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Solar Panel Installation Business

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How to Start a Solar Panel Installation Business

Written by: Howard Tillerman

Howard Tillerman is the Chief Marketing Officer for Step By Step Business and an award-winning marketing professional.

Edited by: David Lepeska

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Updated on May 16, 2023

How to Start a Solar Panel Installation Business

Investment range

$45,000 - $140,000

Revenue potential

$400,000 - $1.5 million p.a.

Time to build

Profit potential

$40,000 - $150,000 p.a.

Industry trend

Solar Panel Business FAQs

Solar is a growing industry with a bright future. The United States has installed 108.7 gigawatts-DC (GWdc) of solar PV capacity, enough to power 18.9 million homes. The cost of installing solar panels has also dropped by more than 70% over the last 10 years, contributing to the industry’s steady growth. With such impressive statistics, now is a great time to start a solar panel installation business.

However, like any business, building a commercial solar installation company from the ground up requires proper planning and preparation. Lucky for you, this step-by-step guide provides all the insight and information you need to get on the road to entrepreneurial success!

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Step 1: Decide if the Business Is Right for You

The first step is to determine if starting a solar panel installation business is a viable idea. Think of it as a way to test the idea’s true potential.

Pros and cons

Solar panel installation industry trends

In 2020, the solar industry recorded robust growth of 43%, adding 19.3 gigawatts per year to the national grid.(( https://www.seia.org/research-resources/solar-market-insight-report-2020-year-review )) The exceptional growth occurred amid a pandemic that crippled most industries.

What’s more, the industry is expected to quadruple from 2020 to 2030. The driving force behind this is the government’s clean energy initiatives and growing concerns about climate change. 

For instance, the government has initiated the Investment Tax Credit (ITC) scheme . Through this plan, consumers get a tax credit equivalent to 26% of the cost of installing a solar panel system from 2020 to 2022 and 22% in 2023.

Industry size and growth

solar panel installation industry size and growth

Trends and challenges

Trends in the solar panel installation industry include:

Challenges in the solar panel installation industry include:

solar panel installation Trends and Challenges

What kind of people work in solar?

solar panel installation industry demographics

How much does it cost to start a solar panel installation business?

You will need between $45,000 and $140,000 to start a solar panel installation company. Startups in this sector spend around $92,500 on average to get things up and running. Most of this money goes toward buying equipment, a business truck, insurance, and marketing.

How much can you earn from a solar panel installation business?

Residential solar panel installation projects average at $16,800, including the cost of the solar panels and installation. The average profit margin for a solar business is about 10%. 

In your first year or two, working part-time you could do two installations per month for $17,000 per installation and make about $400,000 in annual revenue. This would give you about $40,000 in profit, assuming that 10% margin. As your business grows you might make five $25,000 installations each month, which would give you annual revenue of $1.5 million and a tidy profit of $150,000. 

solar panel installation earnings forecast

What barriers to entry are there?

Barriers to entry for a solar panel installation company are relatively moderate. Significant challenges for new entrants include:

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Step 2: hone your idea.

Now that you know what’s involved in starting a solar panel business, it’s a good idea to hone your concept in preparation to enter a competitive market.

Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers better, who your competitors are, and your business landscape.

Why? Identify an opportunity

Research solar panel businesses in your area to examine their products and services, price points, and customer reviews. You’re looking for a market gap to fill. For instance, maybe the local market is missing a solar panel firm that does rapid installation.  

solar panel installation business plan india

You might consider targeting a niche market by specializing in a certain aspect of your industry, such as selling excess energy back to the grid.

This could jumpstart your word-of-mouth marketing and attract clients right away.

Operating a solar panel installation business in the top five states mentioned above could be profitable thanks to the high demand.

What? Determine your products or services

In a business world where your competitor often claims to be #1, it is crucial to differentiate and build your own identity. There are three models you can adopt to help the solar panel business stand out as explained below:

Model 1: Offer specialized installation services

Under this model, you will not stock solar panels. However, you will provide specialized solar installation services in partnership with companies that stock and sell solar panels.

Offering specialized installation services is the most cost-effective way to start. Further, this model enables you to gain the installation experience required to help you find your footing.

Model 2: Focus on product sales

Under this model, you will stock and sell solar panels. You will subcontract installation services in collaboration with companies that stock and sell solar panels.

Focusing on product sales is ideal if you want to simplify operations by outsourcing fieldwork from the get-go. That way, you can concentrate on the sales side of your business. Plus, you can develop a full-time team once your startup begins to generate substantial revenue.

Model 3: All-inclusive

Under this model, you will stock and sell solar panels. You’ll also offer installation services through in-house solar photovoltaic installers.

The all-inclusive model will require a significant amount of investment to enable you to purchase inventory and employ a team of reliable fieldworkers. You can also expect to incur high operating expenses, so go for this model only if you have considerable capital.

Apart from selling and installing solar panels, you can also offer auxiliary services such as consultation, repair, and maintenance. While such services may not generate much revenue, they could ensure a stream of steady customers and help build brand loyalty.

How much should you charge for solar panel installation?

The low and high-end prices of solar panels range from $5,000 to $40,000. These figures represent the cost of panels and don’t include labor and the cost of equipment such as the inverter.

An inverter can account for up to 10% of the cost of the solar panel . As a result, you can expect to generate $1,200 by selling the inverter for an average solar panel installation project.

The labor cost of installing a solar panel system can range from 20 to 40% of the system cost depending on the project and size of your solar system. You can expect to incur labor costs of about $3,600 for a $12,000 solar panel. Overall, a solar installation project generates an average of $16,800 in revenue.

Once you know your costs, you can use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

To build a solid foundation for your solar panel installation startup, you must identify your ideal customer to enable you to customize your marketing appropriately. There’s a growing demand for solar panels in every consumer segment. Your target market should include:

Where? Choose your business premises

The type of commercial space you need primarily depends on your startup strategy.

For instance, you can run your business from home if you don’t want to stock solar panels. Your business can also be home-based if you’re offering specialized installation services. But you will need to rent a warehouse and a physical storefront if you intend to sell solar panels and offer installation services. 

You can find commercial space to rent in your area on sites such as Craigslist , Crexi , and Instant Offices . When choosing a commercial space, you may want to follow these rules of thumb:

solar panel installation business rating

Step 3: Brainstorm a Business Name

Your business name is your business identity, so choose one that encapsulates your objectives, services, and mission in just a few words. You probably want a name that’s short and easy to remember, since much of your business, and your initial business in particular, will come from word-of-mouth referrals.

Here are some ideas for brainstorming your business name:

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Find a Domain

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Finally, make your choice among the names that pass this screening and go ahead with domain registration and social media account creation. Your business name is one of the key differentiators that set your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.

Step 4: Create a Business Plan

Every business needs a plan. This will function as a guidebook to take your startup through the launch process and maintain focus on your key goals. A business plan also enables potential partners and investors to better understand your company and its vision:

what to include in a business plan

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business! 

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you are planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to solar panels. 

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state. 

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your solar panel business will shape your taxes, personal liability, and business registration requirements, so choose wisely. 

Here are the main options:

types of business structures

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization , and answer any questions you might have.

Form Your LLC

Choose Your State

We recommend ZenBusiness as the Best LLC Service for 2023

solar panel installation business plan india

Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number , or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN. 

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

solar panel installation business plan india

The IRS website also offers a tax-payers checklist , and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you are completing them correctly.

Step 7: Fund Your Business

Securing financing is your next step and there are plenty of ways to raise capital:

Bank and SBA loans are probably the best options, other than friends and family, for funding a solar panel business. You might also try crowdfunding if you have an innovative concept. 

jewelry store financing

Step 8: Apply for Licenses/Permits

You’ll need relevant local, state, and federal government licenses and permits to be allowed to operate a solar panel installation business.

