Solar installation franchises a new trend in industry

Solar Universe creating nationwide network solar installersOne of the U.S.’s most enduring innovations is the modern franchise. Whether you’re thinking about a burrito for dinner from Chipotle or Qdoba or a plumber to fix your drains (totally unrelated), like Roto-Rooter, you’re talking about going to a franchise. That model hasn’t been applied to the solar installation industry on a nationwide basis—yet. But Solar Universe Network is starting to change that.

Solar Universe Network is looking to the franchising model to create a nationwide network of solar installers.

“Franchising is a proven American business model that’s worked in numerous service industries. The advantage of a franchise is you’re able to scale for large-scale geography and make sure we supply same quality installations in California or Pennsylvania,” said Steve Padberg, the company’s franchising advocate. “There’s no nationally known solar brand out there. We want to become a household name by building out our business nationally.”

Franchisees leverage the Solar Network Universe name and gain access to the company’s purchasing benefits, as well as its selling model and process. The franchise, which requires roughly 90 days to implement, has attracted general contractors, electricians and entrepreneurs, according to Padberg.

“Even other solar installers have come over to our model because of the great benefits,” he said.

The company already has franchises in most of California and franchises that have launched in Louisiana, Nevada, New Jersey and Pennsylvania. The company is also offering franchising opportunities in numerous states including Arizona, Colorado, Oregon, Pennsylvania and Texas.

“I would expect we’d add two or three other states this year,” Padberg said.

People from those states, which the company has expressed interest in opening up a franchise in, have called about buying into the franchise, Padberg said.

“We’ve done it on little or no advertising thus far,” he said. Now that Solar Universe has raised some capital it will likely expand those efforts.

The company is interested in a limited number of states for now.

“We’re focused on certain states for numerous reasons,” Padberg said. The company is interested in states with good incentives and utility rates. “Certain states probably won’t ever be good for solar because of cheap energy and a lack of incentives.”

At this point, Solar Universe Network also can’t franchise in certain states. States like Indiana, Virginia and New York.

“Currently, franchise law prohibits us from selling in [those] states, he said.”

But, he said, the company could eventually open franchises in states with franchise laws, but first it has to go through each state’s franchise permitting process, which could take a long time.

In such states, the company needs a good reason to go through the franchise permitting process, but it may opt to if it had interested potential franchisees.