Why Financing Your Solar Project Matters
Financing your solar project effectively can be the key to maximizing your investment. The right financing option can minimize upfront costs, maximize tax benefits, and provide a predictable energy cost over time. But what is the best financing option for your business?
Cash purchase:
A cash purchase is the most straightforward method of financing your solar project. You purchase the system outright and enjoy the benefits immediately. You can also take advantage of federal tax credits and depreciation benefits.
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Do you have the capital for an upfront investment?
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Do you want to maximize your long-term savings?
Power Purchase Agreement
(PPA):
In a Power Purchase Agreement, a third-party provider owns, operates, and maintains the solar system on your property. You agree to purchase the system’s output at a predetermined rate.
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Do you want a solar solution with no upfront costs?
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Are you comfortable with a long-term agreement to purchase power from the system?
Operating lease:
In an operating lease, a third party owns the system, and you make regular lease payments for the use of the system. You benefit from the electricity generated, often at a lower rate than your utility.
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Do you want to avoid upfront costs and maintenance responsibilities?
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Do you prefer the flexibility of options at the end of the lease?
Capital lease:
A capital lease is a long-term lease in which you assume most of the risks and rewards of ownership, even though the lessor retains legal ownership. You can claim tax incentives and may have the option to purchase the system at the end of the lease.
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Do you want the benefits of ownership without an immediate large capital outlay?
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Do you want to claim tax benefits while spreading the cost over time?
Solar Loan:
A solar loan allows you to finance your solar system over a fixed period. You make regular payments towards the cost of the system, much like a car loan or a mortgage. You're eligible for federal tax credits and depreciation benefits.
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Do you prefer to spread the cost over time?
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Do you want to eventually own the system outright?
Contact Innovate Energy Group for a personalized consultation and let's build a brighter, more sustainable future together.
1213 W Morehead St,
Charlotte, NC 28208
704-702-2224