Some licenses and permits associated with solar installation include:

You may also need additional permits by your state to enable your startup to operate legally, including:

You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package . They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money, you’ll need a place to keep it, and that requires opening a bank account .

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your solar panel business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account.

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

types of business insurance

Step 11: Prepare to Launch

As opening day nears, prepare for launch by reviewing and improving some key elements of your business. 

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks.  

Field service management software, such as ServiceTitan , Jobber , or Field Nation , will enable you to manage your field service crew and oversee client management, scheduling, invoicing, task allocations, payroll, and re-organizing.

Some of your business will come from the casual passerby or online visitors, but you should still invest in digital marketing! Getting the word out is especially important for new businesses, as it’ll boost customer and brand awareness. 

Once your website is up and running, link it to your social media accounts and vice versa. Social media is a great tool for promoting your business because you can create engaging posts that advertise your products: 

Kickstart Marketing

Take advantage of your website, social media presence, and real-life activities to increase awareness of your offerings and build your brand. Some suggestions include: 

Develop your website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism. They are unlikely to find your website, however, unless you follow Search Engine Optimization ( SEO ) practices. These are steps that help pages rank higher in the results of top search engines like Google. 

You can create your own website using services like WordPress , Wix , or Squarespace . This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

Focus on USPs

Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your solar panels meet their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire. 

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your solar panel business could be:

unique selling proposition

You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a solar panel business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in renewable energy for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in solar panels. You’ll probably generate new customers or find companies with which you could establish a partnership. Online businesses might also consider affiliate marketing as a way to build relationships with potential partners and boost business. 

Step 12: Build Your Team

You may not need to hire any employees if your business involves subcontracting fieldwork since your operations are simple. However, as your business grows, you’ll likely need to hire full-time employees for various job roles. Some potential employees for a solar installation business include:

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need. 

Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed , Glassdoor , or ZipRecruiter . Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent.

Step 13: Start Making Money!

As the price of solar and the cost to install it continue to fall, more Americans are becoming aware of the benefits of tapping clean renewable energy. That’s why the solar market is expanding rapidly across the US, and demand is exploding in many states, especially in California and Texas. Other states leading in solar energy installation are Florida, Virginia, and North Carolina.

Now that you’ve gained all of the necessary business knowledge, you should get out there and roll up your sleeves. With proper planning and hard work, you should be on your way to becoming a successful solar panel entrepreneur. 

The first way solar panel installers make money is through installing solar panels. You can also make money by stocking and selling solar panels while subcontracting installation to independent operators.

Yes, it is. If you only deal with installing panels for clients who pay the entire sum at a go, you can make a profit of up to $54,000 a year.

It is important to mention, though, that you’ll need a steady stream of contracts. If you’re handling high-ticket commercial installation projects you can make as much as $490,000 in profit per year.

There are several types of solar panel systems you can install, including grid-tied systems, off-grid systems, and hybrid systems. When choosing a system, factors to consider include energy needs, available space for installation, budget, local regulations and incentives, and the solar panel efficiency and durability.

To differentiate your solar panel installation business from competitors, you can focus on several strategies. This includes offering exceptional customer service, providing personalized consultations and tailored solutions, using high-quality and reliable solar panels and equipment, staying updated with the latest industry trends and technologies, offering competitive pricing and financing options, and showcasing your expertise and track record through customer testimonials and case studies.

To attract customers and effectively promote your solar panel installation services, you can employ various marketing tactics. This includes creating a professional website that highlights your services, benefits, and testimonials, utilizing search engine optimization (SEO) techniques to improve online visibility, leveraging social media platforms to engage with your target audience and share educational content, participating in local community events and trade shows, collaborating with other businesses or influencers in related industries, offering referral programs or discounts, and leveraging customer reviews and word-of-mouth recommendations.

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Product feasibility and strategy.

Solar panel installation companies have already been proven in the market. Many companies have found success in the country particularly in California and the Northwest. There are a few companies in the same vicinity as SI Co that offer solar panel installation. Among them is G2 Power Technologies LLC based in St. Louis Mo. The company offers a variety of solar options. G2’s services include consulting, analysis, advice, and installation for residential as well as commercial properties ( http://www.g2power.com ).  Solar Night Industries, Inc. is based in St. Louis Mo. as well. The company provides residential and commercial energy plans to customers through its website (solarnightidustries.com).  MidAmerica Solar, also in St. Louis, offers solar panels and installation. They do not warehouse any equipment and as a result they require a four to six week lead-time before filling an order or starting a job.

SI Co will enter the market by providing bid analysis and installations in the residential market and small commercial market. SI Co will be the only solar panel installation company in the Madison County, Illinois area. It will specialize in solar photovoltaic panels used to convert solar power to electricity. SI Co will provide the photovoltaic solar panels and install them on residential homes in the Madison county area. The company’s niche market consists of homeowners who are building a new home or purchasing a new home that costs $300,000 or more and who make an above average income. SI Co will sell a service that its customers want. Customers are becoming increasingly aware of the savings that can be enjoyed by utilizing solar power. The worldwide market for solar energy doubled last year, to $33 billion, and analysts expect revenues to grow 33% a year for the foreseeable future (Fortune, Nov.10 2008). SI Co will provide its customers the ability to experience long-term savings through quality installed solar products. It will also offer the secondary benefit of providing a product that benefits the environment in which we live through the use of renewable energy. SI Co’s customers will have the benefit of knowing that they have contributed to a cleaner and more eco-friendly world.

SI Co will differentiate its service from other solar installers through its first mover advantage in the Madison County area, as well as its service excellence, which demonstrates the company’s commitment toward total customer satisfaction. To provide this level of service, SI Co will rely on a team of friendly, helpful and highly qualified technicians. Through their familiarity with the local IBEW union, the owners of the company will be able to hand select electricians with whom they are familiar and who exemplify this commitment to excellence.  Whenever possible the owner’s son and husband will complete the work. Combined they have 40 years of experience as licensed electricians. This will provide them a competitive advantage in the market.  The owners will also provide a phone service from their Dorsey Illinois location that will be answered by a friendly person during business hours. The company will also follow-up all installations with a thank you letter to the client’s home.

Pricing Strategy

SI Co will charge its customers $75.00 per hour to install the solar panels. This rate is commensurate with that charged by union electrical workers in the conventional electrical market. SI Co will charge $9.00 per watt for solar panels and any necessary converters or batteries.

The typical solar panel that will be used for SI Co’s installations is the Sunwize SW Series Solar Module. SunWize Solar Modules deliver top-quality performance for all photovoltaic applications including rural electrification, water pumping, telemetry, communications, and general battery charging. SunWize modules can be used in single-module and multiple-module installations. Each module consists of 36 solar cells connected in series (except the SW90C which is 48 cells in series), providing maximum charging power. The glass surface is impact resistant and allows maximum light transmission. Single crystalline solar cells are encapsulated and bonded to the glass in multiple layers of ethylene vinyl acetate (EVA) and laminated with a white Tedlar™ backing insuring long life in severe environmental conditions. A weather resistant junction box accommodates all wiring methods including moisture-tight strain relief connectors and electrical conduit. Bypass diodes insure reliable operation. Anodized aluminum tubular frames add strength and durability to the modules (midamericasolar.com). For pricing of various Sunwize systems and the prices that will be subsequently charged by SI Co, see Appendix 4.

If customers prefer a particular model of solar module other than Sunwize, SI Co will be able to accommodate the request. Additional models of solar panels available from Advanced Solar Solutions include Sharp, Sanyo, BP, Evergreen, Shell, Photowatt, Uni-solar, Astropower, and ASE Americas.

