The restoration industry is an ever-evolving industry. New challenges, such as navigating the effects of climate change, integrating artificial intelligence, and managing insurance claim disputes, are pushing businesses to adapt. Whether you’re a restoration professional or simply curious about this essential field, understanding key information and trends can provide valuable insights into where the industry is headed—and what it takes to thrive in it.
In 2024, finding reliable data about the restoration industry isn’t easy. Data and estimates can vary greatly depending on where you look. This gap in data happens for a few reasons, like how different sources define restoration work or the lack of a central source for industry stats. While it can be challenging to find exact data, the figures and estimates available can help paint a picture. Today, we’re here to discuss the information that we do have about the restoration industry in 2024.
Much of the data we will share today comes from the 2024 State of the Industry, a report sharing research conducted by C&R Magazine and KnowHow to increase transparency into the industry.
Just how big is the restoration industry in the United States? It depends on who you ask and how you define it.
The United States restoration and remediation industry was projected to reach $80 billion by 2022. According to World Metrics, disaster recovery services were estimated to bring in $11.5 billion annually in the United States. Some sources estimate the total industry valuation at $21 billion. Researchers disagree on the exact total annual industry revenue, but there’s one thing they all agree about: the United States restoration industry is a multi-billion dollar industry.
The median restoration company in the United States expects to generate $18.3M in revenue in 2024. Full-service companies that offer both mitigation and reconstruction services are more likely to bring in more revenue than mitigation-only restoration companies, according C&R Magazine and KnowHow.
According to C&R Magazine and KnowHow’s 2024 State of the Industry report, 64.6% of restoration businesses are independent contractors and 35.4% are part of a franchise.
Half of the restoration companies in the United States employ between 11-60 individuals. 25% have a headcount higher than 60, and another 25% have a headcount between 1 and 10, C&R Magazine & KnowHow found.
Water damage mitigation continues to dominate the restoration industry in 2024. Half of restoration companies say water damage mitigation is their number one service offered.
In 2024, the average restoration company does about 75% residential restoration work and 25% commercial restoration work.
According to the 2024 State of the Industry report, around 80% of restoration companies handle restoration projects from beginning to end, offering reconstruction services as a part of their services. This is a 5% increase in full-service restoration companies compared to 2023. While reconstruction work comes with lower margins than water mitigation work, more companies are turning to it, both to grow their company or to provide more reliable work.
Private equity firms are becoming major players in the restoration industry, investing more and more in both franchise and independent businesses. This trend is reshaping the competitive landscape. Smaller, privately-owned restoration companies are struggling more to compete for large commercial jobs against larger, private equity-backed firms with more financial resources. Private equity-backed restoration businesses are facing increased pressure for profitability.
The effects of climate change on the restoration industry are undeniable, with more frequent and severe natural disasters driving demand for restoration services. Hurricanes, wildfires, and flooding events are not only becoming more common but also more intense. Restorers are prioritizing preparedness for large-scale disaster response.
Artificial intelligence (AI) is rapidly becoming a valuable tool in the restoration industry. Companies are leveraging AI for tasks such as estimating, job site documentation, and training. Restorers are using AI tools to help streamline operations, reduce errors, and improve decision-making.
Navigating restoration insurance claims has always been a challenge for the industry, but the process is becoming an even bigger hurdle for restoration companies in 2024. Restorers are facing longer waiting periods for payment than in 2023. Nearly 75% percent of businesses surveyed for the 2024 State of the Industry report were waiting 30 days or more for payment.
With time to pay from insurers increasing, many restoration companies are seeing the consequences to their business’s finances and relationships. Our restoration insurance billing services at OCS help businesses strengthen their accounts receivable process, reduce conflicts with insurers, and speed up payment. Reach out to our restoration insurance billing team to learn more.
Want more in-depth insight into trends into the restoration industry? Subscribe to One Claim’s free newsletter, Claims Corner, to receive regular updates from our team of restoration insurance billing experts.
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Hi there! I’m Connor, the Account Executive for One Claim. My goal is to guide our contractors through the sales process, ensuring you’re equipped with all the information you need to make your decision and hit the ground running once aboard. We view ourselves as an extension of your business and I strive to make the process an enlightening and consultative one.
My career has primarily been focused in software sales over a few different industries but the last few years were spent helping general contractors solve similar problems to what we’re doing here at OCS! Outside of work, I love spending time with my family, cooking and boating during the summer months.
