Business Development

Capability Statement Writing Guide: Create a Winning Government Contractor Profile

Learn how to write a compelling capability statement for government contracting. Includes templates, examples, and best practices for creating capability statements that win contracts.

BidFinds Government Contracting Team
December 30, 2025
11 min read

Quick Answer: What is a Capability Statement?

A capability statement is a one to two-page marketing document that summarizes your company's core competencies, past performance, and key differentiators for government contracting. It serves as your business card for federal procurement, used at industry events, in RFI responses, and to introduce your company to contracting officers.

1-2
Pages Max
Core
Competencies
Past
Performance
Key
Differentiators

What is a Capability Statement?

A capability statement is your company's resume for government contracting. It provides a quick overview of who you are, what you do, and why you're qualified to perform government contracts. Unlike commercial marketing materials, capability statements are specifically formatted for government audiences.

Contracting officers and program managers review hundreds of capability statements when researching potential vendors. Your statement needs to quickly communicate your value proposition and make it easy for them to determine if you're a potential fit for their requirements.

When You Need a Capability Statement

  • Responding to Sources Sought and RFI notices
  • Attending industry days and matchmaking events
  • Meeting with contracting officers and program managers
  • Pursuing teaming and subcontracting opportunities
  • PTACs, SBDCs, and business development meetings
  • GSA Schedule and contract vehicle applications

Essential Elements of a Capability Statement

Every effective capability statement includes specific information that government buyers need to evaluate your company.

1. Company Information

  • • Company name and logo
  • • Address, phone, email, website
  • • Point of contact name and title
  • • Year established
  • • Number of employees

2. Registration Information

  • • Unique Entity ID (UEI)
  • • CAGE Code
  • • NAICS Codes (with descriptions)
  • • Small business certifications (8(a), HUBZone, WOSB, SDVOSB, etc.)
  • • GSA Schedule number if applicable

3. Core Competencies

  • • 4-6 primary service or product areas
  • • Specific capabilities within each area
  • • Technical expertise and methodologies
  • • Industry specializations

4. Past Performance

  • • 2-4 relevant contract examples
  • • Client name (agency/prime contractor)
  • • Contract value and period
  • • Brief scope description
  • • Key achievements or outcomes

5. Differentiators

  • • What sets you apart from competitors
  • • Unique methodologies or technologies
  • • Specialized certifications or clearances
  • • Geographic coverage

Writing Tips for Maximum Impact

How you write your capability statement is as important as what you include. Follow these tips to create compelling content.

Do

  • Use action verbs and concrete language
  • Quantify achievements with numbers
  • Focus on outcomes and results
  • Write for scanning (bullets, headers)
  • Keep sentences short and direct
  • Proofread for errors

Don't

  • Use vague marketing language
  • Include everything you've ever done
  • Use excessive jargon or acronyms
  • Write in dense paragraphs
  • Leave out required information
  • Let it become outdated

Core Competencies Writing Example

Weak

"We provide excellent IT services and have many satisfied customers."

Strong

"Cybersecurity Assessment: Conducted 50+ NIST 800-53 assessments for DoD agencies, achieving 100% on-time delivery."

Design Best Practices

Professional design makes your capability statement easier to read and creates a positive impression of your company.

Layout Guidelines

  • Length: One page preferred, two pages maximum
  • Margins: 0.5" to 0.75" for adequate white space
  • Font: Professional fonts (Arial, Calibri) at 10-11pt minimum
  • Columns: Two-column layout helps organize information
  • Colors: Use your brand colors consistently
  • Logo: Include your logo prominently at the top

Visual Elements That Help

  • Clear section headers with consistent styling
  • Bullet points for easy scanning
  • Icons to highlight key information
  • Color blocks to organize sections

Design Mistakes to Avoid

  • Tiny fonts to fit everything on one page
  • Crowded layouts with no white space
  • Low-resolution logos or images
  • Inconsistent formatting throughout

Common Mistakes to Avoid

Missing or Incorrect Registration Information

Always verify your UEI, CAGE code, and NAICS codes are correct and current. Incorrect information creates doubt about your attention to detail.

Generic Content That Doesn't Differentiate

"We provide quality services" tells the reader nothing. Be specific about what makes your company unique and why you're the best choice.

Outdated Past Performance

Contracts from 10+ years ago raise questions about recent experience. Update your past performance section regularly with current work.

Claiming Too Many Capabilities

Listing every possible service makes you appear unfocused. Concentrate on your core strengths where you have proven experience.

Tailoring for Specific Opportunities

While you should have a standard capability statement, tailoring it for specific opportunities significantly increases effectiveness.

What to Customize

  • Core Competencies: Reorder to match opportunity requirements
  • Past Performance: Select most relevant examples
  • NAICS Codes: Highlight the primary NAICS for that opportunity
  • Differentiators: Emphasize factors relevant to that agency

Agency-Specific Versions

Consider creating versions tailored for agencies you frequently pursue. Reference specific contracts, programs, or priorities relevant to that agency to show you understand their mission.

Distribution Strategies

Having a great capability statement only matters if it reaches the right people. Use multiple channels to distribute your statement.

Distribution Channels

  • RFI/Sources Sought Responses: Always include when requested
  • Industry Days: Bring printed copies to events
  • Agency Websites: Upload to vendor registration portals
  • PTAC Meetings: Share with counselors for referrals
  • Teaming Partners: Share with primes seeking subs
  • Your Website: Make downloadable from your site
  • Email Signature: Link to PDF version

Keep It Updated

Review and update your capability statement at least quarterly. Add new contracts, update certifications, refresh past performance, and ensure all contact information is current.

Frequently Asked Questions

Should I include pricing on my capability statement?

No. Capability statements are marketing documents, not price quotes. Pricing should be discussed separately in proposals or during negotiations.

Can I use the same capability statement for all opportunities?

You can use a general version, but tailoring for specific opportunities is more effective. At minimum, reorder your core competencies and select relevant past performance for each opportunity.

What if I don't have government past performance?

Include relevant commercial work that demonstrates transferable capabilities. Subcontracting experience, state/local government work, and commercial contracts in similar domains all count.

Should I list all my NAICS codes?

List your primary NAICS codes where you have the strongest experience and want to pursue work. Including too many codes suggests you lack focus. Stick to 5-10 most relevant codes.

Do I need separate versions for prime and subcontracting?

Having separate versions can be helpful. When pursuing subcontracting, emphasize capabilities that complement prime contractors and your experience working as a team member.

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