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How to Start a Solar Panel Manufacturing Company – Sample Business Plan Template

Do you want to start a solar panel company from scratch? Or you need a sample solar panel manufacturing business plan template? If YES, then i advice you read on. Solar panel is rapidly gaining huge market acceptance all over the globe simply because of how effective and useful it has become to most people. Solar panel is simply a device that helps convert sunlight into electrical energy and stores it for use.

There are loads of areas where you can use solar energy and that is the reason why a lot of inventions that is being powered by solar panel (energy) keep propping up. You can use solar energy to power automobile, solar energy to power street lights; you can use solar energy to power your house ( all of your electronics and electrical appliances inclusive ), you can use solar energy to virtually power devices that require electrical energy to function et al.

No doubt solar energy has become one of the most reliable sources of power supply especially in the operation of lifts in commercial buildings. The market for solar panels is increasing and it is indeed still open for new investors to come in. So if you are thinking of starting a business that is into the production of technological components, then you should consider starting your own solar panel manufacturing company .

It is important to state that starting this kind of business can be capital intensive and requires that you hire experts, but the fact still remains that it is indeed highly profitable. These 7 steps would come in handy as you start your own solar panel manufacturing company from any part of the world, and still gain global market acceptance:

Starting a Solar Panel Manufacturing Company – Sample Business Plan Template

1. draft your business plan.

If you have concluded to start your own solar manufacturing company, drafting a business plan would give you a clearer picture of the kind of business that you have chosen to do. Writing a business plan is a must for this kind of business.

Your business plan is able to help you estimate the cost required starting the business, the kind of employees you would need per time, profit projections, your SWOT analysis, suitable marketing techniques, and all the components needed to run a business successfully.

2. Source for Capital

Starting a solar panel manufacturing company requires huge investment (capital) and if you don’t have all the money saved up, then you should think in the line of raising funds from family members, friends , and investors. If you have a business plan that is highly sellable, it makes it easier for you to obtain loan from the bank and also attract serious investors.

3. Register Your Company and Apply for the Necessary Permits to run this kind of Company

In some countries, you would be required to obtain some license from the government before you are permitted to own a solar panel manufacturing company. Of course it is very important to register and incorporate your solar panel manufacturing company before applying for operating license from the government. In most cases, before you can be issued a permit (license) your facility will be inspected to ensure that you meet all safety standard required to run this kind of manufacturing company.

4. Carry a Comprehensive Research

As simple as it sounds, if you don’t carry out a proper research before venturing into this type of business, you might end up losing your investment. It is imperative that you conduct a research so that you are be able to know what is required in the market, how to source for materials, where to get the right kind of staffs, and loads of other information that will be useful to you.

5. Lease or Buy a Large Facility

It is always advisable to out rightly purchase a facility if you intend going into manufacturing related business as against renting or even leasing. It might cost you more, but it would surely pay off in the long run. It is important to state that you can only run this kind of manufacturing company in places that is allocated for industrial purpose. So when you are talking to real estate agents, ensure that you clearly state the purpose of the facility you are looking for and also the kind of space you would require.

6. Hire Trained and Competent Staffs

If you want to hire workers for your solar panel manufacturing company, you must ensure that you hire well trained and competent ones. When hiring, you should look for people that can pay attention to details, and those that can work long hours.

The basic requirement for those working in a panel manufacturing company is either a Bachelor of Science Degree or Diploma in electrical electronics engineering or any technological related course. It is also important to make provision for trainings for all your staffs if you want them to be effective and efficient. Some of your key staffs should strive to get certifications in the field of solar energy manufacturing.

7. Market Your Solar Panel

In as much as the market for solar panel is growing all over the globe, you must adopt a workable marketing strategy to be able to make good sales and huge profits. You can go into contract agreements with those who manufacture products that use solar (panels) energy so that you can be in charge of supplying solar panels to them.

You can also make more sales if you work with your customers to produce customized solar panels that can suit their purposes. There are regions where solar panels sells like wild fire and you can only discover these regions if you carry out proper research.

Solar panels come in different sizes, shapes, and capacities, just ensure that your solar panel manufacturing company take all these factors into account so that you can be able to meet the needs of various categories of customers who will need your solar panels.

