant Credibility: A polished capability statement says, “We mean business!” It instantly boosts your professional credibility and shows you’re ready to go. Trust and credibility go hand in hand with procurement officers and decision makers who need to quickly assess whether your business can deliver on their specific requirements.
Marketing Magic: This little document packs a punch. Use it in proposals and quotes, pitch meetings, or splash it across your website. It’s versatile, it’s powerful, and it’s pure marketing gold. It’s a concise marketing document that presents your business’s core competencies and track record in a format specifically designed for procurement environments. Unlike general company profiles that focus on broad business history, a good capability statement demonstrates your ability to deliver specific projects and meet client requirements.
Partner Up: Make it easy for other businesses to see how awesome you are. Clear, concise, and captivating, your capability statement is the perfect wingman for building partnerships.
Think Bigger with Strategic Purpose: A capability statement isn’t just a fancy business bio. It’s a smart, strategic move. It’s your go-to document when it comes to serious business development. Whether you’re walking into a networking event, a government tender, or a contract pre-qualification process, it clearly communicates your strengths, track record, and value in a way decision-makers understand. It’s how you position your business in the market – showcasing not just what you do, but why you’re the right choice.
The beauty of a well crafted capability statement lies in its ability to communicate complex information about your business’s expertise in a focused, easily digestible format. While a typical company profile might span multiple pages describing your business structure and general services, a professional capability statement cuts straight to what matters most: how you solve client problems and deliver value.
What to Include in a Capability Statement (So It Actually Works)
Your Capability Statement isn’t just a checklist, it’s your business’s mini superhero profile. Let’s make sure it includes the right ingredients to wow potential clients and seal the deal.
Business Snapshot & Why You’re Awesome
Start strong. This is your chance to show what you do and why you’re the best at it. Don’t just list your services, highlight your value. Try this format:
“We offer [feature], which means [benefit for your client].”
For example: “We offer rapid 24/7 emergency plumbing, which means no business downtime for your clients, ever.”
Position yourself as the solution to their problems, not just another option in the pile.
Your Core Superpowers (aka Services & Capabilities)
Now it’s time to spell out what you actually do. Be specific – this isn’t the place for vague buzzwords.
Instead of “project management,” try “Successfully managed 8 high-rise refurbishments in the past 12 months, all delivered on time and under budget.”
Bullet points work a treat here. Keep it snappy and easy to scan, your audience is probably short on time.
Results, Wins & Why You’re a Safe Bet
Got a project you smashed? A budget you came under? A deadline you beat? Shout it out!
Clients love numbers and facts because they build trust. So instead of “great customer service,” try:
“Completed 30+ commercial fit-outs in 2023 with 100% client satisfaction.”
And if you’ve got case studies or transformational before/after stories, even better. Bonus points for quoting dollar savings, completion dates, or tricky challenges you conquered.
The Dream Team
Who’s making the magic happen behind the scenes? Introduce your key people and their qualifications, but keep it relevant.
Focus on certifications, specialist experience, and achievements that give clients confidence in your team’s ability to deliver.
For example: “Led by Jane Smith, a project manager with 15 years in Tier 1 construction and ISO certification.”
Easy-to-Find Contact Info
Don’t bury the lead. Make it super easy for someone to call, email, or check you out online. Include:
- Phone
- Website
- ABN
- License details
- Insurance info (if relevant)
A beautifully designed Capability Statement is great—but if no one knows how to reach you, it won’t get far.
Where to Use Your Capability Statement (and Why It Works Wonders)
Let’s be real—your Capability Statement isn’t just another piece of paper. It’s your go-to wingman, power pitch, and credibility booster all in one. But where exactly does it shine brightest? Let’s break it down.
Government Tenders & Procurement
Think of government tenders like an ultra-competitive talent show… and your Capability Statement is your standout audition tape. Whether you’re eyeing local council jobs or national contracts, procurement officers use these docs to sort the pros from the not-quite-ready. A clear, well-designed statement packed with your qualifications, wins, and certifications can land you on the shortlist fast.
It’s often the first proper impression you’ll make—so make it count.
Private Sector Contracts & Partnerships
Big players in construction, manufacturing, and services? They love Capability Statements. These businesses use them to scout reliable partners and build their shortlist of go-to suppliers. So, if you’re dreaming of landing a spot on someone’s preferred contractor list, your Capability Statement is the ticket.
Got a last-minute pitch or a meeting with a Tier 1 firm? Pull out your doc, and boom—you’re already ahead of the game.
Industry-Specific Gold
Capability Statements aren’t one-size-fits-all—they’re shapeshifters. Here’s how they get used across different industries:
- Builders, tradies & landscapers: Use it to flaunt qualifications, site safety records, and big-name projects.
- Consultants, engineers & project managers: Share your smarts, specialties, and shining case studies.
- Security, waste & logistics: Prove your scale, compliance, and how you manage the big stuff.