Hello! I’m Nicole, and I’m here to champion for our employees, recruit for new talent, and impact culture at One Claim Solution. I find satisfaction in supporting a memorable employee experience and bring innovation, problem solving, and strategic view to the process. Nothing is more important than our people, and a healthy culture is my top priority! I have had the pleasure of building my career in various sectors, specializing in small to medium size firms focused on high-growth. My experience is centered around driving and implementing change, leading high-performing teams, and driving process improvements. I am excited to make an impact at One Claim. Outside of work, my family and I enjoy getting outdoors as much as possible to explore beautiful Colorado!
Great to meet you! I’m Elizabeth, and I’m the one behind all the emails and advertisements you’ve been seeing. As the Demand Generation Manager at One Claim Solution, my mission is to connect with contractors like you who need our services. I’m passionate about having an impact on others and I bring a wealth of experience in demand generation and marketing strategy to create moments of delight, curiosity, and education for you.
Prior to One Claim Solution, I had the privilege of building marketing departments from the ground up at companies in a variety of industries, including IT consulting, first protection, and healthcare. Personally, I love being outdoors, playing Dungeons and Dragons and board games, singing, and traveling.
Welcome! I’m Alisha, and I’m here to champion your success as the Director of Contractor Success at One Claim. With a passion for helping contractors thrive, I bring a wealth of experience in onboarding, customer service, and account management to ensure your journey with us is nothing short of exceptional.
Prior to joining One Claim, I had the privilege of scaling SMB and Enterprise Customer Success teams at fast-growing SaaS startups. With over six years of experience at companies like Mavenlink, Teamwork, and ServiceTitan, I honed my expertise in building high-performing teams and fostering proactive, consultative relationships. This background has equipped me with a deep understanding of the challenges faced by businesses like yours, and I’m dedicated to helping you overcome them.
Hi there, my name is Eric! I am the Chief Technology Officer here at OCS, spearheading our technical strategy. I have a background in computer science, graduating cum laude from BYU-Idaho with a Bachelor’s degree in Computer Information Technology.
Before coming to One Claim, I served as the Director of Engineering at Slingshot Technology, Inc., a company later acquired by WorkWave in 2021. My professional journey has spanned both emerging startups and established corporations, with a steadfast focus on cultivating high-trust, low bureaucracy teams and innovating technology using agile methodologies.
In my free time, you can find me flying drones, enjoying the outdoors, and spending time with my family.
Hello, my name is Cam, I’m the COO of One Claim Solution! I come from a management consulting background (Bain & Company) and hold an MBA from the University of Michigan. I have worked at a wide variety of organizations, from Fortune 500 to small-cap, in an equally wide variety of industries. I have over 15 years of experience in operations and strategic growth, and I have spent much of my career focused on developing high-performing tech-enabled service organizations through early stage and high growth phases.
Outside of work, my wife Brittny and I have four kids, ages 13 to 6. As residents of Mesa, Arizona, we love to ski and explore the national parks of the southwest!
Hello, my name is Dan, and I am the CEO of One Claim Solution. I am super excited by everything we are doing at OCS to be the market leading insurance billing specialist that advocates on behalf of our restoration contractors.
My professional experiences are predominantly corporate in nature. My career started at General Electric in finance and accounting. Immediately prior to joining OCS, I spent time as an investor at Bondcliff Partners and management consultant with Bain & Company. I also hold an MBA from the Kellogg School of Management at Northwestern University and got my BS in finance and accounting from Northeastern University.
Outside of the office, I enjoy spending time with my wife, two young children, and our family dog, Whiskey. We live in Charleston, SC and take advantage of the beautiful weather by spending as much time as possible outside at the beach or adventuring around town
Hi, I’m Josh! In 2016, I co-founded One Claim Solution with my partner Jeremy Traasdahl, and I serve as General Counsel of One Claim Solution. Working in the restoration industry, Jeremy and I saw contractors struggling to get paid quickly and fairly and we knew there was a need for change. We founded One Claim Solution to be this change and it’s been my privilege to see our company grow and to advocate for our clients as general counsel.
Outside of my passion for helping the restoration industry, I enjoy spending time outdoors, fly-fishing, hunting, skiing, and coaching my kids’ baseball teams. I’ve been married to my amazing wife for 20 years and we have a beautiful family of 5 children.
Hey, I’m Jeremy! In 2016, I co-founded One Claim Solution with my partner Josh Ehmke. Working in the restoration industry, Josh and I saw contractors struggling to get paid quickly and fairly and we knew there was a need for change. We founded One Claim Solution to be this change and it’s been my privilege to lead our amazing team.
Prior to One Claim Solution, I started my career as an inside sales rep for Avnet, then moved to Pepsico as a district sales manager. Outside of work, I love spending time with my wife and four children, two boys and two girls!
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