$10M HVAC CEO Back in the Trenches: What He Found

Guest:
David Katz – HVAC business owner / operator

Guest Links:
Website: https://trioheatingandair.com/

This episode breaks down what actually happens when a home service company grows from $5 million to $10 million+, and why getting there fast can make the business feel dramatically harder before it gets easier. It explains how rapid growth exposes weaknesses in structure, process, labor management, warehouse systems, cash flow controls, and leadership capacity, and why many owners who say they “don’t want” to scale are often really dealing with limited belief or a lack of clarity on how to do it. The episode dives into one of the biggest mistakes operators make while trying to level up: copying systems from much larger companies before they fit the current stage of the business, which creates a “Frankenstein” operation full of mismatched processes, extra meetings, awkward communication, and unnecessary work. It also unpacks a major leadership lesson learned through painful experience—owners cannot solve every problem from the office, and at a certain point they need to put their boots on, get back into the field, and come as close to the real problem as possible before trying to fix it. The conversation goes deeper into what that looks like in practice, including discovering that an apparent install problem was actually a warehouse problem, implementing vendor-managed inventory to simplify operations, and learning that many tools small companies assume are “too advanced” can actually work much earlier than they think. It also covers the emotional side of scaling: recruiting top talent over years instead of days, showing appreciation intentionally, creating more fun inside the company, protecting team morale during stressful financial moments, and recognizing that leadership at this level is not just about numbers but about stability, energy, and trust. Overall, this is a tactical and honest episode for contractors who want to grow without blindly copying bigger players, and who need to hear what scaling really costs before they chase it.