The $39,875 Job Your Competition Is Legally Barred From Bidding
Watch on YouTubeVideo summary
The video addresses a common frustration among skid steer operators who feel their local markets are oversaturated, leaving them to compete solely on price for the same limited jobs. The speaker argues that this perception stems from focusing only on private construction work, where builders and contractors operate in closed networks that exclude outsiders. In these traditional markets, everyone knows each other, payments are often delayed by ninety days, and competition is fierce because there is no legal barrier to entry. Consequently, operators are forced into a race to the bottom, bidding against every other local owner with similar equipment for the same driveways and grading projects visible from the road.
To escape this crowded field, the presenter introduces federal government contracts as a distinct and legally protected category of work. By utilizing the public database usaspending.gov, operators can find opportunities where large corporations are legally barred from bidding due to "small business set-asides." These contracts cover a wide range of tasks including site preparation, demolition, tree removal, and snow clearing for agencies like the Forest Service, National Park Service, and various Army depots. Unlike private sector jobs that rely on referrals or word-of-mouth, federal requirements mandate that these opportunities be posted publicly with specific scopes and pricing histories, allowing any qualified small business to see exactly what is needed and how much previous winners were paid.
The video highlights several strategic advantages of targeting these federal contracts, particularly regarding seasonality and competition. Federal facilities face their own operational challenges year-round, such as condemned buildings that need immediate demolition regardless of the weather or snow removal needs at military depots in winter. This means that the slow summer months for private construction become profitable opportunities when a facility needs work done immediately. Furthermore, because these contracts are reserved exclusively for small businesses, operators do not have to compete with massive national firms that could undercut prices or outbid them on scale. The government's financial structure also incentivizes spending before the fiscal year ends in September, creating a predictable window where agencies are eager to award contracts to registered vendors who can solve their urgent problems quickly.
Ultimately, accessing this market requires a few specific steps that filter out many competitors: registering for free in the SAM.gov database, knowing the correct North American Industry Classification System codes for one's services, and monitoring the public solicitation lists regularly. While the initial registration process is bureaucratic and the first few bids may result in losses due to travel distances or lack of experience, the long-term benefits include reliable payments from stable government entities and a steady stream of work that does not depend on local referrals. The speaker concludes that while this path is not a get-rich-quick scheme, it offers a sustainable alternative to fighting for scraps in an oversaturated local market, proving that there is plenty of work available if one looks beyond the immediate neighborhood and leverages federal policies designed to support small businesses.
Read the full video transcript
Somebody watched a video about making
$130,000
a year with a skid steer, and he left
the smartest comment on the whole
internet. He said, and I'm reading it
straight, "Where I live, there are so
many people with skid steers that there
isn't enough work to keep them that
busy." And he's right, and he's looking
in the wrong place because every
operator he's competing with is bidding
the same driveways, the same pads, the
same three builders in town who all know
each other and all pay in 90 days if
they feel like it. Everyone's fighting
over the work you can see from the road.
$39,875.
This is a real contract last year. The
farmhouse is in a condemned state of
disrepair with an associated health and
safety concern. Demolish a condemned
farmhouse in Colorado. Health and safety
hazard. Needs to come down. 30-day job,
one machine. And the customer, United
States Forest Service Operations. Now,
here's the part that should make you a
little bit angry. Look at when these
jobs get bought. Why your town feels
overcrowded, let's be honest about why
that comment hit so hard because it's
true. If you own a skid steer, you're in
one of the easiest businesses in America
to enter. Machine, trailer, truck,
insurance, you're operating. That's the
good news. That's also the bad news
because everybody else did the same math
you did. So, in your town right now,
there's probably a dozen guys with the
same machine chasing the same grading
jobs, the same driveways, the same
builders, and the only lever any of you
has is price. Somebody always goes
lower. That's the race you're in. Here's
what I want you to notice, though. Every
single one of those jobs has something
in common. You found out about it
because somebody told you. A builder
called, a buddy passed your number
along, and saw a lot getting cleared and
pulled over. That's a referral network,
and a referral network has a ceiling.
It's exactly as big as the people who
already know you. So, when you say there
isn't enough work in my town, what's
actually true is there isn't enough work
inside the group of people who already
know your name. There's a whole 'nother
category of work where nobody has to
know your name, where But customer is
required by law to post the job
publicly, tell you exactly what they
want, and tell you what they paid the
last guy. That's called federal work,
and most of you have never bid one. I'm
not going to tell you about it, I'm
going to show you. This is
usaspending.gov, it's free, no login.
This is where every federal dollar gets
reported. And what I'm doing is I'm
searching, I put 2026 in, and then I put
in 238910.
That is your code for site preparation
contractors, that's you, grading,
excavation, demolition, clearing. And
I'm filtering to small business
set-asides, that means the big guys are
legally excluded from bidding. I'll come
back to that because it's the most
important thing in this video. So now,
when I pull this up, I see here
opportunities, and let's just look at
the one that I brought up in the
beginning of the call today. I'll scroll
through. Right here, 39,875.
I'm going to pull that up on the screen,
and you can see the description here.
The farmhouse is in a condemned state,
disrepair, with an associated health and
safety concern. Start date, June the
10th, end date, July the 10th. 30 days.
Now, think about what the job actually
is. A structure comes down, material
gets hauled, site gets leveled. If
somebody handed that scope to you
tomorrow, you would know exactly how to
price it in about 10 minutes. The only
thing standing between you and that
contract is that you didn't know it
existed. Here's another one, 53,350,
Willamette National Forest, Oregon,
warehouse demolition and disposal at the
McKenzie River Ranger District. Same
shape, small job, one machine, federal
customer. Let's look at another one.