There you have it, the steps needed to start your own solar panel manufacturing company. Just ensure that you read through the whole steps, and do some additional research so that you can hit the ground running with your new company.

More on Renewable Energy

Solar Power World

How to start a solar panel manufacturing facility in the United States

By Kelly Pickerel | September 4, 2018


The U.S. module manufacturing market’s ride the last few years is the perfect example of the infamous solarcoaster. Just as quickly as companies like Schott, Solyndra, Solon, Suntech, Suniva and Stion (is it an S thing?) went bankrupt or exited the U.S. market, many significant manufacturers made announcements in 2018 that they’re setting up shop in the United States . To say this is a direct result of the 30% tariffs enforced on imported crystalline silicon (c-Si) solar panels is premature, according to many of those entering the United States. U.S. demand is enough that companies are building new facilities exceeding what Suniva and SolarWorld (previously the country’s largest c-Si manufacturers) were producing at their peak. Tariffed or not, the United States needs more panels, and major global brands are ready to step in.

Once a company decides manufacturing in the United States is a good move, the question is then whether to build a new facility or work with an established original equipment manufacturer (OEM). Smaller Made-in-USA brands like Lumos Solar and CertainTeed Solar manufacture panels through an OEM in California. Others are choosing to go it alone in new plants.

business plan for solar panel manufacturing company

SolarWorld’s Hillsboro, Oregon, plant will be revamped to produce SunPower high-efficiency modules.

SunPower picked up an easy win with its soon-to-be-completed acquisition of SolarWorld’s Hillsboro, Oregon, relatively up-to-date assembly facility that was previously rated at 530 MW. The capacity may change once SunPower switches production over to its P-series modules and new Next Generation Technology process, but the major bones of the plant are all there.

Canada’s Heliene is also retrofitting two former panel production facilities in Minnesota and Oregon. Heliene was at first going the OEM route and producing panels in the Minnesota plant under Silicon Energy ownership. When Silicon Energy tanked, the Minnesota government asked Heliene if it would step in and maintain employment. Heliene president Martin Pochtaruk said 60% of the Canadian company’s 2017 sales came from the United States, so the idea to take over an entire 140-MW plant wasn’t a big stretch.

“We have had a presence in the U.S. market since 2010. We aren’t coming in not knowing who we’re going to sell to,” he said. “Right now we’re in an aggressive position. There is clearly a demand that can be supplied with a U.S.-made product.”

The U.S. solar market installed 10.6 GW of new solar in 2017 and should finish 2018 with another 10 GW. If every c-Si and thin-film manufacturer in production today in the United States was producing at full capacity, the country might be lucky to have 4 GW of domestic product—not even meeting half the demand.

The U.S. module manufacturing market is ripe with opportunity. Companies just have to choose the best plan of attack.

When an OEM is best

Solar installers may not be familiar with Auxin Solar panels, manufactured in a 100,000-sq ft facility in San Jose, California. That’s because only a small amount of Auxin-branded panels are made there; 90% of the 150-MW capacity plant is used by other names. Company president Mamun Rashid said Auxin Solar originally wanted to produce its own unique modules for cheap in Asia, but a lower price often means lower quality, so Auxin decided to work in the United States and open its doors as an OEM.

business plan for solar panel manufacturing company

The Auxin Solar facility in San Jose, California.

“We quickly realized the quality issues in Asia,” Rashid said. “Looking at the solar panel as a 25-year product, we found it unacceptable. So in 2008, we examined the business plan to find out what it would take to set up in the United States.”

Rashid and his partners thought there’d be future demand for Made-in-USA, high-quality solar panels. And after reading a report that expected a need for international companies to set up regional manufacturing because of high shipping costs, they banked on that happening in the solar industry. Foreign companies would soon need a place to make U.S. modules, and Auxin Solar wanted it to happen in its California plant.

“Being a commodity product, we didn’t want to spend resources on branding recognition and inside sales,” Rashid said. “We were happy to divert our resources to better manufacturing processes and lowering the cost of production. That’s why we quickly changed to OEM for other people in the United States.”

