Step 1: Plan ahead for a successful roofing business
Look for small business resources
Find roofing industry resources
PRO TIP:
How to market a roofing company
How to encourage word of mouth marketing“As a new roofing company, I feel like I am head and shoulders ahead of other new roofing companies because I use AccuLynx.”
| Owner| Cayne Roofing Arkansas
How to start a roofing company
The North American roofing market is projected to reach $47.5 billion by 2025. This step-by-step guide covers everything you need to know about starting a roofing business so you can take advantage of this thriving industry.
Steps for starting a roofing company
Having a clear vision of what you want to do—at least to start—will get you on a path toward success.
Step 1: Plan ahead for a successful roofing business
Developing a business plan and gaining a robust understanding of your market
Step 2: Find resources to help you get started
Finding the right employees and take advantage of small business resources
Step 3: Pick a name for your roofing company
Selecting the right name for your company
Step 4: Make sure your roofing company can legally operate
Obtaining the permits and licenses you need to legally run a roofing business
Step 5: Insure your roofing business
Choosing the right insurance to protect your roofing business
Step 6: Get all of your roofing tools and equipment
Having the right tools so you can get to work
Step 7: Investing in roofing software
Selecting business management tools that will help your company run smoothly
Step 8: Reach the right people
Marketing your roofing company, acquiring positive customer reviews, and encouraging word of mouth referrals
Step 1: Plan ahead for a successful roofing business
Create a roofing business plan
When starting a roofing company, having a strong business plan will help you make informed decisions and evaluate your performance. It’s important to set realistic, specific objectives for your roofing business—then map out how you will achieve those objectives. Key components to creating an actionable roofing business plan include:
- Know how profitable roofing companies operate. Roofing contractors primarily make their money from roof replacements and repairs. However, contractors also charge separate fees for inspections, evaluations, or roof removals.
- Decide what trades you will offer. While it’s clear that your main service will be focused on roof replacements and/or repairs, you may also want to consider complementary trades such as gutters, siding, and windows.
- Identify your target market. Some contractors will target certain geographic regions, while others may target specific types of jobs, like insurance restoration, or the installation of specific types of roofs, such as solar.
- Determine upfront and recurring costs. You will need to account for ongoing expenses, like rent on office space, technology like business management software; one-time costs, such as obtaining a business license; and variable expenses, such as marketing materials.
- Plan out your pricing strategy. Some contractors offer the cheapest possible service whereas others position themselves as a premium product. Deciding how to price your services compared to your peers will help inform how you market your roofing business and to whom.
Step 2: Find resources to help you get started
Once you have a business plan in place, it’s time to find the people, organizations, and resources that will help you start a successful roofing company.
Look for small business resources
In many areas, the local chamber of commerce or small business association will have resources geared towards helping new businesses, including roofing companies. There may also be trade associations in your area you can join.
All of these organizations offer a variety of services that can help you get started, from business advising and continuing education, to networking, and marketing resources.
There are many online resources you can take advantage of when starting a roofing business. Consider joining a Facebook group for roofing contractors where you can ask questions and receive advice and resources from other contractors.
Find roofing industry resources
In addition, many industry vendors, from publications like Roofing Contractor to roofing software companies like AccuLynx, offer blogs, ebooks, and other informative resources to help new business owners.
Roofing industry resources will provide you with direct and accurate information about different trends, laws, and tips on how to run a successful roofing business.
Hire an accountant
When you start a new roofing company, having an accountant on board from the beginning will help ensure your business is financially healthy. Your accountant should review your business plan to make sure it is financially viable and help you create a budget.
Partner with the right team
You don’t need to hire an entire team right away. Instead, focus on filling the most essential roles:
- Foreman/crew leader
- Production/general manager
- Roofing crews/subcontractors
- Salespeople
- Administrative staff
PRO TIP:
Use resources such as job boards, local trade associations, and recommendations from friends to build a strong team. You’ll want to hire people who are committed to your roofing business goals, excited about the industry, and willing to work hard.
Read more about hiring the right team and roofing crews here.
