Posted by: lcowie | November 16, 2010

How to Incorporate Energy Auditing into Your Career

There are generally two kinds of business models for energy auditing – the energy auditor and the add-on to existing business. Each model has its pros and cons.

The energy auditor model requires third-party verification, generally for home buyers, utility companies, and programs like Energy Star or LEED. The typical fee is $250-400 per audit. The standard audit includes the blower door test and inspection. Additional services, like duct blaster testing and infrared camera imaging, cost extra.

With the add-on to existing business model, the energy audit is used as a sales tool. It is discounted to $100-200, as the retrofit work is likely to produce a healthy profit. This model is best for businesses that sell energy efficiency products, like insulation companies, HVAC contractors, or general contractors. Once again, it is important to be aware of conflict of interest. You must give full disclosure of your existing business to the homeowner and recommend that he or she seek multiple bids. Ultimately, this kind of integrity wins referrals and repeat business.

Now that energy auditing is becoming more popular and mainstream, it’s up to you to determine which business model is best for you. Leave a comment if you have more pros and cons for these business models.

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Responses

  1. As an auditing and fixing company I can say from experience most people want both together. They want a thorough audit from a company that can fix the problems. However, they also like the option to get other bids from competitors once they know the issues. With that in mind we charge for the audit and deduct the price of the audit towards work being performed if they choose our services. This means we get paid either way.

    In our market in order for people to see the value of the audit and pay for the service we have had to advertise to a higher end cliental.


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