{"id":12645,"date":"2019-02-15T10:22:01","date_gmt":"2019-02-15T15:22:01","guid":{"rendered":"https:\/\/foundationsoft.com\/?p=12645"},"modified":"2025-04-25T09:03:44","modified_gmt":"2025-04-25T13:03:44","slug":"capability-statement-small-business","status":"publish","type":"post","link":"https:\/\/www.foundationsoft.com\/learn\/capability-statement-small-business\/","title":{"rendered":"How to Write a Capability Statement: A Guide for Small Business Construction Contractors"},"content":{"rendered":"\n<div class=\"wp-block-presto-player-reusable-edit\"><!--presto-player:video_id=30--><figure class=\"wp-block-video presto-block-video  presto-provider-youtube\" style=\"--plyr-color-main: var(--presto-player-highlight-color, #f8c01b); --presto-player-logo-width: 150px; \">\n\t<presto-player \n\t\tpreset='{&quot;id&quot;:1,&quot;name&quot;:&quot;Default&quot;,&quot;slug&quot;:&quot;default&quot;,&quot;icon&quot;:&quot;format-video&quot;,&quot;skin&quot;:&quot;modern&quot;,&quot;play-large&quot;:true,&quot;rewind&quot;:true,&quot;play&quot;:true,&quot;fast-forward&quot;:true,&quot;progress&quot;:true,&quot;current-time&quot;:true,&quot;mute&quot;:true,&quot;volume&quot;:true,&quot;speed&quot;:false,&quot;pip&quot;:false,&quot;fullscreen&quot;:true,&quot;captions&quot;:false,&quot;reset_on_end&quot;:true,&quot;auto_hide&quot;:true,&quot;captions_enabled&quot;:false,&quot;save_player_position&quot;:true,&quot;sticky_scroll&quot;:false,&quot;sticky_scroll_position&quot;:&quot;bottom right&quot;,&quot;on_video_end&quot;:&quot;select&quot;,&quot;play_video_viewport&quot;:false,&quot;hide_youtube&quot;:false,&quot;lazy_load_youtube&quot;:false,&quot;hide_logo&quot;:false,&quot;border_radius&quot;:0,&quot;caption_style&quot;:&quot;&quot;,&quot;caption_background&quot;:&quot;&quot;,&quot;is_locked&quot;:true,&quot;cta&quot;:[&quot;&quot;],&quot;watermark&quot;:[&quot;&quot;],&quot;search&quot;:[&quot;&quot;],&quot;email_collection&quot;:[&quot;&quot;],&quot;action_bar&quot;:[&quot;&quot;],&quot;created_by&quot;:49,&quot;created_at&quot;:&quot;2023-11-22 06:36:48&quot;,&quot;updated_at&quot;:&quot;2023-11-22 06:36:48&quot;,&quot;deleted_at&quot;:&quot;&quot;,&quot;show_time_elapsed&quot;:false}'\n\t\tbranding='{&quot;logo&quot;:&quot;&quot;,&quot;color&quot;:&quot;#f8c01b&quot;,&quot;logo_width&quot;:150,&quot;player_css&quot;:&quot;&quot;}'\n\t\tchapters='[]'\n\t\toverlays='[]'\n\t\ttracks='[]'\n\t\tblock-attributes='{&quot;playsInline&quot;:true,&quot;id&quot;:30,&quot;src&quot;:&quot;https:\\\/\\\/www.youtube.com\\\/watch?v=LtJWLcKoHxw&quot;,&quot;preset&quot;:1,&quot;video_id&quot;:&quot;LtJWLcKoHxw&quot;,&quot;visibility&quot;:&quot;public&quot;,&quot;color&quot;:&quot;#00b3ff&quot;,&quot;mutedPreview&quot;:{&quot;enabled&quot;:false,&quot;captions&quot;:false},&quot;mutedOverlay&quot;:{&quot;enabled&quot;:false,&quot;src&quot;:&quot;&quot;,&quot;width&quot;:200,&quot;focalPoint&quot;:{&quot;x&quot;:0.5,&quot;y&quot;:0.5}},&quot;mutedOverlayType&quot;:&quot;text&quot;,&quot;mutedOverlayText&quot;:&quot;Click to play&quot;,&quot;mutedOverlayImageWidth&quot;:200,&quot;chapters&quot;:[],&quot;overlays&quot;:[],&quot;tracks&quot;:[],&quot;openPopupId&quot;:&quot;&quot;,&quot;title&quot;:&quot;5 Tips for Effective Construction Capability Statements&quot;}'\n\t\tanalytics=''\n\t\tautomations\t\tprovider='youtube'\n\t\t\t\tid=\"presto-player-1\"\n\t\tsrc=\"\/\/www.youtube.com\/embed\/LtJWLcKoHxw?iv_load_policy=3&amp;modestbranding=1&amp;playinline=1&amp;showinfo=0&amp;rel=0&amp;enablejsapi=1\"\n\t\tmedia-title=\"5 Tips for Effective Construction Capability Statements\"\n\t\tcss=\"\"\n\t\tclass=\"presto-video-id-30 presto-preset-id-1 skin-modern\"\n\t\tskin=\"modern\" \n\t\ticon-url=\"https:\/\/www.foundationsoft.com\/wp-content\/plugins\/presto-player\/img\/sprite.svg\" \n\t\tpreload=\"\" \n\t\tposter=\"\"\n\t\tyoutube=\"{&quot;noCookie&quot;:false,&quot;channelId&quot;:&quot;&quot;,&quot;show_count&quot;:false}\"\n\t\tprovider-video-id=\"LtJWLcKoHxw\"\n\t\tvideo-id=\"30\"\n\t\t\t\tplaysinline \n\t\t\t\t>\n\t\t\n    <div class=\"presto-iframe-fallback-container\">\n        <iframe style=\"width: 100%\" title=\"Youtube Video\" class=\"presto-fallback-iframe\" id=\"presto-iframe-fallback-1\" data-src=\"https:\/\/www.youtube.com\/embed\/LtJWLcKoHxw?iv_load_policy=3&amp;modestbranding=1&amp;playsinline=1&amp;showinfo=0&amp;rel=0&amp;enablejsapi=1\" allowfullscreen allowtransparency allow=\"autoplay\"><\/iframe>\n    <\/div>\n\n\t<\/presto-player>\n<\/figure><\/div>\n\n<div class=\"clear\"><\/div>\n<div class=\"gdlr-space\" style=\"margin-top: 20px;\"><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What_Is_a_Capability_Statement\"><\/span>What Is a Capability Statement?