Sunday, August 5, 2012

Starting an Air Conditioning Business

Weather doesn’t maintain an adequate temperature for healthy life so we all turn up in need of an air cooler/conditioner/heater. Air conditioning business has lot to come in future so it’s also an ideal money-making business.

An AC (air conditioning business) is very closely tied with the HVAC (Heating Ventilation Air Conditioning) business. This is mainly because when heating and installation is installed in buildings and other architectural structures, AC is installed as well.However, an AC business is a separate entity from most HVAC businesses. HVAC contractors usually hire 2 or more different companies to complete the HVAC installation, from companies that supply wall insulation to ventilation parts to AC businesses.

The AC business is a feasible venture. New residential domiciles are being built everyday and many older houses are retro-fitted with brand new HVAC system. This just means that there is an ever growing market for the air conditioning business. Also, the AC business is quite dynamic. Yearly, trends in AC manufacturing change. The once bulky and cumbersome AC units of the early 90’s are now becoming sleeker and smaller; AC unit motors are quieter, and there are now more energy regulating devices than ever before. The long line of new AC models satisfies its projected market base, while creating newer models that are both trendy and energy efficient.

An AC business works 2 ways: either you become an AC subcontractor or you manufacture AC units.

An AC subcontractor will help consumers and HVAC contractors find the best units that will suit the costumers’ needs and budgets. In order to become an AC subcontractor, you must have a wide range of contacts to begin with. You need to know which companies can afford you low prices while maintaining high performance rating. Basically, you work as the middleman between AC manufacturers and HVAC contractors. Most of the time, you do not deal with the actual customer.

Also, some AC subcontractors have an “arrangement” of some sorts with both AC manufacturers and HVAC contractors. Arrangements can be made in terms of AC units sold, or a specific quota – profit is made if say, 20 AC units are sold in one month or if 10 units of AC are sold, one unit will be priced 50% off which the AC subcontractor can sell full price.

To become an AC subcontractor, all you need is a great network of buyers, manufacturers and HVAC contractors. You also need good working relationships with these people ensuring that they will call upon your aid whenever a project comes up. You also need good background knowledge about the AC industry and a sharp lookout for new trends.

AC manufacturers on the other hand, is more of a business venture which will entail a lot of mechanical and industrial know how; not to mention a healthy source of funding. The good thing about the AC industry is that more and more models are emerging from lightweight materials and the market is always on the look out for sleeker, more environment friendly designs. Small companies can start production of AC units employing creative and advanced designs. However, you might still need the services of an AC subcontractor in order to sell your units to the public, or at the very least, a couple of HVAC contractors.




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