Guide
How to start a roofing business
Check your state's licensing rule first, because roofing is licensed at the state level in some states and only locally in others. Then register the business, price workers' comp into every square, and put a written scope on every quote. The steps in order are below.
| Trade licensing | Varies by state: some license roofing contractors statewide, others only at city or county level. Your state contractor board is the first stop |
| Business registration | Your state's Secretary of State |
| Insurance to price in | General liability and workers' comp. Roofing comp rates are among the highest in the trades; price them into every job |
| Pricing norm | Per square, off a measured roof and a written scope |
| Last reviewed | July 2026 |
Licensing and permit rules change and they change locally; every row above points at the office that publishes the current answer. Our worked-example pack, built for a fictional Kansas City lawn care company, shows the depth your own pack goes to: read it here.
What to do, in order
- 1
Check your state's licensing rule
Roofing licensing is one of the least uniform in the trades: some states license statewide, some leave it to cities and counties, and the rule can change with the size of the job. Your state contractor board and your city permit office settle it in two calls.
- 2
Register the business with your state
Registration happens at your state's Secretary of State, usually online in a day or two, and most states require a registered agent with a street address in the state. The current filing fee is on your state's Secretary of State site.
- 3
Get your EIN and open a business bank account
The EIN is free from the IRS, online, usually the same day. The bank will not open a business account without it, and you want every job check running through that account from day one so your books mean something at tax time.
- 4
Price comp into every square before you quote one
Workers' comp for roofing is among the most expensive in the trades, and it belongs inside your labor rate, not in a year-end surprise. A quote that ignores comp is a quote that pays you to work.
- 5
Write a scope on every quote
Decking condition, flashing, ventilation, disposal, what happens when the tear-off finds rot: the written scope is what separates a change order from an argument. One page, signed, every job.
- 6
Price off your burdened hour, then per square
Take a wage and add payroll tax, comp, insurance, the truck, and the hours you cannot bill. What comes out is the number you have to beat on every quote. Roll that number into your per-square rate so the crew, the comp, the dumpster, and the drive are inside the price before profit goes on top.
- 7
Build referral sources that outlast the storm
Storms make phones ring, and then they stop. Realtors, insurance adjusters, property managers, and the trades already on the roof, gutters, solar, chimney, send work in every season. The companies that survive year three are built on those relationships, not on hail.
The pricing step is the one most people skip. The burdened-rate calculator is free, runs in your browser, and tells you the number you have to beat on every quote.
Where first-year roofing companies go wrong
Racing storm-chaser prices to the bottom. After a hail event the market fills with out-of-state trucks quoting anything to get a signature. Compete on scope, warranty, and being here next year, because you will be and they will not.
Leaving comp out of the labor rate. Roofing comp is too big a number to absorb. It goes into the burdened rate, the burdened rate goes into the square price, and the square price is the quote. Any other order and the margin was never real.
Quoting without a scope. The roof that grew is the roofer's fault unless the paper says otherwise. A signed scope with exclusions turns discovery into a change order instead of a dispute.
The plan the bank actually reads
Whatever route you take to it, the plan a lender expects has a known shape. This is the table of contents of the business plan in every CrewPlaybook pack, written for your trade and your numbers:
- 1.Executive summary
- 2.Company description
- 3.Service offerings
- 4.Market analysis
- 5.Operations plan
- 6.Marketing and sales
- 7.Team and organization
- 8.Financial projections narrative
- 9.First-year milestones
- 10.Risks and mitigations
A finished example, written for a fictional Kansas City lawn care company, is readable without an account: read the example business plan.
Frequently asked questions
Do I need a license to start a roofing business?+
It depends on your state: some license roofing contractors statewide, others only at the city or county level, and job size can change the answer. Your state contractor board and local permit office settle it quickly.
How much does it cost to start a roofing business?+
Roofing can start leaner on equipment than most trades, but insurance, especially workers' comp, is a bigger share of the cost than the tools. Build your own list and run it against your numbers; the pack's equipment list prices your trade at three budget tiers.
How should I price a roof?+
Per square, from a measured roof and a written scope, with your burdened labor rate, comp included, inside the number before profit goes on top. Our free burdened-rate calculator gives you the labor side.
Should I do insurance restoration work?+
Storm and insurance work can be a large part of the market, and it comes with supplement paperwork, adjuster timelines, and rules that vary by state and carrier. Learn the process before you build the company on it, and keep retail referral sources so a quiet weather year does not go quiet on you.
When should I hire my first crew?+
When you are turning down measured, scoped work you could sell, not when a storm hits. A crew hired for a surge leaves with the surge.
The version written for your company
This guide is the general road. CrewPlaybook writes the whole pack for your trade, your state, and your numbers: the plan, the filings in order, the pricing math, the first-hire plan. Read the example pack before you decide.