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>If you were applying for a new, competitive position without any inside connections, think about how you\u2019d want to make an impression. A strong resume might not be enough; it needs to be eye-catching.<\/p>\n<p>What about a cover letter?<\/p>\n<p>Not if it sounds like 50 others. It has to \u201cwow\u201d them. The goal of a resume isn\u2019t just to introduce you \u2014 it\u2019s to stand out.<\/p>\n<p>When it comes to your construction business, that\u2019s the job of a capability statement. According to the <a href=\"https:\/\/www.usaspending.gov\/agency\/department-of-defense?fy=2020\">Federal Procurement Data System<\/a>, the U.S. government spent over $682 billion on contracts in 2020, with construction services being a significant portion\u2014making proper capability statements essential for contractors seeking to compete in this massive market.<\/p>\n<p><strong>A capability statement is a written document you as a contractor use to show customers and government agencies, at a glance, why they should be interested in your construction business<\/strong>.<\/p>\n<p>Like a resume, it should show \u2014 and not just tell \u2014 (1)<em> who you are<\/em> and (2) <em>what you can do for them<\/em>.<\/p>\n<div id=\"for-more-box\"><a class=\"gdlr-button medium\" href=\"\/wp-content\/uploads\/2019\/02\/Sample_Construction_Capability_Statement.pdf\" target=\"_self\"  style=\"color:#ffffff; background-color:#000000; border-color:#999999; \"  >See a Sample Construction Capability Statement \u00bb<\/a><\/div>\n<div>\n<div class=\"clear\"><\/div>\n<div class=\"gdlr-space\" style=\"margin-top: 20px;\"><\/div>\n<\/div>\n<div><a target=\"_blank\" href=\"\/job-costing-ultimate-guide\/\" class=\"blog-cta-image\"><img decoding=\"async\" src=\"\/wp-content\/uploads\/2024\/03\/FSL-blog-post-ad-ultimate-guide.png\" alt=\"UG to Job Costing\" title=\"UG to Job Costing\"><\/a><\/div>\n<h3><span class=\"ez-toc-section\" id=\"Why_Write_a_Capability_Statement\"><\/span>Why Write a Capability Statement<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Construction contractors<\/strong> might want to create a capability statement for several reasons. Many government agencies and prime contractors require a capability statement from contractors as part of the bidding process.<\/p>\n<p>Contractors may use it to introduce their company to potential new business and to get the attention of purchasing officers.<\/p>\n<p>A <strong>compelling\u00a0capability statement<\/strong> is a critical element that will present a professional image and give an advantage over less-prepared competitors.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_to_Include_in_Your_Capability_Statement\"><\/span>What to Include in Your Capability Statement<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Generally, a construction capability statement for your small business should be around one to four pages, depending on stated requirements, and include:<\/p>\n<ul class=\"checked\" style=\"line-height: 2;\">\n<li>a concise <strong>introduction<\/strong> and profile of your construction company<\/li>\n<li>your contracting business\u2019 <strong>core competencies<\/strong><\/li>\n<li>specific areas of <strong>experience and expertise<\/strong> that relate to the project(s)<\/li>\n<li>any <strong>differentiators<\/strong> that set your company apart, including equipment and facilities<\/li>\n<li>major <strong>clients<\/strong>, <strong>references<\/strong> and completed <strong>projects<\/strong><\/li>\n<li>profiles of your management and <strong>key personnel<\/strong><\/li>\n<li>important <strong>contact<\/strong> <strong>information<\/strong><\/li>\n<\/ul>\n<p>That might seem like a lot of information to include in just a few pages \u2014 it is!<\/p>\n<p><strong>But it pays to be concise and to the point.