Choosing the right solar company starts with finding one that meets your goals. These criteria include equipment (panels, inverters and batteries), service, prices and warranties.

Ask to see the contract you will be signing before agreeing to anything. Also, consider what will happen if you sell your home. Some companies require that the new owner take over payments on a lease or PPA. Visit https://rooftopsolarcompany.com/ to learn more.

Many people who are thinking about going solar are overwhelmed by the many factors involved in the process. Finding the right solar company to work with is crucial for your system’s success and longevity. It’s important to check a solar installer company’s credentials, licensing, insurance coverage and certifications before hiring them. In addition, you should also choose a contractor that performs its own installations rather than outsourcing the job to subcontractors and ask about workmanship warranties.

It’s best to find a local solar installer company, as they will be there for you should any questions or issues arise down the road. They will also have the knowledge and expertise required to design a custom system for your home or business. They will be able to provide recommendations for the best equipment and ensure that the system is installed correctly. They will also be able to tell you what kind of savings you can expect with your new energy system.

Make sure to compare the different companies’ products to see which offers the most value for your needs, budget and energy goals. For example, look at panel efficiency, performance and durability and ask the solar company to explain their product differences in an unbiased manner. You should also consider how a particular type of system will impact the future sale of your home or business, as some systems require a transferable warranty when sold.

The right solar company will also make you aware of the available federal and state tax credits and incentives that can cover up to 55-70% of your system’s purchase price in Illinois. They will explain the advantages and disadvantages of financing options and not try to push you into one option in order to close a deal quickly.

A good solar company will be transparent about when they use subcontractors and will disclose the qualifications and track record of those contractors. They will also be honest about the reason why they are using subcontractors, as well as their ability to meet deadlines and other requirements for your project. Finally, they should be able to offer a comprehensive list of references from previous customers that you can contact.

Getting Started

Many entrepreneurs want to get into the solar energy business. It is one of the fastest growing industries globally, and there are plenty of opportunities for new businesses to enter the market and grow. However, starting a solar company can be a major endeavor, and there are some things you should keep in mind when getting started.

First, you should determine the scope of your business. Will you focus on residential or commercial customers? Will you provide sales or installation services? Once you know the scope of your business, you can start looking for funding. You can obtain financing from a bank, or you can look for other sources, such as crowdfunding or private investors.

You should also establish a business structure. Decide whether you want to operate as a sole proprietorship, partnership, or corporation. Then, write a detailed business plan to guide your decisions and help you secure funding. Also, make sure to research the solar industry and understand your market so you can make informed decisions about your business.

Next, you need to find a team of qualified employees. Look for people that are NABCEP certified to install solar panels. It is important to have a team that understands solar energy and can provide high-quality customer service. In addition to finding the right staff, you should also invest in marketing tools that will help you attract new customers and grow your business.

It is also important to find the right equipment and supplies for your solar company. This includes solar panels, inverters, wires, and other necessary equipment. Evaluate different models and manufacturers to find the best ones for your business. Lastly, be sure to establish pricing strategies that take into account the cost of equipment, installation labor, and profit margins.

It is important to realize that there will be ups and downs in your solar business. The industry will have supply issues, and state or federal incentives may expire or dry up. Additionally, there is always a risk that a newer renewable technology will emerge and leapfrog past everyone else. The key is to be resilient and keep working hard.

Insurance

The solar energy industry faces a unique set of risks. A comprehensive insurance policy can help protect against them and provide peace of mind to customers. Getting an insurance company with expertise in renewable energy can lead to better coverage options and lower costs for your business.

Solar companies should have general liability insurance that provides financial protection in the event of an accident or damage to a customer’s property. In addition, solar contractors should have a commercial property insurance policy that protects their equipment and inventory from loss or damage due to fire, natural disasters, theft, and other causes. Solar companies should also consider having commercial auto insurance, which offers protection for work-related vehicle accidents.

In some states, homeowners’ insurance policies cover solar panels as part of the home’s permanent structure. However, many potential customers are concerned about the possibility of storm-related damage to their system and may want an extra layer of security. If you encounter this issue, encourage the potential customer to speak with their insurance agent. They can explain the details of their current homeowners’ insurance policy and offer tips for addressing their concerns.

Additionally, solar companies should have professional liability insurance that provides protection for negligence claims related to their services. This type of coverage can help pay for legal fees and other costs associated with defending against negligence claims brought by customers, landlords, or tenants.

If you are considering working with a solar company, make sure they have commercial liability and professional liability insurance for their employees. Also, ask about any governmental or legal mandates that may require specific types of insurance for solar power companies.

Lastly, solar companies should consider purchasing an additional warranty offering for their customers to increase their brand value and customer satisfaction. An example of this is Solar Insure, which comes with a 30-year warranty and monitoring for solar panel installations. This warranty offer is more than double the length of a manufacturer’s standard warranty. Additionally, the warranty is transferable when the homeowner sells their house.

The solar energy industry is experiencing rapid growth, driven by increasing environmental awareness and government incentives. As a result, the demand for qualified insurance professionals in the renewable energy sector is increasing.

Taxes

The construction and operation of solar energy projects raises state income tax issues that need to be considered. States have wide discretion in interpreting and enforcing their own laws, so developers and investors should obtain very current information about how state taxes apply to renewable energy projects. Nexus, business structure and the allocation of income and tax credits between investor and company partners are important considerations.

Most states have a net income tax that is based on the federal tax code and generally follows the same rules, but there are many differences in how the rules apply to different situations. States also have a variety of incentives for renewables, and the availability and terms of those incentives can change rapidly.

Tax incentives can have a significant effect on the cost of a solar project and should be carefully evaluated when choosing a solar company. Some states have property tax exemptions for machinery and equipment used in solar facilities, while others have sales tax exemptions. These exemptions are often subject to restrictions, such as requiring that prevailing wage rates be paid on the construction of the facility, or they may expire after a period of time, forcing periodic legislative review.

In addition to state incentives, the federal investment tax credit (ITC) can provide a significant incentive for solar projects. This credit is a nonrefundable, non-depreciating credit that can be claimed by taxpayers who have enough federal income tax liability to claim the entire amount of the credit. The ITC is not reduced for facilities financed with proceeds of tax-exempt bonds or subsidized energy financing, and it can be carried forward 20 years from the year in which it was first claimed.

The ITC is claimed as part of the taxpayer’s federal income tax return, using IRS Form 5695, Residential Energy Credit. The taxpayer will need to provide documentation of the installation and a copy of the equipment manufacturer’s certification that the equipment qualifies for the credit. Some reputable solar companies will handle the filing of this return for their customers. Otherwise, a qualified tax professional should be consulted.