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Sun Volt

Sun Volt Solar

earth, the final frontier

Clean Energy, Clean Environment

We are at a cross roads in human history, we can choose to continue on as we have been, or we can make a change to improve our future and quite possibly the future for several generations to come. We are here to promote energy independence, a better environment, a secure future and a higher return on investment for your hard earned dollar. It is what I believe in, it is why I am in the solar business.

Business Cards

13 May 08 | Sales, marketing

It seems like a small thing, but I ordered business cards the other day, take a look:

sun volt solar business card

These came from Black Bear Printing, a local outfit right here in Kerhonkson, NY. I have to say, they came out pretty good! They have a site called The Printing Den, where you can design your own card online, or upload a design for printing. Since I already had a logo and a general idea of what I wanted, I chose to use the online design application. All in all, it was pretty easy to use. I paid $48.00 plus shipping for five hundred cards.

As part of the marketing effort and generally appearing to have one’s act together, I think this is an important step.

Since this blog is about starting and running a solar business, I am going to post more about the back end business stuff since that seems to take up at least half of my time.

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13 May 08 | Sales, marketing | Comments (0)

Books for the Solar Professional

27 Mar 08 | Solar Electric, Solar Hot Water

There are several reference books about solar energy and wind energy on my book shelf that I refer to from time to time. I find it helpful, especially when I am dealing with a complicated design issue, to do a little research. These books offer guidance and theoretical information which can greatly improve design considerations.

  1. de Winter, Francis, Et Al. Solar Collectors, Energy Storage and Materials, Cambridge, MA: MIT Press, 1990. This book is a great resource for theoretical problems. Very technical with lots of Calculus and Physics base equations for heat transfer, storage, black body radiation, etc. I like to pick it up and peruse through it once in a while just to keep on my toes. More for engineers than for the run of the mill solar installer.
  2. Lane, Thomas. Solar Hot Water Systems, lessons learned 1977 to today Gainesville, FL: Energy Conservation Services of North Florida, 2004. This is the bible on Solar Domestic Hot Water systems. There are a few pages devoted to space heating, but most of the book is for SDHW. Includes information on sizing, mounting of collectors, storage, pumps etc. If you are going to install a SDHW system, this book is a must
  3. Solar Energy International. Photovoltaics Design and Installation Manual. Gabriola Island, BC Canada: New Society Publishers, 2004. Excellent PV installation manual, covers both grid connected and independent PV systems. Has chapters on system sizing, battery sizing, mounting, wiring, etc. Great resource for anyone getting into the PV end of the solar business.
  4. Siegenthaler, John, PE. Modern Hydronic Heating for Residential and Light Commercial Buildings, 2nd edition. Clifton Park, NY: Thomson Learning, Inc, 2004. Great reference book on any type of Hydronic Space heating. Good design resource for heat load sizing, heat loss calculations, radiant systems, etc. I bought this because I am getting more and more inquiries about space heating. I have yet to read this one cover to cover, but I am working on it.
  5. NFPA. National Electrical code, 2008 edition. Quincy, MA: NFPA, 2008. I like to keep the latest edition of the NEC on hand and available. Section 680 deals with PV installations.
  6. Small, Lloyd L. Analytic Geometry and Calculus. New York, NY: Appleton Century Crofts, Inc, 1953. This is an old college Calculus text book that I picked up at a used book store. It helps me remember some of the math if I have any questions or problems working on a calculus equation. Fortunately, almost everything can be plugged into an excel spread sheet and quickly calculated that way, but every once in a while I find myself scratching my head over something.

There are numerous other online sources that are also available. These are huge files and if you click on the link it will start downloading automatically, only use these links if you have high speed internet. They are well worth the trouble to download and read.

  1. Photovoltaic Power Systems and The National Electrical Code: Suggested Practices
  2. A Guide to Photovoltaic System Design and Installation, California Energy Commission Consultant Report 500-01-020, June 2001
  3. Stand-Alone Photovoltaic Systems: A Handbook of Recommended Design Practices

Of course, there are many, many other sources of reference material and I could probably write a book about solar books. However, these are the ones that I find most useful.

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27 Mar 08 | Solar Electric, Solar Hot Water | Comments (0)

New Phone Number

22 Jan 08 | General Business

I am glad that I live in 2008 and we are a technologically dependent society. Things like having a business phone are not only necessary but vital to the success of said business. I can imagine that if I lived at some point before all these technological marvels we have today, ordering a new phone line might become quite an ordeal.

