How to Build Past Performance When You Haven't Won a Government Contract Yet

How do you win a government contract when the buyer wants to see that you have successfully performed similar work before?

The good news is that you don't necessarily need a long list of government contracts to demonstrate that your company can perform. Past performance is ultimately about reducing the buyer’s risk. The government wants evidence that your company has successfully completed work that is similar in size, scope, complexity, or responsibility to the contract you are pursuing.

If you have been successfully serving commercial, nonprofit, educational, or other clients, you may already have more relevant experience than you realize. Here's how to document, position, and build upon it.

Start With the Experience You Already Have

Your first government contract does not have to represent your first experience performing the work. Review the projects your company has completed over the past three to five years. Look for projects that demonstrate capabilities similar to those required by the government opportunities you want to pursue. Have you successfully performed work similar to what the buyer needs? If yes, you're off to a great start!

Here's an example: A commercial janitorial company may not have cleaned a government facility, but it may have successfully maintained a 100,000-square-foot corporate facility. An IT company may not have supported a federal agency, but it may have managed a complex network for a healthcare organization with significant security requirements. Those experiences can help demonstrate capability.

Document Your Projects Like Contracts

You may have strong experience but weak documentation. Start creating a past-performance library for your company. For each significant project, document the client, contract or project value, period of performance, scope of work, results achieved, challenges addressed, and a client reference when appropriate.

Most importantly, quantify your results. How many leaders have you served? How many units have you delivered? What was the project budget? How long was the project? Specificity makes your experience easier for an evaluator to understand and compare with the government's requirements.

Pursue Smaller Contracts Strategically

Your first government opportunity does not need to be your largest. Smaller local, county, state, school district, housing authority, and other public-sector opportunities can provide valuable experience. Depending on your industry, simplified and small purchases may also provide an entry point. Look for smaller opportunities that help establish experience relevant to the larger contracts you eventually want to pursue.

Think several contracts ahead. Ask yourself: If we successfully perform this contract, what will it qualify us to pursue next? That is the beginning of a contract growth strategy.

Become a Subcontractor

You do not always have to be the prime contractor. Working as a subcontractor to an established government contractor can help your company gain experience with government requirements, reporting, project management, quality standards, invoicing, and contract performance.

More importantly, subcontracting can help you develop relationships with larger contractors that may need your capabilities on future projects. Identify prime contractors winning the types of contracts your company eventually wants to pursue. Then determine where your capabilities complement theirs.

Use Teaming Strategically

Sometimes an opportunity is a good fit technically, but your company does not yet have all the experience, capacity, or resources necessary to compete effectively. That may be a signal to consider a teaming relationship rather than automatically walking away. The right partner can strengthen the team's technical experience, staffing, geographic reach, specialized expertise, or past performance.

Ask Clients for Performance Documentation

Don't wait until a proposal is due to start looking for references. Develop a process for collecting testimonials, project results, performance evaluations, reference letters, and other documentation after successful engagements.

When appropriate, ask clients whether they are willing to serve as references for future proposals. Your company's institutional knowledge should not live solely in the owner's head. Build a centralized record of what you have accomplished.

Protect the Past Performance You Build

Once you receive a government contract, your performance becomes part of your reputation. Deliver on time. Maintain documentation. Communicate problems early. Follow contract requirements. Manage subcontractors carefully. Invoice accurately. Track deliverables. Document positive outcomes. One poorly managed contract can make future growth more difficult. One exceptionally managed contract can become the foundation for several future opportunities.

Prepare Your Business for Contract Growth

At Aventi Enterprises, we not only help businesses find contract opportunities, we also support them in preparing for growth. For more information on growing your business with contracts, visit www.aventienterprises.com.