Just a few years ago, BAYO.S, headquartered in Nykøbing Falster, was a relatively small company with revenue of around DKK 20 million.
Since then, the business has grown rapidly, and last year total revenue across BAYO.S reached around DKK 75 million.
Now the company, which sells screw foundations as an alternative to traditional concrete foundations, expects another significant leap. The aim is to roughly double the business this year and do the same again next year. If the first doubling is achieved, that would point to revenue of around DKK 150 million.
- We have big ambitions, and this year we expect to double the business compared with last year. We have really gained momentum now, and several years of preparation are beginning to pay off. The growth we expected has taken longer than we initially thought, but that is how the construction industry works. It takes time for new solutions to become established, says CEO Peter Juul.
Those years of preparation have included getting the necessary documentation in place. Through a six-year research project with Aalborg University, BAYO.S has worked on documenting what is required for screw foundations to meet construction standards for areas such as load-bearing capacity and safety. The project was completed last year, and according to the company, the work is now beginning to make a real impact in the market.
But as the business grows, the nature of the challenge is also changing. For BAYO.S, it is no longer only about persuading customers to choose a new type of foundation. The company also has to make sure that production and the organisation can keep pace.
That scaling-up process is already under way. BAYO.S has doubled the number of installation teams over the past year and expects to double again to ten teams. At the same time, processes such as preparing quotations are to be automated so that the number of administrative staff does not have to grow at the same pace.
- We also expect to double next year and perhaps the year after that as well. That could actually become one of our biggest challenges. At the same time, we need to become more efficient. We need to use software and AI to automate some of the processes that are currently manual, says Peter Juul.
BAYO.S also believes the market is opening up further. Screw foundations can replace concrete in parts of the construction sector, and according to Peter Juul, tighter CO2 requirements are making the solution increasingly attractive.
- What we are actually worried about is that demand will become so great that we cannot keep up and deliver. We need to find solutions to that before it happens. If you have a product that can replace concrete foundations, you are looking at an enormous market.
For the past 18 months, BAYO.S has taken part in the Man on the Moon growth programme run by Erhvervshus Sjælland and Industriens Fond. Among the 12 companies still participating when the programme ended, average growth was 89 per cent.
How far BAYO.S can go, however, will depend on how quickly the market develops.
- A tenfold increase is probably realistic over a period of five to ten years, but it is a bit like measuring with an elastic ruler – it is very difficult to say exactly. We are basically just trying to keep up, says Peter Juul.
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