Consider the sunny story of Larry, Penny and Eric Hassett, owners of Palo Alto Ace Hardware in Palo Alto, California. They added more than $3,000,000 in new sales from their part-time solar hardware business over the last two years. Business is booming for the Hassetts, who own and operate one small hardware store in the family tradition. One interesting part of this story is that the Hassett's didn't really plan to get in the solar business. As Larry explained, "We wanted to buy an electric truck for our hardware deliveries and charge the batteries with solar panels, but when the truck idea fell through, we decided to put up the 32 KW array of solar panels anyway." That was in November of 2000.

The customers of Palo Alto Hardware began to notice the solar array on the top of their roof and ask lots of questions. The Hassetts adeptly decided to feature small displays of solar panels and inverters right in their parking lot so it would be easier to demonstrate and sell the technology. Customers started to order their own solar systems in January of 2001, so the Hassetts decided to make a plan for "a little solar business on the side".

They did not realize how strong the growing demand is for people today to have for their own energy independence, peace of mind and savings on energy bills. Orders started coming in faster than they could handle. In the first year, they sold $1,500,000 of solar products and learned a great deal about the solar business. In the second year (2002) they sold another $1,300,000 and already have orders in progress for another $800,000. After making some valuable mistakes (which can pave the way for other hardware retailers), the Hassetts have learned how to maximize the profits, minimize labor costs and turn their customers into a sales force. Here are a few points they learned they have graciously offered to share with us:

1. Partner with local electricians, get them trained and let them do the installation.
2. Get small displays set up outside where people can see them operate.
3. Have space (like a lumberyard or a warehouse) to assemble the systems in-house.
4. Take advantage of the free help available from manufacturers or distributors.
5. Charge consulting fees to avoid spending too much time with info seekers.
6. Learn about federal, state and utility incentive for solar. In many states, from 20 to 50 percent of the cost can be paid by incentives. Performance based financing is available from some utility companies too.
7. Make a public relations plan and take advantage of the tremendous amount of free advertising that comes with such a high-curiosity, innovative hardware business.
8. Use the delays caused by State required forms to place orders. By the time the rebate has been approved, you can order and take delivery on a system, thus allowing for no stocking of the product.

Many of the local government agencies and utility companies have done positive stories in their publications and newsletters too, resulting in many more inquiries. Both Palo Alto Hardware and the Hassetts have received numerous awards and lots of recognition from their "little solar business" and more continues to surface. They have now sold more individual solar systems than any other single retailer in California! In short, they have an exploding business in solar hardware that is making them "rich and famous".

That's when we get to the heart of my story. You can get in the solar business fairly easily if you want. You might think that it's something totally foreign or won't work in your market, but think about it for a moment. It's hardware of the future! Are energy prices going to go up? Are people going to build better homes? Establishing a solar business is actually quite similar to establishing other service-based businesses that are successful for independent hardware businesses because of big box positioning. Here is a website where you can get a "primer" on basic residential solar technologies, a digital tour of solar products and links to manufacturers and consultants to help you get set up in a solar business: www.hopshop.net.

Here are a few more key points the Hassetts have shared to help make your solar hardware business a success:

1. Have seminars for local government officials: Planning & Zoning, Building Inspectors and Planning Departments. The Hassetts supplied pizza and soda, and had the manufacturers reps do the presentations.
2. Have meetings with your key employees to make sure that they buy in to the business and get some basic training. An enthusiastic and knowledgeable sales staff makes a big difference.
3. Sell turnkey kits. Solar technologies can be complicated but several simple kits are now available. Put up demonstrator kits in a highly visible area of your parking lot where people can touch and see the meters move.
4. Have seminars for local building contractors, building designers and other construction trade people to bring them on board with you. Their curiosity plus some free food will bring them in.