“We’re not an insulation company offering home improvement,” Zorzy says. “We’re a home improvement company offering weatherization. We’re a one-stop operation for people who need these services. We think it’s the future.”
REACH FOR THE SUN Bob Connolly, co-owner of Con-Lyn Home Improvement, in Avondale, Pa., became interested in solar power—specifically roof-installed electrical systems—in 2007. After exploring options he and business partner Guy Jacquet signed on for training with Solar Energy International, a nonprofit headquartered in Carbondale, Colo. He wanted to be able to identify the customer and understand the installation process. In Pennsylvania, companies that install solar systems have to be accredited in order for homeowners to be eligible for incentives worth 20% to 25% of the cost of an installed system. Those incentives, combined with a federal tax credit for 30% of the cost of the installed product, can amount to as much as half the cost of a system, bringing the homeowner’s out-of-pocket expense for a photovoltaic solar roof project into the $15,000 to $30,000 range. Today 70% of Con-Lyn revenue comes from solar installations through its solar division, called Solar Pro.
Taking on solar isn’t like adding another energy-related product to your mix. The challenges are different. Here’s what Connolly has learned:
- Getting started involves making tough decisions. There’s a wide range of product choices from a variety of companies. He and Jacquet went to trade shows to see first-hand what vendors had to offer. Connolly puts start-up costs in the $50,000 to $75,000 range in terms of the time, equipment, training, and marketing required.
- The hardest part is getting the training and the certification necessary to do business in some states. Connolly says that he “didn’t sell a thing” in the three months it took to get certified and registered with the state of Pennsylvania.
- Leads come from trade shows, previous clients, and online lead-generation companies. Incentives help make systems affordable for consumers. Successful solar contractors find those incentives and work them into the cost. Con-Lyn Home Improvement’s sales have tripled between 2007 and today. Of course, the big question for solar contractors is whether or not consumers will continue to be interested once federal tax credits disappear in 2016. Connolly believes they will because he anticipates that by 2017 solar systems will cost about half what they cost now.
