This YouTube interview ("$1M Roofing Company Failing! (TURNAROUND)") documents Mike Andes meeting with Eduardo from Top Dogs Roofing and Sheet Metal to diagnose a struggling roofing business. Early excerpts reveal acute cash stress ("I only have $1,000 in my bank account"), concern about audits and taxes, and that the company’s revenue has roughly halved over two years. The transcript covers company structure (family-run: brothers/cousins), division of roles (marketing/sales, financial oversight), operations (mix of subcontracting and in-house repair work), and that repairs—often using leftover materials from installs—drive higher margins than full roof installs. Eduardo also notes storm-driven demand cycles (storms every ~3 years) and wariness about relying on storms.
Chapters
From, like, a cash perspective, it's got to be pretty tight.
I only have $1,000 in my bank account now. I was like, ah, man.
And all of a sudden you get audited, and now you owe a million dollars.
If I don't can't pay it, I'm not going to be in business anymore.
15,000.
We just wiped out all your profits. No workers comp, no payroll tax. Just don't hire people. Why are you not taking them for a tune up? I don't want the buyers to see this list. And honestly, we don't even want to sell this roof. And who cares?
You will get tons of business.
Who cares if we get it? You're selling insurance, and that's a good business model. I'm here to turn around this roofing business because their revenue has halved in the past two years. Ooh, very nice. For truckies, the destination is on your left.
Top dogs roofing and sheet metal.
Top dogs roofing and sheet metal. I'm parking in the no parking spot. Arrived.
Okay.
The new dogs in town.
All right. Where are we going? The office. I like that. That is a good sign. I'm guessing. I'm not.
How's it going? Good to see you guys. Mike, what's your name?
Eduardo.
Eduardo. Victor to see you. Good morning. What's your name? Steven. Steven and Gilbert. Gilbert. I guess I was kind of fanning a bit, but yeah, I was kind.
Of nervous for it to meet him.
Yeah, still am right now a little bit. Great. So, okay, so what's the relationship? Is it all brothers or what?
Yeah, all. All brothers and cousins.
Cousin. Okay, so and is it all 25? 25. 25, 25. So what's kind of the rule of each person then?
I do math most every time he here. Like, check everything, make sure everything's good.
Okay.
He does most of the marketing. Same thing when he does sales and a little bit of marketing. But he. He's out there. He just answers the phone calls right now.
Got it. And then for the work being done, do you sub mostly out, or do you guys do that so as well?
We do sub it out, but we do most of the work also. Like. Like I said, I'm always up there for repairs. We used to do. We actually did roof before we all shingle before we all been on the roof. That's how we started, actually.
Cool.
All of us basically started in the field at the same time. As soon as we got out of high school, we started working with our brothers. And then we just decided to take It a step further. Basically it's all business, nothing personal. After that we can, we hang out, what to eat, you know, stuff like that and any issues we tell about it. But 8 to 5, all business, doesn't matter. We're not family here, you know, so.
So like if someone wants a new roof or like a brand new one, you guys would sub that out. But then you're mostly doing repairs on your own.
Yeah, everything is in hallway. Everything else after that.
Okay. I have a lot of questions about how a roofing company operates. However, there's a lot of similarities when it comes to comparing different home service industries. The team from top dogs obviously reached out to me for a reason. And so really my first question is where's the money and what's the most profitable service for their business? So if you look at the business from a revenue perspective, what percentage of it kind of comes from the repair side versus installs and the sub out?
Okay. So most of them we get more money from repairs because we get leftover from the full roof, nails, all that stuff. I mean we get left over. So we don't gotta pay anything for repairs. We don't pay anything.
Got it.
So on food roofs we do make more. It covers most of the everything expenses when we do the repairs. That's when it comes most of just point profits after that.
Got it. And is those repairs mostly like a leak or are we talking like a new roof that someone messed up on?
Messing up the roof? I mean our tree wrench fell missing shingles because of the wind. Just a few little shingles.
So you like storms?
Yes or no? Okay, it depends. I don't pay for it, but if this dude comes, I'm fine with it. Yeah, I don't really pray on that. Yeah, even we're in like in a market, a storm market.
Right.
So there's storms every three years. But I don't want to rely on storms because of what happens around this area is storm happens. A lot of people come in, build their business up, they feel like their expenses so high, like buy new trucks, everything, you know. Yeah. Once the storm goes away, which.
