The Green Day Finance
Due Diligence Process
C&I And Small Utility-Scale Project Are Difficult To Finance
We've Found A Better Way
What we've learned over the past decade, is that the beginning of an inquiry for financing is crucial. Often it's the difference between asking the right questions and collecting information.
The market is hyper-competitive and moving at lightning speed and navigating the complexities really matters.
The most experienced developers and EPC's often get the best projects financed.
But we believe we can democratize the process for you.
Here's how:
We help you understand the required information that is needed at the beginning.
This process, from the point of view of the underwriting of this unique asset class to verify and validate a few essential elements right away.
While we would like commercial & industrial and small utility-scale projects to have the same risk profile as a residential project, they're different.
For starters, we're looking for:
- Are there actual savings from what the client is paying now?
- What is the proposed system size?
- What is the cost of the project(s)?
However, we need more details. What we've discovered is that if we provide a road map for the things we will need from you upfront, the process runs more smoothly for both parties.
Our financial analysts, data scientists, insurance specialists, investment committee members, engineers, construction professionals, accountants, portfolio managers, and the rest of the team can all work collaboratively and work fast to get your projects financed.
Below you'll see the frame for the "ask" and the "reasons why".
At the end of this page, you'll find a link to fill in the responses and upload the information. With some preparation, it should take about 7 minutes to go through the application process.
Doing all of this work ahead of time reduces and in some cases eliminates emails and phone calls for days or weeks on end.
Your time is valuable and you want to know right away for your client and your business if a PPA will work for them.
We want to make sure there is a good product/market fit for your specific situation.
We also value having an exceptional client experience as we want to build a long relationship with you.
Let's begin.
Tell Us About You
It's always good to learn more about you and your organization. We'd like to understand the role you play in the deal and it helps shape our first call.
You'll have an opportunity to provide this information during the application process below.
The 10-Year Business Plan
Solar Is Growing Exponentially
And We Want To Help You
With the signing of the Investment Recovery Act, it is providing everyone in the USA with massive incentives to go solar. 30% Federal Credit and if you're using Made in USA products, a 10% additional credit. Investments by multi-national corporations are also bringing battery storage factories to open in the coming years which will also accelerate solar + storage adoption.
This is the reason why getting this information is paramount to having your project financed quickly before your competitors do. Our underwriting process can happen rapidly when we can get all of the information we need to move forward with you.
We understand that sometimes you might be responding to a RFP or some bidding scenario. You might just need some early-stage indicative pricing based on what you know and understand about the project now.
This is why the more information we can gather on the front end, the when things evolve on your end of the project, we have a solid foundation to draw upon.
Make sense?
Tell Us About Your Project
The more we can learn about what you have, the faster we can provide a term sheet for you. If there are multiple projects that you're seeking financing for, you'll be able to do this during the application process.
Things like Site Control, an LOI or a MOU with the Client/Property Owner? If it is a ground mount, do you own the land, or will lease the land? If it is a roof-mounted project, tell us more about the business and their situation.
Often every solar project is bespoke and requires more detail that helps shape the project financing aspect of the opportunity. The more information we have in the beginning, the faster we can respond.
System Information
We know you know a lot about solar. If you are in a business development role, you probably know a lot about things like system savings for the client and the projects' system design.
We also want to see your ETB, Helioscope, PVSYS assumptions as well. Include a copy of the clients' electric consumption and utility bills.
If you have other information about the system, like reroofing goals, tenant improvements, carports, and ground mount details, these are also essential to have now.
The Reason Why
As we see the markets shift, we also understand utilities are trying their best to respond to Developer's & EPC requests. Sometimes vague information is shared or there are long response times from utilities.
These situations impact you and the successful PTO/COD of your projects. It could also delay NTP equally.
It also influences our investors, as they are seeking certainty when they put capital to work. We want to allocate capital to you and your project(s) today.
Interconnection Information
Today, we believe this is one of the biggest challenges in solar. Finding the details for interconnection and how firm are they from the utility. As we know these can change with so much non-firm generation on the grid.
With your submissions, it's helpful to know if there are system upgrades that will be required. Things like transformers, switchgear, relocation of infrastructure, etc.
There are also long lead times today for the items described above and getting these critical path items established early will help with the underwriting decision.
The Reason Why
As part of the first look at your project(s), we want to learn more about them. Getting information like site drawings, design information, and the verification of production estimates.
We need to show savings for your client.
If we see discrepancies in production estimates or irregularities in correlation to the utility bill and estimated savings, we will let you know.
We will also use this in the initial term sheet we send to you or may ask for additional information and clarification.
Client Information
As we're going through the credit process, we need information about the client.
Whether it is a roof or a ground-mounted system, evaluating their credit is important for all parties.
We will be looking for ownership documents (AOC's), financial statements, title search, lease agreements, etc. to determine the risk to the deal.
We believe the C&I and small utility-scale space is in need of financing and often many of these opportunities are not investment grade and or privately owned businesses. We just want you to help us understand the backstory as many of these projects are financable.
The Reason Why
Wall Street has figured out securitization for residential solar products. The 100mW utility-scale solar farms get the backing of the top 6 banks in the country. So do large corporations in the USA.
We believe that small business owners should also have access to PPA's and are often unable to secure a PPA.
We look at credit differently.
As you are in conversations with your prospect, help set the expectation that their financials and other documents will be needed in order to facilitate a PPA for them. We want to help you develop and build this project together and build and grow the relationship.
Before You Begin The Application Process:
Collecting the information needed is paramount on the first submission.
Here is the frame that we use to measure where you are at with your project or portfolio.
We understand that projects fall into one of three main buckets:
- Early stage - Discovery phase with you and the prospect. You might have some items started like an LOI, ETB/Helioscope, initial drawings, understanding the permitting, and interconnection for this project location.
- Middle stage - Built a relationship and have site control, permitting, engineering, power offtake, interconnection, and a construction schedule, etc.
- Late Stage - the project is built or close to completion and at COD or PTO and you're looking for takeout capital to exit the deal.
If you want to see what we're going to need to begin, click the download below to get prepared for the intake process on document collection.
We've learned over decades that the companies that can provide this information early have their applications reviewed and get approval faster.
This dramatically helps our underwriting team to help you get your PPA.
Download The Document ChecklistAre You Ready To Take The Next Step?
Start the application process. It takes only 7 minutes.
Get your PPA for your client, today.
Click Here To Begin