Your solar company could be making millions of dollars. Here’s why it’s not.
According to Allied Market Research, the solar industry is set to reach $223.3 billion by 2026, growing at a 20.5% CAGR between 2019 to 2026.[1]
That means your company has the potential to be a million-dollar company.
Maybe you started your solar company out of a deep concern for the environment.
Maybe you were ahead of the curve and transitioned from the oil and gas industry so your energy company could remain successful.
Or maybe you’re an entrepreneur who seized a golden opportunity to generate massive income while making an impact on your community.
No matter why you started your company, you’re in business to make money.
But maybe you aren’t seeing the income you thought you would. Maybe you’re struggling to make payroll. Maybe you’re being overshadowed by the competition. Maybe you’ve hit a plateau at multiple six-figures and can’t seem to figure out how to hit that next level.
If your company wants a piece of that $223.3 billion pie, you need to make the right decisions every single year, quarter, month, and day that will help you stay ahead of the game in this incredibly competitive market.
Let’s talk about four reasons your company isn’t hitting that million-dollar mark.
Why Your Solar Business Isn’t Generating Millions of Dollars
Want to make a million dollars in revenue this year? Here’s what’s keeping you from hitting your goals.
- You Don’t Have a Functioning Sales Process
Success starts with the foundations. Every 7 and 8 figure solar business has a documented, functioning, and repeatable process in place.
If your sales process isn’t streamlined enough to attract leads, get appointments, and close deals seamlessly, you won’t hit your sales goals.
To create a functioning sales process, you need to start from the ground up: how are you attracting leads? How are you managing them? What’s the process for following up on a warm lead? How many follow-ups? Who is responsible for each area of your sales process and who are they accountable to? After you close a deal, what’s the next step? How do you retain long term customers?
If you can’t answer all of these questions without thinking about it, your sales process isn’t solid enough to support a million dollar company.
- You Don’t Have the Right Sales Team
If you don’t have the right people in the right seats, your entire company is going to feel those effects.
Running a successful solar business takes 100% dedication from your entire organization, starting with the CEO to your closers, project managers, door-knockers, and cold callers.
Having the right sales team is crucial. Without the right sales team, nothing happens. Your business will remain stagnant and you’ll get further from that million dollar milestone every day.
If you want to hit 7-figures, you need to have a sales team with a 7-figure mindset.
Go into your hiring process with intention. That doesn’t mean throwing a job posting up on Indeed and hoping to cattle-call your way to success. Hiring with intention means seeking out candidates who fit your company culture, are inspired by your company’s goals, and who believe in your vision.
- You’re Going After the Wrong Prospects
Solar isn’t something everybody wants (even though they should).
And solar is an investment. There isn’t a solar aisle at your grocery store with hundreds of people just mindlessly grabbing a solar installation off the shelves because there was a coupon for it.
Not everyone needs to go on your list of prospects. Your organization needs to target the right people at the right time to close those deals.
Develop your ideal customer profile and figure out what drives their purchase decisions.
Remember: if you’re selling to everyone, you’re selling to no one.
- You Don’t Have a Scalable Business Model
Having a scalable business means you can maintain (or ideally, improve) your profit margins while your sales volume increases. If your business model isn’t scalable, you’re going to hit the same ceilings every single day.
Ask yourself: If we had a sudden spike in business, how would we stay profitable without draining all of our internal resources?
It’s All an Ecosystem
Notice that these four areas are all interconnected.
If you have the right sales process but the wrong team, you’re not going to make money.
If you have the right team and the right sales process but the wrong target market, you’re not going to make money.
If you have the right target market, the right sales team, and the right systems, but your business model isn’t scalable, you aren’t going to make money.
With the massive growth in the industry, you actually have the potential to not just hit that 7 figure mark, but 8 and beyond.
Each of these four areas needs to work cohesively and seamlessly with the others for your company to be massively profitable.
It’s Time to Press the Reset Button
These four areas are critical to your success. If you aren’t seeing the kind of profit you want,, don’t be afraid to press the reset button on your company.
Remember: success isn’t linear, and sometimes you have to have the hard conversations with yourself and take a look into your company’s weaknesses and rebuild.
Running a solar company takes fierce determination. If you know that this is where you’re supposed to be and you believe in your mission, your company can absolutely be lucrative.
Now, go sell something.
References:
[1] https://www.alliedmarketresearch.com/solar-energy-market#:~:text=The%20global%20solar%20energy%20market,20.5%25%20from%202019%20to%202026.