Roofing franchises are business arrangements in which franchisees pay an established business (the franchisor) to open third-party outlets using its business name, trademark, brand, and proprietary knowledge.
This arrangement is valid as long as the franchisee has paid the initial upfront franchise fee for using the franchise owner’s brand and periodic royalty fees.
Both parties must obey the terms outlined in a contract called the franchise disclosure document (FDD). Any party that breaches those terms before the agreement expires can be sued.
Operating under a franchise makes it easier to break into markets dominated by well-established brands. Franchisees can also leverage the brand recognition the franchisor has built over the years to gain people’s trust, which boosts lead generation.
However, a franchisee's success depends on signing with the right franchisor and offering the right incentives.
Fortunately, we spoke with roofing business owners and conducted research to identify the top five roofing franchisors. Here’s a summary of our findings.
We’ll now take a closer look at each of them.
1. Best Choice Roofing
Source: Best Choice Roofing
Best Choice Roofing is a renowned roofing franchise in the United States. It started in 2009 as a one-man operation and has since expanded to over 80 locations in 25 states.
The franchise specializes in roof repair and replacement and has been an Owens Corning Platinum Preferred Contractor for over 12 years. This allows franchisees to offer extended warranties and close sales with insurance companies.
Entrepreneurs who sign up for the franchise program benefit from the company’s marketing expertise, which it uses to promote its services directly to customers. That’s why it continues to be one of the most profitable in the nation, reporting over $277 million in revenue in 2023.
Business owners signed to the franchise also access ongoing support, quality roofing materials, and best-in-class sales training programs at Hendersonville, Texas. Plus, since the franchise is very flexible, franchisees use any high-demand area within their state as a business location.
Best Choice Roofing only entertains applications from franchise owners with a net worth of $300,000 and $100,000 in liquid cash. Those who fit those requirements must pay between $117,410 and $202,010 as an initial investment and a franchise fee of $59,500 (veterans enjoy a ten percent discount)
Best Choice Roofing also charges franchisees a six-percent weekly royalty and a commitment of one to three percent of sales for marketing and branding.
2. Mighty Dog Roofing
Source: Mighty Dog Roofing
Mighty Dog Roofing is a company that has been in business since 2012. Its franchise operation started in 2020. The company now has 111 units across the United States.
The franchise has curated a detailed roofing business training program that makes it ideal for its franchisees who are first-time business owners. This training program includes:
Over 1,000 hours of training videos
Five days of in-person training at its headquarters in Omaha
Two days’ of onsite training at the franchisee’s location
A remote seminar that lasts seven weeks
The franchise also assists franchisees by supporting their grand openings, sourcing materials, recruiting employees and subcontractors, and processing calls.
Another benefit for applicants is the franchise’s flexibility, which lets applicants operate without a storefront (home-based franchises) or choose not to participate actively in day-to-day operations (passive income franchises). However, it doesn’t offer exclusive territory rights, which means the franchise can open new units in areas where it already has one.
Applicants must have $100,000 in liquid cash and a net worth of $300,000 to be accepted into the franchise. The initial investment ranges between $200,000 and $300,000, while the franchise fee is $59,500. Royalties are capped at 11.5 percent, including three percent for running ads.
Pro tip: Mighty Dog Roofing partners with third-party financial institutions to offer financing assistance to franchisees.
3. Honest Abe Roofing
Source: Honest Abe Roofing
This Indiana-based roofing franchise has been operational since 2007 and opened its first franchise in 2017. Since then, it has expanded to 22 locations, each generating an average revenue of $3.39 million, with the highest grossing unit recording $10.6 million in 2022.
Franchisees have access to a virtual roofing business university with many videos, weekly sales webinars, monthly training sessions, and a fully experienced team of marketing professionals. They also benefit from pre-opening and on-site training programs covering business management, bookkeeping, sales, software installation, operations, etc.
The franchise currently has applications from all regions of the United States except Hawaii.
To pass the approval process, applicants must have $150,000 in liquid capital, a $300,000 net worth, and a high credit rating (690 across all credit reporting institutions). Before applying, they must also have earned $150,000 annually for the last five years.