<\/strong><\/p>\n<p>You can imagine that most customers won&#8217;t want to read 20 pages just to figure out whether you\u2019re right for the job. Actually, they won\u2019t like having to \u201cfigure it out\u201d in a couple of poorly organized pages, either. They just want to be <em>shown<\/em>.<\/p>\n<p><strong>The goal is to make it easy for them to see how great you are.<\/strong><\/p>\n<p>It\u2019s to your benefit if the information they want jumps right off the page. That happens if it\u2019s presented clearly, completely, and in an organized fashion.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_to_Write_a_Construction_Capability_Statement\"><\/span>How to Write a Construction Capability Statement<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"1_Know_Your_Audience_%E2%80%94_And_What_They_Want_to_Know\"><\/span>1. Know Your Audience \u2014 And What They Want to Know<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Like a resume once again, a single capability statement won\u2019t fit every occasion.<\/p>\n<p>Construction contractors should consider <strong>preparing a basic capability statement<\/strong> they can then tailor to specific projects and requirements. Know what your audience for this particular submission will want to see.<\/p>\n<p>Starting from your company\u2019s template, select the project histories, customer references, etc., that will be most relevant. And consider cutting what won\u2019t be!<\/p>\n<h3><span class=\"ez-toc-section\" id=\"2_Set_up_Your_Capability_Statement_Template\"><\/span>2. Set up Your Capability Statement Template<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Whether you\u2019re building a template from scratch or tailoring your generic capability statement, you can begin by putting in the section headlines for the information you know you should include.<\/p>\n<p>Then, as you fill sections in, these headlines can keep you organized and remind you not to try fitting everything into one section.<\/p>\n<p>One contractor&#8217;s sections could look something like this, just to identify a handful:<\/p>\n<table class=\"style-2\">\n<tbody>\n<tr>\n<th><strong>Company Summary<\/strong><\/th>\n<td>Introduce yourself, being mindful of what will matter to your audience. Give a short, high-altitude overview of your company is and what you\u2019re about.<\/td>\n<\/tr>\n<tr>\n<th><strong>Core Competencies<\/strong><\/th>\n<td>Your business can probably do a lot very well, but what\u2019s really in your wheelhouse that\u2019s relevant for this customer or agency? What would you include in your elevator pitch to win this job?<\/td>\n<\/tr>\n<tr>\n<th><strong>Differentiators<\/strong><\/th>\n<td>Identify what might set you ahead of another company with the same core competencies and a similar project history. What makes you, your crew and your business uniquely qualified?<\/td>\n<\/tr>\n<tr>\n<th><strong>NAICS Codes<\/strong><\/th>\n<td>If space allows, consider including NAICS code descriptions.<\/td>\n<\/tr>\n<tr>\n<th><strong>Certifications<\/strong><\/th>\n<td>List any important business classifications (HUBZone, SDVOSB, MOB, etc.) and licenses.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<div class=\"clear\"><\/div>\n<div class=\"gdlr-space\" style=\"margin-top: 20px;\"><\/div>\n<p>Finally, make sure to place a clear title at the top, using these precise words nice and big: \u201cCapability Statement.\u201d<\/p>\n<h3><span class=\"ez-toc-section\" id=\"3_Complete_Your_Capability_Statement_Template\"><\/span>3. Complete Your Capability Statement Template<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>As you fill out sections in your capability statement, think about how the information might be most clearly presented. Your overview paragraph should be in complete sentences, but a section on NAICS codes should be a bulleted list.<\/p>\n<p><strong>What about your core competencies?<\/strong><\/p>\n<p>Well, that could go either way. A well-crafted couple of sentences could go a long way to sell your expertise in a narrow field, but bullet points can communicate a long list of areas more easily to potential customers.<\/p>\n<p>Always think about the reader.