Perhaps it would take no fewer than five phone calls, three e-mails, one canceled order, one phone number miss-assigned, a threat to use the cable TV’s phone system and about three weeks for the phone tech to finally show up and wire it to my office. All this of course, provided by the so called “Primary phone service provider” in our area. No, it’s a good thing that I live now so that none of those things happened when I ordered my new business phone number.

By the way, if you wrote down the first number published for Sun Volt Solar, it is wrong. The correct number is (845) 626-2627.

They did say, do not publish the phone number until after it is installed, so I guess that I was warned. Now I can finally order my business cards.

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22 Jan 08 | General Business | Comments (0)

Accounting, Taxes, and other dull stuff

07 Jan 08 | Business administration

Like anything in life, there are things that you like to do and things that you don’t.  I like to design things, build things, and watch them work after they are done.  Some people might even argue that I have a knack for figuring out difficult problems and overcoming unusual situations.

I will be the first to admit, administration is not one of my strong suits.  That being said, owning your own business requires a fair amount of administration.  There are forms to be filled out and sent to the proper authorities, insurance, accounts payable, accounts receivable, taxes and payroll not to mention generating proposals, etc.

To handle that stuff, I purchased a copy of Quickbooks Pro.  I purchased it online from Amazon.com and received $50.00 off the list price of $199.95.   I have set it up on my computer and am in the process of learning the program.  I can say that it seems pretty easy so far.

If this gets going well, I will have to hire an accountant to deal with the tax issues.  New York State sales tax alone is enough to drive one batty with all the different rules, one set for residential customers, another for business customers, etc.  Then, of course, there is the IRS.  Enough said.

They don’t make it easy to start a business, I hope that all this back end effort is worth it.

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07 Jan 08 | Business administration | Comments (0)

Name Change

18 Dec 07 | General Business

In talking with a potential distributor, it was brought up that the name “Hudson Valley Solar” was too close to another business’s name. In effort to avoid confusion and hard feelings, I have decided to change the name of my business to Sun Volt Solar, which is more generic and less likely to cause confusion and hard feelings with the other guy.

I felt that rather than become a pain in the rear end, I’d rather just come up with something unique for the area and be done with it. So, Sun Volt Solar it is. Good thing I have not printed any stationary or business cards yet. Soon. Soon.

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18 Dec 07 | General Business | Comments (0)

The outcome hangs in the balance

11 Dec 07 | Commentary, General Business

It seems that Senator Mitch McConnell (R-KY) has the interests of Big Coal and Big Oil at heart. Being the Republican Senate minority leader, this position is not unexpected. Senator McConnell has supported George W. Bush in most things, including the Iraq war (that is until it became unpopular to do so, at which time he changed his mind on Iraq).

What McConnell and the other Republicans are missing is the fact that change is in the air. The environmental and energy issues are too large to ignore, and enough people have taken notice that it can no longer be business as usual. Momentum favors the things that are in motion. At the risk of creating a public backlash to the Republican party in general, these Senators are on the road to greater dependence on oil and coal, not less. I hope and pray that the voters of this country are paying attention, taking notes and looking at the alternatives. If so, I would postulate that these stalwart Republican Senators, who are only interested in voting the party line as defined by Bush, are treading the path to their own reelection defeat and subesquent retirement ceremonies.

For myself, the decision on whether or not to jump fully into the solar business hinges on whether or not the tax incentives will be renewed. Without the tax incentives, both federal and state, it would be difficult to make a living in the solar business. We rely on incentives to even the playing field and make solar thermal, photovoltaic and wind turbine technology affordable to the average home owner. Even with the incentives, it can be a tough sell, especially to someone who does not fully understand the technology, or appreciate the environmental benefits of a solar installation.

If the big oil and coal companies were not receiving huge incentives from the government to produce cheap energy, these renewable energy incentives would not be necessary. This is the European economic model, they have very high energy prices, which makes renewable energy competitive with conventional energy systems including nuclear power. This would be what I would call, a true market system. Something to think about.

New York State has an excellent photovoltaic incentive program through NYSERDA. Unfortunately for those just starting, in order to qualify for those incentives, you have to be a certified photovoltaic installer through NABCEP. As they advertise in all the trade magazines, it is the certification “that is hard to get” mostly due to the experience requirements. Of course, this is a catch 22, how do you get the experience if you can not be a certified installer without experience?