Step 3: Pick a name for your roofing company
Your roofing company name should help you stand out from your competitors and give potential customers a strong first impression of your business. Here are a few key tips to consider as you select a name.
Don’t involve too many people
Keep your brainstorming process simple and only involve up to two other people. If your list of possible names is too long, it will be difficult to narrow it down and pick the right one.
Check the names of competitors
Before you select a name, research other roofing companies in the area to make sure your name is unique. If the name of your business is the same as or similar to other roofing businesses in your area, homeowners may confuse you with your competitors.
Avoid names that are too hard to spell
The easier your name is to spell, the easier it will be to find your roofing business online. With 56% of people using voice search on their smartphones to find local businesses, an unusual or difficult spelling can easily get misinterpreted by the voice search tool. Stick to simple spellings to make sure homeowners can find you easily.
Consider SEO value
There are other factors besides spelling to consider when selecting a company name that will be easily found online. Search engine optimization (SEO) is the process of optimizing your website/business name to increase its visibility in internet search results. A roofing business name with high SEO value is:
- Unique to your geographic area
- Easy to remember
- Related to your industry (e.g. may incorporate the word “roofing” or “contractor”)
As you evaluate possible names for your new roofing company, make sure they meet these criteria, and search your top contenders to see which ones perform the best in search.
Create a logo
How your business “looks” is just as important as a name that is easy to remember. Your logo should be unique, clear, and represent your brand, so people can build a connection with it. Be sure to hire a professional designer to create your company logo.
According to IKO, a good company logo can have:
- An image only (industry-related or name-related)
- Text only (consider the font)
- Images and text
- Color (most roofing companies choose two)
Step 4: Make sure your roofing company can legally operate
Before you can start any roofing work, you’ll need to fulfill all the legal requirements for operating a roofing business in your area.
Register your business with the government
While most roofing businesses don’t need to register with the federal government, you will likely need to register with the state government in order to conduct business activities within a given state. The type of registration you need to file will depend on your business structure (e.g. LLC, partnership, or corporation), as well as on the laws of the state.
Obtain permits and licenses
Permitting and licensing requirements can vary between states, counties, and even cities or towns. In most states, you will need a general contractor’s license; in some areas, you may also need special licenses for roofing or the other trades your business offers. Your local chamber of commerce or small business association can help you identify the permits and licenses your roofing company needs before starting.
Follow OSHA requirements
You will need to adhere to OSHA guidelines to implement safety measures, and provide proper training for you and your employees. Doing so will help reduce the risk of accidents that can happen on a job.
Step 5: Insure your roofing business
Starting a new roofing company represents a major investment of your time and money. Insuring your roofing business will help you protect your investment and prepare for unforeseen circumstances. Here are a few different types of insurance your roofing company might need:
- General liability insurance: This insurance covers property damage, personal injury, and bodily injury that is the fault of your company. If your roofing business damages a homeowner’s property or someone is hurt on your premises, general liability insurance will cover the cost.
- Worker’s compensation: Depending on the number of employees at your roofing company, your state may require you to have a worker’s compensation policy. This policy will provide financial assistance to your employees if they are injured on the job.
- Professional liability insurance: Having professional liability insurance will protect your roofing business against lawsuits and claims of negligence. Professional liability insurance is especially helpful for roofing businesses who recommend specific products or treatments, as it will protect your business from fallout if these products fail to perform as expected.
- Vehicle insurance: If your roofing company plans to own or lease any vehicles, you’ll need this insurance to provide coverage for them and protect against financial burden if your vehicles are involved in an accident.
- Equipment insurance: If you’ve invested in expensive roofing equipment, use this insurance to protect your investment and provide coverage in case of damage or loss. Some general liability insurance plans will allow you to add extra coverage for equipment.
Some states require that businesses carry specific types of insurance. You can verify what insurance you will be required to carry with a local business association.
Step 6: Get all of your roofing tools and equipment
You can’t repair or replace a roof if you don’t have the tools and equipment to do so. As you start a new roofing company, focus on getting the essentials that you must have right away.
Upfront costs for materials can be costly, so buying extra tools and equipment as you need them can help you save money when you’re just starting out.
