Choosing the Right Payment Model To Empower Your Business with Commercial Solar

Last updated: 30 May 2024

Compare outright purchase to zero capex models and make an informed decision for your business' commercial solar.

In today's dynamic business landscape, the quest for sustainable solutions has become more than just a trend—it's a strategic imperative. As businesses strive to reduce their carbon footprint, lower operating costs, and enhance their reputation as environmentally responsible entities, the adoption of commercial solar energy emerges as a compelling solution.

Empowering your business with commercial solar not only unlocks the potential for substantial cost savings but also positions your organisation as a leader in the transition towards clean, renewable energy.

Are you ready to harness the power of solar energy for your business but unsure about the payment options available? Join us as we explore the transformative power of commercial solar and the two primary models—Outright Purchase and Zero Capex—to help you make an informed decision that aligns with your business goals and budget.

OUTRIGHT PURCHASE

With the Outright Purchase model, you take full ownership of the solar power system. Here's what you need to know:

Ownership

You own the asset, giving you control over the system and its benefits.

Investment

You make a 100% investment, either through a lump sum payment, a loan, or 0% interest credit card instalment plans.

Payback (ROI)

Enjoy a quick return on investment, typically within 3-4 years, as the capital is repaid through savings on electricity bills.

Performance Risk

You bear all performance risks, ensuring that the system operates efficiently.

Tax Benefits

Take advantage of tax benefits and incentives available for solar investments.

Payment

Choose from various payment options to suit your financial preferences.

ZERO CAPEX

The Zero Capex model offers a hassle-free way to access solar energy without any upfront investment. Here's how it works:

Ownership

The solar panels' investor owns the asset, eliminating the need for you to make any upfront payments.

Investment

Enjoy zero upfront investment, making it an attractive option for businesses with budget constraints.

Payback (ROI)

Experience immediate savings from day one, as you only pay for the electricity generated, typically at a rate cheaper than the grid tariff.

Performance Risk

The solar panels' investor bears all performance risks, ensuring optimal system performance to maximise generation.

Tax Benefits

While there are no direct tax benefits for you, the cost savings from reduced electricity bills can still contribute to your bottom line.

Payment

Pay the solar panels investor based on the electricity bill, simplifying your financial commitments.

Key Takeaways:

• When it comes to choosing the right payment model for your commercial solar installation, consider your financial situation, long-term goals, and risk tolerance.
• Whether you opt for the outright purchase model to enjoy ownership benefits or prefer the zero capex model for its immediate savings and minimal financial commitment, solar energy offers numerous advantages for businesses of all sizes.