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  • Writer's pictureMichael Clement

Question: Why do so many companies in this industry go under?

Answer: excessive overheads, crappy workmanship, and/or assessors, along with good ol' fashioned weather! Let's explore the weather aspect for a moment, to help the public understand the challenges of solar.

One of the reasons we have the stripped-down model we do, and why large companies do not work in this industry, is due to the fact that it rains. Unfortunately, there's not much you can do on a roof when it does.

Let's imagine you have $50k worth of overheads each week, and it rains for 5 days straight. Then, the week after is wet as well. Heaven forbid, the week after that is also wet and nothing has been done! No cash has come into the business, but you're now down $150k and have to spend 15 plus weeks making that money back. And then, in the middle of that all, it rains again...

We watched it time and time again over the years, companies went through simply because they didn't take into account that it's not sunny every day, and drowned from their overheads.

For us, the worst-case scenario is we would shut down until the sun shines again as we can take our overheads down to zero... hopefully, we will never have to, as we also run off cash, not accounts. But, we can if needed. We set it up this way so our team, and our customers, know we will be around for them in the future.

It's meant to be with DMC!

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