Can I Make Money Doing Water Restoration?
Short answer: yes — but only if you understand how the money really works.
Water restoration can be a highly profitable business, especially for owner-operators and small teams who know their numbers. But the key to success isn’t just in getting jobs—it’s in knowing which jobs are worth doing, how much they actually cost you, and what’s left over after labor, materials, and overhead.
Here’s what you need to know if you’re thinking about getting into water restoration or trying to grow your current business.
💰 What’s the Typical Revenue for a Water Restoration Job?
Most restoration jobs fall between $2,500 and $10,000, depending on the severity of the damage and the scope of work. Insurance-funded jobs can be larger, but they often involve delays in payment and extra documentation.
Average job size for owner-operators:
Dry-out jobs: $3,000–$5,000
Mold remediation: $4,000–$10,000
Full-service (water + rebuild): $10,000–$30,000+
The catch? You might be working hard but still not making a profit—unless you're watching the right numbers.
📊 What’s Left After Expenses?
Let’s say you bill $100,000 in a month. Here’s a typical breakdown for an owner-led business:
COGS (materials, equipment, subcontractors): 30–40%
Labor (technicians, helpers): 20–30%
Overhead (insurance, software, trucks, rent): 15–25%
That might leave you with 10–20% net profit, if your jobs are priced correctly and your team is efficient. But if your COGS creeps up or your overhead isn't under control, that margin shrinks fast.
🚧 What Can Go Wrong?
Many new restoration business owners struggle because they:
Don’t track job costs closely enough
Take every job, even if it isn’t profitable
Underprice labor or don’t include downtime
Let overhead grow faster than revenue
Wait too long to get paid on insurance jobs
You can be busy and still losing money. That’s why monthly KPI tracking is essential.
✅ What Makes Restoration Profitable?
Profitable restoration companies:
Track KPIs like labor %, COGS %, and net profit monthly
Know their breakeven point and price jobs to cover it
Say no to low-margin jobs or adjust pricing to protect profit
Watch cash flow and billing cycles closely
Invest in tools and staff only when it makes financial sense
At Kiwi Cash Flow, we help restoration contractors make confident financial decisions by tracking the KPIs that matter most—job size, job volume, labor %, overhead, and net profit. With the right insights, you don’t just make money—you keep it.
Ready to Know If You’re Profitable?
If you're running a water mitigation or restoration company and aren’t sure whether you’re actually making money—or could be making more—we’re here to help.
📈 Learn more at https://www.kiwicashflow.com and schedule a call to see how your numbers stack up.