Water damage is a major problem in the United States. Every day, around 15,500 people experience some type of water emergency at home or work, which means that it’s an issue for many families on top of being expensive to repair! If you have skills related specifically to drying out wet surfaces (and know-how), then consider starting your own business offering these services. This sector is particularly profitable due to high demand right now, especially considering all the billions spent by Americans every year repairing leaks. This alone already costs $2835 per job.
Here are six reasons why water restoration businesses are lucrative nowadays:
1. There is a high demand for water restoration services and very profitable
On average, water restoration companies charge $2,650 for simple mitigation jobs or dry-ups. Of this price, the profit margin is usually 73%. For major restoration work such as a rebuild, they will often request up to 52% more from customers, which can lead them to charge 10k (or higher) per project – but with these high margins comes to some risk involved too!
2. The restoration damage industry is growing rapidly
The restoration industry is booming! The United States currently has an estimated value of $210 billion in this field, which is expected to grow by 3% yearly. Restoration services are needed due largely at least three factors: increasing intensity of natural disasters like flooding or wildfire issues; aging homes that need repairs because they have been damaged over time (from weathering) as well infrastructure failures such things pipes bursting to cause water leaks which can lead into mold growth inside your house.
3. The market is fragmented, which means that there is room for new players
You know the saying, “when it rains, it pours?” That’s definitely true when it comes to water damage. Water can quickly turn your life upside down from a natural disaster or a plumbing mishap. And if you’re a restoration business owner, you know that this is one industry where fragmentation means opportunity. There are plenty of gaps in the market for new players to move in and make their mark.
4. Water restoration businesses have low overhead costs
When it comes to water restoration businesses, many people think that the only way to make money is to charge high prices. However, this isn’t always the case. Water restoration businesses have low overhead costs, which means that you can charge reasonable prices and still make a profit.
5. The industry is recession-proof
Water damage can strike any home or business at any time. Whether a broken pipe, hurricane damage, or just plain old leaky roof, water can cause serious and expensive damage. So it’s no surprise that the water damage restoration industry is one of the most recession-proof businesses around. In fact, according to IBISWorld, the industry is projected to grow by an average of 3.8% per year through 2020. That’s good news for business owners who are looking for a reliable and recession-proof industry to invest in!
6. Water restoration businesses offer great ROI (return on investment)
When it comes to water restoration businesses, there is no doubt that they offer a great ROI (return on investment). This is because they are in high demand due to the numerous water-related disasters that occur each year. As a restoration business owner, you can be assured that you will always have work to keep you busy. In addition, water restoration businesses also tend to be very profitable, so you can rest assured that you will be making a good income as well. So if you are considering starting your own water restoration business, now is definitely the time to do so! You won’t regret it.
Dive into Success: Launch Your Water Restoration Business Today
Water restoration businesses are a great investment. Not only are they profitable, but they also offer a high return on investment. Water restoration is the perfect industry for you if you’re looking for a recession-proof business with low overhead costs. You can book a free consultation with us to find out more about starting your own water damage restoration business. We would be happy to answer any of your questions and help you get started on this exciting venture.