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How to Start a Roofing Business in New Jersey

Roofing jobs are large, weather-driven and often paid through insurance claims, so a few good months can carry a year. They are also high-risk: falls are a leading hazard, insurance costs are high, and many states and cities license roofers. Strong estimating and safety practices decide whether you last.

Reviewed November 5, 2026 · Sources linked inline

New Jersey requirements for this business

  • Repairing and renovating residential property is home improvement work, so residential roofing businesses generally must register annually with the Division of Consumer Affairs; work on purely commercial properties is excluded. [source]
  • Registration requires commercial general liability insurance of at least $500,000 per occurrence plus workers' compensation unless exempt by law. [source]
  • Since P.L. 2023, c. 237, registrants must also post a bond or other security of $10,000, $25,000 or $50,000, depending on contract values and prior 12-month volume. [source]
  • The initial registration fee is $110, renewal by March 31 is $90, and the registration number must appear on ads, business cards, commercial vehicles and business documents. [source]
  • Home improvement jobs over $500 require a written contract. [source]

Statewide steps for every New Jersey business — forming an LLC or registering a business name with the New Jersey Business Portal — are on our state licensing directory.

FirstBizGuide is not a government agency: any license or registration fees are paid directly to the agency named in each source. These are the New Jersey facts we have verified so far, not a complete list. City and county rules vary — check with your local government before opening.

Startup costs

We haven't found a reliable published cost range for this business, so we don't show one. Costs vary widely by market, equipment and whether you buy new or used. Plug your own quotes into the worksheet:

Open the roofing contractor cost worksheet →

SBA 7(a) loans in this industry

Roofing Contractors (NAICS 238160): 948 loans approved in FY2024–FY2026. Median loan $178,500; middle half $64,725–$367,875.

Loan size is not startup cost — these loans also fund acquisitions, real estate and working capital. Full breakdown and caveats →

How much competition is there?

Census industry: Roofing Contractors (NAICS 238160)

In New Jersey: 374 employer establishments (2023) and 5,105 businesses without employees (2024). Nationwide: 25,519 employer establishments (2023) and 317,990 businesses without employees (2024).

The count of businesses without employees is for the broader Census group “Foundation, Structure, and Building Exterior Contractors” (NAICS 2381), so it includes related businesses, not only this one.

See counts for your county → Counts aren't a measure of saturation — see the caveats on the tool page.

Equipment and supplies

  • Extension ladders and ladder hoist
  • Personal fall arrest systems: harnesses, roof anchors and lifelines
  • Roof jacks, planks and toe boards
  • Roofing nailers and air compressor
  • Tear-off shovels, pry bars and magnetic sweepers
  • Dump trailer or dumpster access
  • Tarps for weather protection
  • Measurement and estimating software

Licenses and registration

  • If you form an LLC or corporation, register it with your state; if you use a business name other than your own, file a trade name (DBA) where your state requires it (in some states that's the county).
  • Many states and cities license roofing contractors, sometimes as a specialty license and sometimes under a general or home improvement contractor license; check your state contractor board and your city.
  • Re-roofing usually requires a building permit and inspection — check with your local building department.
  • OSHA's construction standard requires employers to protect each employee doing residential construction 6 feet or more above a lower level with guardrails, safety nets or personal fall arrest systems, unless the employer can show those are infeasible or create a greater hazard and uses a written fall protection plan instead. [source]
  • OSHA says a structure is residential construction when its end use is a home and it is built with traditional wood-frame materials and methods. [source]
  • Firms paid for work that disturbs paint in homes and child-occupied facilities built before 1978 must be certified under the EPA Renovation, Repair and Painting (RRP) rule, unless an exemption such as minor repair applies; EPA says window replacement and demolition of painted surfaces are always covered. [source]
  • Some states run their own lead-based paint (RRP) program instead of EPA; if yours does, certify with the state. [source]
  • Some states have specific rules for contractors who work on insurance claims or after storms; check your state's contractor board and insurance department.
  • Commercial clients and general contractors often ask for a certificate of insurance, a W-9 and proof of license.
  • Get a free Employer Identification Number (EIN) from the IRS if you will hire employees or form an LLC or corporation. Beware of sites that charge for this. [source]
  • To find your state's business registration office, use the SBA's state-by-state registration lookup. [source]

Insurance to consider

  • General liability (roof leaks and property damage)
  • Workers' compensation — required in most states once you hire, and often costly for roofing
  • Commercial auto
  • Tools and equipment coverage
  • Contractor license bond if your state or city requires one

Get quotes from several carriers or an independent agent; coverage needs depend on your contracts, state and staff.

Financing options

  • SBA 7(a) loans — the SBA's main guaranteed loan program, made through participating lenders. [source]
  • SBA Microloans — smaller loans delivered through nonprofit intermediary lenders. [source]
  • SBA Lender Match — a free tool that connects you with interested SBA lenders. [source]
  • Free counseling from your local SBDC or SCORE chapter can help you build the business plan lenders ask for. [source]

Estimate payments with the loan calculator, then check runway with the cash flow projection.

Ongoing operating expenses

  • Shingles, underlayment and materials (usually billed per job)
  • Dump fees and disposal
  • Crew wages or subcontractor costs
  • Insurance (workers' comp is often the biggest line)
  • Fuel and vehicle costs
  • Safety equipment replacement
  • Marketing and lead costs

Use the break-even calculator to see how many jobs or sales cover them.

Common mistakes

  • Skipping fall protection on low pitches or short jobs
  • Underestimating workers' comp and insurance costs
  • Not collecting a materials deposit
  • Relying only on storm work
  • Using subcontractors without checking their license and insurance

Finding customers

  • Google Business Profile with before-and-after photos
  • Referrals from realtors and home inspectors
  • Free roof inspections with clear written reports
  • Relationships with insurance adjusters and property managers
  • Yard signs during jobs

Startup checklist

Ticks are saved on this device and appear on My plan.

Compare with other businesses

Sources