Roofing Business Talk
Let me start out buy saying I am not really going to start up a new roofing company. I am student in school right now and for my engineering economy class have been assigned to create a economic analysis of starting and operating a roofing company, So this is all hypothetical however it needs to be based off of facts, and accurate. If anyone is willing to provide me some information I will greatly appreciate your expertise. Of course I will keep any information private, and be willing to share the final report/presentation with you. Some of the information I am looking at would be:
Cost to build a warehouse/office
Number of employees
How advertisement is done/cost of advertisement
semi-detailed Process of how roofs are repaired and replaced
cost per square foot for shingles, tiles, hot mop
and intial investment
since this is all for school, I dont really want any exact numbers just reasonable estimates. I think the best way to go about this is e-mail.
How much are you going to pay for our time?
Ah I afford to pay anything (or i would) I figured it my be worth a shot if someone has some free time to help out a student. I'm under no time constraints nothing is due until the end of november so it would be at your liesure.
On a serious note, it's not hard, and may not be too expensive.
Apprentice for about 15 years doing repair work, complete TO's and replacements. By then, you'll have some of the tools needed and a good insight into costs in your area and how much to charge for your expertise which is much mre important than the 'going rate' since it can be double the 'going rate' in your particular area.
Maybe it would be a good idea for you to go a visit some local contractors and see if you can get the answers you need.
I am not in business for myself (roofing) but I have many aspirations to do so, I am in school as well. My goal is to know everything that I need to know on the business side of things before I start.
To start a Roofing business, one should know how to lead. I was a foreman in 11 months managing sm to lg crews. I sucked up every info I could get, learned, and applied that knowledge. I also purchased every tool I needed. All I need was an opportunity.
I agree that a typical roofer should have about 15 yrs exp. But it can be done in 10 yrs,
yr 5-10.....Repair tech
Repairing is where a roofer REALLY learns the trade. Every repair exposes the philosophical nature of "who" puts the roof together, "what" era it was put on, and their "style"
You have another question? or maybe someone else can take a few minutes and chim in as well?
Cost to build a warehouse/office?
That does not happen until your business grows where you need to expand. Most roofing startouts begin in the home. If you have a little capital, some trend toward the storage facilities and rent them. Others will rent in an industrial complex that gears towards small business; like mechanics, roofing, detailing, etc. where the business office and storage is in the same place.
Your biggest capital investment is in Insurance. Your looking at a $10,000 + investment for insurance and bonding. Some insurance let you put 1/4 down and the rest on a monthly payment (usually based on labor cost as letting other people work on your roofs IS the biggest liability)
Some areas may be cheaper or more expensive.
Number of employees?
If you want to start a roofing company (based on your impression). You will need a large amount of capital and instant customer base to achieve any type of immediate success.
The typical scenario would be a disagreement between partners and one decides to break away to start his own firm or some type of "capital venture" guru looking to make money from a storm damaged area, invest in a roofing business to reap quick profits. Both require employees to run.
Typical startups: Everything is run by the roofer (taxes, venors, wages, etc.) until a little capital start rolling in where he is able to outsource some things (accountant, lawyer, advertisment, etc). No employees are needed at the beginning. Family members may help out at times to facilitates some things, but usually very minimal
While the company is growing, you may hire laborers to help you do some of the work (should be done over the table and NOT under it). An owner can typical a have a crew of 4 persons to do all the work while you estimate, bid, and do accounting....any more, you will be stretched really thin.
Usually start out with your own personal light truck...no immediate investment
Rental fees for dumpster or dumptrucks can vary...$100-200 per day
Once you business is bringing in income, plan to buy a pick-up truck capable of pulling a dump trailer ($4,000-$6,000 depending on size). A good running older truck will run you about $2,000-$6000. You can operate it yourself, leave the trailer on site it you have to and roll out to do another bid if you like.
If you have capital to invest, buy a dump truck (it is safer to operate), but plan on having at least one employee to drive it. $25,000-30,000 brand new. Used, older dumps trucks may be cheap but are unreliable and maintenace heavy and can drain resources quickly.
Simple rule work smart not hard! Hire roofers to do the work. You need to know how to sell. If you cant sell you cant make money. That is every and any business. If you are really a student, your teacher needs a lesson. Who starts a company they know nothing about with a building and a ton of expenses?
First you work for a roofing company, learn the business. Then start out of your house. Promise and deliver! If you can deliver, you will be successful. You really want to start, you get out and knock on doors. Paper is dead, so ads wont help much. You have to sell yourself and network. Hard work, and great ethics will always make you a success. Good luck.
FYI started my own roofing company with zero dollars.