The Property Assessed Clean Energy (PACE) program means that businesses can get funding for solar energy installations in the form of a loan that is repaid along with property tax over a period of 20 years. But it’s still a loan. How will the payments affect you? Will they be a burden on your business? The last thing you want is a 20-year drain on your bottom line. We look at some of the questions business people are asking about the PACE program. Crunch the numbers first – this could be a huge opportunity for you! Before you decide out of hand that you don’t want to burden your business with yet another financial obligation, you will need to do some math. Why? Because missing out on this opportunity could actually cost you! You may find it most productive to do your calculations with the help of a solar energy consultant who can help you determine the cost of installing solar energy, your annual PACE repayment and your electricity generation potential. Here are some of the calculations that will have to be factored in:
- Calculate the tax rebate you will get for installing solar power. You still get it, even if you finance solar energy through the PACE program.
- Calculate your energy bill savings. All or part of the electricity you use will be absolutely free. How much will that reduce your utility bills? Talk to an expert to see what you should expect.
- Compare this with your PACE program repayment figure.
Although every business will be different, even fairly conservative calculations generally point to electricity cost savings that actually exceed the repayment figure. So, odd as it may seem, the program actually allows you to pocket more money, even though you have to make the repayments. It’s like being paid to improve your business profitability! Plus you get the one-off tax rebate as a bonus, and your business premises command a better price if you sell up. Bear in mind, PACE repayments are linked to property ownership and not individuals, so if you shut up shop in five or ten years, you won’t have to carry the cost of repayments – that will be up to the new property owner. Other questions entrepreneurs are asking Q: Is the PACE program available all over the USA? A: Not as yet. Find out if there is program in your area. Q: What about maintenance costs? A: Other than occasional cleaning of panels, maintenance is low. Q: Will my solar energy installation last 20 years? A: Yes, and very often longer. Check on guarantees if you want extra certainty. Q: Is solar energy reliable? A: Solar energy is more reliable than grid power, and with a grid-tied system you get the best of both worlds. Q: Can I sell power back to the grid? A: If you generate more power than you use, your electricity meter turns backwards. When you need power from the grid, your meter turns forwards again. Q: Are there any other benefits? A: Yes, you can use solar energy to market yourself as a ‘green’ enterprise, generate goodwill and improve your Corporate Social Responsibility profile. Solar energy through the PACE program – the bottom line Rather than creating an onerous obligation, the PACE program will very likely improve your profitability, putting money in your pocket. Even with tax rebates for installing solar power, many businesses would have difficulty raising capital for a solar installation. Thanks to the cheap, easy capital you can raise with the PACE program, and the long repayment period, the benefits of solar energy are now accessible to businesses that would otherwise have been unable to exploit the opportunities it presents. If the PACE program is available in your area, it’s not so much a question as to whether you should take advantage of it, but a question of whether you can afford not to. Crunch the numbers to see what you can expect – or get us to do the math for you - and decide for yourself! Would you like to know if Solar Panels are the right investment for your home or business? Let us create a free, fully customized proposal for you. Within our proposal, we will provide you all of the information you need to make an informed decision! Call us at 1855-60-1SOLAR (601-7652) or visit our site at www.1SolarSolution.com