The initial investment ranges between $185,025 and $466,341, and the franchise fee is between $35,000 and $70,000.
Unlike some other franchises, Honest Abe has some extra eligibility criteria. These include proven success records, five years of sales experience, cold-calling expertise, a defined support system provided by a spouse or partner, and a clean bill of health.
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4. Ideal Siding
Source: Ideal Siding
Ideal Siding is a roofing company founded in 2007. Its franchise operation started in 2019. The company boasts 56 active units owned by local entrepreneurs and 400 locations available for purchase.
The franchise helps franchisees build their online presence and assists in lead generation. Franchisees also get to use the company’s unique business model, which attracts customers by charging lower than competitors and maximizing the profits of siding crews.
Additionally, people with little or no siding experience can apply, as Ideal Siding helps find competent siding crews, provides rigorous training, and offers ongoing support.
Even better, franchise business owners can operate from home since the franchise handles administrative tasks, takes customer calls, and schedules appointments.
To be accepted into the franchise, applicants must have experience in sales and management. They must also have savings that can cover family expenses for at least six months—the initial period when the business takes off and may not generate enough profits.
The initial investment ranges between $83,500 and $129,700, which includes a $50,000 franchise fee. Royalties are six to 13 percent, with one to five percent dedicated to advertising.
5. Storm Guard
Source: Storm Guard
Storm Guard is a popular Texas-based roofing company founded in 2003. Its franchise operation, launched in 2011, is almost two decades old.
The roofing construction and restoration franchise currently has 37 units independently managed by local entrepreneurs and hundreds of unclaimed territories across the United States.
No roofing or construction experience is required as a dedicated team of experts offers ongoing support and training to franchisees. They also hold weekly check-in calls and an annual physical strategic planning meeting that coincides with a conference that rewards successful franchisees.
Franchise business owners undergo a detailed training regimen divided into four modules spread across the first three to six months of operation, and learn to use the franchise’s premium tool stack. There’s also an internal software program with training videos and valuable resources you can access anytime.
The franchise accepts applications from ambitious entrepreneurs with at least $150,000 in liquid assets, a net worth of $250,000, and a solid credit rating from all credit bureaus. They must also be prepared to invest between $120,000 and $156,600 to cover startup costs and pay a franchise fee of $65,000.
The royalty fee is capped at 6.25 percent of gross sales, plus an additional 0.75 percent for advertising and branding.
What Are The Pros and Cons of Roofing Franchising?
Earlier, we listed some advantages of franchising. But there’s a flip side, too.
You should consider both sides before buying a franchise rather than purchasing an independent roofing business or starting one from scratch.
To that end, let's explore the pros and cons of roofing franchising.
Pros of roofing franchising
Here are some benefits that justify buying a franchise:
Brand recognition: Buying a franchise allows you to use a famous brand that prospects know and trust to sell your services.
Access to proven systems: Franchisees use the franchise owner’s documented business models and systems, which have been proven to work. This makes it easier to scale and ensures that employees perform their roles seamlessly.
Vendor relationships: Franchise owners typically cultivate long-term relationships with vendors, which franchisees can use to negotiate discounts and favorable rates.
Cons of roofing franchising
Now, here are the downsides of roofing franchising:
Limited control: In a way, franchisees answer to the franchise head and need to seek permission from the headquarters before making critical operational decisions. The franchise must also vet logos, positioning, and advertising copy.
Ongoing fees: The franchise agreement mandates franchisees to pay a fixed amount or a percentage of gross sales (typically between six and eight percent) to the franchise owner.
Potential risk from franchisor mismanagement: If the franchise owner makes a mistake or goes bankrupt, all franchisees operating under it are affected, too.
These downsides are not supposed to deter you from franchising. Instead, we’ve listed them so you know what you’re getting into and can make an informed decision. For example, an entrepreneur who values independence can start a business or buy a self-existing one.
Before you apply to a franchise, check with a franchise consultant and review the FDD. Look at the ongoing fees and what’s included, as some franchisors use the fees to cover administrative tasks such as appointment booking.
