Energy Financing Hub launched its solar industry energy financing platform. This platform features hundreds of viable solar loan programs nationwide, enabling solar contractors to offer instant financing at the point of sale, based on every homeowner’s individual needs and qualifications.

“Our platform solves the needs of not just the contractors and homeowners, but for the lenders, too,” said Amir Salahi, co-founder and CEO of Energy Financing Hub. “Lenders love us because we bring the contractors to them. Contractors love us because we help them close on the spot. Homeowners love the fact that they can go solar within minutes. It’s a win-win for everyone.”

Energy Financing Hub’s platform was developed by experienced energy professionals to meet the demands of the evolving market. Dropping prices have made solar system ownership more affordable to an increasing number of homeowners. More homeowners are choosing to either purchase solar for their home outright or to seek a lender for a loan. No longer are they limited to choosing an expensive solar lease or Power Purchase Agreement (PPA).

“There are many lenders in the solar industry who offer solar loans, but not all of them offer the right loan for all customer profiles,” Salahi said. “Energy Financing Hub’s simple platform is a revolutionary tool that helps contractors find the right solar loan option for all their customers on the spot. This will simply increase their closing ratio and consequently lower their cost-of-customer acquisition.”

Lowering costs for both contractors and homeowners was an important factor for Energy Financing Hub. Currently, federal subsidies, such as the Federal Tax Credit, help support adoption of solar energy across the nation. Today, that Federal Tax Credit currently supports 30% of the total system value. However, by year 2021, this credit will gradually drop to 0% for residential projects, leaving those in the solar industry left to solve how to lower the cost of solar installations to stay competitive.

“Hard costs have dropped dramatically over the past few years, so it it time for soft costs to go down,” Salahi said. One of the major areas to lower in soft costs is to increase the solar companies’ closing ratio, which will lower their cost-of-customer acquisition. For example, if a company spends $3,000 to get 10 new prospects, and they close two out of 10, then their cost-of-customer acquisition is $1,500. Now, if the same company closes four out of those 10 new prospects, their cost-of-customer acquisition goes down to $750 which means 50% reduction.”