Some of Auxin Solar’s early OEM work came from Asian Tier 1 companies that were large enough to win U.S. government or military projects that required Made-in-USA product. The brands would be assembled in the Auxin Solar facility to reach compliance. Today’s OEM jobs are wide-ranging, from a panel company that needs extra help making a big order for a U.S. utility-scale project, to manufacturers just getting started that only want a few megawatts each year. Rashid said the company works with between 12 and 18 brands and has the ability to manufacture many different panel technologies. Lines can switch from 60-cell to 72-cell or bifacial to traditional within two hours.

“That’s why we exist and why we can handle all these different types,” he said. “That’s what we’ve perfected. All of our lines are custom-designed by us. We’ve bought equipment from Germany, Italy, Asia, but we build to our design.”

Rashid said he’s pleased with the decision to mostly source Auxin Solar’s facility out to other brands. He has consistently steady work for 60 employees on two shifts. Just as solar installation is seasonal, panel manufacturing flows the same. More panels might be needed to reach Q4 deadlines while production slows in Q2. A manufacturer using its own facility will have busy times and down times, but it is paying for that building the whole year. Auxin Solar as an OEM house works its contracts to stay occupied 12 months of the year.

“Because I’m doing many different products at different times of year, I don’t have that run rate risk,” Rashid said. “It’s easy enough to buy equipment [and start a manufacturing facility]. But it’s a whole different story keeping operation costs low.”

Auxin Solar is a solar manufacturing success story that Charles Bush hopes to repeat in Richmond, Virginia. Bush bought a 16,000-sq-ft former die plant in Richmond and spent $1.2 million to set it up as a panel assembly facility, and he’s actively looking for manufacturers to partner with.

Bush knows the solar industry well. He owns the installation company Off Grid By Design and works on both grid-tied and off-grid projects in Virginia. Because of the “Off Grid” name, Bush said he receives a lot of calls from people looking for 12-volt solar panels. With no good U.S. products to suggest, Bush decided to make them himself. That’s why he set up the Richmond plant (called Solar Electric America ), and he’s also reached out to Tier 1 manufacturers to assemble in his facility.

“Just by putting frames and junction boxes on, it becomes assembled in America,” Bush said. “I can put panels out at $0.50/W, and they’re assembled in America.”

Although Solar Electric America has been up and running for almost a year and a half, not much activity is currently happening at the 60-MW capacity facility. Bush is hoping to score some partnerships at Solar Power International later this month.

Large-scale building

For larger companies looking to play with more than 150 MW of capacity, starting a new production facility is a smart move. Jeff Juger, director of business development with JinkoSolar, said the company’s decision to build its own facility in Jacksonville, Florida, rather than partner with an OEM was because JinkoSolar’s volume goals for the United States would have exceeded the abilities of existing OEMs and limited the company’s future ambitions. As the world’s No. 1 module supplier, JinkoSolar has no worries about keeping its new 400-MW U.S. plant busy; the company signed a 2.75-GW supply deal with NextEra Energy and a 1.43-GW supply contract with sPower earlier this year.

“JinkoSolar has been one of the market leaders in U.S. module sales, and the Florida factory will support part of that volume. Demand in the U.S. will greatly exceed the factory capacity,” Juger said. “Although the impact from tariffs should not be understated, proximity to demand and ability to offer local products with local service are strong motivators [for moving into the United States].”

business plan for solar panel manufacturing company

SolarWorld’s Oregon facility

The Florida facility will support 200 jobs and panels should begin shipping before the end of the year. JinkoSolar did evaluate existing U.S. solar facilities during site selection, but the company ultimately decided to build from scratch.

“JinkoSolar is setting up a state-of-the-art facility in the United States,” Juger said. “JinkoSolar has very high standards for manufacturing processes and product efficiency, which make it difficult for older facilities to meet the company’s requirements. Occupying another facility might have meant tearing out outdated or irrelevant infrastructure first. The added cost of such a step became unnecessary when the company found a good building to customize in Jacksonville.”

John Taylor, senior VP of public affairs and communications for LG Electronics USA, said something similar when explaining why LG decided to build its own 500-MW manufacturing plant in Alabama.

“We have our own secret sauce, with the Cello technology and high-performance panels,” Taylor said. “We believe that we are in a good place in terms of our product and technology leaderships, and it didn’t make sense to partner with others.”

The primary goal of the LG Alabama plant is to serve the U.S. market. Even with a 500-MW capacity and over 1 million panels expected to be made each year, LG’s demand is so high in the United States that additional modules will need to be imported. The company is a top panel provider in both the residential and commercial markets.

