Fireside Chat: Sharing Your Entrepreneurial Journey with Ed Fenster, MBA ’07

TL;DR

Sunrun, founded by Ed Fenster and Lynn Church in 2007, has become the largest residential solar company in the United States. The company focuses on deploying solar power and providing energy storage solutions to enhance its customers' sustainability efforts.

Transcript

[MUSIC] So Ed, if you don't mind, I would love to just briefly hear kind of the story of Sunrun, the initial idea for folks who may not be as familiar to give us some context before we go forward in this conversation. >> Yeah, sure. So rolling back to December 2006, I had a high school friend who had been in Afghanistan and when he came back, he wa... Read More

Key Insights

• 👻 The self-awareness of leaders is crucial for a company's success, allowing them to identify weaknesses and adapt accordingly.
• 🥶 The fit between co-founders is essential for a company's growth and success, as it affects decision-making and cultural aspects.
• 👨‍💼 Financing a clean tech company can be challenging, as investors may struggle to understand the business model and long-term dynamics.
• 🚙 The investor-owned utility model may not be the most viable option for servicing the energy transition, and other models, such as municipal-run utilities, could be more cost-effective.
• 😌 The future of Sunrun lies in the electrification of heating and transportation, with a focus on electric vehicles and utilizing their batteries for grid support and backup energy.

Questions & Answers

Q: How did Sunrun decide to enter the solar power market?

Sunrun founders recognized the decreasing cost of solar power and an incentive program in California as an opportunity in the solar industry. They saw a gap in the market for deploying solar power and felt confident in the technology's potential.

Q: What were the early challenges faced by Sunrun?

Sunrun faced challenges in financing the business in the early stages, as well as regulatory issues with utilities. They had to navigate changing policies and regulations that were sometimes unfavorable to their business model.

Q: How did Sunrun scale its operations and maintain its culture?

Sunrun prioritized self-awareness and recognized their individual strengths and weaknesses as leaders. They adapted and changed roles accordingly, bringing in new executives and focusing on building a strong culture. They also utilized video production efforts to keep employees connected and engaged.

Q: How did Sunrun overcome resistance from utilities and regulators?

Sunrun engaged in public litigation and media campaigns to challenge the utilities' policies and regulations. They emphasized the benefits of distributed energy resources and sought support from voters and customers to combat resistance from utilities.

Summary & Key Takeaways

• Sunrun was founded in 2007 by Ed Fenster and Lynn Church, with the initial idea stemming from the decreasing cost of solar power and a government incentive program in California.

• The company saw an opportunity in deploying solar power and recognized the need to finance, market, and operate in the solar industry. They aimed to disrupt the centralized model of energy generation and tap into the dissatisfaction with monopoly utilities.

• Sunrun quickly became the fastest-growing solar company and recognized a good fit in the market. Over the years, they have navigated challenges with financing and regulatory issues but have continued to innovate and expand their offerings.