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"4_Make_It_Stand_out_Visually_to_Help_You_Stand_out_Professionally\"><\/span>4. Make It Stand out Visually to Help You Stand out Professionally<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Substance matters more than style, but big blocks of black Arial text can make a <strong>powerful capability statement<\/strong> boring to read.<\/p>\n<p>You don\u2019t have to be a graphic designer, and it doesn\u2019t have to be beautiful. But you can give it a little edge by making it visually appealing.<\/p>\n<p>Applying a bit of design, a little color, some spacing, and even some high-quality site photos can go a long way.<\/p>\n<p>Watch that you don\u2019t go overboard either. If it becomes too \u201cbusy\u201d with colors, fonts and graphics, it can distract from the substance. We all know someone who has \u201ca good eye,\u201d and it doesn\u2019t hurt to ask them just to look at it and let you know whether you\u2019re hitting the right balance.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"5_Save_Your_Capability_Statement_as_a_PDF\"><\/span>5. Save Your Capability Statement as a PDF<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>While you should keep a Word document for easy updating, save a copy of your capability statement as a PDF.<\/p>\n<p>This will go a long way toward preventing display issues. You might not know what word processor your recipient uses or what fonts they use. That\u2019s why .pdf file formats are designed to be universal.<\/p>\n<p>After you save your file as a PDF, it\u2019s also a good idea to email a test document to a couple of close contacts. They can then ensure it opens and looks the way you want on different computers or devices before submitting.<\/p>\n<div id=\"for-more-box\"><a class=\"gdlr-button medium\" href=\"\/wp-content\/uploads\/2019\/02\/Sample_Construction_Capability_Statement.pdf\" target=\"_self\"  style=\"color:#ffffff; background-color:#000000; border-color:#999999; \"  >Download a Sample\u00a0Construction Capability Statement \u00bb<\/a><\/div>\n<div>\n<div class=\"clear\"><\/div>\n<div class=\"gdlr-space\" style=\"margin-top: 20px;\"><\/div>\n<\/div>\n<div><a target=\"_blank\" href=\"\/learn\/#schedule-a-live-demo\" class=\"blog-cta-image\"><img decoding=\"async\" src=\"\/wp-content\/uploads\/2024\/03\/FSL-blog-post-ad-see-how.png\" alt=\"Get a Demo\" title=\"Get a Demo\"><\/a><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Getting_Started_Writing_A_Capability_Statement\"><\/span>Getting Started Writing A Capability Statement<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Capability statement writing might sound intimidating, but the hardest part might be simply getting started.<\/p>\n<p>The best way to get your capability statement going is to begin putting something on paper. Make a first draft, and give yourself only one rule: <em>No perfect first drafts allowed!<\/em> Then, you can go back over it, put another set of eyes on it, and determine what needs to be added, removed, or cleaned up.<\/p>\n<p>Over time, you can watch your <strong>capability statement<\/strong> develop with more A+ client references, more robust core competencies, and stronger differentiators \u2014 but all of it starts somewhere. Why not now?<\/p>\n<div id=\"for-more-box\"><a class=\"gdlr-button medium\" href=\"\/learn\/construction-management-books\/\" target=\"_self\"  style=\"color:#ffffff; background-color:#000000; border-color:#999999; \"  >Up Next: 7 Construction Management Books Contractors Love \u00bb<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Discover what a construction capability statement is, how it&#8217;s used and what it looks like with a free sample for small business contractors. Get started writing yours!<\/p>\n","protected":false},"author":17,"featured_media":1484,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_searchwp_excluded":"","inline_featured_image":false,"footnotes":""},"categories":[9,24],"tags":[20],"class_list":["post-12645","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles","category-managing-your-business","tag-video"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to Write a Capability Statement: Guide &amp; Sample for Contractors<\/title>\n<meta name=\"description\" content=\"Discover what a construction capability statement is, how it&#039;s used and what it looks like with a free sample for small business contractors. 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