Commercial Business Are Saving Millions With Solar Energy
In a constantly shifting business environment, there was one area that showed consistent growth in the 2nd Quarter of 2017, solar installs. Now more than ever, businesses are turning to solar as a means of leveling out costs and increasing profitability. In Q2 of 2017 2.4 GW or 2.4 billion watts of solar power were installed nationwide, over 60% of which was commercial purposed. This represents an 8% growth increase from last year in the same quarter.
To those of us who own and run businesses in the U.S. it is crucial that we constantly assess overhead costs and count every penny to ensure maximum profitability. The commercial solar market is blossoming because of substantial tax incentive being paired with a diversified set of offerings that allow businesses to leverage the savings of solar regardless of structure. With Power Purchase Agreements and varying lease structures, businesses and non-profit entities are still able to consider solar, even without traditional tax appetite. With varying terms and fixed rate pricing solar is allowing businesses to decrease electric costs while simultaneously entering a contract for power that guarantees controlled or non-existent rate increases. On average businesses are seeing reductions of 25-30%, in some cases larger, without laying out cash or taking loans. That's good reason to call alocal solar energy provider and start crunching the numbers for your business.
For the business owners looking to leverage the maximum return from their solar project, the market also offers amortization products and split loans to allow for the Solar Federal Income Tax Credit and MACRS Depreciation available to solar owners to be utilized as payment. In these scenarios customers can finance a solar system with no money down at rates from 2.49%-9.99% over varying terms, while utilizing a special tax loan to cover the FITC and MACRS portions without interest. This structure replaces the existing utility bill, or a portion of it, with a fixed payment that allows the business owner to receive equity on his electric costs by investing in solar as an asset for his business, all while receiving his company’s power directly from it.
With a range of no-money-down options, businesses are becoming increasingly aware of getting the long standing benefits of solar going. From decreasing demand to opening avenues for future power storage use, solar is affecting the business landscape constantly. The future business landscape in the U.S. may be uncertain at times, but the concept of controlling costs and maximizing profitability through energy efficiency will continue to be an intelligent move for business owners from small to large. As our energy dependence and automation of processes continue to take place, it becomes more and more crucial that we implement sustainable sources for feeding that machine. Solar is savings businesses millions by empowering control and profitability in its expansive use, while the opportunity cost of not doing so grows with it.
We cannot give enough thanks to Grid City Energy 375 Pearsall Ave, Cedarhurst, NY 11516 516-308-7878 for all their input into this groundbreaking publication. We worked closely to provide business owners with the information necessary to go green, save money and grow their business.