Owned and Operated - A Plumbing, Electrical, and HVAC Business Growth Podcast

#234 He Made $1.2M in His Garage in 4 Months!

Aug 19, 2025
Ismael Valdez, founder of NextGen Air Conditioning and Nuva Thermostats, scaled his startup to over $100 million with innovative strategies and tech-driven marketing. He shares insights on transforming a garage project into a thriving business in just four months. Valdez discusses the sacrifices behind his success and the importance of fostering a positive company culture. He also reveals how social media can be leveraged for lead generation and details his latest venture, Nuva Thermostats, a tool designed to empower HVAC contractors.
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ANECDOTE

Garage Launch That Scaled Fast

  • Ismael ran NextGen out of his garage for four months and generated about $1.2M in revenue with a small team including his sister.
  • He handled installs, pickups, warranties, and sales personally while scaling demand through calls and social posts.
INSIGHT

Three KPIs That Drive Scale

  • Growth from $10M to $20M is driven by aggressive sales while $20M to $40M requires disciplined marketing and perfected service turnover.
  • Average ticket, closing percentage, and call volume are the core KPIs to scale service revenue.
ADVICE

Treat Gross Profit As A Primary KPI

  • Track gross profit closely because it reveals negotiation strength on labor and parts and determines real operational health.
  • Build accounting controls, know daily gross margins, and avoid gaming P&L items to mask true profitability.
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