“It’s a prudent business decision to begin manufacturing solar modules in the United States, especially in the current environment that we’re spending 30% duties on imported panels,” Taylor said. “There’s a lot to be said of being in the same time zone as your customers.”

business plan for solar panel manufacturing company

The Hanwha Q CELLS module test center in Korea

LG didn’t have to search too long for a U.S. location to manufacture solar panels. The company had an empty building on its Huntsville, Alabama, campus that once built color television sets. LG decided a facility once used for an old technology was a perfect fit for new solar production.

“It’s coming full circle in Huntsville, by launching our latest manufacturing operation, this time for a 21st century technology,” Taylor said. Huntsville is home to NASA’s Marshall Space Flight Center and has a deep high-tech employment pool. LG isn’t worried about finding 160 highly trained and technical workers in the area. LG’s NeON 2 line of monocrystalline modules will begin shipping from the Alabama plant by Q1 2019.

Both JinkoSolar and LG have ideal business plans to succeed in the U.S. market. South Korea’s Hanwha Q CELLS, which primarily supplies modules for utility-scale projects, is thinking even bigger with its planned 1,600-MW module plant in Georgia . Even with these three major announcements from foreign companies, there’s still plenty of room for more manufacturers to join in on the fun.

“The market is big. There is space for everybody,” said Heliene’s Pochtaruk. “Let’s see who actually does it. We don’t make big announcements; we just build solar.”

Check out our list of current and announced U.S. panel assembly facilities on our special page, and click around on our map of locations. 

About The Author

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Kelly Pickerel

Kelly Pickerel has over a decade of experience reporting on the U.S. solar industry and is currently editor in chief of Solar Power World.

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November 17, 2019 at 4:55 pm

I would like to see large scale manufacturing plants set up in failing coal mining areas. perhaps government subsidies for retraining of the workforce could make it work for everyone.

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May 30, 2020 at 9:39 am

Great idea convert coal jobs to green jobs and have the same workforce:)

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September 16, 2018 at 5:25 pm

Kelly, CONGRATULATIONS on a very informative and encouraging news article. I was happy to see Texas-based MISSION SOLAR listed as one of the top Manufacturers on your list of USA companies. In a State known for oil and gas, it is great to have a leading, successful SOLAR manufacturer showing a sustainable option!

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September 6, 2018 at 4:18 pm

Right on. GreenBrilliance is also on track to “Make in USA”

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How to Start a Solar Business – Your Complete Guide

The solar industry is booming, and its sun is just starting to rise. Solar power was the leading new renewable energy by capacity in 2020, making it the cornerstone of the emerging renewable energy market. In the U.S., solar has consistently ranked first or second in new energy capacity installed each year back to at least 2010.

Likewise, solar installers are among the fastest growing professions in the United States. The trade is projected to enjoy a 52 percent 2019-2029 growth rate and a median income of $44,890 per year, offering a promising prospect for contractors looking to cut their teeth in this exciting sector. If you’re wondering what it takes to start your own solar business, this post is for you.

How to Start a Solar Business – Beginnings

There’s more to solar installation than slapping up panels: there’s general contracting, roofing, metal fabrication, sales, repair and maintenance, consultation, landscape design, and so much more. Find a niche in your market that isn’t saturated, play to your skills, and set yourself apart as the industry expert in your particular field. 

What to Know Before You Get Started

Becoming an expert means more than knowing your product. It requires having your finger on the pulse of the various rebates and incentives available, an important differentiator for companies looking to get ahead of the pack. Businesses that do the research to save their customers time and money get the contracts.

Regardless of whether you specialize in sales, installation, or both, it’s imperative to become a pro at navigating financial incentives, working with utilities and regulations that might not be immediately apparent in the planning process. 

The best place to start a new solar business is between the cracks of large, over-saturated markets. Find out what solar professionals are doing in your area by checking in with local SEIA chapters and chambers of commerce, and conducting internet searches. Maybe you could specialize in aesthetically-pleasing solar and landscape design . Perhaps your market could use a regulation and financing ninja. It’s highly likely that even if your market is saturated with traditional solar businesses, you will find a niche that only you can fill.