There are many financial incentives available for those wishing to install renewable energy alternatives. In fiscal year 2007, the U.S. Department of Energy, “Energy Efficiency and Renewable Energy” awarded $574 million in financial assistance. ( http://www.energy.gov .).  As part of the bailout package, Congress extended the 30% investment tax credits for clean energy (Fortune, Nov.10 2008). A personal tax credit is available from the Federal government to residents installing photovoltaics. The amount available is 30% of the total cost of the project. After January 1, 2009, there is no maximum limit placed on the incentive. ( http://www.dsireusa.org )

There are also several rebates and incentives offered in the state of Illinois for those using solar power. The focus of the Solar Energy Rebate Program, through the State’s Renewable Energy Resources Program, is to encourage utilization of small-scale solar energy systems in Illinois. Through this program the Department offers rebate awards up to 30 percent of eligible system costs with a maximum incentive of $10,000 for the purchase and installation of a solar photovoltaic or solar thermal energy system under $50,000 in total cost. Similarly the Solar Energy Incentive Program may provide up to 30 percent of eligible project costs per project for solar thermal, an incentive of $3.00 per watt of installed photovoltaic capacity that targets LEED Silver, Gold, or Platinum certification, and up to $3.25 per watt of installed photovoltaic capacity for an innovative installation. ( http://www.illinoisbiz.biz ).

Channels of Distribution

SI Co will operate from its main office in Dorsey, Illinois.  It will serve Madison County, Illinois. Madison County is an area of approximately 725 square miles, containing about 265,303 in 2006 (up 2.5% from 2000). 19.2 % of the population has a Bachelors degree or greater. Medium household income in 2006 was 45,326. ( http://www.census.gov ).

The solar panels will be purchased from Advanced Energy Solutions Group Inc. ( http://www.advancedenergysolution.com ) on an as needed basis.  Advanced Energy Solutions is a distributor of nearly every high quality brand of solar electric or photovoltaic module.  When an order is placed with Advanced, it is usually shipped out the next day through UPS.  This will allow SI Co the ability to begin work on a solar project with minimal lead-time.  Orders may be placed by phone, mail, or on-line.  Shipping time is minimized by using Advanced since they keep over 100 modules in stock in their West Coast distribution center and over 500 modules in stock in their East Coast distribution center.  Local companies providing solar panels do not maintain inventory in stock and would therefore create an unacceptable lag time in SI Co’s service.

All shipments from Advanced are insured and all merchandise is guaranteed. Conveniently for SI Co, Advanced also maintains an office in Pomona, Illinois where clients can call for technical information. SI Co may utilize this resource at no extra charge.  Aur Beck, who owns Advanced Energy Solutions, operates from the southern Illinois location.  Beck routinely installs solar panels in the area and will provide on the job training at each installation.  Due to SI Co’s relative close proximity to Advanced, it can use this important resource to keep abreast of the latest trends in solar installation technology.  See Appendix 6 for contact information on Advanced Energy Solutions.

Promotions and Advertising

SI Co will advertise its service in a variety of ways which will include a company website, advertisement in phonebook, yard signs, magnetic truck signs, brochures, and referrals from the supplier.

A key component to SI Co’s marketing success will be its website.  This site will provide customers with details about the company and contact information.  Gap Tech Solutions ( http://www.gaptechsolutiononline.com ) offers quality web design and maintenance at reasonable rates. SI Co will secure the dot com, dot org, and dot net domains for $16.00 each per year.  This will assure that no one else will use the SI Co brand name in the future.  Gap Tech Solutions will construct a site that is ideal for SI Co’s needs.  It will include four main pages, two sub pages, two email addresses, one event calendar, and one contact page complete with the first year of web hosting for $329.00.  This price will also include one custom component, which SI Co will use for a submission form.  Potential customers will fill out the submission form prior to obtaining their estimate.  The submission form will provide SI Co with information necessary to begin a customer estimate such as customer needs, size of home, etc.

The website will cost $180 per year after the first year.  This includes unlimited support, one cosmetic change per year, and all of the necessary training on design and content management SI Co will need to grow the business. For breakdown of costs for promotions and advertising refer to Appendix 5.

Furthermore, when SI Co’s target customers pick up the phone book to begin the search for a solar installation company, the company needs to have a presence.  Hometown phonebook (http://www.hometownphonebook.com) will place a one-inch advertisement listing in any one of its Madison County phonebooks under the category of “Solar Energy” for $400.00 per year. Additional books would cost $200.00 per year additional.  Due to the location of SI Co’s target market, the Edwardsville book should feature the initial listing.  It will capture the Maryville and Glen Carbon market as well.  An additional listing in the Troy/Highland book is recommended. While the median household income in the U.S. is $51,476 and the median household income in Madison County in 2007 is $51,910, the median household incomes of Edwardsville, Maryville, and Glen Carbon are $63,631, $75,149, and $69,783 respectively.  The median income in Troy was $67,132. (http://www.muninetguide.com).

As the business grows, larger full color ads with illustration and detailed information can be added for only $1000.00 per year.

To promote the business further, SI Co will utilize yard signs advertising the company name and phone number.  With the customer’s permission, these signs will be placed in the yards of the homes having solar panel installation for the duration of the job.  Magnetic signs will also be attached to the side panels of the SI Co trucks to promote the business as the trucks are on the road.  Brochures will be made featuring the company name and logo as well as important facts about cost savings that can be had by using solar energy.  Business cards will be printed as well.

Another advantage of using Advanced Energy Solutions as a supplier is that they will in turn promote SI Co’s business.  When a customer calls Advanced inquiring about solar technology installation in the Madison County Area, they will refer SI Co for the job. This may prove to be one of SI Co’s most valuable promotional tools.

Components of a Business Plan

Types of business entities, business plan examples, business plan outline, business plan template, family entertainment center business plan, property management business plan, social networking site business plan, solar panel installation business plan, web development business plan, how to write a business plan, how to write an executive summary, business overview, management team, business plan operational plan, how to write an industry analysis, marketing plan, business plan financial section, business blog, business management, how to business, supply chain management, online calculators.

How to Write A Solar Panel Business Plan

How to write a solar panel business plan.

The solar panel sales industry has been growing at an impressive pace over the last number of years, which is driving demand for solar panel business plans, solar panel business plan templates, and solar panel company pro forma financial projections.

There are numerous reasons why the solar panel industry is growing at a healthy clip.  To illustrate, the federal government, state governments, and local municipalities often provide homeowners and business owners with tax credits when solar panel systems are installed.  This is just one of many reasons why entrepreneurs are starting up solar panel sales and installation companies and writing aligned business plans.  Regardless of why solar panel business plan demand is growing, having one prepared is an excellent strategy to ensure readiness for funding or expansion purposes.  From this, our solar panel installation and sales business plan writer has come up with some tips and tricks to help owners write their own solar panel business plan, business plan template, or pro forma financial projections.


Executive summary for a solar panel business plan or template..

The executive summary section for a solar panel business plan should start with explaining the basic components of the business, such as the company’s name, location, service area, and legal structure.  Once this is complete, our solar panel business plan writer strongly recommends explaining, in brief terms, the types of solar panel systems sold and installed.  By following this practice, the business owner is able to set the reader’s expectations as to whether the organization is going to specialize in installing a few limited solar panel systems or if they’re going to provide a broad range of systems for sales and installation.

Company Information and Location for a Solar Panel Business Plan .

The company information section for a solar panel installation and sales company should again reiterate the company’s name, location, and service area.  Also, we recommend providing details related to competitive advantages for the organization.  In some solar panel businesses, their competitive advantage could be offering a wide selection of solar panel systems to install.  For other businesses, their service area may be broader, possibly on a regional basis, as compared to other businesses.  No matter the competitive advantage, make sure to explicitly state but do not provide more than one or two competitive advantages.  Keep it short, sweet, and to the point.

Need Help Writing a Solar Panel Sales and Installation Business Plan?

Call or Text Paul, Doctoral Candidate, MBA.


Email: [email protected]

Click HERE to Contact US Today!!!

