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Sources Sought Notice

A Sources Sought Notice is an announcement issued by government agencies to research market availability and capabilities before issuing a formal solicitation. Responding with a capability statement helps agencies find qualified contractors and signals government interest.

Full Explanation

A Sources Sought Notice is the government's way of asking "Who out there can do this?" before they commit to the full procurement process. Contracting officers issue these notices to understand what's available in the market, gauge pricing, and identify potential competitors before investing time and resources in a formal Request for Proposal (RFP).

When you see a Sources Sought Notice, the government isn't asking you to bid—they're asking you to submit information about your capability to do the work. You typically respond with your capability statement or a brief overview of your qualifications. The government collects these responses and uses them to decide whether to issue a formal solicitation and, if so, what form it should take.

Why it matters: Sources Sought Notices are goldmines for market research and business development. They signal that a government customer is actively considering a procurement in your area. Responding positions your company in their mind before the formal bid process begins. Many contracting officers factor "sources sought" responses heavily into their competitive analysis—if only two companies respond, the contracting officer might decide the market isn't competitive enough.

In practice, this means responding to Sources Sought Notices can actually help you by reducing competition. If you respond but most other companies don't, the government might narrow the competitive scope based on who responded. One strategic approach is to monitor Sources Sought Notices closely and respond quickly to those that match your capabilities.

Responses are typically low-effort (just your capability statement), so the ROI is high. You're not writing a full proposal, just confirming "Yes, we can do this." The responses are usually non-binding and the government isn't obligated to issue a solicitation. But for companies doing business development, monitoring Sources Sought Notices is a critical early-warning system for upcoming opportunities.