Solar sales

Starting a solar business doesn’t necessarily mean you’ll need a crew up on roofs installing panels. If sales is your thing, there are many businesses that focus on just that. 

These companies do all the work of selling solar systems: getting leads, qualifying them, doing in-home or virtual consultations, and getting the customer to sign. Once a customer has signed on, these organizations then work with a contractor that takes care of the rest of the installation process.

Solar installers

Solar installers are usually the most saturated business in the market. If you’re wondering how to start a solar installation business, you might want to start at the basics: Roofing. If you’re a roofer, solar installation could be a great option to add to your business. 

The solar and roofing industries are starting to converge , and for good reason. Solar panels and roofs have about the same lifespan (approximately 25 years), and savvy roofers are realizing the one-two punch of installing a new roof and solar system simultaneously. Whether you’re a roofing contractor or solar installer, there’s a lot of overlap between the two, and plenty of untapped market opportunities for incorporating roofing and solar into your business plan.

What is a PV system?

Before we move on, let’s take a quick look at how a PV system works to get a better idea of how you can make money building one.

How Does a Solar Photovoltaic System Work?

Solar panels convert the energy of photons (light particles) into electricity, a process called the photovoltaic effect. When a photon hits a photovoltaic (PV) device, its energy knocks electrons in the material. These excited electrons begin to flow, producing an electric current.

At a high level, the process of how solar panels works involves three primary steps:

The photovoltaic process occurs on the cell level. Solar panels are composed of multiple cells, and PV systems are a series of solar panels wired together (called “ stringing ”) to provide appropriate voltage to the system’s inverter.

After a PV system is installed , there’s nothing standing between a customer and free, green energy.


Solar Company Licensing & Certifications

Solar licensing.

Not every state requires solar licensing, but some do. Keep in mind that if you’re planning on working outside of your home state, you’ll need licenses for any state you want to work in. For states requiring licenses, you’ll often need a plumbing or electrician license, or both. Some states require a specialized solar contractor license.

Check here to confirm whether you need licensing in your state, region, or municipality

Solar Certifications

Even if you don’t need a license to operate in your area, earning a solar certification is a great idea. Solar certifications are an important way to promote customer confidence, putting you ahead of the average uncertified business. 

Certification can also lead to more income, with certified solar professionals earning an average $11,000 more annually. Getting certified may also allow you to operate in more than one municipality or state, increasing your competitiveness.

North American Board of Certified Energy Practitioners (NABCEP) voluntary certifications provide national standards for PV professionals, certifying they have the skills, experience, and competency to set themselves apart. NABCEP’s certifications include :

Set Up Your Solar Business

You’ve nailed down your niche, identified solar certifications and licenses, and are ready to make the jump. Let’s take a dive into how to start a solar business from the ground up, starting with the legal stuff first.

Establish an LLC

An LLC, or limited liability company, is a business structure set up by state statute. LLCs provide several benefits, including liability protection, flexible structure, and tax advantages. They provide the same limited liability as a corporation but are much cheaper and easier to form and operate.

In most states, getting an LLC entails choosing a name, selecting members (which can include just you), creating articles of organization and operating agreements, and getting an EIN (employer identification number). You’ll then need to obtain any seller’s permits and licensing required by your state.

Check your state’s LLC requirements for more information.

Business insurance

Protecting your personal assets from litigation isn’t enough: You’re going to need insurance for your solar business. Businesses need insurance to cover costs associated with property damage and liability claims. Without it, you may have to fork over cash out-of-pocket, which could be a death blow to your business.

The right insurance coverage is essential to mitigate potential risks and liabilities. Every contracting business must meet general insurance requirements, but there are a few considerations specific to the solar industry. Here’s your solar business insurance checklist:

Most contractor general liability insurances provide a minimum of $500,000 coverage. Keep track of your inventory, equipment, and properties, and get the right insurance that would cover the worst-case scenario. Do yourself a favor and get the right insurance before you even land your first contract. Click here for an in-depth look into the right solar business insurance .

business plan for solar panel manufacturing company

Establishing a Solar Team

1. how to find salespeople.

Salespeople are the backbone of most solar businesses. Regardless of your niche, chances are that someone on your team is making at least part of their paycheck knocking on doors and making phone calls.

