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Insurance/Legal Matters in RestorationManaging Your Restoration Business

Overlooking the Basics: Why New Restoration Businesses Are Failing Prematurely

Raw talent isn’t enough. Restoration success entails patience, practice and business fundamentals.

By Klark Brown
Measuring business skillsets
Photo credit: Nuthawut Somsuk / iStock / Getty Images Plus

Photo credit: Nuthawut Somsuk / iStock / Getty Images Plus

July 14, 2025

From the Court to the Construction Site

There’s a Charles Barkley moment that lingers in my memory. He’s riffing on the state of modern basketball—how players come into the NBA after just a year of college ball, loaded with raw talent but starved for experience. They haven’t learned how to lead, how to lose or how to carry a team. Barkley’s take? The league suffers for it. 

He’s right.

You can’t rush maturity. You can’t fake wisdom. And this problem isn’t just plaguing pro basketball—it’s hitting the restoration industry, too. 

We’re watching the same pattern play out on a different kind of court: fewer jump shots, more CAT 3.


Novices Attempting Advanced Play

Restoration companies are launching at an unprecedented rate. On the surface, it looks like progress. Energy. Growth.

But beneath the logo wraps and new websites? Many of these businesses are folding before they get their footing.

Why? Because they’re being built by people who skipped the fundamentals. Former techs, PM's or Estimators with solid field skills—but no clue how to read a P&L. Franchise buyers from outside the trade—used to managing operations, maybe, but not restoration chaos. They underestimate what it takes to juggle sales, production, cash flow and team dynamics… all at once. 

Just like Barkley’s critique of young NBA talent, the issue isn’t potential. It’s premature elevation. They’re trying to run a varsity playbook without finishing practice.

 

The Challenge: Skill Alone Is Insufficient

Here’s the hard truth: just because you’re good at the work doesn’t mean you’re ready to run the business. 

Too many owners treat the jump from technician to CEO like a promotion. It’s not. It’s a transformation. One that requires a whole new set of muscles.

Running a restoration company means building systems, leading people through volatility, managing vendors, staying profitable and navigating one fire after another—sometimes literally. 

Without mastering the basics? 

  • You’ll misprice jobs.
  • You’ll miss red flags in receivables.
  • You’ll hire the wrong people for the wrong roles.
  • You’ll confuse movement with momentum—and burn out chasing every urgent thing. 

When setbacks hit—and they always do—you’ll realize you weren’t building a business. You were playing business.

 

The Barkley Analogy: Diligence Cannot Be Skipped

Barkley’s not slamming young players for lacking talent. He’s calling out the system that lets them skip the grind. 

They need more reps. More losses. More time in the locker room with a real coach showing them what the game really demands.

The same goes for restoration. You don’t earn your stripes on day one. You earn them through years of hard nights, hard lessons and learning how to bounce back from bad calls—yours and others. 

Ownership isn’t a status symbol. It’s a responsibility. And it demands more than a logo and a truck and a subscription to Xactimate/ DASH.


Master the Basics Before Leading the Charge

The good news? Failure isn’t guaranteed. But stability? That must be earned.

Here’s how the best in the business—the top 8%—actually made it:


1. Stay Engaged in the Field (Longer Than Feels Comfortable) 

Before you leap, learn. Watch how your leaders handle chaos. Study estimates, invoices and margin management. Observe how they talk to clients during a crisis—and what happens when a job goes sideways. That’s your real-world MBA.


2. Seek Guidance from a Mentor with Scars, Not Just Achievements

Find someone who’s been through the fire (figuratively and literally). Someone who can tell you where the landmines are buried. Let their scars become your strategy. You don’t need advice from influencers—you need wisdom from builders. 


3. Master Financial Literacy or Fall Victim to Financial Pitfalls

You don’t need to love numbers, but you do need to know them. Understand your break-even point. Know your cash flow rhythm. Learn what overhead really costs you. You’re not running a job—you’re running a machine. Don’t let it run you.


4. Cultivate Relationships Before Crisis Strikes

Don’t wait until you’re desperate to start networking. Build real relationships now—with subcontractors, vendors, other restorers and potential hires. The speed of your recovery when things go south depends entirely on who answers your call.


5. Lead Now, Not Tomorrow

Leadership isn’t a light switch you flip when you hire your first team. It’s a practice. Lead where you are now. Be the calm in the storm. Be the one who listens, clarifies and follows through. The habits you form now will either empower or sabotage your future team.


Final Reflection: Ask the Real Questions

Before you order that first branded hoodie or put “Founder” in your bio, pause and ask:

  • Do I truly understand the back end of this business?
  • Have I trained my leadership muscles, or am I winging it?
  • Am I chasing a dream… or stepping up to a responsibility? 

If your answers aren’t clear, you’re not behind—you’re right on time. 

Because the leaders who last in this industry? They didn’t launch fast. They launched ready.


Legacy Trumps Hype

Charles Barkley might not be your go-to business guru—but he nailed this one: Skipping development hurts the game. 

In this industry, shortcuts don’t just hurt you—they hurt your team, your clients, your reputation and the craft itself.

So don’t be the rookie with hype and no fundamentals. Be the vet who puts in the work, leads with clarity and shows up every season better than the last.

Restoration rewards those who build with patience, respect and depth.

Let’s build it right.

KEYWORDS: business ownership restoration business development restoration business strategy restoration industry growth small business

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Klark Brown is a seasoned restoration industry professional, co-founder of Restoration Advisers, and host of the Disaster Podcaster. With extensive expertise in operational leadership, he specializes in training, business development, and strategic consulting, empowering restoration companies nationwide to improve profitability, streamline operations, and deliver exceptional client experiences. Klark can be reached at www.restorationadvisers.com.

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