$49,716
tree phase removal, phase two. Which
means there was a phase one, which means
somebody won that work, and they're
coming back for more. That's the thing
that nobody tells you about federal
work. It repeats. Ranger districts don't
clear trees once. Depots don't move snow
once. That warehouse isn't the only
warehouse. A builder who likes you might
give you three jobs a year. A federal
customer who likes you has a documented
history of buying the same thing over
and over and that history is public and
you get to go read it before you ever
pick up the phone. Who actually buys
this? Now, when I say government
contract, I know what most of you
picture, Pentagon, fighter jets, some
guy in a suit with a security clearance.
Let's look at who's actually buying the
work. Again, so we have Forest Service
operations that falls under the
Department of Agriculture. That's the
Forest Service. So, top of the list
below that I pulled up was called the
Department of Interior here. The
Department of Interior, the National
Park Services, Bureau of Land
Management, US Geological Survey. So, I
see here we pulled up the Forest Service
operations which manages essentially 193
million acres of national forest.
Defense is in there too and it's big,
but the Pentagon isn't buying your
farmhouse demolition. An Army depot in
Pennsylvania is buying snow removal.
Think about who these customers actually
are for a second. A ranger district in
Oregon, a park in Oklahoma, a refuge, a
field station. These are small offices
and rural places with a facility that
needs work done and no equipment to do
it with. They're not looking for a
national contract, they're looking for
somebody local with a machine. And
that's you. That's always been you. No
one told you they were buying. And
here's the part I promised to come back
to. Every award I've shown you was a
small business set-aside. That's a legal
category. When a contracting officer
sets a job aside for a small business,
the large firms are not allowed to bid
it. Let's sit with that. In your town,
you're bidding against everybody. On
these jobs, the field is legally
restricted to companies your size.
That's not a loophole. That's a federal
policy on purpose because the government
decided a long time ago it didn't want
just three companies owning everything.
You've been fighting for scraps in open
market. This is a market where the
biggest competitors are barred at the
door. Okay, back to the thing I told you
it make you angry. So, the federal
fiscal year ends September 30th. Every
agency gets money for the year and money
they don't spend, they lose. Worse off,
spend less this year, and next year's
budget gets cut. So, what happens is,
every September is the most predictable
thing in American business. Agencies
spend. And the awards I pulled,
September had more than triple any other
month. In the prior year I checked, it
was even more lopsided. Here's why that
matters for you specifically. That
contracting officer in September has
money that expires in weeks, and a
facility that needs work. What they do
not have is time to find you. They're
going to buy from somebody who's already
registered, already in the system, and
already visible. Which means the work
you do in the spring is what gets you
paid in the fall. If you're watching
this in July, you're early, and early is
the whole game. Now, the other comment I
want to answer, somebody said, "Now,
mention the part where you're busy for 2
months, and then you're scarce for 2
months." That's the honest objection.
Everybody in the business knows the
winter. Now, look at this contract, the
$41,850,
the snow hauling services at Letterkenny
Army Depot to relocate accumulated snow
piles after snow events. If you look at
when it was awarded, started January the
26th, 2026, end date January 31st, 2026.
That's 5 days, $41,000. That's not a
summer job. That's dead of winter, and
that depot has that problem every single
year. Same thing with snow plowing. I
found a ranger district plowing
contracts running multiple year terms.
Somebody plows Mount Hood every winter
and gets paid to do it. Here's the
reframe. Private construction is
seasonal because building is seasonal.
Federal facilities, they're not
seasonal. A depot still needs snow
moved. A septic system still fails in
February. A condemned building doesn't
wait for spring. Your slow season is
somebody else's operating problem.
Someone's getting paid to solve it.
There's no reason it isn't you. So, what
does it take? I'm going to be straight
with you. One, you have to register in
sam.gov. It's the federal vendor
database. It's free. Anybody charging
for it is running a scam. Takes a few
hours of paperwork and some waiting. You
need an EIN and a bank account. That's
the toll booth and that's the reason
most of your competition never shows up.
It's not hard, it's just boring and
boring filters people out. Number two,
know your code. 238910
for site preparation. If you do more,
you claim more. Number three, you go
where they post. sam.gov lists open
solicitation. And a lot of small jobs
like the one I showed you get bought
fast and simple, not through some giant
100 page proposal. Number four, this is
the one thing that people skip. Look at
history before you bid. You already saw
me do it. That tree removal was phase
two. You can look up who won phase one,
what they charged, and when it's coming
out again. Try getting that from a
private builder. Now, let me be honest
about the part this doesn't fix. This is
not free money and it's not fast. Your
first registration is going to be
tedious. Your first few bids, you'll
probably lose and you may not find out
why. Federal customers pay reliably, but
not instantly and the work is scattered.
A range of it might be 60 miles out. And
that's a real cost that you have to
price in. I'm doing a whole separate
video on that one because it deserves a
real answer. But compare it to what
you're doing now. Right now, you're
competing on price with every guy in
town for work you only hear about if
somebody calls you. From customers who
pay you when they feel like it. Over
here, the customer publishes what they
want, tells you what they paid last
time, bars the big companies from
bidding, buys again next year, and
doesn't stop in February. That guy in
the comments was right. There isn't
enough work where he's looking. He just
never looked here.