A history lesson with Professor Ty Newell
In our interview with Professor Ty Newell, one of the founders of Build Equinox, we explored the importance Build Equinox and what their products bring to the "HVACR industry" table.
Q: Take us through the history of Build Equinox, where does it all start?
"Build Equinox is an outgrowth of our engineering R&D activities for the HVACR industry. In our consulting work, we've designed a range of products from refrigerator ice makers to large heat pump/air conditioning systems for cooling aircraft (commercial and military) while on the ground. The overriding goal of our work has been improving energy efficiency and economic performance in order to drive toward sustainable living. But, sustainable living in which we also improve quality of life rather than sustainable living based on degrading one's standard of living. In 2009, we designed and built Equinox House, my home, a solar powered home capable of collecting energy for our home and EV transportation. The 2007 UI Solar Decathlon house was an opportunity to explore how to assemble an economical, solar powered home. As we (UI Solar Decathlon team) explored heat pump house conditioning, heat pump water heating, heat pump clothes drying, along with solar PV (photovoltaic) energy collection, the weak link and primary challenge turned out to be efficient management of a healthy indoor environment. That is, all the technology needed for sustainable living is available now, and we can start thinking beyond energy. My son, Ben, who is president of our consulting firm (Newell Instruments) was a member of the 2007 Solar Decathlon team (he is a MechSE grad, and was in the UI MBA program at the time) is similarly wired up like me, driven to live sustainably.
The first gen CERV was released in the summer of 2013 as we finished the UL listing process. Since then, we have been shifting out of consulting activities, and now, 80-90% of our revenue is from CERV manufacturing. With the release of our second gen unit, CERV2, last March, and finishing UL testing in September, we're really excited about continuing to improve the indoor environment and the resulting improvement in home occupant well-being."
Q: Build Equinox could change the game for HVAC systems, what do you consider some of your proudest moments or accomplishments?
"We [have] been fortunate to get to celebrate several accomplishments, among them:
-Design and construction of Equinox House, which has been a lifelong dream of mine to live in a solar powered house. Now, after 8 years of living in Equinox with 6 years of driving a solar powered EV, I personally feel relief that all the technologies are available and economically viable for sustainable living, so I sleep better at night.
-Designing, prototyping, testing and developing the CERV from concept to reality has been really satisfying, along with doing that with Ben and Alex. There's nothing better than a team of people who enjoy working hard together to accomplish a task. While the initial CERV development required 5 years from concept to product, our second generation unit required one year to go from concept to product as our experience in fabrication, assembly, supply chain, certifications, etc. has grown.
-Most satisfying has been the feedback from our early adopter customers, who have been an enthusiastic source of support, cheering us on and helping us to see that we're on the right track."
Q: It's clearly been a long road to where you are today, what's been the most challenging part?
"On the challenging side of things, it is very difficult growing a business. We have chosen "bootstrap" growth rather than seeking outside capital to grow, which allows us to retain ownership and to determine the course of action we feel is important to follow. In this manner, one needs to grow by compounding revenue. Although the growth is slower than today's VC funded, fast growth companies that are racing to a public stock offering, we are able to grow in a more controlled manner. Balancing the checkbook is tough as well as managing a sophisticated supply chain (over 200 parts), but as we've been growing, we see some light and accelerated growth in the near future."
Q: Any last tidbits you wished people knew about HVAC systems or Build Equinox in general?
"I think that's it! We appreciate you telling our story; I really am optimistic about the future, and that we can get on the right path so that we keep improving the standard of living around the world. I strongly believe that there are more than enough resources available to move people throughout the world to a higher quality of life without having to fight over resources to maintain it."