Paring two businesses into one prompts growth | A conversation with Fortunat Meuller, principal of ReVision Energy in Portland
Photo/Brandon McKenney
Fortunat Meuller
Founded: April 2008 Employees: 32
Startup costs: $200,000
Projected revenue, year one: $4.8 million
Projected revenue, year two: $6.5 million
Contact: 221-6342
109 Fox St., Portland 04101
www.revisionenergy.com
What does ReVision Energy do?
We’re a full-service renewable energy system installer. We do design, installation and service of renewable energy systems, specifically solar thermal systems, solar electric systems and high efficiency solid fuel, like wood and wood pellet boilers.
How did ReVision Energy get started?
ReVision Energy is the result of a merger of two businesses that existed previously: Energyworks up in Liberty, Maine, which existed for about five years previously, and Energyworks South, a separate business that was here in Portland that had existed for about a year and half. [ReVision partner] Phil [Coupe] and I were collectively the head of Energyworks South and our other partners, Pat and Bill Behrens, collectively owned Energyworks.
How did the idea to create ReVision Energy come about?
When we started Energyworks South two years ago, we had talked at that time about merging with Energyworks at some point in the future to realize efficiencies in terms of minimizing overhead. Also the four principals have four distinct backgrounds and skill sets: I’m an engineer, Phil has a sales and marketing background, Pat is an electrician and has a wood and wood pellet boiler background, and Bill has a Ph.D. in economics and he’s been a builder and a solar installer for 20 years, so we thought having all of us pulling on the same wagon would be beneficial.
How did you finance ReVision Energy?
ReVision Energy was financed primarily on the cash flow of the two existing businesses, which were financed by private borrowing and individual investment.
What was the biggest challenge in merging two businesses into one new business?
There are the infrastructure challenges like sharing IT systems, bookkeeping and tracking inventory and incoming expenses. There’s also the challenge of developing a single crew and team with the same goals. Both of those challenges went better than I expected. There was some challenge in assessment of value of the two businesses to figure out the terms of the merger, but it went reasonably well because all four of us are excited and each see our value in running the new bigger business. When we became ReVision Energy, we had the challenge of making our customers aware and taking advantage of the reputation that Energyworks and Energyworks South had developed. We needed to make sure that they could find us and know that we’re the same people doing the same quality work.
How did you ensure that smooth transition?
We got in contact with our existing customers and let them know that was happening. We sent them a letter letting them know and we also had a company name competition, so that helped prime the pump. We also kept the logo graphic the same and spent about six months co-branding, where we said, “ReVision Energy, formerly Energyworks.”
How do you market your business?
Primarily by word of mouth from existing customers, although we’ve got a substantial effort going to improve our website and our web presence. We present at a lot of seminars and educational conferences, both at tradeshows and giving informational presentations – that gets our name out there.
How do you build and retain your client base?
One of the challenges of our business is that, since we’re system installers, we don’t have a ton of repeat business from the same customers because once they have the system, the system lasts a long time. We do have customers who get one system of ours and then end up installing another system, or if they move and they want solar on their new house. So far, it’s more about doing work for the friends of our old customers.
What is the most difficult aspect in running this business?
We’ve been growing quite rapidly, so one big challenge is scaling all of our business systems for growth — to put the systems in well requires a lot of training of the installers and the technicians and everybody to really understand what the system is and how it works. So we’ve made pretty substantial investments in educating our people and I think that’s put us in a good position to take advantage of the growth in the market over the last year.
Interview by Mercedes Grandin
New Ventures profiles young businesses, 6-18 months old. Send your suggestions and contact information to editorial@mainebiz.biz.
Most Recent
Most Recent
Comments