Koen storms the skies with solar heat

The Aztecs worshipped the sun around 500 years ago, and today that is also what Koen Vermout is doing. With Azteq he uses solar energy to generate green heat for companies, a concept that until recently was unseen. The audits by Grant Thornton were a big help to Koen in conquering his seat on the solar throne. Meanwhile, how is it going in expanding this kingdom?

Leaving a lovely inheritance

“Having been in business for about 25 years, I was looking for a project where I could make a social difference”, kicks off Koen. “Then by coincidence, in 2015, I came into contact with an ex-colleague, who was working with thermal solar energy. “After only one discussion I was convinced: this was the perfect way to leave a lovely inheritance for future generations.”

In the following years it was soon clear that the time was right to roll out the technology. “The demand and social pressure had grown, in part due to the mass march for the climate in Brussels when I was surrounded by more than 60,000 other protesters. There were also so many young people. It was a moving experience.”

“What’s the basis of our concept? Green electricity from solar power was already popular, but no one had yet embarked on green heat. Most of all because nothing could match the low gas prices. We came up with a solution for that: we use an existing technology – generating solar energy with parabolic mirrors – and take it to companies by installing the mirrors on their premises. In this way we can produce green heat much more efficiently – and therefore make it cheaper.”

Empower by subsidies

At the end of 2017, the project initiated by Koen and his partner started racing ahead. “After two years of research and market studies we presented our idea to the former Minister of Energy, Bart Tommelein. He was very enthusiastic and saw the potential of a proof of concept. That was the real starting shot for Azteq, because we needed subsidies, and you can’t request those if you’re not a company.”

“In fact, we were very lean and mean when we first launched Azteq. Even so, we had great confidence in our activity: the actual technology had been around for 40 years and had already demonstrated its reliability. Yet – unbelievable though it may seem – we were the first ones willing to build a business model on it. Therefore, it was up to us to prove that it could be successful.”

“Our test installation was a real hit. And it quickly got the ball rolling: using the subsidy we set up the largest European plant for concentrated heat energy in Turnhout. Meanwhile, we are working on six installations in Belgium, as well as taking giant steps in Germany and Spain. Not surprisingly, also countries where we can get subsidies.”

Grant Thornton quality label

According to Koen, the fact that Azteq could grow so quickly is not only down to external factors, such as the rising gas prices and growing climate concern. “When starting up, we also made some very smart decisions”, in his opinion. “Which included appointing Grant Thornton almost immediately to audit our accounts.”

“The quality label of a Grant Thornton audit generates confidence among your customers, banks and investors. When your business has thoroughly audited accounts you demonstrate that you know what you’re doing and that you’re a trustworthy partner.”

“We meet every six months to discuss the audit results and to consider how we can optimise our operations based on those figures. Those meetings keep us focused on the long term, which for a start-up is something that can easily get lost in the day-to-day.”

Turning point in growth story

Meanwhile, Koen is gradually approaching a new business phase with Azteq. “We have grown from a start-up to a scale-up”, he explains. “Our product has shown its value and demand is soaring. That means we have reached a turning point: we must decide how we want to grow and how fast.”

“One thing’s for sure, and that’s strong international expansion above all. And that presents a number of intense challenges: so we’ll need extra financial resources and must also develop local teams.”

“All of that will make our corporate governance more complex. However, I’m sure that Grant Thornton will again provide excellent assistance with its Advisory services. In this way, we hope to reinforce our position as European market leader with a turnover growth of hundreds of millions a year.”