Is Now the Right Time for Your Business to Go Solar?
Residential solar is in the middle of a boom that will most likely go on for quite a few years or decades to come. Add this to the fact that many of the world’s largest businesses are converting to renewable energy, and the time seems just about right for going solar at small and medium sized businesses, as well.
And part of the reason for this is that solar power has many benefits beyond the potential PR benefits of being a green business. With that in mind, read on for a quick guide to the financial, operational, and other benefits of fitting solar power into your business model.
Traditionally the barrier to entry for most business owners thinking about going solar, installation costs and cost per watt of power produced have both come down considerably in recent years. Additionally, federal and state government solar incentives have continued to ease the costs associated with going solar, while lease options and other creative financing techniques have gotten more businesses to take the leap.
More and more business owners are coming to see the investment required to go solar as a hedge against future conventional power costs.
In addition to federal tax credits and local and state government rebates that offset the cost of installing a commercial solar power system, many states have net metering policies in place. Net metering insures that once you have a solar power system supplementing the power needs of your business, you will only pay the utility for the power you use.
Additionally, any excess power you generate during peak times goes back to the grid and is credited against the power you use during times when the sun isn’t at its brightest – like nighttime.
In addition to the direct financial benefits of installing a commercial solar power system, there are also a number of operational advantages for businesses that choose to invest in solar power.
Installing a solar system can dramatically reduce your business’s direct operating expenses, which can free up capital for use and investment in other areas of your business. Your company’s strategic play and core business values should dictate how this additional capital is implemented.
And further, because the cost of solar power is fixed for the life of the system, solar is a hedge against fluctuating power costs, which frees up reserves you might typically hold for annual and sporadic increases in energy costs.
Doing the Right Thing/Marketing Opportunities
Depending on the public’s perception of your business, going solar can present your marketing team with an excellent opportunity to position you within your market(s). Going green is increasingly being rewarded by consumers and can pay dividends in terms brand positioning, as well as in reputation building. Companies that invest in green technology are increasingly seen as committed to quality, community, and operational efficiency.
For business owners, installing solar power is an increasingly easy choice to make. Due to the direct and future financial and operational benefits, as well as the powerful impact it can have on brand positioning, going solar is a great investment for your business.
[Photo Via: RMI]