Going solar can be a sizable investment for some, especially small and medium sized businesses. But, unlike many property additions, solar starts returning money to your bottom line the moment it's turned on and will keep producing free energy for decades. In addition to all the positive financial benefits, a solar energy investment also adds to the "green" reputation for your company, which will appeal to an increasingly environmentally-savvy marketplace.
The intricacies and process of installing a commercial solar energy system can be confusing, which might make proposing a solar investment to your management team an intimidating feat. If you think your business could benefit from solar, but you aren't quite sure how to approach management or the owners with the idea, don't worry, we're here to help.
We've put together this simple blog to highlight the various positive benefits your organization can reap when switching to solar. Use this material to guide your pitch and if you happen to get stuck, contact us. We'd be happy to help you make your case.
1. Significant savings from solar
When you’re producing your own clean, affordable energy with solar panels, that’s money saved by not paying your utility for electricity that is all but guaranteed to be more costly every year. By reducing your reliance on utility power, you lock in a predictable energy cost and free up money for other areas of your business.
Every business has unique energy usage patterns and goals. This is particularly true with manufacturing facilities, which tend to use dramatically more electricity than other businesses. In fact, most of today’s leading manufactures know this fact and are actively investing in solar as a way to shield their bottom line from increasingly expensive utility power. A reputable solar contractor will help you determine the impact that adding solar can have to your specific organization's bottom line.
2. Tax credits offset upfront investment, but are disappearing fast
For a limited time, there are tax credits available that can dramatically reduce the costs of installing commercial solar. The federal government will currently offset up to 26% of a solar purchase via the solar investment tax credit (ITC). A qualified solar installer can help you explore the programs available in your area.
The tax credit won't last forever. Beginning on January 1, 2023, the ITC will reduce to 22% before dropping to 10% permanently for commercial solar projects in 2024. If your company has been thinking about making the switch to solar, now is the time to act! If your organization wants to reap the benefits of the 26% federal ITC, it's vital to start your solar journey today so your project will be eligible for the entire 26% credit.
3. Shade structures can be more affordable with solar
Many companies are implementing shady parking spots for customers and employees. Installing solar panels on parking shade structures is a great way to extend the solar tax credits into an adjacent addition (shade structures) while installing solar at the same time. This will help give you an edge to your competition by providing customers and employees protection from the harsh southwest sun, while also helping you save money over the decades you'll be generating your own electricity at a fraction of the cost of that sold by utilities.
4. Other companies investing in solar
Solar is here to stay and it's evident through all the companies who are making an investment in this clean form of energy. Industry movers and shakers, like Sub-Zero Group, Inc,. PepsiCo, and Voya Financial have all made the switch to solar. Check out SEIA's list of the top corporate solar installers for 2019 to gain even more insight to which companies are reaping the positive financial and environmental benefits of solar.
There’s never been more help available to organizations who would like to start offsetting the rising cost of energy with their own solar power plant. Contact our commercial solar team to find out what’s available for your business.