Solar Financing Solutions

Flexible, simple financing options make solar investment affordable. SunPeak can help find and arrange the right fit for your organization.


An Attainable Investment

Solar is a very attractive investment for businesses, and customers now have a variety of ways to affordably finance a commercial solar installation.

Financial incentives provided by federal and state agencies provide an important benefit to businesses choosing solar. These solar incentives can reduce solar project costs significantly.

For many businesses, the remaining investment is typically financed with a combination of cash and debt that allows a customer to be cash flow positive quickly.

Alternatively, organizations can implement solar without disrupting capital or taking on additional debt. Investor-owned financing is available to serve those customers.

Regardless which financing option your organization chooses, it will save money on energy costs, mitigate risks of rising utility costs, and enhance its environmental leadership, making solar power one of the best investments you can make for the longevity of your business.

Commercial Solar Financing Options

SunPeak works with customers to help them understand the differences and unique benefits of each of the typical solar financing options:

  • Cash: System is fully funded with available capital, maximizing the system's return on investment potential.

  • Loan: Customer borrows a portion, or all, of the required capital. In addition to a traditional business loan, PACE (Property Assessed Clean Energy) financing is a unique loan arrangement available to customers in select areas.

  • Investor-Owned Financing: Instead of owning the system directly, an investor owns the solar system hosted at your site and your organization pays to use the system. These usage costs typically present a significant energy cost savings for customers that is realized immediately and throughout the duration of the term.
The following chart shows a basic overview of these options.

Comparing Solar Financing Options

  Benefit Cash Loan PPA/ESA/OL*
  Lowest financing cost    
  Direct ownership  
  Direct ownership with enhanced cash flow    
  Direct tax benefits (federal Investment Tax Credit + Depreciation)  
  Lowest system cost for non-profit    
  Immediate savings (cash flow positive immediately)    
  Optional future buyout available at a significant discount    
  Indirect tax benefits (customer realizes savings via favorable rates)    
  SRECs, rebates and local incentives benefit project economics
  Enhanced company image
  Lower carbon footprint
  Reduced energy expense
  Protection from utility price volatility
  Greater utility independence
*Typical investor-owned financing models include Power Purchase Agreements (PPA), Energy Service Agreements (ESA), and Operating Leases (OL). The specific financing tool will be selected based on project size, location, and customer term preferences.

Have questions on solar financing options?

Our solar experts at SunPeak have prepared some easy-to-follow guides to help you better understand the choices available:


SunPeak's project development team is here to discuss your project goals and answer your solar financing questions. Reach out below or request a free Solar Feasibility & Financial Analysis for your site.