When seeking out a salesperson, here are three elements to consider when vetting your candidate pool:

It’s crucial that you foster a culture of customer satisfaction in all of your employees, but salespeople in particular. They are usually the folks leading your conversion process and are often the face of your business. Make sure they wear it well with world-class customer support.

If an in-house sales team isn’t feasible, there are several options available for sales outsourcing. Many businesses exist specializing in outsourcing solar sales for installers, consultants, and retailers. A quick internet search will point you in the right direction.

2. Ramping up a team

3. Setting up compensation structures

Solar salespeople are usually paid by commission. Commission payouts are usually paid as a percentage of the total contract price or as a cut of the base contract price. 

Commissions have various pros and cons. On one hand, they can motivate your teams to work hard. On the other hand, commissions may encourage your salespeople to sell more than a customer needs, take on cost-prohibitive projects, and inflate project costs above market rates.

Read more on common commission structures in the solar sales industry today.

Pro Tips: Avoid These Solar Sales Barriers

Incorrect or inefficient designs.

It’s all too easy to under-or over-engineer a solar system. An incorrect or inefficient design is a surefire way to sink your business. Aurora Solar’s sophisticated solar design software generates complete engineering designs and sales proposals with just an address and an electric bill, meaning you can deliver the best design, every time.

business plan for solar panel manufacturing company

Electric quotes from customers

Customers are often wary of providing their electricity bills. Just a few days can mean the difference between landing a new customer and losing them, so make this process as seamless as possible for your customers.

Most electric customers receive a bill in the mail every month. If they don’t, they can likely access it online from their utility. Either way, Aurora can provide a forecast of year-round energy usage from just one month’s bill — taking into account factors like weather, HVAC, and more. If the bill isn’t available, get the kWh from your customer’s meter. Next, divide the kWh by the number of days that have elapsed since that billing cycle (usually every month), and multiply the result by 30 to get a rough energy use estimate.

Take this opportunity to remind your customer that making efficiency upgrades in the home could drastically improve energy efficiency. 

And don’t forget to study up on the net metering rules for your state. Being able to sell excess power back to the grid can be a huge selling point for solar installations.

Licensing problems

Flawed designs can lead you straight back to the drawing board. If a solar design isn’t compliant with state or local regulations, your plans will be rejected. Collecting and reporting permit-related project data constitutes up to 30% of total solar project costs , owed largely to installers’ mistakes and regulatory bottlenecks . 

Aurora has many features that can cut down on potential licensing and permitting delays. Any design created in Aurora’s platform is permit-ready and approvable . Our shading analysis is also validated by NREL — so you can save a trip to the site on every install — and you can directly export our shade reports to many rebate authorities for incentive approval. 

Solar Leads

Your team’s professionalism, courtesy, knowledge, and service will lead to more conversions through referrals . A Nielsen study revealed that 83% of consumers trust referrals from friends and families above all other marketing methods, and referrals come when customers are impressed.

Salespeople end up becoming your marketing team if they’re doing their jobs right, leading to less time cold-calling, boosted employee morale, and greater conversions. If there’s ever been a case for karma, the customer service/referral connection is it.

business plan for solar panel manufacturing company

Starting a solar business takes research, investment, time, and leadership. But, it can be worth the effort, providing a great career in a growing and fulfilling industry. 

When you do start your business, make sure you have a software solution that sets you up for success. Aurora Solar has solar companies covered, increasing sales conversions by 15%!

Schedule a free demo today to see how Aurora can help you get started in the solar industry.

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Read the U.S. Department of Energy  Solar Photovoltaics Supply Chain Review Report

What is Solar Manufacturing?

Solar manufacturing refers to the fabrication and assembly of materials across the solar value chain, the most obvious being solar photovoltaic (PV) panels, which include many subcomponents like wafers, cells, glass, backsheets, and frames. Aside from panels, there are many different manufactured products that are required for solar energy systems, including inverters, wiring, combiner boxes, and racking and tracking structures—and that’s just for PV. Concentrating solar-thermal power (CSP) systems require the manufacturing of heliostats, receivers, and thermal storage systems, for example. Learn more about how PV manufacturing works .

Solar Manufacturing in the United States  

Solar Manufacturing Map

The U.S. Solar Photovoltaic Manufacturing Map details active manufacturing sites that contribute to the solar photovoltaic supply chain.