Popular Services/Products Offered by a Solar Panel Company.

Solar panel installation products and services for solar panel companies may vary between organizations.  From this, the need to explicitly state products and services for solar panel systems is imperative for a business plan.  In some instances, some solar panel installation companies provide a broad range of services, such as installing solar panel systems for homes, pools, air conditioners, electric heaters, and even electric cars.  In other instances, solar panel companies will specialize in niche services such as home or office solar panel systems.  Because of the various business models that may be employed, make sure to specifically discuss which model is embraced and then provide details about the systems afterward.

Proforma Financial Projections for a Solar Panel Company.

The pro forma financial projections for a solar panel company regardless of the business model embraced for products sold are similar in structure.  In starting, our solar panel company pro forma financial projection consultant recommends that the financial model utilize an average customer, average sales price, and average variable cost method.  Specifically, when we structure this kind of solar panel company financial model, we will multiply the solar panel installations weekly by the average installation sales price and then deduct the average variable cost, again based on weekly sales.  With the revenue based on the weekly structure, the next step would be to multiply the gross profits, which are simply solar panel sales minus solar panel variable cost, by 4.333.  The product would be your gross profits for the month.  From this point, solar panel business owners than just need to subtract their monthly fixed cost to arrive at their estimated net profit.  This basic model will not only help entrepreneurs identify how many solar panel customers they need the service on a weekly basis but also with their sales prices, on average, need to be to achieve their desired net profits.

Hopefully, these insightful tips and tricks for writing a business plan were helpful.  As always, if you need help with a business plan or financial projections, just send us an email or give us a call. 

Author: Paul Borosky, Doctoral Candidate, MBA., Author

Owner of: Quality Business Plan , and  Quality Business Consultant.

Date: 1/31/2022

Solar Panel Installation Business Plan Sample

Solar panel installation business plan guide.

Solar energy is one of the most trending businesses presently and with the growth in alternative energy, this trend is going to continue for long.

So, what do you need to know to start a solar company irrespective of your location? To start a solar company, there are lots of things that must be put in place and here they are:

Define your Niche in the Solar Market

There are many niches to choose from in the solar market. You need to conduct some research on the biggest needs in your environment before you start your solar company. The niches in the solar market include;

  • Solar Installation
  • Solar Manufacturing
  • Solar Sales
  • Solar Parts
  • Solar Maintenance (Technicians)
  • Solar Consultant

These are the niches that are available in the solar market and you can’t specialize in all. You can choose to focus your company on two at most. You can do research and see the one that the need is high and also profitable with a good profit margin.

  • Become Certified

No matter your love for the solar business, you can’t just wake up one morning because you have the money and say you want to start a solar company. It doesn’t work like that. You need to be technically grounded in the field.

About your niche, you need to have technical knowledge of whatever solar niches you choose to build your company around. You need to go and learn about solar and be certified.

Most states in the US require certification before you will be allowed to start your solar company and the approval takes a lot of time. So, you need to know what you are getting into at first.

  • Get licenses and Permit

This is needed before anyone can start a solar company. The licenses needed to start a solar company, vary from state to state. Check out for your state the needed license required to start a solar company and get them.

  • Create a Solar Installation Business Plan

There is no successful company on planet earth that succeeded without a business plan. Create a business plan for your solar business so you can stay organized. The business plan will need to include financing options, operational cost , advertising and promotion strategies as well as where you will find customers at a minimum.

Aside from a business plan standing as a guide, the business plan will also help banks and financial institutions consider your request for a loan if you may need a loan in the future.

Investors also need solar company business plan before they can invest in your business. So, you can see why you need a business plan for your solar company?

  • Choose a Suitable Location

This factor alone if not properly decided on has the potential to kill your company. You should not site your company in a location that does not have your ideal customers or where your customers can’t reach you.

Your location should be properly picked after you must have done your investigation about the environment.

Once you decided on starting a solar company, how you get the word out after launching is the next step. There are many traditional means of advertising, but these can be costly. For a business like this, the best and effective advertising channel to use is television, radio, and banners.

Facebook and LinkedIn ads will also go a long way in creating awareness about your company and possibly get you leads. You can open an account on these social platforms and just post updates about what you are doing and the progress your business is making.

Using a website as a marketing tool is also another thing to consider too. There is no way you can run a solar company without a website that won’t cost you much to build.

You can hire any web designer from any freelancing sites like Elance or Fiverr to help you create one for a very cheap fee. You can view another solar company website to have a clue on how to structure the layout of your company website.

  • Build a Strong Customer Base

Doing this is very easy as it can be done using your marketing channels. You are not just out there to sell and make money, one of your duty is also to educate people on the benefits of using solar.

Explain the benefits in real, numeric terms. Provide analogies and examples that support and augment your claims.

Help them to see how they will help the planet. Explore with them the potential tax credits or benefits they can get by choosing solar. Make sure to explain that the longer they have solar power, the more they will save as well.

If you do this consistently as you also sell, you are building a customer/fan base that will end up buying whatever you are selling and return to buy more and even refer their friend and family members.


Here is a sample business plan for starting a solar panel installer company.

An important aspect of every business is the business plan and that is why it is better to follow a sample in writing your business plan to write a good plan that will aid the success of your business.

There are different types of solar businesses so I will be focusing on an alternative energy installation type.

Business Name: Comilad Solar Company

  • Business Description
  • Executive Summary
  • Business Objectives
  • Mission Statement
  • Vision Statement
  • Products and Services
  • Competitive Analysis
  • Marketing Strategy
  • Management Team


Comilad is an energy installation business based in Lagos State which provides, sells and service alternative energy solution with a focus on the community of international business. The operation of this solar business will include the sale of inverters, batteries, solar panels, provision of technical service, and products used by these systems.

The Solar company will focus on a customer-centric service delivery system where continuous ongoing information will be provided to clients regularly especially during the early stage of use when clients still need support and information.


Comilad Solar Company is committed to providing high quality, success and excellence in the solar installation industry due to the recent emphasis on environmentalism and movement towards alternative energy. The company is ready to meet the demand for alternative energy in the country.


The following are the main objectives of Comilad Solar Company:

  • Creating a service-based company whose main goal is to surpass customers’ expectations.
  • Achieving healthy and good earnings in the first few years of operation.
  • Developing a sustainable startup solar business that contributes to an increased employment rate in the community.
  • An increasing number of customers through brilliant performance and word of mouth referrals.


The mission statement of Comilad Solar Company is to become the leading solar energy installation business in Lagos State and the whole of Nigeria by providing good product sales and services.

It also wants to provide Lagos business community with a solar energy installation business with a quality brand name, reliable and professional technical support, good customer service.


The company’s vision is to provide a one-stop location where high quality, convenient and reasonably priced solar energy installation solutions are provided at the best possible price.


The company is ready and willing to offer several types of products of very good and high quality to customers and also provide good customer care and attendance to increase the level of patronage of the company.

Some of the products to be offered are inverters, batteries, solar panels among others.


The competitive analysis done indicates that the following are the major competitive advantages to Comilad Solar Company:

  • Ability to install and do efficient maintenance and repair services in the fastest way and quickest possible time.
  • Strategic alliances with manufacturers and other company-related business partners.
  • Fair prices and best possible discount offers.
  • Supply of best and good quality durable inverters, solar panels and related products.
  • Superior and good customers’ attention.


One of the major ways of marketing of the company is a good and efficient delivery system in the hope of increasing the level of patronage by customers. To further help the marketing of the business, the following will be done or provided:

  • Astute business sales.
  • Professional and technical service will be provided.
  • Sound and pro-active customer service will be provided.
  • Staff will be trained to acquire operational, promotional and marketing skills of the business.


The company is very determined in employing the best people in the solar installation industry who are hard-working, ready to achieve the company’s goals and satisfy customers.

