How Much Nitrogen Generator Installation Owners Make: $404k Year 1

Track the Pipeline That Pays

Here’s the quick math: track signed projects, close rate, average time to install, deposit timing, technician availability, and collected revenue. A pipeline is only qualified when the job can be staffed, started, and paid for without starving working capital.

• Count signed deals by install month.
• Watch deposit due dates.
• Compare booked work to crew hours.
• Block low-margin quotes early.

What this hides: if one delayed site keeps a crew idle, revenue can look booked while cash stays tight. A cleaner pipeline protects gross margin and makes owner draws more stable.

Quote the Full Scope

Track system capacity, purity level, install hours, bill rate, deposit timing, freight, and change orders on every job. Those inputs tell you whether a project size increase is real profit or just more labor and more cash tied up. A bigger contract only helps if the scope is tight and paid in phases.

Set a floor for equipment markup, commissioning hours, and change-order approval before work starts. If install hours fall from 45 to 35, revenue per job drops unless scope or price holds firm. Keep loose bids out of the pipeline; they usually create unpaid work and weaker owner pay.

Protect Owner Draw

Run reserves like a job-cost control. Build separate lines for equipment deposits, warranty work, parts inventory, and growth hiring, then tie each line to the current project load and service backlog. Safe owner distributions come after those buckets are funded, not before. When service rates rise from $135 to $160 per hour, cash can still lag if collections are slow.

• Track deposits by signed project
• Age receivables weekly
• Forecast parts buys monthly
• Hold warranty cash separately
• Delay draws until reserves fund

Watch the cash plan against fixed cost growth too: marketing moves from $25k to $125k, and known payroll from $272k to $750k. If collections slip or a larger install needs extra freight, the owner’s draw should wait. That keeps operating cash inside the business instead of forcing vendor stress or rushed borrowing.

Track the load, not just the sales

Measure revenue per technician, service coordinator load, truck use, quote-to-close rate, and software cost per active account. Those five checks tell you whether growth is adding profit or just adding people, vehicles, and tools. One weak number can turn a healthy backlog into slow cash and thin owner draws.

• Review overhead monthly, not quarterly.
• Assign each tech a revenue target.
• Cut idle truck and software waste.

Here’s the quick math: if fixed overhead stays at $15,050 a month, every low-margin job has to help pay that bill before it helps the owner. Keep staff lean enough that quotes close fast, service is scheduled tightly, and admin work doesn’t grow faster than billable hours.

Protect Margin on Every Job

Track quoted hardware cost, freight allowances, labor budgets, commissioning checklists, and change-order value on every project. One clean rule: no extra work without signed approval. That keeps direct costs tied to the price you booked.

• Quote hardware before scheduling.
• Budget install hours by system type.
• Track rework hours separately.
• Bill scope creep the same day.

Review gross margin by job, not just month. Compare budget to actual on materials and labor, then fix the biggest leak first. That keeps gross margin high enough to cover commissions, travel, overhead, and payroll.

Track Signed Plans, Not Hope

Build forecasts from signed maintenance plans, then layer in emergency calls separately. Here’s the quick math: service income is driven by customers × hours × rate, so a bigger installed base only helps if adoption and scheduling stay tight. Filters, purity checks, repairs, and remote checks protect both retention and margin.

• Track signed plans by installed account.
• Separate maintenance from emergency jobs.
• Watch hours sold per technician.
• Price emergency response at premium rates.