Clean sources of energy are in high demand in today's market. Businesses and consumers alike want access to clean energy sources like wind and solar energy. Commercial projects that feature the use of solar energy can be beneficial in helping to meet this demand.
There are some unique financing options available to you when your commercial project features a clean energy component. Understanding these financing solutions for commercial energy projects will help you easily pay for your commercial energy project in the future.
Guaranteed Loans
The Department of Energy wants to encourage the completion of commercial energy projects. Since financing can be an obstacle standing in the way of many clean energy projects, the Department of Energy has decided to offer guaranteed loans.
As long as your solar project qualifies as a clean energy project, you are guaranteed funding through the Department of Energy's loan program.
State-Level Grants
Another financing option you should consider for your clean energy project is a grant issued by your state. Most states have an energy plan with specific goals that they are trying to meet. You can submit your solar project for review to see if it helps to further the state's progress toward reaching its clean energy goals.
If your project is approved, you could be given grant money to help fund the completion of the solar project. Grants do not have to be repaid, but you will probably have to put up with a bit more paperwork as you report on your progress for the duration of your solar project.
Private Loans
Many financial institutions also recognize that clean energy is a good investment. This means that you can partner with a private financing institution to obtain the funding needed to see your solar project through to completion.
You have the option of shopping around to find the institution willing to offer you the most affordable financing when you opt to go with a private loan. Interest rates can vary from one institution to the next, and finding the lowest interest rate will save you a significant amount of money as you repay your loan over time.
Commercial solar energy projects can increase the availability of clean and sustainable energy. It is this ready supply of clean energy that makes solar projects so attractive to those with the ability to fund your project. Consider the use of a Department of Energy guaranteed loan, a state grant, or a private loan to acquire the money needed to complete your solar project.
Share13 May 2019
When I began my first business selling sports equipment locally, I knew the sports-world well, and I knew how to run a business. One thing I did not know a lot about was the financial world. I had never applied for a loan in my life other than when I financed my car with the dealership in-house financing. My first application at a large bank was denied. I began looking into my other options, and I found that there were more lenders for new businesses than I realized. I applied at local credit unions, local banks, and other business lending services. I was able to secure more funding than I even expected, and my credit is just average. I created this blog to help other new business owners realize that there is funding out there. You just have to find it and apply! Don't give up on your dream.