The board of directors will consist of four people, an investor, and two consultants. The reason why an investor will be part of the board of directors is that it gives easy access to securing capital. The consultants will be responsible for providing the company with a proper view of the target market and consumers.

Also, the consultants will provide a form of leadership for the company.

There will also be a board of advisors for the company which will consist of an attorney, a banker, an electrical supplier and an accountant. These are the people that will be consulted when an important and informed decision is to be made. They also give the company a sense of legitimacy and a firm legal status.

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Home » Business Plans » Green & Eco-friendly

Solar Panel Installation Business Plan [Sample Template for 2023]

Are you about starting a solar panel installation business ? If YES, here is a complete sample solar panel installation business plan template & feasibility report you can use for FREE . Solar energy has become one of the most reliable sources of power supply especially in the operation of lifts in commercial buildings.

The market for solar panels is increasing and it is indeed still open for new investors to come in. So if you are thinking of starting a business that is into the production of technological components, then you should consider starting your own solar panel manufacturing company.

In as much as the market for solar panel is growing all over the globe, you must adopt a workable marketing strategy to be able to make good sales and huge profits. You can go into contract agreements with those who manufacture products that use solar (panels) energy so that you can be in charge of supplying solar panels to them.

You can also make more sales if you work with your customers to produce customized solar panels that can suit their purposes. There are regions where solar panels sells like wild fire and you can only discover these regions if you carry out proper research.

A Sample Solar Panel Installation Business Plan Template

Table of Content

1. Industry Overview

3. our products and services, 4. our mission and vision statement, 5. job roles and responsibilities, 6. swot analysis, 8. our target market, 9. sales and marketing strategy, 10. sales forecast, 11. publicity and advertising strategy, 12. our pricing strategy, 14. sustainability and expansion strategy.

Solar panel is rapidly gaining huge market acceptance all over the globe simply because of how effective and useful it has become to most people. Solar panel is simply a device that helps convert sunlight into electrical energy and stores it for use.

There are loads of areas where you can use solar energy and that is the reason why a lot of inventions that is being powered by solar panel (energy) keep propping up.

You can use solar energy to power automobile, solar energy to power street lights; you can use solar energy to power your house ( all of your electronics and electrical appliances inclusive ), you can use solar energy to virtually power device that requires electrical energy to function et al.

The Solar Panel Repair Services industry is an open industry, hence a low level of market share concentration. Even though large multi-service agencies operate in the industry, revenue is also spread among thousands of small firms and freelancers.

As a matter of fact, no single solar panel repair company can account for more than 5.0 percent of the total revenue generated in the industry.

This is the reason why smaller solar panel repair business accounts for a large percent of the players in the solar panel repair services industry. According to a report published by the National Renewable Energy Laboratory, about 64.0 percent of total industry operators employ less than 10 full time workers.

The Solar Panel Installation, Repair and Maintenance industry has galloped ahead in recent years as a result of the rapid technological developments in our world, falling solar panel costs and favorable government policy. In the coming years, demand for solar panel installation is projected to continue growing.

Ongoing government aid in the form of tax credits and rebates, along with technological advances in solar energy, as well as the rising popularity of solar power purchase agreements (SPPAs), is expected to help revenue grow sharply going forward.

The industry is still dominated by original equipment manufacturers (OEMs), which are companies that will visit a customer to repair or replace the same products that they make.

Statistics has it that the Solar Panel Repair industry in the united states of America, is worth $10bn, with an estimated growth rate of 22 percent. There are about 13,494 registered and licensed solar panel installation, repair and maintenance businesses in the United States and they are responsible for employing about 77,312 people.

Most people who have stake in the industry will quite agree that the solar panel repair services industry has come to stay and of course it is one industry that plays key roles not only in the business world, but also in almost all the aspect of what goes around in our world today as long as solar panels are involved and would need to be repaired, serviced or installed.

Over and above, the solar panel repair service industry is very open to any aspiring entrepreneur who has acquired the required trainings, skills and perhaps professional certifications to start his or her own solar panel repair business and of course make good money from the industry.

2. Executive Summary

Clean Energy Technologies®, LLC is a U.S based and standard solar panel installation, maintenance and repair company. We have been able to secure a standard and well – positioned office facility in a central business district in San Diego – California.

We are a solar panel installation, maintenance and repair company that is set to compete in the highly competitive solar panel installation, maintenance and repair services industry not only in San Diego – California, but also throughout the United States market.

Clean Energy Technologies®, LLC will offer services such as solar panel sales, installation, repair, servicing and maintenance et al.

Our business goal is to become one of the leading solar panel installation, maintenance and repair company in the United States and we will make sure that we do all we can to compete favorably with leaders in the industry including solar panel manufacturing companies that are also into solar panel repairs.

Our workers are going to be selected from a pool of certified and highly experienced solar panel / solar energy repair engineers and technicians in and around San Diego – California and also from any part of the United States of America as the business grows.

We will make sure that we take all the members of our workforce through the required trainings that will position them to meet the expectation of the company and to compete with leading solar panel installation, maintenance and repair companies in the United States and throughout the globe.

At Clean Energy Technologies®, LLC, our client’s best interest will always come first, and everything we do will be guided by our values and professional ethics. We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.

We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for all our partners, employees and for our clients.

Clean Energy Technologies®, LLC is founded by Engr. Shannon Carson a solar energy engineer per excellence, who graduated with from Illinois Institute of Technology (B.Engr.) and his friend and business partner for many years Moses Carpenter (B.Sc. Business Management).

They have a combine experience that can help them build Clean Energy Technologies®, LLC to favorably compete with other leading solar panel installation, maintenance and repair businesses in the United States of America.

Clean Energy Technologies®, LLC was established with the aim of maximizing profits in the solar panel installation, maintenance and repair services industry .

We want to compete favorably with the leading solar panel installation, maintenance and repair companies in the United States which is why we have but in place a competent quality assurance team that will ensure that every repair carried out or related services rendered meet and even surpass our customers’ expectations.

We will work hard to ensure that Clean Energy Technologies®, LLC is not just accepted in San Diego – California but also in other cities in the United States of America. Our products and services are listed below;

  • Sale and distribution of solar panel and accessories
  • Servicing, maintenance and repair of solar panels
  • Roof mounted panel installation
  • Solar tracking panel installation
  • Ground mounted panel installation
  • Fixed rack panel installation
  • Monitoring services
  • Other related solar panel installation, maintenance and repair services
  • Our vision is to establish a standard and world class solar panel installation, maintenance and repair company whose services and brand will not only be accepted in San Diego – California but also in other cities in the United States of America.
  • Our mission is to provide professional solar panel installation, maintenance and repair services and other related services that will assist businesses, individuals, households and non-profit organizations in ensuring that their solar panels are always in good shape to produce the required power output.
  • We want to build a solar panel installation, maintenance and repair company that can favorably compete with other leading brands in the solar panel installation, maintenance and repair services industry.

Our Business Structure

Clean Energy Technologies®, LLC, is a solar panel installation, maintenance and repair company that intend starting small in San Diego – California, but hope to grow big in order to compete favorably with leading solar panel installation, maintenance and repair companies in the industry both in the United States and on a global stage.

We are aware of the importance of building a solid business structure that can support the picture of the kind of world class business we want to own. This is why we are committed to only hire the best hands within our area of operations.

At Clean Energy Technologies®, LLC, we will ensure that we hire people that are qualified, hardworking, creative, customer centric and are ready to work to help us build a prosperous business that will benefit all the stake holders (the owners, workforce, and customers).