Why is Solar Manufacturing Important?

Building a strong solar manufacturing sector and supply chain in America supports the U.S. economy and helps to keep pace with rising domestic and global demand for affordable solar energy. Currently, the U.S. PV manufacturing industry has the capacity to produce PV modules to meet nearly a third of today’s domestic demand . Increasing domestic PV hardware will keep more value in the U.S. economy and create valuable manufacturing jobs.

It will also decrease the dependence of the U.S. on foreign energy supply, which improves U.S. energy security, and also increases the export of renewable generation equipment from the U.S. Focusing on improvements in domestic solar manufacturing will help the U.S. Department of Energy (DOE) Solar Energy Technologies Office (SETO) reach its goals .

SETO Research in Solar Manufacturing

SETO funds solar manufacturing research projects that will boost domestic manufacturing competitiveness and help the U.S. compete on a global scale by developing pathways to commercialization for disruptive innovation in the solar industry. Projects support proof-of-concept development and technology validation in addition to advancing entirely new solar hardware and manufacturing processes. This includes conducting techno-economic analysis and other evaluation around supply chains, manufacturing infrastructure, and the workforce. Learn more about SETO’s manufacturing funding programs below:

In addition, the office has supported the development of the American-Made Network , which is comprised of national labs, incubators, investors, and seasoned industry mentors. It provides entrepreneurs working with the office with technical insight, product validation, and strategic support.

Other offices in the Energy Department contribute to the advancement of clean energy manufacturing, including the Advanced Manufacturing Office .

To view specific solar manufacturing projects, search the Solar Energy Research Database .

Additional Resources

Learn more about solar manufacturing and competitiveness research , other solar energy research in SETO , and current and former funding programs .

Financial modeling spreadsheets and templates in Excel & Google Sheets


Solar Panel Manufacturing Plant Business Plan Financial Model Excel Template

Get the Best Solar Panel Manufacturing Plant Financial Model. Spend less time on Cash Flow forecasting and more time on your products. The Solar Panel Manufacturing Plant Financial Model Excel Spreadsheet is a full-dimensional 5-year financial planning template for a company operating in a Solar Panel Manufacturing Plant business niche. The template would suit both a Solar Panel Manufacturing Plant startup as well as a running small Solar Panel Manufacturing Plant. Use Solar Panel Manufacturing Plant Profit Loss Projection before acquiring Solar Panel Manufacturing Plant business, and get funded by banks or investors. Unlocked – edit all – last updated in Sep 2020. A Comprehensive package of investor-ready reports, including a Solar Panel Manufacturing Plant Profit And Loss Projection, Cashflow Forecast, a Industry Benchmark Kpis, and an extended set of financial ratios.

business plan for solar panel manufacturing company

NOTE:  Single-User pertains to a limited Single User License where the template can only be used by one single user; while Multi-User is a license for users sharing the template with up to 20 members. Please refer to  Terms of Use  and  License and Permitted Use  for clarification.


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Integrated The entire Solar Panel Manufacturing Plant Pro Forma is integrated. If you make a change in one sheet, every dependent tab will update automatically. If you decide to scale down or up your assumptions, automation will scale too. Now you will know and understand how decisions impact your business.

Structured You want a Solar Panel Manufacturing Plant 3 Way Forecast Excel Template to be as easy to understand as possible. You also want to make it easy for others to be able to audit if needed. We make this 3 Way Financial Model Template a simple as possible.

Complete Everything you need in a Solar Panel Manufacturing Plant Financial Projection has been considered and built-in. Every revenue stream you might charge is included. Scale expenses with the automated forecast. KPIs, charts, and summary pages included.


Valuation This Solar Panel Manufacturing Plant Three Statement Financial Model Template contains a valuation analysis template that will permit clients to play out a Discounted Cash Flow valuation (DCF). It will likewise assist clients with dissecting financial measurements as remaining value, substitution costs, market comparables, ongoing exchange comparables, and so forth

Profitability KPIs The Solar Panel Manufacturing Plant Profit Loss Projection contains all performance estimations that identify with pre-created templates and financial reports. It also has pre-amassed proformas for Statement Of Profit And Loss Proforma, Balance Sheet, and Cash Flow Forecast, which you can use both for financial planning and presentations for investors. With these reports, you can without a very remarkable stretch screen your association’s Cash Flows, revenues, costs, and profitability, including profitability edges, liquidity assessment, sources and uses, and others. The model processes profitability proportions and other performance estimations, e.g., customer making sure about costs, and KPI estimations, if applicable.

