Solar business captures and sells the energy of the sun and nowadays this is one of the methods to store the energy which has some special appeal of its own.
First of all, when you operate a leased solar panel business your entire profit will depend on the number of panels which you have installed.
Basically, a typical return is about 6% per year, but the rest is the long term investment procedure as the company owner.
Actually, the rental fees which are paid to the property owner can vary widely based on the unique characteristics of the land and the size of the solar installation.
On average, the solar farm profit per acre is somewhere between $21250 and $42500 per acre on an annual basis. On average the solar panels will cost you $3.70 per watt. This means the average size 5-kilowatt solar system would run about $18500.
If your area has high energy rates and suitable solar ratings and also can afford the initial investment, it’s worth installing solar panels in your home while the 30 percent tax break is in place.
Make sure you don’t think or expect to eliminate your power bill overnight. Solar panels need the sunlight just for generating electricity for your home so they do not work in darkness.
When the solar panel production is dormant then either through connection to the electric grid or to a battery.
Do They Work in Rain Also?
The panels can use directly or indirectly sunlight to generate power though they are most effective in direct sunlight.
These panels will still work when the light is reflected or partially blocked by clouds. Rain helps to keep your panels operating efficiently by washing away any dust or dirt.
If you are living any area where has the strong net metering policy, excess energy generated by your panels during sunny hours will offset energy that you use at night and other times when your system isn’t operating at full capacity?
How to do Solar Panel Business in India?
Based on the current situation 6/10 news are from the solar industry as this is one of the fastest and sustainable growing segment in-country and across the world.
The business cases make a sense as this solar segment has opened the numerous businesses scaling from KW to MW, utility-scale to solar rooftop as of its nature of development.
There are two types of business Segment like:
1. The first one is the independent power producer where you are going to invest upfront in solar projects and sell the energy to the utility, third party as per pre-agreed terms.
This business model and there is no need to take any prior approval to be into this business of IPP as per the electricity act 2003.
You can also participate in government tenders floated by SECI, NTPC, etc which has its own procedures and strategies.
2. The second one is EPC and in this business, you will set up the power plant to the third party and buy the entire component on behalf of the developer and they pay you the EPC cost with profit as per agreed term condition.
Under this segment, you don’t have an obligation post-plant handover of the plant. In this business model, you get a return of 10 to 12 percent as profit margin.
In this way, you can do the solar business startup but make sure the procedures you need to follow as well that is why you can able to generate the revenues and get more and more profitability.
Now the question is how you can do the solar panel business startup?
There have some procedures which have some special appeal of its own and some own characteristics for startup the solar panel business.
Nowadays, it becomes one of the finest and fastest businesses by which you will able to get much more profit rather than other industries.
You have to do hard but make sure you will able to get your fruitful result as well by which you can get return money which you have invested for your business.
So, now here we will discuss the process of how you can do the solar panel business startup. The processes are:
- First of all, you have to select the market niche and do some research on the biggest niche in your area.
- You require a business license and check with your state about the required licenses to install solar power and then start investigating for available certifications.
- Later on, establish the business entity.
- Then obtain business insurance.
- At last, become the expert on your niche
So these are the ways to start up your solar panel business. Make sure your profit will depend on the number of panels which you have installed and the typical return is about 6 percent per year, but this requires a long term investment strategy as the company owner.
The next question can come how much will it cost for doing any solar installation?
The range is based on several factors such as available sunlight hours and location but it’s usually around $1? Watt and thus, a megawatt solar farm would cost around $1 million to install.
Now we will discuss the benefits which we will able to get from this solar energy
There are lots of advantages and befits which we can get from this solar energy like:
- This is the renewable energy source and we can able to get ample energy from this if we use it in a proper way or in a proper manner. It can be harnessed in all areas of the world and will be available in every day and we cannot run out the solar energy unlike some of the other sources of energy and this energy will be accessible as long as we have the sun and therefore the sunlight will be available to us for at least 5 billion years when according to scientists the sun is going to die.
- It requires low maintenance costs so that you can easily do the cost controlling which is very much required for any business and make sure this will give you much more profit for earning money from this business. After covering the initial cost of the solar energy system, you can expect very little spending on maintenance and repair work. The cables also require maintenance to ensure your solar power system which runs at maximum efficiency.
- It helps to do the technology development which is also required like in Bangalore, there is the famous cricket stadium named as CHINNASWAMY STADIUM which is totally a solar energy controlled stadium and this is the only one cricket stadium we have in India where the solar energy is stored and used for another purpose. This is why Bangalore city is called Silicon Valley of India. Innovations of quantum physics can potentially increase the effectiveness of solar panels and double or even triple the electricity input of the solar power systems.
- Not only but also it can reduce the electricity bill that is why no need to give much more electricity bill to the office center and you can save money for that as well.
- This solar energy has some capability for diverting the applications and this process is followed in different cities in India like Mumbai, Bangalore, and Delhi, etc.
Nowadays, India is following the foreign styles and technologies that is why we can develop our growth and can earn money and our economic strength will be as much as high.
From the year 2000, we have concentrated on these procedures and strategies which will be very much helpful for us basically for our entire nation.
Last but not least how to do the solar startup business plan?
Here has some special appeal of its own and procedures like:
- First of all, you need to find out how to become certified in your state.
- After that, create a business plan.
- Then include the costs, customers, contracts and contracts in your business plan.
- Later on, get started with your business and do the installation and get a solid customer base and develop any website and utilize social media.
These are the entire processes for doing the solar startup business plan. Most of the countries are following these entire procedures which have their own characteristics and features.