Solar Thermal installations also have a tax incentive through New York State, but not enough to make it viable without the additional federal tax incentive.

As of now, my business plan includes both installation work and some type of retail sales. Without both these components, the business model does not work, I will not make enough money to feed my family and cover all my expenses, so my future in the solar business hangs in the balance. Here are some particularly critical swing votes that could push support for the energy bill over the critical, filibuster-proof 60 votes mark. If one of these Senators “belongs” to you, call, call and call again:

Coleman (R-MN)
Collins (R-ME)
Corker (R-TN)
Craig (R-ID)
Crapo (R-ID)
Ensign (R-NV)
Greg (R-NH)
Grassley (R-IA)
Levin (D-MI)
Lugar (R-IN)
McCaskill (D-MO)
McCain (R-AZ)
Sessions (R-AL)
Smith (R-OR)
Snowe (R-ME)
Specter (R-PA)
Stevents (R-AK)
Sununu (R-NH)
Thune (R-SD)

Anything you can do would be a help.

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11 Dec 07 | Commentary, General Business | Comments (0)

Expenses

03 Oct 07 | General Business

When setting up any business, there will be some up front expenses. Solar installation is no different. In fact, solar installation is most like a contractor service, such as a plumber, HVAC, electrician, and so on. The intial investment can vary, but listed below are the minimum things that are needed to get the business off the ground. In addition to that, leasing or buying a building to use as a work shop/storage area may also be needed. If you really want to get fancy, a store front and office could be added to that as well.

For right now, I plan to run my business out of my home. As far as a store front goes, I will put some picture galleries up on the main web site when I get a chance. This will allow potential customers to see what a typical solar thermal and photovoltiac installation will look like.

Doing a little research, I have come up with a list of things I will need to transition this business to a full time job. Some of these are needed soon, others can wait a little bit.

  1. A truck. I was looking around at a good used Toyota Tundra pickup truck. Several recommendations were made to get a van, but I an not big on vans. I think a pick up truck has more utility. I like the Toyota’s because they are good solid trucks. The last thing I need is to continually run the company vehicle into the repair shop. Cost about $24,000.00
  2. Truck bed tool box and ladder rack. Both of these are needed to haul stuff around. Cost about $1,000.00
  3. Magnetic door signs. Makes the truck look more professional, less expensive than a lettering job. Cost about $65.00 per pair.
  4. Telephone line. Need to have a separate phone number than people can call. Cost about $200 to install and then $50.00 per month
  5. Solar pathfinder with software. This is a neat tool that lets you do a complete sight evaluation for the entire year. Cost about $350.00
  6. A 7×12 Haulmark trailer. This will be my enclosed portable workshop. When on sight I can park the trailer for a couple of days with everything I need stored inside. Cost about $2,600.00 plus some amount for lettering
  7. A solar panel for the pickup truck. This is a great marketing tool, have a solar panel, a couple of batteries and an inverter installed on the pickup. That way you have power available on any job site instead of using a gas generator. Shows that you believe in the stuff you are installing. Cost about $1,500.00
  8. Quick Books software. The professional version has all the features needed to track business, generate proposals, invoicing, etc. Cost $199.95
  9. Computer printer. To print out proposals, invoices, etc. Cost $89.00
  10. Business cards. Cost about $65.00
  11. Miscellaneous tools, parts, etc. Cost about $800.00

Everything adds up to about $30,918.95. That is just to get started and does not include any marketing effort. Solar around here seems to be taking off, as I have already had three calls from my Find Solar.com posting. I will post more information on this once I finish the Business Plan.

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03 Oct 07 | General Business | Comments (0)

Renewable Energy Business viability

19 Jul 07 | Business administration, Environment

As a part of writing a business plan, you have to project what your business is going to be in 1 year, 2 years, 5 years, etc. This is a very hard thing to quantify if you have never been a particular business before.

Because this business involves installing renewable energy equipment, e.g. solar panels, wind turbines, etc. on new and existing structures, the sales and availability is the driving force. If there is a sudden shortage in solar panels, then there will be none to install, which would tend to have a bad effect on those how install them for a living.

Some research is required to find answers to these and other issues. Many of these statistics can be found on line, but there are a lot of web sites out there that have to be waded through to find some things. All this takes time of course. Then there are things that are driven by emotion. The prime question is why will some one spend an extra $20K to install photovoltiac panels on there house? What is the motivation for installing expensive wind generating equipment?

