The Bidding Compass
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Guide 5

How to Write a Capabilities Statement

And Why You Need One Before You Bid on Anything

OverlookCapabilities Statement

~7 min read
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A capabilities statement is your business's government contracting résumé. Before you touch DeepRFP or submit a single bid, you need one of these — and this guide will walk you through building yours from scratch, no consultant required.

In this guide:

  • What a capabilities statement actually is (and why it matters)
  • What goes inside one (the 6 core sections)
  • Common mistakes beginners make
  • A fill-in-the-blank template you can use today
  • What to do after you have one

What Is a Capabilities Statement — And Why Does It Matter?

Think of a capabilities statement as your business's one-page résumé for the government. It's a professional document that tells contracting officers, prime contractors, and agency buyers exactly who you are, what you do, and why you're qualified.

Here's the thing most beginners don't realize: you'll need this before you ever submit a bid. Contracting officers ask for it. Prime contractors ask for it at networking events. It's the first thing someone reads when they're deciding whether to take you seriously.

The good news? It's not complicated. It's one page. And you don't need to pay anyone $500 to write it.

The 6 Sections Every Capabilities Statement Needs

1. Core Competencies

What does your business actually do? List your top 3–5 services or products in plain language. No fluff, no filler. Be specific.

Example: “IT help desk support, network infrastructure installation, cybersecurity compliance auditing”

2. Past Performance

Have you done this work before — for anyone? Government, private sector, even volunteer work counts when you're starting out. List 2–3 examples with the client name, what you did, and the outcome.

No past performance yet? Be honest. Write: “Currently seeking first government contract opportunity.” It's not a dealbreaker for small set-aside contracts.

3. Differentiators

Why should they pick you over someone else? This is your 2–3 sentence pitch. Think about what makes your business unique — your certifications, your speed, your niche expertise, your location.

4. Company Data

The nuts and bolts. Include:

  • Business name and legal structure
  • CAGE Code (from SAM.gov)
  • UEI Number (from SAM.gov)
  • NAICS Codes (your top 1–3)
  • Business certifications (SDVOSB, WOSB, 8(a), HUBZone, etc.)
  • Point of contact, phone, email, website

5. Logo and Branding

Yes, design matters. A clean, professional layout signals that you take your business seriously. Keep it simple — one page, readable font, your logo at the top.

6. Tagline or Mission (Optional but Recommended)

One sentence that captures what you're about. Think of it as your elevator pitch in writing.

Common Mistakes Beginners Make

  • Making it too long. One page. That's the rule. If it doesn't fit, cut it.
  • Being vague. “We provide excellent services” means nothing. Be specific about what you do.
  • Skipping the certifications. If you're an SDVOSB, WOSB, or any set-aside category — PUT IT FRONT AND CENTER. That's your competitive edge.
  • Never updating it. Every time you win a contract, add it to past performance. This document grows with you.

Example Capability Statement

Before building your own, take a look at a completed example. This will help you visualize the layout, sections, and level of detail that typically appears in a professional capability statement.

Tap the image to enlarge and explore the full example.

SF
SITEFORGE DIGITAL SOLUTIONS
GOVERNMENT WEB SERVICES
Clean Code. Clear Results. Government-Ready.
CAPABILITY STATEMENT
SiteForge delivers federal-grade web development and digital services with a proven record in Section 508 compliance and on-time delivery.
CORE COMPETENCIES
Website Design & Development
Web Hosting & Ongoing Maintenance
Section 508 Accessibility Compliance
UX/UI Design & Wireframing
Content Management System (CMS) Setup
Digital Analytics & Performance Reporting
PAST PERFORMANCE
HENSLEY COUNTY CHAMBER OF COMMERCE
Website Redesign & Hosting
2023–Present | $48,000
Redesigned and migrated a 200-page website to a modern CMS; improved site speed by 65% and trained 12 staff members on new content management workflows.
★ RESULTS:
40% increase in visitor engagement; zero outages in 18 months of managed hosting.
SUNRISE VETERANS CENTER
Section 508 Audit & Remediation
2022 | $22,500
Performed a full Section 508 accessibility audit; identified and remediated 47 violations across 85 pages to achieve full WCAG 2.1 AA compliance.
★ RESULTS:
100% compliance achieved; zero deficiencies on follow-up federal review.
BLUEWATER PROPERTY GROUP
CMS Migration & Staff Training
2021 | $15,000
Migrated a legacy static website to WordPress; built content workflows, trained 8 staff members on CMS tools, and delivered full documentation 3 days ahead of schedule.
★ RESULTS:
Zero downtime during migration; all staff self-sufficient on new platform within 30 days.
DIFFERENTIATORS
🔒
SECTION 508 FIRST
Accessibility compliance built in from day one — not bolted on at the end.
ON-TIME DELIVERY
Federal deadlines are non-negotiable. Our last 12 projects delivered on time or early.
🎖️
VETERAN-OWNED
SDVOSB certified. We understand mission-driven culture and federal expectations.
📞
RESPONSIVE SUPPORT
Dedicated point of contact; response within 4 business hours, guaranteed.
COMPANY DATA
Business Name:SiteForge Digital Solutions, LLC
Legal Structure:Limited Liability Company
CAGE Code:8F2K4
UEI Number:M7XNBR4LQP28
NAICS Codes:541511, 541512, 541519
Certifications:SDVOSB
Primary NAICS:541511 – Custom Programming Services
SBA
SERVICE-DISABLED VETERAN-OWNED SMALL BUSINESS
COMPANY SNAPSHOT
📍
Headquarters:
4221 Harbor View Drive, Suite 110, Norfolk, VA 23502
📞
Phone:
(757) 442-0183
✉️
🌐
Website:
www.siteforgesolutions.com
👤
Point of Contact:
Marcus Webb, Managing Member
CLEAN CODE. CLEAR RESULTS. GOVERNMENT-READY.
Tap or click to view full size

Fill-In-The-Blank Template

Use this as your starting point. Copy it, fill it in, clean up the formatting, and add your logo.

[YOUR BUSINESS NAME]

[Your Tagline Here]

Core Competencies

• [Service/Product 1]

• [Service/Product 2]

• [Service/Product 3]

Past Performance

• [Client Name] | [What you did] | [Result or timeframe]

• [Client Name] | [What you did] | [Result or timeframe]

Differentiators

[2–3 sentences on what makes your business stand out]

Company Data

• CAGE Code: [XXXXXX]

• UEI: [XXXXXXXXXXXX]

• NAICS Codes: [000000, 000000]

• Certifications: [SDVOSB / WOSB / 8(a) / HUBZone / etc.]

• Contact: [Name] | [Phone] | [Email] | [Website]

What to Do After You Have One

Your capabilities statement is done — nice work. Now it's time to actually use it.

Bring it to every networking event. Have it ready as a PDF to email on the spot. And when you start responding to RFPs, you'll pull from it constantly — your core competencies, your differentiators, your company data. It becomes the foundation everything else is built on.


The Bidding Compass — Pointing Your Business in the Right Direction.

Overlook — Complete

Your Capabilities Statement is ready. You have your one-page government contracting résumé.

Good job — you're on your way to being a true government contractor!

Waypoint 5 of 7 completed71%

Next Up on the Trail

Summit PushProposal & RFP Basics

Your Next Step

Ready to Bid on an Opportunity?

You're registered, certified, and have your capabilities statement. Now comes the real challenge: responding to an RFP. The next guide shows you how to break down a 100+ page bid document without losing your mind.

Go to Guide 6: The Secret Weapon to Bidding