New Business Startup Wins Energy Storage Contracts With Edison
On behalf of The Law Office of Lynnette Ariathurai, A Professional Corporation posted in Business Formation & Planning on Wednesday, April 29, 2015.
Energy is something that just about every part of society depends upon. This is why companies in the energy industry are poised to potentially earn significant amounts of profit. One business startup company in California has just secured a large profitable contract, pending approval, with the utility firm Edison.
The new startup company, Advanced Microgrid Solutions, has just recently won a deal for four energy-storage contracts with the utility firm. Apparently, the new company was formed just shortly after Edison began to seek proposals for the storage contracts in September 2013. The founder of the company has extensive experience in both the energy sector as well as the public sector. This experience will undoubtedly help in management of the new company.
The contracts formed with Edison are reportedly performance-based. This means the company will only receive payment for services upon fulfillment of the terms of the contracts. The value of the contracts has yet to be released to the public. State laws allow Edison along with various other energy providers to keep the cost of select contracts secret for several years.
Since the business startup got off the ground so quickly, the founder would have needed to work fast in creating a proper business plan in order to ensure the new firm would be sustainable and profitable. However, it is also important for a new company to ensure that it complies with applicable California laws. Although the energy sector is heavily regulated, just about every other industry has their own rules and regulations that new companies should be aware of when creating a business plan.
Source: utsandiego.com, "Power player got energy deal", Jeff McDonald, April 27, 2015