The answer can be complicated. Individual motivations may include but are not limited to:

  1. Environmental Concern. Installing renewable energy systems will reduce the amount of fossil fuels required to generate electricity for that particular house. Energy to run homes in the US accounts for about 22 percent of the total energy used. This includes all end users in the commercial, industrial, and transportation sectors.
  2. Return on investment. Renewable energy technologies use natural energy sources to generate electricity. The costs associated with this are the initial purchase and installation of the generating equipment, plus any yearly upkeep. To calculate a pay back, one would use the price of the conventional energy purchased over time vs. the cost of the renewable energy system. This will give a payback period after which the owner of the renewable energy system is considered to be making money by not purchasing conventional energy for the remaining equipment life. This is known as a “return on investment.”
  3. The coolness factor. Many people look at renewable energy as something new and interesting.
  4. Energy independence. Some people desire not to pay money to large businesses for a number of reasons. They see renewable energy systems as a means to gain partial control of a world that is mostly run by others.
  5. Because there is no other power source. In the case of remote cabins and other locations, renewable may be the only viable way to install an electric system.

Quantifying those motivations for a business plan are difficult. You cannot base a business on “coolness factor” unless you are talking about something like an iPod. Yet, it does exist as several people have told me when I was installing my solar panels that it would be really cool to have them installed on their house too.

There are other indicators of solar industry growth that are more tangible. These include increased production of photovoltaic and solar thermal panels. Some of these production increases are substantial and make a strong case for large growth in the solar industry. Others include statements by solar distributors that re-enforce the shortage of installers.

Above all, the business plan has to demonstrate that you can do the job. Not only do you need to be knowledgeable on the installation and other mechanics but also some business acumen is required. How are you going to generate sales (of your services or equipment). How are you going to manage installation work. How are you going to handle administrative functions, payroll, taxes, etc. These are all questions that should be answered in a good business plan.

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19 Jul 07 | Business administration, Environment | Comment (1)

Why I want to start my own solar business

30 Jun 07 | General

I feel very strongly that we are either the solution to our energy problems or the perpetuator of them. We can either continue to burn fossil fuels and cause environmental damage or we can change to renewable energy. We can either continue our addiction to middle east oil, or we can kick the habit once and for all.

small-wind-turbine.jpg This blog is going to chronicle the start up of a Alternative Energy business in upstate New York. I plan to discuss what training is needed, the quality, cost and value of the training received, and where it occurred. I also want to detail things like a business plan, marketing, loans, tools, and what ever else will be required. I do not know if this endeavor will succeed or fail, but I am gambling a lot on the outcome, so no matter what, it will be interesting.

The types of business and installations I am looking for are solar electric (photovoltaic) solar thermal (domestic hot water and space heating), geothermal, possibly wind power and micro hydro power provided if I can get the training and certification for that type of work.

I have also started an Alternative Energy Wiki as a part of this site where others can contribute knowledge.

mafate_marla_solar_panel.jpg

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30 Jun 07 | General | Comments (0)

Getting Started

29 Jun 07 | General

I suppose the hardest thing about any project is actually getting started. Starting a new business is a daunting task for those who have not done it before. I am currently employed as a broadcast engineer for a group of local radio stations. That job pays the bills, and that is about it. I suppose I could say there are some things that I still find interesting, but those are few and far between. At the end of the day, there is nothing that I can look back on and say “I feel glad I got out of bed today.”

That is why I feel that I must leave my current job and start out new. That is more than a little scary. I have full benefits at the old company, health, dental, vacation, sick time and so on. Not only for me, but for my family as well. My wife is not working, so I am the sole provider. Basically I provide food and shelter and the every day needs for four people. I am under no illusions that this will be easy or stress free, but I feel that if I stay at my current job I will slowly wither away into a small nub of a person, hanging on by my finger nails until retirement, grateful for what ever table scraps the big wigs throw my way. That is no way to live so I would rather try and fail than sit on the bench and think about what might be.

To that end, I have begun to investigate what I will need to get started in this business. There are several training courses that look interesting, from photovoltaic installation, solar thermal and one of particular interest called “Starting a solar business.” Of course, all this costs money, which is not currently in great supply. I suppose what I need is the belief that I can carry this through and be successful thereby making the training a good investment.

I will let you know how this internal argument plays out.

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29 Jun 07 | General | Comments (0)