How to Win Government Contracts for Excavation Work

Nate Jones
Aug 3
2 min read

Government contracts can be a game-changer for excavation businesses. Whether you're a solo operator or managing a growing crew, landing public sector work offers consistent income, long-term projects, and credibility in your local market. But how do you actually win government contracts for excavation?

In this guide, we’ll walk you through the steps to get started, where to find opportunities, and how Excavating Insurance Partners can help you meet insurance requirements and protect your business.

Why Government Contracts Are Worth Pursuing

High-value projects: Infrastructure, utilities, and public construction often require excavation.
Reliable payments: Government agencies typically pay on time and offer secure funding.
Small business incentives: Many contracts are set aside for small businesses and local contractors

Step 1: Register Your Business in SAM.gov

To bid on federal contracts, you must register in the System for Award Management (SAM):

Visit SAM.gov
Create a business profile
Get a Unique Entity ID (UEI) and CAGE Code

This registration allows you to access federal contract listings and ensures you're eligible to bid

Step 2: Create a Strong Capability Statement

Your capability statement is like a resume for your business. It should include:

Core services (e.g., trenching, grading, land clearing)
Past performance or experience
Certifications and licenses
Insurance coverage (required for most contracts)

👉 Need help with insurance? Get a quote from Excavating Insurance Partners

Step 3: Find Contract Opportunities

Use these platforms to search for excavation-related contracts:

SAM.gov – Federal contracts over $25,000
USASpending.gov – Track federal spending and trends
GSA.gov – Learn about federal construction bidding
State and local procurement portals – Each state has its own bidding system

Step 4: Consider Subcontracting First

If you're new to government work, start by subcontracting with larger firms. Use:

SubNet – A database of subcontracting opportunities
GSA Subcontracting Directory – Find prime contractors looking for small business partners

This helps you build experience and credibility before bidding as a prime contractor.

Step 5: Meet Insurance and Compliance Requirements

Government contracts often require:

At Excavating Insurance Partners, we specialize in helping excavation contractors meet these requirements affordably and efficiently.

Step 6: Market Your Business to Agencies

Many federal agencies have Small Business Offices or OSDBUs (Office of Small and Disadvantaged Business Utilization). Reach out directly to:

Introduce your business
Share your capability statement
Ask about upcoming opportunities

👉 Learn more: SBA Guide to Winning Contracts

Final Thoughts

Winning government contracts for excavation work takes preparation, persistence, and professionalism. By registering properly, building relationships, and meeting insurance requirements, you can tap into a steady stream of high-value projects.

📘 Ready to get started? Download our e-book: How to Start an Excavating Business