Texas-based solar power contractor Freedom Solar LLC announced that Freedom Solar Financial Services LLC, the first solar financial vehicle of its kind in Texas, has raised an initial round of $7.5 million in funding to finance commercial solar projects.
The Freedom Financing program will allow companies to finance up to 70 percent of the cost of an entire solar installation ensuring that an investment in solar is cash-flow positive from day one. This program offers a simple one-page application and a rapid one-week underwriting process.
The executives at Freedom Solar LLC created this new financial services entity in time to help owner-occupied businesses take full advantage of the Business Energy Investment Tax Credit (ITC) for solar power system installations.
2019 is the last year in which companies can claim a corporate tax credit worth 30 percent of the total cost of their solar power system installations. The tax credit steps down each year after that, to 26 percent in 2020, 22 percent in 2021, and 10 percent in 2022 and future years.
Bret Biggart, CEO of Freedom Solar said:
“Finding a financial services product that works well for businesses is a challenge because the asset class and economic drivers of solar are unique. Freedom understands solar and what our clients need. We are stepping in to make capital available for companies who want to go solar in a way that maximizes their return on investment.”
Kyle Frazier, chief revenue officer at Freedom Solar said:
“With the deadline looming for the 30 percent tax credit, we are seeing greater interest from businesses who have been on the fence about solar for a while. Our waiting list for 2019 installations is already beginning to build, and people are realizing that the time to get started with solar is now.”
Source: Press Release by Freedom Solar LLC. Photo Credit: © Freedom Solar LLC.