As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the board of trustees of the company. In view of the above, we have decided to hire qualified and competent hands to occupy the following positions;

  • Chief Executive Officer
  • Head, Technical Services

Human Resources and Admin Manager

  • Sales and Marketing Executive
  • Solar Panel Installation, Repair and Maintenance Engineers/Technicians (10)

Client Service Executive

Chief Executive Officer – CEO:

  • Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
  • Responsible for providing direction for the business
  • Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for signing checks and documents on behalf of the company
  • Evaluates the success of the organization

Head, Technical Services:

  • Serves as project manager of the organization; works directly with employees
  • Develops strategic plan by studying technological and financial opportunities; presenting assumptions; recommending objectives.
  • Accomplishes subsidiary objectives by establishing plans, budgets, and results measurements; allocating resources; reviewing progress; making mid-course corrections.
  • Coordinates efforts by establishing procurement, production, marketing, field, and technical services policies and practices; coordinating actions with corporate staff.
  • Builds company image by collaborating with customers, government, community organizations, and employees; enforcing ethical business practices.
  • Maintains quality service by establishing and enforcing organization standards.
  • Maintains professional and technical knowledge by attending educational workshops; reviewing professional publications; establishing personal networks; benchmarking state-of-the-art practices; participating in professional societies.
  • Makes certain that the technical department perform efficiently, coordinate employee efforts, and facilitate communications between management and computer repairs and maintenance engineers and technicians
  • Ensures that the organization work in line with international best practices.
  • Responsible for overseeing the smooth running of HR and administrative tasks for the organization
  • Defines job positions for recruitment and managing interviewing process
  • Carries out staff induction for new team members
  • Responsible for training, evaluation and assessment of employees
  • Responsible for arranging travel, meetings and appointments
  • Oversees the smooth running of the daily office and factory activities.

Sales and Marketing Manager

  • Manage external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
  • Model demographic information and analyze the volumes of transactional data generated by customer
  • Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
  • Writes winning proposal documents, negotiate fees and rates in line with organizations’ policy
  • Responsible for handling business research, market surveys and feasibility studies for clients
  • Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
  • Develops, executes and evaluates new plans for expanding increase sales
  • Create new markets cum businesses for the organization
  • Empowers and motivates the sales team to meet and surpass agreed targets


  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
  • Responsible for financial forecasting and risks analysis.
  • Performs cash management, general ledger accounting, and financial reporting for one or more properties.
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensures compliance with taxation legislation
  • Handles all financial transactions for Clean Energy Technologies®, LLC
  • Serves as internal auditor for Clean Energy Technologies®, LLC.

Computer Repair and Maintenance Engineers (2) and Technicians (8)

  • Responsible for general solar panel repairs and maintenance services
  • Carries out solar panel installation services for clients
  • Handles solar panel and accessories sales and supply for the organization
  • Handles roof mounted panel installation
  • Handles solar tracking panel installation
  • Handles ground mounted panel installation
  • Fixes rack panel installation
  • Handles monitoring services
  • Welcomes clients and potential clients by greeting them in person or on the telephone; answering or directing inquiries.
  • Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
  • Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
  • Manages administrative duties assigned by the creative director in an effective and timely manner
  • Consistently stays abreast of any new information on the organizations’ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries

Clean Energy Technologies®, LLC engaged the services of a core professional in the area of business consulting and structuring to assist our organization in building a well – structured solar panel installation, maintenance and repair business that can favorably compete in the highly competitive solar panel installation, maintenance and repair service industry in the United States and the world at large.

Part of what the team of business consultant did was to work with the management of our organization in conducting a comprehensive SWOT analysis for Clean Energy Technologies®, LLC. Here is a summary from the result of the SWOT analysis that was conducted on behalf of Clean Energy Technologies®, LLC;

Our core strength lies in the power of our team; our workforce. We have a team of certified and highly trained and experience solar panel installation, maintenance and repair engineers and technicians, a team with excellent qualifications and experience in various niche areas in the solar panel installation, maintenance and repair service industry.

Aside from the synergy that exists in our carefully selected workforce, our services will be guided by best practices in the industry.

As a new solar panel installation, maintenance and repair company in San Diego – California, it might take some time for our organization to break into the market and gain acceptance especially from top profile clients in the already saturated and highly competitive solar panel installation, maintenance and repair services industry; that is perhaps our major weakness.

Another weakness is that we may not have the required cash to pump into promoting our business the way we would want to.

  • Opportunities:

No doubt, the opportunities in the solar panel installation, maintenance and repair services industry is massive considering the number of individuals and corporate organizations who are now switching over to alternative energy such as solar panel.

As a solar panel installation, maintenance and repair company, we are ready to take advantage of any opportunity that is available in the industry.

Just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing / spending power. Another threat that may likely confront us is the arrival of a new solar panel installation, maintenance and repair company in same location where our target market exist and who may want to adopt same Business model like us.


  • Market Trends

One obvious trend in the solar panel installation, maintenance and repair industry is that players in this industry install solar panels as part of general residential and commercial contracting services.

These solar panel installation, maintenance and repair companies are contracted either by a homeowner, a solar panel manufacturer or by solar marketing firms that arrange a buyer for solar panels and contract an industry enterprise to carry out the installation work, maintenance and repairs et al.

Another trend is that, the Solar Panel Installation, Repair and Maintenance industry has galloped ahead in recent years as a result of the rapid technological developments in our world, falling solar panel costs and favorable government policy.

In the coming years, demand for solar panel installation is projected to continue growing. Ongoing government aid in the form of tax credits and rebates, along with technological advances in solar energy, as well as the rising popularity of solar power purchase agreements (SPPAs), is expected to help revenue grow sharply going forward.

Lastly, the solar panel installation, maintenance and repair industry is still going to be dominated by original equipment manufacturers (OEMs), which are companies that will visit a customer to repair or replace the same products that they make.

Before starting our solar panel installation, maintenance and repair business in San Diego – California, we conducted a market survey and feasibility studies and we are certain that there is a wide range of both corporate and individual clients who cannot successfully run their businesses without the services of solar panel installation, maintenance and repair companies.

In view of that, we have created strategies that will enable us reach out to various corporate organizations and households who we know can’t afford to do without our services. Below is a list of the people and organizations that we have specifically market our products and services to;

  • Banks, Insurance Companies and other related Financial Institutions
  • Blue Chips Companies
  • Corporate Organizations
  • Manufacturers and Distributors
  • Real Estate Owners, Developers, and Contractors
  • Research and Development Companies
  • The Government (Public works department)
  • Schools (High Schools, Colleges and Universities)
  • Sport Facilities
  • Religious Organizations
  • Television Stations
  • Printing Press (Publishing Houses)
  • Branding and Advertising agencies
  • Individuals and households
  • Entrepreneurs and StartUps

Our Competitive Advantage

Surviving in the business world as a solar panel installation, maintenance and repair company requires more than, your expertise, knowing how to deliver standard repairs and maintenance jobs but also how to network with key people that matters; decision makers that can decide who will get a solar panel supply, installation, repair and maintenance contract.

Without a shadow of doubt, there are loads of big time investors (Solar Panel Manufacturing Companies), that have a stake in the solar panel installation, maintenance and repair services industry; but one thing is certain, there is room big enough to accommodate both the big solar panel installation, maintenance and repair companies and the small solar panel installation, maintenance and repair companies.

What smaller solar panel installation, maintenance and repair companies need to do to survive in the industry is to concentrate on providing solar panel sales, repair, maintenance and installation services to households, individuals, estates, communities, schools, hospitals and hotels et al before bidding for big solar panel supply, installation, repair, and maintenance contracts from large corporations and government agencies (Public Works Department).

We are quite aware that to be highly competitive in the solar panel installation, maintenance and repair services industry means that you are not only expected to be able to deliver consistent and highly reliable solar panel supply, installation, repair and maintenance jobs, but you must be able to meet set targets. No one would want to continue to hire your services if don’t always meet up with the target date of completion of projects.

Our competitive advantage lies in the power of our team; our workforce. We have a team of certified and highly trained and experience solar panel installation, maintenance and repair engineers and technicians, a team with excellent qualifications and experience in various niche areas in the solar panel installation, maintenance and repair service industry.

