Palmetto gets $20 million credit line for its solar and energy effectiveness setup marketplace

Palmetto gets $20 million credit line for its solar and energy effectiveness setup marketplace

For homeowners that want to go green, but have trouble figuring out how to do it, Palmetto Clean Technologies┬áhas the answer. The company has an army of salespeople to pitch the benefits of solar power and energy efficiency, and will connect would-be clean energy consumers with financing options, installers, and software to monitor and manage…

For house owners that wish to go green, but have problem finding out how to do it, Palmetto Clean Technologies has the response.

The business has an army of salespeople to pitch the advantages of solar energy and energy efficiency, and will link prospective tidy energy customers with financing options, installers, and software application to keep an eye on and manage their equipment.

What Palmetto lacked, up until the brand-new $20 million credit limit it has gotten from the utility-backed investment firm, Energy Effect Partners, is a method to smooth its profits while it fronted the expenses of solar panel acquisitions and installation.

” Among the big problems that we’re solving for in our market is the Chinese wall in between job finance and business finance,” states Chris Kemper, the company’s chief executive.

With the brand-new cash from Energy Financial investment Partners, Kemper says that the company will have the ability to handle job setups and the inherent capital issues that require to be solved.

Kemper states that Palmetto has managed to fix a couple of key issues for consumer-facing tidy energy installations.

Think about the company the Avon of clean energy. The business has agents who head out and pitch consumers on the benefits of tidy energy, they work out a price for setup with their clients and assist clients sort through financing options and local setup requirements.

We make our cash by an extremely thin margin by way of enhancing and scaling these workflow processes,” states Kemper.

Undoubtedly, behind the salesforce is Palmetto Clean Technology; offering logistics and infrastructural support, info on tidy energy’s advantages, and a bundle of software tools that clients can utilize to handle and keep track of how their solar installations are operating– and ideally saving them loan.

” We’re the very first platform business in the residential tidy technology area and our emphasis is to bring the ability to start or become an entrepreneur in this sector,” states Kemper. “[And] we handle cash-out and cash-in.”

The sales force that Palmetto employs negotiates their own costs with clients, while Palmetto makes what Kemper calls a little margin on connecting solar power project financiers, installers, and devices suppliers with possible clients.

” It’s extremely complex workflows. You’re dealing with local and state licenses and handle local utilities. We improve those intricacies for the sales and develop partners in addition to the property owner,” states Kemper.

The main point that Palmetto solves for, says Kemper, is the cost of customer acquisition. It’s still extremely tough for installers and investors to reach the broad swath of house owners that are all set and ready to install solar energy on their homes.

” We’re trying to construct a company model for subsidy-free, credit-free clean energy,” Kemper states.

For Kemper, the customer adoption of renewable resource and energy efficiency technologies in houses is all about cost. “Cost is the ultimate value lever,” he states. “We have the ability to rate systems listed below other rivals since we operate at a systems level … At the end of the day energy is a product and products are all about rates.”

The argument was engaging sufficient to net the business a $6 million equity funding round last September, mostly, it seems on the back of Kemper’s pricing point. At the time, the business’s backers included the equity capital firm Greycroft, with involvement from institutional financiers like Lerer Hippeau, Box Group, and NBA commissioner emeritus David Stern.

Now Energy Effect Partners, an energy investment firm backed by some of the biggest energies from throughout the nation, has actually signed on to back the company and its vision as well. The strategic significance of getting energies on board with customer solar can’t be overemphasized– and the capacity for solar advancement in the U.S. is vast.

” We have actually reached an inflection point in the sustainable market where transitioning to solar can produce immediate cost savings for property owners without any cash outlay,” stated Greycroft Principal Will Szczerbiak, at the time.

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