5 Biggest Pitfalls of Starting a Roofing Business - How Buying a Roofing Franchise Fixes All of Them
According to the Census Bureau, the US Government received 4.4 million new business applications in 2020. That's a staggering 12,054 new businesses started every day; the vast majority of which are started because the owner was working as a technician in the industry in which their new business operates (example: a baker starts a bakery, a roofer starts a roofing company, etc.). Since we're a roofing franchise, this article will focus on roofers who start roofing companies.
Are You A Roofer Looking To Start A Roofing Company?
There are over 100,000 roofing companies in America that range in size from under $100,000 of annual revenue, to almost $1 billion. Why is there such a disparity between the top performers and the bottom? Spoiler alert - It has nothing to do with the ability to install a roof.
If you're a roofer looking to make the entrepreneurial leap into owning your own business solely because you're good at installing roofs, then this article is a must read.
5 Reasons A Roofing Business Fails to Scale - And How Buying A Roofing Franchise Fixes All Of Them.
1. Lack of business knowledge
When a roofing contractor makes that decision to strike it out on their own, they do so primarily because of their expertise in the field. They’ve mastered the skills necessary to do the work and they feel they have what it takes to be their own boss. While this is to be commended and a strong knowledge of the industry is important, there are other factors to consider. Business skills are equally important, if not more. Installing a new roof on a home can be impossible if you don’t possess knowledge of the marketing, advertising to find new customers. Additionally, accounting, payroll and human resources are just a few of the other considerations that must be factored into running a business.
Solution - Franchising allows a business owner to focus on the key aspects of the business that matter most to driving the company. Franchisors have figured out the specifics on how to reach the customer and where time should be spent to best produce results to help the business owner scale their company quickly and effectively.
2. Insufficient/Ineffective Marketing
In a perfect world, a business owner could rely on world of mouth referrals and hanging a few fliers around town. Unfortunately, those days are gone. Without a laser-focused marketing strategy in place that includes Google, SEO, social media and customer review systems, the odds of scaling a successful, booming roofing business are severely stacked against you.
Solution - A good franchise system includes sound marketing and a combination of various promotional strategies that have been proven to elicit response. Converting on those responses is a whole other process that franchising can greatly improve.
3. Lack of Recruiting/Hiring Skills
One thing in business is certain, the people you hire can make or break your business. As the owner of a roofing company, you will likely be wearing just about every hat in the organization at first. Cost-cutting measures will allow you to expand until you suddenly realized that you’re stuck and are in dire need of another set of hands. This sudden epiphany usually comes when everything seems like it’s going great and in the blink of an eye, you are completely overwhelmed.
Solution - Building a successful roofing business requires leveraging the skills of average people and expecting them to produce above average results. The process of recruiting, training and elevating these individuals is often made easier by a franchisor’s staff that can directly assist in the development of key employees in your organization. When an employee is motivated, focused and successful, the entire organization benefits.
4. Poor Leadership
We’ve all heard the adage, “This job is no good!”. Truth be told, in all actuality, those people really aren’t good at their job. One of the most overlooked factors of success in any company is effective leadership. This not only includes having the ability to select the right people for the job, but more importantly, providing ongoing support in the form of training, fair compensation and measures taken to retain quality members of your team.
Solution - Franchise systems are designed to have processes and teach franchisees important facets of leadership that they will be required to exhibit. Placing your employees first and being a positive, driving influence will result in far greater productivity of team members.
5. Inability to Adapt
Simply put, ego and stubbornness can be the biggest detriments to the survivability of a company in the roofing industry. Contractors are by nature a stubborn group. This does not bode well in a rapidly-evolving space like the roofing industry. Bigger, better and newer ideas emerge everyday and a commitment and need to stay on the “cutting edge” has never been more evident.
Solution - A good franchisor in the roofing industry invests heavily in technology and events that keep it ahead of the curve. With the backing of people whose primary purpose is to ensure a sustained presence and a “front of the pack” mentality, franchisees reap massive benefits in measured efficiencies and industry dominance.
As you can clearly see, owning a successful roofing business requires a lot more then simply being good at the technical aspect of roofing. You must be a business minded individual with a strong entrepreneurial spirit if you're going to succeed as a business owner. That's where owning a franchise can help.
About the author:
Tony Westbrock has over 20 years of experience in the franchise industry. He has worked in every level of franchising including being owner and CEO of a youth sports franchise. Using his expertise in the franchise industry, Tony can help you navigate through the process of purchasing a franchise.
To contact Tony, call 866-587-5171 or email email@example.com