How Do You Choose a Roofing Franchise?
Franchisors are supposed to serve as long-term partners. You’re supposed to trust them always to do everything to ensure your business venture succeeds. That’s why it’s important to use various criteria to vet roofing franchises and ensure you pick the right partner.
For starters, pinpoint your needs and preferences. Do you wish to participate fully in the business or use it as a side gig? How much must you invest? What’s your current knowledge of the roofing industry?
Once you’ve answered those questions, build a list of franchises that fit your preferences. Search online franchise databases and speak to business mentors to have a list of solid prospects. You can even visit local franchise units and talk with other franchisees to learn more.
Next, cut down the list by picking franchises that share your values and offer the right incentives. Then, use the following criteria to ensure you select the right franchise:
Cost structure: Read the contract document to learn how much you’ll pay in royalties. Are you comfortable parting with such an amount? Do they promise extra services like call handling and appointment setting?
The level of ongoing support: Franchisors offer continuing training and support, the extent of which may vary. Read the franchise information to ensure the ongoing support they’re promising will be enough.
Operating locations: Look at the franchise location map to ensure no unit is already in your area. Better still, pick a franchise that grants exclusive territory status.
Brand reputation: Ensure the franchise is free of pending legal actions, liabilities, or claims. It should have a positive reputation and be a widely recognized brand.
The FDD contains all this information. However, if you find the details difficult to understand, contact a legal expert or franchise consultant who can explain them better.
How Can You Grow a Roofing Business?
Being part of a franchise doesn’t absolve you of the responsibility of growing your business. You still have to work to recruit the right people, attract leads, and encourage customers to return.
Rebekah Hatcher, a member of a reputable HVAC franchise, recently spoke at a webinar. In it, she explained the critical role business owners must play in their entity’s success.
“Anyone considering going into a franchise, I will say [that] if you think it's going to be easier than what you were doing before, that is a lie.”
Here are the extra things you need to do to grow your business, even after signing with a franchise:
Invest in marketing: Create a strong brand and promote your services to prospective customers using direct mail, email marketing, cold calling, and door-knocking. ServiceTitan’s Home Services Marketing platform allows you to track the revenue generated by each marketing channel from one central hub.
Invest in hiring the right people: Hire people with the required expertise to deliver quality services. Your hiring criteria should include technical and behavioral skills to ensure that only the right people are hired.
Manage your financials: To remain operational, you need to practice prudent financial management. Use ServiceTitan’s Accounting Platform to keep track of your expenses and income and the Job Costing software to ensure your work orders are profitable.
Focus on customer experience: Customers treated right the first time will always return to book new appointments. You should always go above and beyond to help customers and communicate with them throughout the job using ServiceTitan’s Customer Experience platform.
Provide customer options: To boost deal closure rates, offer customers multiple payment channels and price tiers. This way, customers will always pay immediately and choose an offer that aligns with their budget. ServiceTitan’s Pricebook Pro software also helps technicians create accurate, multiple-tier customer estimates.
Invest in technology: Use roofing software like ServiceTitan, our all-in-one cloud platform, to monitor your company’s progress and access detailed performance reports you can send to the franchise headquarters. You can also automate key business processes like job management, invoicing, and marketing.
The Bottom Line
Now, you can choose from any of the franchises we’ve suggested. Remember to use the checklist to select the right one with incentives that prime your business entity for success.
Once you’ve chosen a franchise, do everything necessary to ensure the business succeeds. Recruit the right people, offer quality services, and invest in roofing software like ServiceTitan.
ServiceTitan is cloud-based software that helps roofing companies streamline their daily operations, manage jobs effectively, and grow their business. The world's top roofing contractors use ServiceTitan's tools to succeed.
ServiceTitan Software
ServiceTitan is a comprehensive software solution built specifically to help service companies streamline their operations, boost revenue, and substantially elevate the trajectory of their business. Our comprehensive, cloud-based platform is used by thousands of electrical, HVAC, plumbing, garage door, and chimney sweep shops across the country—and has increased their revenue by an average of 25% in just their first year with us.
