Roofer not VAT registered, is this suspect?

[ChochoCrazyCat]

We need a lot of work done on our roof...had a local roofer recommended by friends...sole trader, good reviews online (although I know these can be fake).

He came, inspected the roof, seemed to know what he was talking about...what he said was similar to what was in a roofing survey done previously by someone else. His quote was reasonable, not overly high but not cheap either. He's booked up for the next month, so obviously does a lot of work.

But...I've just found out he's not VAT registered. Obviously I don't WANT to pay more, but I'm worried this means he isn't legit. The work will cost several thousand and is more than just minor repairs, so it's important it's done properly.

Please excuse my ignorance of trades...but those of you who know more about that type of thing... would you say this sounds dodgy?

Surely he only has to register for VAT if he reaches the threshold - currently £85k. I would not think this was dodgy at all.

Being booked up for 1 month isn’t that long.

Vat registration is dependent upon turnover. He needs to do more than £85,000 pa. Wuth Covid, some people have dropped below this. It really means he’s not doing much work. Doesn’t necessarily mean he’s no good. Or not trustworthy.

If your job is, say, £15,000, is he doing 6 of these a year? Or similar multiples. Is he newly set up?

As long as he gives you a proper written quote and an invoice, there is no need to be VAT registered unless he reaches the threshold.

Check with other friends who have used him?

I would expect him to have a business bank account and that you don’t pay into his personal account.

Lots of smaller traders aren't VAT registered as the threshold is £85k turnover so it would depend on the amounts we are talking about. However in the construction industry that can add up quick.
If it's £2k a job then that would be different to £10k - some traders close to the threshold get you to pay for materials directly to merchants and just pay for labour to reduce the amounts going through their books (legal but can bring its own issues)
You probably need to ask more questions

No, my dh is a builder and not vat registered.

The sole trader who did my roof wasn't VAT registered. He didn't turn over enough to reach the threshold. Neither did he want to. He told me he had registered in a year when he had a lot of work and the extra stress and paperwork had almost doubled his admin load and tipped him into a nervous breakdown.
After that he just kept his turnover below the threshold.
He was a very good roofer.

Often with dole traders you pay the builders merchants for the materials directly to reduce the turnover, perfectly legal. With my father his income was often only £15-20k a year but turnover would have been past vat if he hadn't done this due to one or two high end kitchens or bathrooms (one client spent £20k just on tiles I remember!) accounting costs increase dramatically with vat and you earn no more money

He said he's been working in the area for a decade but checking online, seems he only registered his company last year. But maybe he had a different company before or worked for someone else, I don't know.
Friends were happy with him but they only had a small leak repaired rather than anything major.
Our work will cost around £5000...not structural but also not minor. He sent a written invoice on a PDF doc with his company logo and details. It's broken down into what each job would cost.

I had my kitchen done by someone who wasn't vat registered, like pp I paid for the tiles, cupboards, appliances etc. directly and they were delivered to me.

I then only paid labour and a couple of sundry pieces of materials to the trader.

Some trades charge a deposit when they're paying out for materials in advance. Paying materials yourself also has the advantage that even if the trader doesn't show - they haven't done a flit with your money. You still own the tiles /cabinets - yes annoying but you'd then just need another trader rather than fighting for money back.

My builder was vat registered, then not, then back on, as his business went up and down (he's had two heart attacks rather than covid issues). As stated depends on turnover and it can be a hassle.

He’s probably worked for someone else for a decade in the area. Now has branched out on his own. Only pay for materials when they arrive or set up a builders merchants account yourself and order what he wants. Fairly big faff with a roof but I would trust him and work out when you pay the money over in stages.

And just because someone is vat registered, it doesn’t guarantee a good job either. Doing a good job or not has got nothing to do with vat.

How many days is he estimating it will take to do your job and has he provided a day rate?

the figure you quote would cover a fairly significant roofing job, including scaffolding.

however

if your roof is old, consider the cost of a total reroof rather than repair.

The difference may make it worthwhile

(unless you are contemplating remove slates or clay tiles and throwing up horrid concrete)

I am in a coastal area. The local roofers know to use bronze or stainless nails as steel rusts in the salt spray. A householder might not know.

@ChochoCrazyCat

He said he's been working in the area for a decade but checking online, seems he only registered his company last year. But maybe he had a different company before or worked for someone else, I don't know. Friends were happy with him but they only had a small leak repaired rather than anything major. Our work will cost around £5000...not structural but also not minor. He sent a written invoice on a PDF doc with his company logo and details. It's broken down into what each job would cost.

He might have been a sole trader or a partnership before forming a limited company.

My dad traded as a sole trader for about 7/8 years before registering as a limited company. He went limited when he started doing work with more financial risk to keep his home safe.

Thanks for the responses...you've put my mind at ease. The roofer does seem good so we've decided to go with his company. I've enquired about payment and we don't pay until the end, so will be able to see the work first. The horror stories I've heard with cowboy workmen locally have all involved upfront payment, then the workman doesn't finish the job or does a poor job.