1Website Closers® presents a dynamic business specializing in generator installation. The electrical grid where this business operates has long been plagued by significant issues, resulting in frequent blackouts and an unstable power supply. Reports suggest that the current directive of the authorities is to prioritize temporary fixes, or “band-aid” solutions, rather than investing in comprehensive upgrades or replacements. This approach implies that the region’s electrical infrastructure is unlikely to see meaningful improvements or repairs for at least the next five years. Given this challenging situation, the demand for generators and installations has skyrocketed.
Residents and businesses are increasingly turning to generators to mitigate power outages and maintain a consistent power supply. With regular blackouts and an unreliable electrical grid, consumers in the area have become acutely aware of the need for alternative energy sources. Whether it’s homeowners seeking uninterrupted power for their households or businesses aiming to protect critical functions, the demand for reliable backup power systems is rising.
This company’s established and reputable presence in such a demanding market has given it a significant advantage. Customers seek reliable providers to deliver efficient solutions that meet their needs. They approach this business for its expertise, prompt service, and high-quality equipment.
The market shows no signs of slowing down in the foreseeable future. Industry projections indicate a continued surge in demand due to the persistent issues with the electrical grid. Consumers are expected to invest in backup power systems to safeguard their operations and minimize disruptions. Furthermore, the projected increase in extreme weather events amplifies the market’s growth potential, as these events can exacerbate grid instability and power failures.
This company has low overheads and working capital requirements since it does not use its own capital to fund any projects. The average project is approximately $14,000, and once a client is under contract, they pay a deposit. Management uses part of this to purchase the generator and the balance for other necessary materials. Clients are then invoiced for the balance on completion of the installation.
Another key selling point is the organic nature of client acquisition. Approximately 50% of projects are a result of referrals from individuals or businesses the company has completed an installation for. The quality of work, advantageous pricing, and excellent customer service entice them. Astutely, the business offers $250 to any clients that refer another job that is secured and complete.
20 to 30 percent of revenue results from online searches. The owner has spent significant time on SEO and the business’s web search pages. Subsequently, they rank first in the region on search engines such as Google.
The remaining projects come through a pay-per-lead online service, which the company uses on a small scale.
Sales remain strong throughout the year, and the business does not rely on seasonality. That being said, when the weather is hot or windy, the grid can be turned off and cause a boost in interest. However, the grid is consistently being worked on and regularly goes down, driving business. Management monitors the utility outage map and approaches clients within these areas who may be without power for over 24 hours.
The typical customers are homeowners from all walks of life who wish to avoid these outages and prioritize steady power.
The owner works full-time, focusing primarily on sales, invoicing, scheduling, and general office management. No employees work for the company. Instead, a team of proficient subcontractors is used, all of whom are happy to stay on post-acquisition or work on payroll.
Notably, the generator market where the business currently operates and the wider region is expected to experience significant growth, and industry experts forecast a robust upward trajectory in demand. Residential customers seek the peace of mind that comes with having a reliable backup power source during extended blackouts, while businesses across various sectors, such as medical facilities, data centers, and emergency services, prioritize uninterrupted power supply for critical functions.
As a result, the company has a promising future and could be scaled to unprecedented heights under a motivated new leader. A buyer will likely enjoy a swift return on investment and continued prosperity.
