Originally published January 9, 2025. Updated September 2026 with a summary, next steps and answers to common questions.

Does it surprise you to hear that only 0.05% of contracting businesses reach the $10 million mark—or that only 5% make it to $1 million! What sets this small percentage apart from the rest? It’s not luck or a secret formula; it’s a clear strategy built on intentional growth.

At STG, we’ve worked with nearly 1,000 roofers and contractors to develop a structured a approach to scaling through : the 8-Figure Sales Team. These methodologies empower owners, sales leaders, and reps to unlock their potential and achieve sustained growth. In this series, we’ll break down the three stages of growth and what it takes to move from one phase to the next. 

Let’s begin with phase 1: building a foundation.

Contractors in this phase of growth are generating up to $4 million in revenue with a team of 1-5 sales reps. The focus here is on creating a scalable sales process, generating quality opportunities, driving performance across your team, and enabling data-driven decision-making.

Your sales process: the foundation for growth

A robust sales process is the backbone of every successful team. Without it, your team will defualt to your prospect’s process (That means their pricing, timeline, and more!). Or, develop their own processes, leading to inconsistent results. Either way, it won’t be coachable, repeatable, and trainable for new reps, which means it won’t be effective or scaleable.

We recommend a question-based, consultative process measured by milestones rather than a scripted approach. Our proprietary system, Baseline Selling, equips sales reps to move prospects through the buying stages (bases) by:

  • Listening actively to customer needs
  • Addressing objections with confidence
  • Guiding prospects through a logical decision-making journey


It’s easy to learn and teach–and reps love it. With this system in place, you create a winning culture that drives results.

Dive deep into Baseline Selling. Catch the replay of our recent online training session, The 8-Figure Sales Team.  

Opportunity knocks: The Honeyhole method

Keeping the pipeline full of high-quality leads is essential. This can be done efficiently through geo-targeting – what we call the HoneyholeTM method. A Honeyhole is a small, high-potential geographical area where brand awareness, targeted marketing, and relationship-building can create a steady stream of jobs and referrals. 

Here are the key steps to building a HoneyHole:

  • Pre-market warming: Use direct mail, social media, and geo-targeted ads to establish your presence.
  • Jobsite marketing: Make every jobsite a billboard with signs, branded trailers, and creative solutions. (Check out The Catch-All for a creative and functional alternative to yard signs!) 
  • Four knocks strategy: Gradually reduce resistance with multiple touches—from initial introductions to warm follow-ups—to make it easier to activate your sales process.


Learn step-by-step how to create a Honeyhole. Catch the replay of our recent online training session, The 8-Figure Sales Team.

Sell more value

Why sell 20 jobs at $15,000 when you can sell 20 at $25,000? You can increase your average deal size by offering add-on products, warranties, and premium options—and targeting higher-value prospects. A top-down sales approach starting with the most expensive offering ensures customers understand the value of your premium offerings and are prepared to invest more. If you do this and do a good job applying the sales process, your prospect will be well-equipped and mentally prepared to decide to work with you, spend more money, and recognize the value. 

Know your numbers

Data drives growth by empowering informed decision-making. If you can access sales KPIs (key performance indicators), you are well on your way to success.

Key metrics to track in Phase One include:

  • Close ratio
  • Selling cycle
  • Percentage of sales against goal
  • Marketing-generated leads against goal
  • Cost per lead
  • Cost per booked appointment
  • Prospecting (self-generated) leads against goal

SUCCESS STORY: AVCO ROOFING

AVCO Roofing is a testament to the power of Phase 1 strategies. By implementing a robust sales foundation, they scaled their commercial sales from $0 to $7.5 million in just 24 months. This rapid growth highlights the importance of strategic planning and process implementation.

Ready to build your eight-figure sales team? Dive deeper into our sales methodologies and see where your business stands with the free 8-Figure Scorecard in our recent online training session, The 8-Figure Sales Team. 

Building the base for an 8-figure sales team

What is Phase 1 of the 8-Figure Sales Team?
Phase 1 is the foundation stage. It covers contractors generating up to $4 million in revenue with a team of 1-5 sales reps. The focus is on four things: a scalable sales process, a steady flow of quality opportunities, performance across the team, and data-driven decisions. Getting these right is what lets a company move on to the next stage of growth.
What is the Honeyhole method for contractors?
A Honeyhole is a small, high-potential geographic area where brand awareness, targeted marketing and relationships create a steady stream of jobs and referrals. You build one with pre-market warming through direct mail, social media and geo-targeted ads, jobsite marketing such as signs and branded trailers, and a four knocks strategy that reduces resistance with multiple touches before the sales process begins.
Which sales KPIs should a small contractor track?
The post lists the key Phase 1 metrics: close ratio, selling cycle, percentage of sales against goal, marketing-generated leads against goal, cost per lead, cost per booked appointment, and self-generated prospecting leads against goal. If you can access these numbers regularly, you can make informed decisions about where your sales team needs help instead of guessing.