Commercial Solar Finance Academy Lesson Selection
Finance Directors Commercial Solar Guide
Board Level Business Case Example
Commercial Solar Investment Checklist
Preparing a robust business case
Before investing in commercial solar, use this checklist to ensure your organisation has the information needed to evaluate the opportunity effectively.
1. Understand Your Energy Consumption
☐ Review and share a recent electricity bill.
☐ Obtain half-hourly electricity consumption data (where available).
☐ Identify your current electricity tariff and contract end date.
☐ Understand how your electricity demand changes throughout the day.
☐ Consider future increases in electricity demand.
2. Review Your Building
☐ Confirm building ownership or landlord approval.
☐ Obtain roof plans if available.
☐ Identify any planned roof works or refurbishments.
☐ Consider future expansion plans.
☐ Review available roof space.
3. Define Your Business Objectives
☐ Reduce operating costs.
☐ Improve cash flow.
☐ Reduce carbon emissions.
☐ Improve ESG performance.
☐ Increase energy resilience.
☐ Protect against future electricity price increases.
4. Build the Financial Case
☐ Review projected annual electricity savings.
☐ Review projected cash flow.
☐ Understand the payback period.
☐ Review Net Present Value (NPV).
☐ Review Internal Rate of Return (IRR).
☐ Understand projected lifetime savings.
☐ Review assumptions used within the financial model.
5. Consider Funding Options
☐ Outright purchase.
☐ Asset finance.
☐ Hire purchase.
☐ Finance lease.
☐ Power Purchase Agreement (PPA).
☐ Determine which option best supports your cash flow and investment strategy.
6. Review Tax Implications
☐ Discuss capital allowances with your accountant.
☐ Understand the treatment of the system as plant and machinery.
☐ Review any available investment incentives.
☐ Confirm the accounting treatment with your finance team.
7. Assess Technical Suitability
☐ Roof condition.
☐ Structural assessment.
☐ Electrical infrastructure.
☐ Distribution Network Operator (DNO) requirements.
☐ Future battery storage opportunities.
☐ Electric vehicle charging plans.
8. Review Project Risks
☐ Electricity price assumptions inc future forecasts.
☐ Construction programme.
☐ Business disruption.
☐ Insurance requirements.
☐ Equipment specification and warranties.
☐ Maintenance requirements.
☐ Long-term monitoring.
9. Questions to Ask Your Installer
☐ How have the projected savings been calculated?
☐ Has the system been designed using half-hourly electricity data?
☐ What percentage of electricity will be consumed on site?
☐ Why has this system size been recommended?
☐ How has future energy price inflation been modelled?
☐ What maintenance is recommended?
☐ Who manages the DNO application?
☐ Can the system be expanded in the future?
☐ What support is provided after installation?
10. Questions for Your Finance Team
☐ Does this investment meet our required return?
☐ How does it compare with other capital projects?
☐ Does it improve cash flow?
☐ What is the impact on the balance sheet?
☐ Have tax implications been reviewed?
☐ Does it support our wider business strategy?
☐ Does it strengthen our ESG commitments?
Information to Provide Energy Gain
To prepare a detailed financial appraisal, we typically request:
- Current electricity bills.
- Half-hourly electricity consumption data.
- Current electricity tariff.
- Building plans (where available).
- Site photographs.
- Planned business expansion.
- Future electrical loads.
- Sustainability objectives.
- Preferred funding route (if known).
This information enables us to design a commercial solar system that is technically suitable, financially robust and aligned with your business objectives.
Before Approving Your Investment
Before making a final decision, ask yourself:
✔ Have we compared the cost of investing with the cost of doing nothing?
✔ Have we assessed the long-term financial return rather than focusing solely on payback?
✔ Have we considered cash flow, Net Present Value (NPV) and Internal Rate of Return (IRR)?
✔ Have we reviewed funding and tax options?
✔ Have we selected an experienced commercial solar partner with a proven track record?
Energy Gain's Approach
Every commercial solar project begins with understanding your business, not selling solar panels.
As a specialist commercial solar consultancy, Energy Gain combines engineering expertise with advanced financial modelling to produce a robust commercial solar investment business case that supports informed Board level decision making.
Unlike many providers that estimate savings using standard assumptions, we undertake a detailed commercial solar feasibility study using your actual electricity consumption, half-hourly demand data, electricity tariffs and current and future operational profile. This enables us to recommend the optimum commercial solar PV system for your site, balancing technical performance with long-term financial return.
Our comprehensive commercial solar design process considers roof suitability, structural capacity, shading, electrical infrastructure, Distribution Network Operator (DNO) requirements, self-consumption, export capability, future battery storage opportunities, insurable specification and planned business growth. Every recommendation is supported by detailed engineering analysis rather than simply maximising installed capacity.
Each proposal includes a comprehensive commercial solar financial model with projected cash flow, annual savings, Return on Investment (ROI), Payback Period, Net Present Value (NPV), Internal Rate of Return (IRR), Levelised Cost of Energy (LCOE) and projected lifetime savings. This allows Finance Directors and Boards to compare a commercial solar investment against other capital projects using recognised investment appraisal techniques.
From the initial commercial solar feasibility study through to system commissioning, monitoring and long-term maintenance, our objective is to deliver a technically robust commercial solar installation that reduces operating costs, improves cash flow and creates a productive business asset capable of generating value for decades.
By combining independent engineering advice, detailed financial analysis and practical project delivery, Energy Gain provides businesses with the confidence to invest in commercial solar based on evidence, not assumptions.
Commercial Solar Finance Academy Lesson Selection
Finance Directors Commercial Solar Guide
Board Level Business Case Example
Commercial Solar Investment Checklist
