There are as many ways to pay for a commercial solar system as there are ways to design one. By creatively combining state and federal tax incentives, grants, and innovative financing models, commercial customers can realize an immediate and positive impact on their bottom line.
While a well-informed commercial solar consultant will be able to design a financing model that works best for your business and clean energy goals, most commercial solar purchases fall into one, or a combination of, the following four categories.
Sun Valley Solar Solutions recommends cash purchase whenever it suits the owner, as it ensures the most favorable returns, simplifies ownership, and maximizes federal and local tax incentives.
Low interest loans or lines of credit with an existing banking relationship generally offer the fastest and most lucrative return outside of an all-cash purchase. Sun Valley Solar Solutions generally recommends financing only the necessary portion of the net cost after incentives are applied to achieve the best payback.
SVSS offers several lease programs that are available to for-profit companies with a tax lability. Our lease options offer a set payment for 10 years with no money out of pocket and no escalator. The system must be no smaller than 100kW. A lease offers the lowest monthly payment, but does not translate into immediate ownership. At the end of the lease term you have the option to negotiate a buy out.
Power Purchase Agreements, also called Solar Service Agreements, have long been used by utilities to finance the purchase of electrical generating facilities. PPAs are also becoming a common way to finance solar installations at commercial and institutional facilities. Sun Valley Solar Solutions offers several PPA programs for qualifying 501 (c)(3) non-profits, municipalities and co-ops.
Benefits of our PPA offerings include: