The roofing industry is ripe with business potential, particularly as more and more places are being developed and more structures are constructed. Besides, every structure needs a roof, whether a house, a company, a church, a government facility, or a school. Roofers have a steady stream of business because roofs do not last indefinitely.
A lot of roofing companies shut their doors before they even started. However, establishing a roofing company is not difficult if you know how to identify and avoid the pitfalls.
It’s fine to dream big when starting a roofing business, but don’t expect to get rich immediately. Start small, and don’t overextend yourself in terms of infrastructure and marketing. If you grow your company steadily and wisely while controlling your overhead, you’ll reach your target faster and avoid nerve-wracking cash flow concerns.
So, whether you want to start a roofing company or you already have one but aren’t confident if all of your bases are covered, you’ve come to the right site. This article contains pro tips that will better equip you to start and grow your new roofing company like other great competitors you will be up against. Keep reading!
In essence, here’s how to start a successful roofing company:
1. Plan to avoid failing
When you’ve decided to go into the roofing business, the first thing you should do is avoid the worst risk of all and employ the service of a competent accountant.
It’s the golden key you’ll need from the start. Try to engage with a professional and reliable accountant, perhaps one recommended by a trustworthy friend, and include them from the beginning. Develop a plan that clearly defines your business goals and how you expect to achieve them before you spend a dime on tools and equipment.
2. Work Out Your Costs
Before you launch your roofing company, you must first figure out how much it is going to cost. Direct costs, such as materials and labor, are simple to calculate, but soft costs, like administrative and marketing expenditures, must be factored in just to break even.
Calculate the costs of everything you will need with your accountant, including:
- Operational expenses (this include salaries and labor wages)
- Business premises (if other than your home)
- Promotional items, etc.
3. Choose your own price
Now that you have your overall cost, you can include a mark-up for profit. When compared to local competitors, you might find that some roofing providers are more expensive, and others are less expensive than you need to charge. The idea is to sell at the price you need to earn a profit; this is where a little more assistance may make all the difference. As a result, it will be great if you look for a mentor who’s been there before you and thrived, besides your accountant.
4. Do a business registration
Another important thing to do while establishing your roofing company is to register it officially. Notwithstanding, it would be best if you register a “doing business as” (DBA) name. This is because a catchy trade roofing business name can carry significantly more economic worth than a family name when it comes time to sell.
When registering, choose between a sole proprietorship, a partnership, a limited liability company (LLC), or a corporation. To determine which entity is ideal for you, speak with a lawyer in your jurisdiction.
5. Licensing ( acquire the necessary permits to operate)
Each jurisdiction has its own set of roofing businesses’ contracting licenses. As a result, consult your state/provincial authorities to learn about the regulations in your area.
Each area you operate in may require a local business license. So try to find out if such permits are required in the municipality you intend to operate.
6. Insure Your Future (protect your investment)
Roofing is a physically demanding job, and accidents and injuries do happen. And so, by insuring your business, you financially safeguard your company, your customers, your employees, and yourself from bodily harm, property damages, and lawsuits.
7. Open a store
You don’t need a complete office to get started with your new roofing business. In fact, you can start your roofing company with just a desk, a phone, and some basic stationery. You can even use your phone’s planner function to book customer appointments.
8. Get your equipment together (It doesn’t matter if it’s new or used)
The type of roofing you offer will determine the equipment and materials you’ll need to start a roofing business. Residential roofing is the most cost-effective and straightforward option to get started, while commercial operations necessitate a larger investment.
You need to keep in mind that most of your initial costs will most likely be spent on equipment. So, buy tools as needed for your work and never spend more money than you need to when you’re first starting.
The following are a few basic items you may need to get started:
- Roof rack.
- Safety harness.
- Nail gun.
- Hand tools such as a shingle hatchet.
- Power ladder (optional).
9. Choose Your Suppliers
Choose the type of roofing material you’d like to work with. After that, it’s time to contact the roofing suppliers in your neighborhood. Check to see whether they have everything you need: if there is a delivery or shipping fee, if you can purchase on credit, and if there are any manufacturer exclusive rebates or promos. Choose the supplier who best meets your requirements.
10. Recruit Your Team
Talking to individuals that come in and out of supplier stores is one of the finest ways to find new roofer personnel. You need people who are at least as knowledgeable about roofing as you are, and this is where you will discover them.
11. Promote Your Company
Avoid paying for advertisement until you’ve exhausted all other options.
There’s a lot you can do before you pay money on advertising to get those roofing projects pouring in. Some of the most cost-effective options include:
- Well-signed vehicle
- Free business listing on Google and other internet directories
- Lawn signs
- Free Craigslist ads.
- Registering with HomeAdvisor/HomeStars.
Besides those mentioned above, you can design, print, and distribute door-to-door flyers in every location where you work as your next step up the sales scale.
- Before buying additional roofing equipment, ensure your current equipment pays for itself.
- Only pursue jobs that you can profitably do.
- Focus on low-risk slanted roofs rather than flat roofs, which may necessitate the use of open-flame torches.