Some key tools and equipment to purchase include:
- Nail gun
- Drill
- Saw
- Hammer
- Ladder
- Other hand tools
- Safety equipment (e.g. hard hats and harnesses)
- Truck
- Laptop or tablet
If you have the essentials, you can get your roofing company started. As your business grows, you will figure out what you need to buy more of to meet project needs, and you will also have more funds available to buy more expensive tools and equipment. Once you have the basics covered, you can consider upgrades, like branding all of your equipment for extra visibility.
Step 7: Invest in roofing software
The technology you use to manage your roofing business can have a big impact on your company’s ability to grow. Thousands of roofing contractors use business management software or a roofing CRM to streamline their everyday tasks and manage their work.
Here are a few reasons why you should consider implementing business management software when starting a roofing company.
Efficient workflows
Inefficient or disorganized processes can hold your employees and company back. Since roofing contractor CRMs are designed to streamline every part of your workflow, implementing it right from the beginning will help establish efficient processes from the get-go.
Integrations
The right roofing software can make your job easier by having integrations with material suppliers, aerial measurement providers, financial/accounting software, canvassing software, and more.
Integrations connect your roofing software with other essential tools you use, eliminating the need for manual data entry and duplicate work. They allow your data to flow seamlessly between different platforms, saving you time and minimizing errors.
Clear communication
It’s important for everyone to be on the same page when coordinating roof repairs. With a roofing contractor CRM, all of your teams are working from the same system so they have access to the same information.
Team members can see job details and make updates in real-time from anywhere, keeping everyone in the loop and improving communication between the office and the field.
Easy job tracking and management
In order to compete in a crowded market, your roofing company needs to follow up with leads promptly and keep jobs moving forward.
Roofing contractor software with robust job/project management capabilities will help you track leads and stay updated on the status of your jobs so nothing falls through the cracks. Once your jobs are in production, your roofing CRM will enable you to manage schedules and keep work progressing efficiently.
Better customer service
Great customer service will help you build a positive reputation for your new roofing business. One way to serve your customers well is to keep them informed at every step of the process and reach out to them promptly if anything changes.
Roofing business management software can help you automate customer communications so you can consistently deliver timely updates.
Time and money savings
Some roofing companies use multiple software applications to stay organized and manage their business. The cost of this can quickly add up, and so can the time spent managing each individual tool. Roofing companies that rely on a single system to run their business save time and money in the long run.
It’s common for new roofing companies to have growing pains as they figure out the best business practices. Implementing a roofing contractor CRM as a key part of your strategy can help you ensure your processes run smoothly right from the start.
Step 8: Reach the right people
Start connecting with homeowners in your target market and build your customer base as soon as your new roofing company is ready to start work.
How to market a roofing company
Here are a few proven roofing marketing tactics to help your company get started:
- Company website: Most homeowners do their research online, and a strong website will give them a positive impression of your roofing company. On your website, make sure your contact information is easy to find, describe what sets your roofing company apart, and prominently display any special offers or deals.
- Social media: Creating a social media account for your roofing company, such as a Facebook page, helps you showcase your work and connect with potential customers on a platform they frequent. You can also purchase ads on social media to reach a local audience.
- Google listing: Setting up a Google Business Profile allows you to promote your business in Google Search and Google Maps. When homeowners search for roofing companies in your area, they’ll see your business name, website, and other company information.
- Door knocking: Canvassing a neighborhood can be the best way to reach homeowners in areas that have been hit by storm damage. Be prepared to pitch your business in a few sentences and leave behind a flier or card to remind the homeowner of your services.
- Truck wraps: Turn your company vehicles into advertisements for your services with truck wraps. Be sure your name, phone number, and website address are clearly visible on all sides of the truck.
Whatever your marketing strategy includes, be sure to allocate time and budget to execute it, and adjust it if it doesn’t work. A successful marketing strategy will pay for itself by generating qualified leads that you can turn into satisfied customers.
