GovClose | Start Winning Government Contracts
Sep 24, 2026 · 43 min · 17 segments
How much money can a small business make through government subcontracting? Based on the federal subcontracting data analyzed in this video, the average small business in the USAspending.gov data…
In order to illustrate what I'm talking about, I'm going to take a house painting company as an example.
Now the government is paying Howard Painting Company to paint a office building on an Air Force base.
As part of that contract, there's also plastering work, right? Well, I don't do plastering work, so I'm going to hire another company to do the plastering.
I own the contract with the government, but the subcontractor is being paid by me, Howard Painting Company, to do some of that plastering work.
So not only is there a requirement for prime contracts to be awarded to small businesses.
In order to illustrate what I'm talking about, I'm going to take a house painting company as an example.
Now the government is paying Howard Painting Company to paint a office building on an Air Force base.
As part of that contract, there's also plastering work, right? Well, I don't do plastering work, so I'm going to hire another company to do the plastering.
I own the contract with the government, but the subcontractor is being paid by me, Howard Painting Company, to do some of that plastering work.
So not only is there a requirement for prime contracts to be awarded to small businesses.
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