Funding Commercial Energy Infrastructure

pexels-pixabay-159397.jpg

Whilst ‘Green Loans’ - secured and unsecured personal loans - are readily available to retail consumers, funding commercial and industrial energy infrastructure (not just solar panels) is far more complex. 

For businesses that are heavy on the power, such as industrial and manufacturing operations, the benefits of capital investment into energy infrastructure is well documented, not only on the environment but also on the bottom line.

Most commonly businesses investing in energy infrastructure will utilise asset finance where the lender takes ownership or specific security over the solar panels for example, and will generally fund both the cost and install of the project. 

Energy finance is a specialised area serviced by some of the majors as well as a selection of specialised lenders with a focus on understanding esoteric assets coupled with a strong operational approach delivering a super customer experience. 

Of importance is structuring your finance to suit your business needs, with particular focus on tax implications of leasing versus buying the assets, and what the assets lifecycle looks like. Specialised lenders with a focus on asset management as well as finance offer some great funding solutions,  ensuring you always have the innovative energy infrastructure your business requires. Many of these financiers offer the likes of finance and operating leases and manage the disposal of equipment after it’s useful life for your operation. 

If you’re considering investing in energy infrastructure for your business, please feel free to reach out for a discussion.

Previous
Previous

May Property Review

Next
Next

Invoice finance explained