How to set up a profile on a review site
Homeowners rely on review sites such as HomeAdvisor and Yelp to help them decide which roofing company to use. Listing your business on review sites gives former customers a place to rate their experience, and future customers an opportunity to learn why they should choose your roofing company.
Here’s how you get started with setting up a profile:
- Pick a review site. Set up a profile on the same site(s) as your competitors. This will help you reach homeowners that are also seeing your competition.
- Add your business information. Your profile should include your company name and location so the site can verify your business. Many review sites require you to “claim” or “verify” your business profile in order to be listed and reviewed.
- Customize your profile. This is a way to show off your company. Add photos of previous jobs, links to your website, and a description of the services you offer.
Be sure your profiles are always up to date. It’s also important to respond to all customer reviews–even the negative ones. Thank anyone who leaves a positive review, and if you receive a negative review, respond by addressing their concerns and express that you will improve in the future. Both responses show that you care for your customers.
How to encourage word of mouth marketing
Word of mouth marketing is a powerful tool for gaining new customers and establishing a reputation as a trustworthy roofing company. These strategies can help you gain referrals and grow your customer base.
- Put up yard signs. Ask your customers if you can put a simple sign with your company name in their front yard. These signs help promote your roofing company to the neighborhood and turn your current project into an advertisement for your services.
- Offer incentives for referrals. Offer a reward or discount to your customers for referring someone they know to your roofing company. This is a great way to generate new customers from the networks of your current customers.
- Encourage reviews. Include language on your website, in your emails to customers, and on your sales materials that reminds customers to leave a review of your roofing company.
- Follow up with past customers. Get in touch with past customers periodically to see if they need any repairs or have any questions. Checking back in with former customers reminds them of the great work you did, making it more likely that they will use your services again, and recommend them to others.
Working to deliver great customer service while encouraging reviews and referrals will help you reach more potential customers and take advantage of existing networks.
FAQs when starting a roofing company
Common roofing industry terms
When starting a roofing business, you may be overwhelmed with new terms. Here are some of the most common roofing industry definitions:
- Roofing business management software: Set of programs, or a single system that allows roofing contractors to run, improve, and automate their processes.
- CRM for roofers: Customer relationship management (CRM) technology helps manage relationships and interactions with leads and customers.
- Eave: The portion of the roof that hangs over the walls of the home. This is typically where gutters are installed.
- Hip: Where 3 to 4 sloped surfaces meet together. On a ‘hip roof’, the edges of the roof are enclosed.
- Rake: The exposed edge of a pitched roof slope.
- Ridge: The peak where 2 sections of roof slopes intersect.
- Roof pitch: The steepness of a roof that is typically referred to as X/12, where X=the number of inches of rise in a roof for every 12” of run.
- Shingles: A roof’s primary covering. Roofers commonly install asphalt-fiberglass shingles, although other materials exist. Common varieties of shingles include three-tab, architectural/dimensional, and designer.
- Square: Measurement of 100 square feet, commonly referred to in roofing jobs as ‘squares’.
- Valley: The line formed where two sloped roof surfaces meet.
The software to help your new roofing company grow
Starting a roofing company can seem like a daunting challenge. But with the right tools and strategies, you can build a thriving business.
AccuLynx is an all-in-one business management software created specifically for roofing contractors. As a leader in the roofing industry, thousands of new roofing companies have used AccuLynx to get off the ground, grow profits, and scale their businesses.
By bringing together every aspect of your business in a single cloud-based system, AccuLynx helps you stay organized, work more efficiently, and reduce repetitive tasks. In fact, AccuLynx customers save 468 hours per user annually and new users see a 32% increase in job profits after one year.
As the #1 roofing software, AccuLynx contains all the tools you’ll need to effectively start and grow your roofing company, including:
Sales/CRM features
Easily track sales and stay on top of your pipeline so nothing slips through the cracks.
Finance features
Know how your business is performing so that you can continue to grow.
Production features
Gain greater visibility into your roofing jobs and keep everything on track.
Business management features
Work smarter and grow your roofing business with a single, all-in-one platform.
See AccuLynx in action
Learn more about how AccuLynx, the #1 roofing software can help set your roofing business up for success.