Miguel Arumbula’s Entrepreneurial Journey with Valley Adobe
On February 27, we hosted Miguel Arumbula, CEO of Valley Adobe, on our Perspectives webcast. He shared his inspiring story of building a company from the ground up—literally. Miguel’s journey is a testament to innovation, perseverance, and the power of sustainable building materials.
From Landscaping to Sustainable Innovation
Miguel Arumbula founded Valley Adobe after years of experience in the landscaping business. His goal was to modernize a 10,000-year-old building material: adobe bricks. Adobe bricks are not only aesthetically pleasing but also versatile and eco-friendly. Miguel wanted to replace traditional concrete bricks, which contribute significantly to carbon dioxide emissions during production.
Initially, Miguel believed the landscaping market would be the easiest entry point for his adobe bricks. However, he quickly discovered that his product had far broader applications. Customers began requesting his blocks for affordable housing, saunas, fences, gates, and more. This unexpected demand led Miguel to develop an interlocking, cement-stabilized earth block, sometimes reinforced with fibers for added strength and durability.
Key Lessons from Miguel’s Entrepreneurial Journey
Miguel’s story is packed with valuable insights for aspiring entrepreneurs. Here are the key takeaways from his experience:
1. Start Small, Scale Wisely
While volume is crucial for reducing costs, Miguel found success by starting small. By accepting smaller orders initially, he was able to refine his product formulations and iron out manufacturing details.
2. Hands-On Learning Pays Off
Miguel began by hand-making his adobe bricks, which gave him a deep understanding of the production process. Only recently did he invest in a brick-making machine to increase production volume.
3. Listen to Your Customers
Miguel discovered that his best-selling product wasn’t what he initially expected. By paying attention to customer feedback, he was able to pivot and meet market demands effectively.
4. Target the Right Audience
He identified a niche group of customers who valued the unique features of his product and were less price-sensitive. Focusing on this group helped him secure early sales and build a loyal customer base.
5. Build a Network Through Word of Mouth
Most of Miguel’s sales have come from a growing network of connections and word-of-mouth referrals. This organic growth has been instrumental in expanding his business.
6. Embrace Challenges as Opportunities
Miguel found that his team performed best under pressure, especially when fulfilling large orders. These challenges pushed them to innovate and improve their processes.
7. Navigate Regulations Early
Meeting building regulations was more critical than Miguel initially realized. To use his blocks for general construction, he had to undergo rigorous testing and iterate his product to comply with local building codes.
8. Bootstrap Your Way to Success
Miguel has avoided taking on investors, preferring to bootstrap his business. He won $2,000 at a pitch competition and secured a contract with a local agency providing buildings for low-income tenants, which helped fund his growth.
9. Keep Costs Flexible
By avoiding large fixed costs, Miguel has maintained financial flexibility. He leased a manufacturing facility and purchased a brick-making machine but kept his workforce size variable to adapt to demand.
10. Think Long-Term
Miguel’s ultimate goal is to set up production plants and market his sustainable bricks widely. However, he plans to proceed cautiously, building a portfolio of successful projects and thoroughly testing his products before scaling further.
Watch the Full Webcast
For more insights into Miguel Arumbula’s entrepreneurial journey, watch the full Perspectives webcast on our YouTube Channel.
ABOUT THE AUTHOR
Gary Simon chairs the CleanStart Board, bringing with him a wealth of experience from over 45 years in business, government, and non-profit sectors. Gary applies his deep understanding and experience to support the growth of clean energy initiatives and startups. His work is instrumental in guiding the organization towards achieving its goals of promoting sustainable energy solutions.
Sponsors
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