There are 5.5 million commercial buildings in the U.S. Approximately five million of them are light commercial spaces of 25,000 square feet or less, representing roughly 90% of the building stock.
Most large commercial TAB (Testing, Adjusting, and Balancing) contractors typically focus on the larger buildings that represent about 10% of this inventory. The truth is most light commercial buildings were never balanced when built, or re-balanced after renovations or TI (Tenant Improvement) work.
NCI has known for decades about the great opportunity for HVAC and mechanical contractors to balance and commission this huge inventory of mostly neglected buildings across North America.
Balancing these buildings can significantly improve comfort and energy efficiency. In addition, when properly air and pressure balanced, light commercial buildings are also healthier and safer.
The Opportunity
Currently there are tens of thousands of NCI trained commercial and residential contractors across North America. A large percentage of these companies work in both residential and light commercial HVAC, so it wouldn’t be a stretch to offer balancing and commissioning to the light commercial market.
If you are reading this, there is a good chance your company is one of them. There’s also a very good chance that you already invested in the training and tools to do this work.
Have you thought about making light commercial balancing a bigger part of your business? Could this be that expansion and growth you’ve been looking for — right under your nose?
A number of NCI trained contractors have set up separate independent balancing companies that offer these services to other contractors who install and renovate commercial systems.
They make sure the TAB business is separate from the HVAC business, and build trust with local contractors to test and balance their projects.
Times ARE Changing
An increasing number of states and localities are demanding air balancing on light commercial construction and renovation projects. In some, balancing is mandatory whenever a certain percentage of ductwork is modified or replaced.
Demand for these services should grow exponentially over the next decade. Thinking outside the box, if you set up a separate light commercial and residential balancing company, could you position yourself as the go-to in your market?
We are also see a steady growth of independent companies that not only balance systems, but diagnose them. Then they provide a scope of work for other contractors to renovate and replace air distribution systems. The TAB contractor then does a final test and balance when the work is complete.
Your Next Growth Areas?
We also see duct cleaning companies starting to offer system testing and renovations. Keep an eye on this fast-growing trend. Could you expand your business to include duct cleaning, restoration, and renovation to your services?
As you can see, there are many potential business models that could build on the testing and diagnostic strengths of your company. Perhaps it’s time to take another look at this high-potential niche within our industry.
We’re just scratching the surface here. I hope I’ve piqued your interest to explore the possibilities of making testing and balancing, and related services part of your company’s offerings!
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