What the Top 10% of Water Restoration Companies Have in Common (Based on Benchmark Data)
Ever wonder what the most successful restoration companies are doing differently? At Kiwi Cash Flow, we’ve been collecting benchmark data from water restoration contractors across the country—and the trends are clear.
The top 10% of performers aren’t working more hours or getting lucky with big jobs. They’re running tight operations, tracking their numbers, and making strategic decisions based on real data.
Here’s what the benchmark data tells us they all have in common.
1. They Keep Labor Under 30% of Revenue
Top performers don’t just staff efficiently—they manage productivity. Their techs are scheduled smartly, downtime is minimized, and utilization is consistently tracked.
Benchmark: Labor at 20–30% of revenue
Top 10%: Often closer to 22–25%, with high field efficiency
How?
They use KPIs like labor burden and utilization rate to price accurately and avoid over-hiring.
2. They Know Their Job Costs Inside and Out
They aren’t guessing on margins. Materials, equipment, subs, and drying rentals are tracked at the job level—every time.
COGS Benchmark: 30–40% of revenue
Top 10%: Usually under 35%, with tighter estimating and fewer missed charges
How?
They reconcile estimates with actuals and adjust scopes based on post-job reviews.
3. They Maintain Lean Overhead
The most profitable companies avoid bloat in admin, vehicle fleets, and office expenses. Every dollar in overhead is intentional.
Overhead Benchmark: Under 25%
Top 10%: Often closer to 18–22%, with clean, focused expense categories
How?
They budget based on revenue targets, not wish lists—and regularly review spending by category.
4. They Consistently Hit Net Profit Margins Above 20%
The top 10% aren’t just surviving—they’re thriving. They’ve built pricing models that cover labor, overhead, and profit—and they stick to them.
Profit Benchmark: 15–20%+
Top 10%: 20–25% net profit, even after fair owner pay
How?
They know their breakeven point and use monthly financials and KPIs to stay ahead of problems.
5. They Track KPIs and Benchmark Regularly
This is the biggest common denominator. High-performing restoration companies track KPIs monthly and compare against industry benchmarks—not just their own history.
What they track:
Labor %
COGS %
Overhead %
Net profit margin
Average job size
AR vs. AP days
Utilization rate
How?
They participate in benchmarking projects, review tailored reports, and take action when numbers shift.
Want to See How You Compare?
We run a free monthly restoration benchmarking project where you can see exactly how your business stacks up—no guesswork, no fluff.
✔ Send a few basic numbers
✔ We calculate your KPIs
✔ You get a monthly report showing how you compare to the industry
You don’t have to guess what the top companies are doing.
You just need to measure—and match—them.