Lastly, all our employees will be well taken care of, and their welfare package will be among the best within our category (startups solar panel installation, maintenance and repair businesses in the United States) in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and achieve all our business aims and objectives.

  • Sources of Income

Clean Energy Technologies®, LLC is established with the aim of maximizing profits in the repair services industry and we are going to go all the way to ensure that we do all it takes to meet and surpass the expectations of all our clients. Clean Energy Technologies®, LLC will generate income by offering the following solar panel installation, maintenance and repair related services;

One thing is certain, there would always be corporate organization, government agencies, households and individual who would need the services of solar panel installations, maintenance and repair companies.

We are well positioned to take on the available market in solar panel installation, maintenance and repair services industry and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow our solar panel installation, maintenance and repair company to enviable heights.

We have been able to critically examine the solar panel installation, maintenance and repair market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to similar startups in San Diego – California.

Below is the sales projection for Clean Energy Technologies®, LLC, it is based on the location of our business and of course the wide range of our services and target market;

  • First Year-: $350,000
  • Second Year-: $750,000
  • Third Year-: $1,200,000

N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same solar panel installation, maintenance and repair services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

  • Marketing Strategy and Sales Strategy

We are mindful of the fact that there is stiffer competition in the solar panel installation, maintenance and repair services industry; hence we have been able to hire some of the best marketing experts to handle our sales and marketing.

Our sales and marketing team will be recruited based on their vast experience in the solar panel installation, maintenance and repair services industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall business goal of Clean Energy Technologies®, LLC.

Our corporate goal is to grow Clean Energy Technologies®, LLC to become one of the top 10 solar panel installation, maintenance and repair services brands in the United States of America which is why we have mapped out strategy that will help us take advantage of the available market and grow to become a major force to reckon with not only in San Diego – California but also in other cities in the United States of America.

Clean Energy Technologies®, LLC is set to make use of the following marketing and sales strategies to attract clients;

  • Introduce our solar panel installation, maintenance and repair company by sending introductory letters alongside our brochure to individuals, households, corporate organizations, religious organizations and key stake holders.
  • Promptness in bidding for solar panel supply, installation, repair, and maintenance contract from the government and other corporate organizations
  • Advertise our business in relevant business magazines, newspapers, TV stations, and radio station.
  • List our business on yellow pages ads (local directories)
  • Attend relevant international and local expos, seminars, and business fairs et al
  • Create different packages for different category of clients in order to work with their budgets and still deliver excellent services
  • Leverage on the internet to promote our business
  • Engage direct marketing approach
  • Encourage word of mouth marketing from loyal and satisfied clients

We have been able to work with our in house brand and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market.

We are set to become the number one choice for both corporate clients and individual clients in the whole of the United States and beyond which is why we have made provisions for effective publicity and advertisement of our solar panel installation, maintenance and repair company.

Below are the platforms we intend to leverage on to promote and advertise Clean Energy Technologies®, LLC;

  • Place adverts on both print (newspapers and magazines) and electronic media platforms
  • Sponsor relevant community based events/programs
  • Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, YouTube, Google + et al to promote our services
  • Install our Bill Boards on strategic locations all around San Diego – California
  • Engage in road show from time to time in targeted neighborhoods
  • Distribute our fliers and handbills in target areas
  • Contact corporate organizations by calling them up and informing them of Clean Energy Technologies®, LLC and the services we offer
  • List our solar panel installation, maintenance and repair company in local directories/yellow pages
  • Advertise our solar panel installation, maintenance and repair company in our official website and employ strategies that will help us pull traffic to the site.
  • Ensure that all our staff members wear our branded shirts and all our vehicles are well branded with our company logo et al.

At Clean Energy Technologies®, LLC we will keep the prices of our services below the average market rate for all of our customers by keeping our overhead low and by collecting payment in advance from corporate organizations who would hire our services. In addition, we will also offer special discounted rates to all our customers at regular intervals.

We are aware that there are some one – off jobs or government contracts like solar panel supply, installation, repair, and maintenance services which are always lucrative, we will ensure that we abide by the pricing model that is expected from contractors or organizations that bid for such contracts.

  • Payment Options

At Clean Energy Technologies®, LLC, our payment policy will be all inclusive because we are quite aware that different people prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

  • Payment by via bank transfer
  • Payment via online bank transfer
  • Payment via check
  • Payment via bank draft
  • Payment via mobile money
  • Payment with cash

In view of the above, we have chosen banking platforms that will help us achieve our plans with little or no itches.

13. Startup Expenditure (Budget)

In setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.

This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business. The tools and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked.

As for the detailed cost analysis for starting a standard solar panel installation, maintenance and repair company; it might differ in other countries due to the value of their money. However, this is what it would cost us to set up Clean Energy Technologies®, LLC in the United of America;

  • Business incorporation fees in the United States of America will cost – $750.
  • The budget for Liability insurance, permits and license will cost – $3,500
  • Acquiring an office space or warehouse that will accommodate the number of employees for at least 6 months (Re – Construction of the facility inclusive) will cost – $100,000.
  • The amount required to purchase the needed tool box and repair equipment – $25,000
  • Equipping the office (computers, printers, projectors, markers, servers / internet facility, furniture, telephones, filing cabinets, and electronics) will cost – $30,000
  • Amount required to purchase the needed software applications to run our business – $ 3,500
  • Launching an official Website will cost – $500
  • Amount need to pay bills and staff members for at least 2 to 3 months – $70,000
  • Additional Expenditure such as Business cards, Signage, Adverts and Promotions will cost – $5,000

Going by the report from the market research and feasibility studies conducted, we will need about two hundred and fifty thousand (250,000) U.S. dollars to successfully set – up a medium scale but standard solar panel installation, maintenance and repair company in the United States of America.

Generating Funding/Startup Capital for Clean Energy Technologies®, LLC

Clean Energy Technologies®, LLC is a business that will be owned and managed by Engr. Shannon Carson and his friend and business partner for many years Moses Carpenter. They are the sole financial of the business which is why they decided to restrict the sourcing of the start – up capital for the business to just three major sources.

These are the areas we intend generating our start – up capital;

  • Generate part of the start – up capital from personal savings and sale of his stocks
  • Generate part of the start – up capital from friends and other extended family members
  • Generate a larger chunk of the startup capital from the bank (loan facility).

N.B: We have been able to generate about $100,000 (Personal savings $70,000 and soft loan from family members $30,000) and we are at the final stages of obtaining a loan facility of $150,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.

One of our major goals of starting Clean Energy Technologies®, LLC is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to offer our solar panel installation, maintenance and repair services a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.

Clean Energy Technologies®, LLC will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.

As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of three years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List/Milestone

  • Business Name Availability Check:>Completed
  • Business Incorporation: Completed
  • Opening of Corporate Bank Accounts various banks in the United States: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID: In Progress
  • Securing a standard office facility for our studio: Completed
  • Application for business license and permit: Completed
  • Purchase of All form of Insurance for the Business: Completed
  • Conducting Feasibility Studies: Completed
  • Generating part of the start – up capital from the founders: Completed
  • Writing of Business Plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Drafting of Contract Documents: In Progress
  • Design of Logo for the business: Completed
  • Purchase of repair and installation tools and equipment: Completed
  • Graphic Designs and Printing of Packaging Marketing / Promotional Materials: Completed
  • Recruitment of employees: In Progress
  • Purchase of the Needed furniture, office equipment, software applications, electronic appliances and facility facelift: In progress
  • Creating Official Website for the business: In Progress
  • Creating Awareness for the business: In Progress
  • Health and Safety and Fire Safety Arrangement: In Progress
  • Establishing business relationship with vendors and key players in various industries: In Progress

More on Green & Eco-friendly

Make In Business

Solar Power Business Opportunity & Profitable Business Plan

solar panel business plan and profit

Solar Energy is the prime topic which is being discussed by the scientist in the recent past due to the present condition of the coal and other non-renewable resources of energy being on the verge of extinction. In India, the condition is worse because of the over and every growing population whose demands is many times more than the supply of the power in the country.

