How Profitable is a Windows / Doors Installation Business (2024)?

In a market worth $24.8 billion in 2023 and expected to reach $31 billion by 2028, the competition in the U.S. windows and doors installation industry is steep.

With over 51,200 businesses vying for a piece of the pie, we delve into the details: How much can you make, what are the start-up costs, and ultimately, how profitable is a windows/doors installation business in 2023? Let’s dive in!

Windows / Doors installation market overview

As per IBIS, the windows / doors installation market in the U.S. represented revenue of $24.8 billion in 2023 and is expected to grow to $31 billion by 2028.

Glass doors and windows represents the largest share ($19.9 billion) followed by locksmiths ($2.6 billion), and blinds and shade ($2.3 billion). Yet, with over 51,200 windows/doors shops across the country, the competition is also fierce.

How much revenue does a windows / doors installation business make?

Using the data from more than 2,200 franchised windows / doors installation and repair businesses, a windows / doors business earns $1,032,000 in gross revenue per year on average. This number is the average gross revenue per shop from 2,200 shops of the largest 12 windows/doors franchises in the U.S.

With an average cost of $700 per window / door installation, that’s a total of 1,470 windows / doors per year. Assuming 250 working days per year, that’s on average 6 jobs per day.

Yet, not all windows/doors shops have the same yearly revenue. Logically, some will earn more than others because of many factors like the number of employees, the area where it operates, etc.

How much does it cost to start a windows/doors shop?

On average, it costs between $103,000 to $219,000 to open your own windows / doors installation business.

This includes various costs such as training expenses, rent and utility deposits, leasehold improvements, vehicle, office furniture, computer equipment and software, professional fees, licenses and permits, insurance, supplies, working capital for the first few months, etc.

• Training expenses (2%): Cost of training staff in product knowledge, customer service, and installation techniques.
• Rent and utility deposits (11%): Allocated for securing a suitable showroom or retail space for showcasing windows and doors, including initial deposits and utility setup.
• Leasehold improvements (10%): Cost of customizing the shop space to optimize the display and functionality of windows and doors.
• Vehicle (7%): Set aside for a business vehicle, potentially used for deliveries, measurements, and on-site consultations related to window and door installations.
• Office furniture, computer equipment, and software (14%): For acquiring office furniture, computers, and specialized software to manage inventory, orders, and customer relations.
• Professional fees, licenses, permits, and insurance (8%): Covering fees for industry certifications, necessary licenses, and risk and vehicle insurances.
• Marketing (8%): Budgeted for advertising campaigns highlighting the unique features and promotions of the windows and doors offered by the shop.
• Inventory, tools, and supplies (6%): Allocated for purchasing an initial inventory to be sold, as well as the tools and supplies needed for installations and repairs.
• Working capital (34%): To fund salaries, admin expenses, etc. and to provide financial flexibility for any unexpected challenges in the day-to-day operations for the first 3-6 months.