By: Wayne Vacek

One of the most important decisions you make as a roofing business owner is how you structure your sales team. While using 1099 (independent contractor) sales reps can seem attractive—lower overhead, less risk—there’s a reason many of the most stable and profitable roofing companies choose to hire W2 salespeople instead.

This isn’t about how you handle installations. Subcontracted crews for roof installation are common and generally not an issue. What we’re talking about here is your salesforce—the people who represent your brand, generate business, and bring in revenue.

W2 Salespeople Drive Long-Term Success

W2 salespeople are employees. That means you can train them, hold them accountable, and align them with your company’s culture and goals. Companies with W2 sales teams often benefit from:

• Stronger brand control – You can set clear standards for customer interactions and pricing.
• More predictable performance – W2 reps are easier to manage to KPIs and pipelines.
• Greater team loyalty – Employees tend to be more committed when they feel invested in the company.
• Better margins over time – Though upfront costs may be higher, W2 reps often generate more consistent and profitable revenue.

The Hidden Risks of 1099 Sales Models

The 1099 model can work, especially in early stages. But as your company grows, it can create challenges:

• Lack of control – You can’t dictate how or where 1099 reps sell.
• Misaligned incentives – Contractors may not care about your company’s reputation or long-term success.
• Compliance concerns – Misclassification of workers can lead to tax and legal issues.

If your sales walk out the door when a contractor leaves, your business isn’t stable—it’s dependent.

What We See in the Market

In our work advising roofing companies, we’ve noticed that those with W2 sales teams tend to be more organized, efficient, and ultimately more valuable. Even if selling isn’t on your radar, building a business that could be sold is often the same as building one that runs smoothly, grows consistently, and gives you more freedom as an owner.

Thinking About the Next Step?

If you’re exploring how to make the shift—or just curious about how others structure compensation and incentives—our team would be happy to share what we’re seeing in the market. There’s no one-size-fits-all approach, but there are patterns that work.

Reach out if you want to talk through it.

Want to learn more?

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