So in a country where 72% of the population living under the rural belt with half of these population living without any electricity due to the below level production of energy or political biases or even due to the geographical locations, the need for solar energy is there and it is there with a lot of importance. Solar energy can actually change the scenario of India and highlights its core potential.

Present and Future of Solar Energy In India

Almost 3000 hours of sun rays are received in India because of its strategic location on the earth and it can serve to light up the whole of the country if used properly. These sunshine hours can produce up to 5 thousands trillion kilowatt hours of electricity which is enough to run the country on a whole. The country is a tropical one, there is the huge scope of producing solar energy and the ones who are thinking of setting up a business out of this notion must understand that the source and the resource are in abundance but the usage is to be wise.

The most important parts of the country which can contribute to the most of the solar energy production are the states of West Bengal, Andhra Pradesh, Gujarat, Bihar, Maharashtra, Orissa, Rajasthan, MP, and Punjab. The rural areas in these states can be used to produce the huge amount of solar energy which can not only light up those areas but remaining parts of the country as well.

The future of solar energy production and businesses in India seems very bright as there are already many projects which are being implemented or in the pipeline. The Thar Desert is estimated to produce near about seven hundred to twenty-one hundred GW of electricity from the solar energy and it is because of the few best and top solar power projects being built in that area.

In Gujarat, there is the largest solar power plant project which has been started since 2014. There are various government proposals and initiatives such as rebate on solar energy for building a nation with solar energy and producing many more watts of solar energy by the next five to ten years. Gujarat is one of the most important states which is giving goals to other states in producing solar energy and it individually aims at producing thousands of watts of this energy from the largest solar plant.

By 2020, there is a plan of producing 20GW of solar energy and this project started in the year 2009 with an investment of nineteen billion dollars. There are different other aspects of this as well which are like the applications or the products for the use of solar energy like solar pumps for water, lanterns of solar energy and even the street lights can run on this energy.

Opportunities in the field of Solar Business

Solar energy is not just a business that you can make a profit out of it but it is an initiative to make India bright and to enlighten Indian cities and the population. So, here are some of the major business opportunities which are discussed in brief which one can invest their money into if they want to get into this industry of solar power.

1. Selling Solar Products:

There are lots of solar products which are already in the market or going to be launch in the market real soon with the development of the solar energy projects. So, if you want to start your own solar business, the first idea is to sell products which are required for the use of solar energy or production.

For example, solar attic fans, solar PV, solar thermal systems, solar pumps, solar lights, even solar chargers and many other solar products are there which you can sell in retail market or take the dealership and distribute amongst the retail businesses.

2. Manufacturing Solar Products:

If you are not that good at selling products and you have knowledge about how to produce or manufacture them, it is the right time to start investing in your idea then. You can start producing solar panels, power grids, general products like mentioned above which will use the solar energy etc. It might seem a huge investment to start manufacturing business of solar products but in reality, the market is exponentially growing and the thus invested amount can be recovered real soon.

3. Invest in the Solar Projects or Develop your Own:

If you have the knowledge of the solar energy production or you have the money to hire the best solar consultants, you can start your own solar plant in which you will also receive government aids and grants. You can also invest in other’s solar project and earn a return on the same.

4. Sell Information about Solar Products:

Manufacturing and selling products are two different things and the one thing which comes in between these two is selling information about these products. SO, with the help of the internet, you can sell the information of these products and earn a commission.

5. Provide Consultation on Solar Energy Usage:

If you have studied and have deep knowledge of the solar energy usages or production, you can encash your knowledge.

6. Servicing Solar Products:

The last but one of the most important solar business ideas within small investment horizon is setting up a business which will provide maintenance and repairing services to the solar products.

Solar panel installation business

If you are planning to start solar panel installation business then here are the facts and figures:

  • Total Investment Cost: It depends on the scale of your business but normally you can start with an investment of INR 5 lacs to 10 lacs.
  • Types of Solar Panels: There are different types of solar panels from three to three hundred watts and the price of each varies accordingly.
  • Franchise: If you want to sell the solar panels only, then you can take up a franchise of the big solar panel producing companies which is available against an amount of around 1 lac in India as of now.
  • Marketing: Once you have taken the franchise of the solar panel manufacturing company now you can market your products and since you are taking a franchise of a renowned brand, people already might be aware of the solar products of this company so your marketing expenses won’t be much.
  • Appointing Solar Panels and Power Consultant: For the installation purpose, you would need to appoint employees who are experienced in the installation of the solar panels. There must be consultant and workers who will do the field job according to the instructions provided by the consultant.

Solar plates manufacturing a business opportunity

  • License: You would need to obtain a license for setting up a manufacturing unit of the solar panels in India.
  • Certification: There is state-wide certification of the solar panels businesses which you need to acquire for the production and sale of the panels.
  • A Proper eye-catching business model: It is the key to get investment from the investor to start your solar panel or plates manufacturing company. It will also help you get the government aids.
  • Training and Recruitments: You need to hire and recruit solar energy experts, workers and others. The workers have to be trained for the job duly so that there is no hassle at work.
  • Advertise Solar Plates: Finally, once the production starts and even before it, start advertising the solar panels online and offline to grab the market.

Government subsidies in the solar business

In India, the main government aid or initiative was taken in the field of solar energy production and business is the “ Jawaharlal Nehru National Solar Mission ” (JNNSM) which aims at producing 20 thousands Megawatt of solar energy by the end of 2022. This can cover twenty million square meters of area for collecting solar energy. The initiative has been divided into three phases.

There is another scheme or Government Yojana – Solar Energy Subsidy Scheme which helps in increasing the reach of the use of the solar panel. It doesn’t help the manufacturers but the users of the solar panels. It subsidies the energy consumptions of the people who have solar panels installed in their home.

SECI Project is another one which is for the production of the rooftop solar panels on a large scale basis. It is for the channelization of the government aids in the right direction for the proper manufacturing and installation of the solar grids across the rooftops of the people who want them.

If you want to start a solar business, then this is the perfect time to invest the money in it as the market is growing every day and the demands are growing with the depleting non-renewable energy resources and growing importance of renewable energy resources.

There are many benefits to solar power, including that it is a renewable resource, it is carbon-neutral, and it does not produce any harmful emissions. Additionally, solar power can be used to generate electricity, which can then be used to power homes and businesses. Solar power is also relatively inexpensive, making it a great option for those looking to save money on their energy bills.

The key components of a solar power system are the solar panels, inverter, and batteries.

The cost of solar power varies depending on the size and type of system, as well as the location. Solar power systems can range in price from a few thousand dollars to tens of thousands of dollars.

The sun emits a type of energy known as light. When this light reaches the solar panels on your roof, the panels absorb some of this energy and convert it into electricity. When your solar panels are producing electricity, you have what is known as “net metering.”

1. The cost of solar panels and other equipment needed to harness solar power can be prohibitive for some people. 2. Solar power is not available at night, and cloudy days can also reduce the amount of power that can be generated. 3. Solar power plants can take up a lot of space, and they may not be able to be built in some locations due to land restrictio

The benefits of solar power for businesses are many, but include reducing or eliminating utility costs, saving money on energy bills, and offsetting carbon emissions. Solar power can also help businesses to be more sustainable and reduce their environmental impact. Solar power is a clean and renewable source of energy, and businesses can often take advantage of tax incentives and other financial incentives when they install solar panels.

Solar power is more expensive than traditional forms of energy. Solar panels may not work as well in cold weather. They may also not produce as much energy during the winter when there is less sunlight. Solar panels can be damaged by hail or high winds.

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