Roofing Contractors Have Three Paths Into Solar

SRS Distribution says roofers can pursue installation, subcontracting or referral partnerships as solar becomes an increasingly adjacent business opportunity

Tesla_Residential Roof.jpg — Photo courtesy of Tesla Solar

Key Takeaways

Three Paths Into Solar: Roofing contractors can expand into solar through in-house installation, subcontracting partnerships or customer referrals without abandoning their core roofing business.
Operational Challenges: Solar projects require additional training, financing expertise and longer timelines for permitting and utility approvals, creating challenges for contractors accustomed to faster roofing jobs.
Growing Business Opportunities: SRS Distribution sees continued contractor interest in solar as roofing, electrical and HVAC services increasingly overlap in the whole-home energy market.

When SRS Distribution helped build the national installer network for Tesla Solar Roof, the company discovered an important divide between roofing and solar contractors.

"The roofing contractors were the best at installing the product; the solar customers were the best at selling the product," said Bill Eitenmiller, director of sales - solar at SRS Distribution.

The companies that could do both were often the most successful.

That experience continues to shape how SRS approaches roofing contractors interested in adding solar, even as the residential market adjusts to changing federal incentives and Tesla's decision to discontinue its Solar Roof product.

For roofers considering solar, Eitenmiller said the opportunity does not necessarily require building a full-service solar division. Instead, contractors are pursuing three different business models depending on their capabilities, customer base and willingness to take on additional complexity.

Three Ways Roofing Contractors Can Enter Solar

The most comprehensive approach is vertical integration, in which a roofing contractor develops the ability to sell and install solar systems alongside traditional roofing services. That model gives contractors greater control over the customer relationship and project delivery but requires additional expertise, training and operational capabilities.

For some companies, combining roofing, solar and electrical capabilities is already part of their business model.

Tucson-based Saguaro Solar, Electric & Roofing operates across all three trades. Co-owner Doug Vernon said the company's investment in Tesla installer certifications remained valuable despite the manufacturer's decision to discontinue Solar Roof.

"Because we're a solar company that's also licensed for roofing and electrical work, becoming a certified Tesla installer and a certified Tesla Powerwall installer was critical and is something we do not regret, even as the solar industry and the technology continue to evolve," Vernon said.

The company's experience illustrates how contractors can develop capabilities across multiple trades rather than relying entirely on outside installation partners.

Other roofing contractors prefer to handle solar sales while subcontracting installation work to qualified partners. Under that approach, roofing companies can offer solar as part of a roof replacement project without developing all the specialized installation capabilities internally.

A third option is a referral arrangement. Contractors encountering homeowners interested in solar can connect those customers with a solar provider and potentially earn referral revenue without managing the installation.

SRS supports customers pursuing all three approaches, Eitenmiller said. Some contractors want to control the entire project, while others want to capture opportunities that arise during roofing sales conversations.

Why Solar Operates Differently From Roofing

One of the biggest challenges for roofing contractors entering solar is adjusting to a substantially longer project cycle. In a conventional residential roofing project, a contractor may close a sale, order materials, schedule installation and complete the work within a relatively short period. Solar projects can take months to move from an initial sale to final operation.

Permitting, inspections, utility interconnection, and permission-to-operate requirements add steps not typically part of a standard roof replacement. Eitenmiller said a solar project can take roughly three months from sale to completion, depending on the circumstances. That longer timeline can complicate scheduling, customer expectations and the pace at which contractors close out projects.

Investing in solar capabilities can also give established roofing contractors reason to reconsider expansion.

Ryan Westfall, president of Florida-based Westfall Roofing, explored joining Tesla's Solar Roof installer network but ultimately declined. Westfall said the decision involved more than the cost of specialized training and equipment. Sending experienced crews away for training also meant losing productivity on existing roofing work.

"I think many don't consider the loss of productivity of your best team not working for two weeks. I struggled with that aspect," Westfall said.

He estimated that developing the capabilities to install Tesla Solar Roof could have cost his company several hundred thousand dollars, including lost productivity.

Although those costs were specific to Tesla's specialized system, Westfall's experience highlights a broader consideration for roofing contractors evaluating solar: The investment extends beyond certification and equipment to staffing, scheduling and the potential disruption of existing operations. Some roofing contractors have successfully developed the systems needed to manage those requirements. Others have concluded that partnerships or referrals are a better fit.

A Changing Sales Environment

The financing environment is another consideration. Eitenmiller said changes to federal solar tax incentives have altered the economics of residential solar, contributing to a greater emphasis on third-party ownership and leasing arrangements.

That shift affects how contractors present solar to homeowners and which products may qualify under certain financing programs. It also creates differences between customers who prefer to own their systems outright and those who want predictable monthly payments through a lease.

SRS works with contractors pursuing both ownership and third-party financing models, while helping them navigate available product and financing options. For roofing contractors, that means solar sales may require a different conversation from a traditional re-roofing estimate. Rather than focusing primarily on materials, warranties and installation costs, contractors must also consider electricity savings, financing structures and the homeowner's long-term energy goals.

Roofing and Solar Businesses Are Converging

Despite the market's challenges, Eitenmiller said SRS continues to see interest from roofing contractors exploring solar. He regularly receives inquiries from within the company's distribution network about roofing customers seeking solar products.

The movement is also occurring in the opposite direction. Solar contractors are expanding into roofing, while some companies are adding heating, ventilation and air conditioning services as part of a broader approach to residential energy systems.

Eitenmiller said the growing overlap between roofing, solar and other building systems reflects increased interest in whole-home energy solutions.

SRS is helping roofing contractors explore those opportunities through manufacturer training and installation partnerships. Whether contractors build their own solar operations, subcontract installations, or refer customers to partners, the goal is to find a model that complements their existing business.

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Tanja Kern is director of content strategy and managing editor for Roofing Contractor. She covers economic trends and the intersection of architecture, design, and construction, focusing on the forces reshaping the industry. She develops and amplifies content that connects roofing professionals with the intelligence they need to compete and grow.

With more than 20 years of experience, Tanja has written for national business, consumer and trade publications. She holds a Master of Science in magazine publishing from Northwestern University's Medill School of Journalism.