- Manufacturing & maintenance: Show off your tech know-how, efficiency, and ability to deliver at scale.
The secret sauce? Tailor it to your audience. Speak their language, solve their pain points, and keep it sharp.
How Long Should It Be? (And Does Format Really Matter?)
Short answer: Yes. Long answer… let’s break it down!
Different clients and situations call for different versions of your Capability Statement. It’s kind of like choosing the right outfit—you wouldn’t wear a tux to a BBQ, right?
One-Page Wonder
Need something snappy for a quick intro or networking event? A single-page Capability Statement is your go-to. It’s sleek, scannable, and perfect for when procurement officers or potential partners just want the highlights.
Keep it clean, to the point, and laser-focused on your strongest selling points. Every word should earn its place.
The Full Story (Multi-Page Version)
Sometimes you’ve got a lot to say—and that’s totally okay. For big tenders, detailed submissions, or clients who want to dig deeper, a 4–8 page document gives you space to shine.
This format lets you include case studies, extra services, team bios, and all the juicy proof that you’re the best fit for the job. Just remember—more pages doesn’t mean more waffle. Keep it tight, relevant, and purposeful.
Digital vs Print: Have Both
You’ll want two versions: one that’s email- and website-friendly, and one ready to print (hello, tender submissions and conferences).
Digital versions can include clickable links, your logo hyperlinked to your website, or even videos if you’re feeling fancy. And whether it’s print or PDF, good design matters—so don’t skimp on the visuals. Make it look as professional as the service you deliver.
How to Create a Capability Statement That Actually Works
Let’s be honest—throwing a bunch of info onto a page and calling it a Capability Statement won’t cut it. The best ones are smart, strategic, and speak directly to what your clients need to hear.
Start with Research & Real Talk
Before you even open a document, chat with your team, clients, or anyone who’s seen your magic in action. You’ll often uncover golden examples that showcase your strengths—things you might have thought were “just another day at work.”
And don’t forget to research your dream clients too. What do they value? What boxes do they need to tick when choosing suppliers? The more you know, the more tailored (and impressive) your statement will be.
Write with Purpose
Use confident, active language. Instead of saying “responsible for managing projects,” go bold with “managed 12 construction projects worth $3.2M, all delivered ahead of schedule.”
This is your time to shine—so talk impact, not just job descriptions. Sprinkle in some strong verbs and keep the tone clear, capable, and jargon-free.
Hot tip: Use “you” and “your” where it fits. It makes the message feel personal and focused on the client.
Add Visual Impact
People are busy, and visuals help your Capability Statement stand out and stick. Pop in high-quality photos of finished projects, team headshots, logos from happy clients, and sharp infographics where relevant.
And please—ditch the walls of text. Use headings, white space, and bullet points so your content is easy to digest at a glance.
DIY or Pro?
Yes, you can use tools like Canva to get started (and we love Canva). But when it really counts—like going after big contracts or entering new markets—calling in the pros for design and copy can take your Capability Statement design from “okay” to “outstanding.”
That includes professional graphic design, polished writing, and layout choices that match your branding and wow your readers
Getting It Out There (aka Your Distribution Strategy)
You’ve got a great Capability Statement—now don’t let it collect digital dust in your downloads folder. Here’s how to get the most mileage out of it:
Upload It to Your Website
Pop it on your website where potential clients can find it easily. It helps with transparency, boosts your credibility, and might even help with SEO if you include some juicy keywords.
Consider having two versions:
- One public (less detail, polished overview)
- One private for tenders and partnerships (more detail, commercial info)
Bring It to Networking Events
Whether you’re shaking hands at an expo or connecting over coffee, a one-pager is your secret weapon. Keep a few printed copies on hand or save it to your phone for quick sharing via AirDrop or email.
You’ll look organised, professional, and ready to roll.
Tailor It to Fit the Client
Don’t be afraid to tweak your Capability Statement for different industries or opportunities. Highlight the most relevant projects, certifications, or team members depending on who you’re trying to impress.
One version doesn’t have to fit all—just keep your core message consistent.
Keep It Fresh
Your business evolves—your Capability Statement should too. Update it every quarter or when you:
- Finish a major project
- Gain a new certification
- Expand your services or team
- Score a big win or media mention
A current, confident Capability Statement = a business that’s switched on and ready to grow.
Ready to Open More Doors?
A great Capability Statement doesn’t just list what you do—it opens the door to bigger contracts, better clients, and stronger relationships. It’s your chance to show people why you’re the business they’ve been searching for.
Whether you’re dipping your toes into the world of government tenders or aiming to grow your dream client list, putting in the time to create a polished, professional Capability Statement is seriously worth it. Think of it as a small effort for a big return—hello new opportunities!
So, where do you start? Simple: gather the wins you’ve already got under your belt. Think projects you’ve nailed, feedback you’ve earned, and the skills that set your team apart.
Because when you can clearly communicate your value, people take notice—and the right people start knocking.