Financial Statements Our Solar Panel Manufacturing Plant Finance Projection has a pre-built integrated financial statement structure that contains all the primary financial statements (Balance sheet, Profit And Loss Pro Forma, and Startup Cash Flow Projection) and creates financial forecasts for the next five years automatically.

This integrated financial statement structure has pre-built proformas, financial and managerial reports, and financial ratios. Users can choose the presentation of financial information in GAAP or IFRS format for their convenience.

Top Expenses In the Top expenses part of our Solar Panel Manufacturing Plant Finance Projection, you can follow your more critical expenses separated into four classifications. The model additionally has an ‘other’ classification, and you can grow or change this table as indicated by your necessities. You can mirror your organization’s recorded information or make a Financial Model In Excel for the five years.

Sources and Uses The statement of the sources and uses of the Five Year Financial Projection Template gives users a summary of where capital will come from (the ‘Sources’) and how this capital will be spent (the ‘Uses’). The statement is structured in the way that the total amounts of the sources and uses accounts should equal each other. The sources and uses statement is critical for the situations when the company considers recapitalization, restructuring, or mergers & acquisitions (M&A) procedures.

Benchmarks A benchmarking concentrate as the segment of the Financial Model In Excel is for the most part used to evaluate a business’ performance by focusing on in any event one explicit pointers and differentiating them and relative markers of various associations in the business. In respect of the financial benchmarking study, these pointers could be profit margins, cost margins, cost per unit, productivity margins, or others. Later the association’s performance markers should be stood out from that of various associations inside a comparable industry.

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How to Start a Solar Panel Business

A solar panel business will conduct on-site surveys of potential installations, create a solar plan for the location, work with the owner on financing and install the units. Maintenance positions within the company provide support for the new owners repairing and maintaining panels to ensure greatest productivity and return on the investment. This business requires a structured staff with skills in construction, electrical, and basic understanding of science and solar energy.

Ready to form your LLC? Check out the Top LLC Formation Services .

Learn how to start your own Solar Panel Business and whether it is the right fit for you.

Solar Panel Business Image

Start a solar panel business by following these 10 steps:

There is more to starting a business than just registering it with the state. We have put together this simple guide to starting your solar panel business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

Exploring your options? Check out other small business ideas .

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

How much can you charge customers?

What will you name your business.

Luckily we have done a lot of this research for you.

What are the costs involved in opening a solar panel business?

There will be a significant investment required in order to obtain your first shipments of panels to be installed in a home or business. If you are looking at franchise opportunities, they require a minimum payment of between $100,000 to $350,000 just to gain access to their assigned region. Without a franchise, expecting to invest up to $500,000 will enable you to initially market, hire a crew, and perform the first round of installations over the course of one year.

Read our solar panel business purchasing guide to learn about the materials and equipment you'll need to start a solar panel business, how much to budget, and where to make purchases.

What are the ongoing expenses for a solar panel business?

You will be responsible for payroll, ordering panels from a distributor for each job, marketing, and paying the energy company on behalf of leased customer accounts. You will likely have an office space, delivery vehicles, and ongoing training to maintain licenses. You will need significant business insurance coverage as well.

Who is the target market?

With ever evolving solar technologies, solar energy is now available to most homeowners with a clear roof line. Homeowner Associations sometimes collaborate for entire neighborhood solar installations. Businesses small and large are adding solar to their energy programs and may be ready to invest in sizable rooftop or field farms.

How does a solar panel business make money?

Whether you work with a franchise or wholesaler, your installation business makes money through the successful installation of solar units. Some leasing programs generate regular income by charging their customers a monthly bill, which includes the cost of the panel installation and any extra power the customers are using from the grid. Otherwise, the customer pays a retail rate upfront for their panels and appropriate labor costs for connecting their panels to their home and the power grid.

A residential installation can be priced anywhere from $15,000 to $50,000, depending on the size and type of panels installed. Leases with a zero dollar down payment can run anywhere between $25 - $200 monthly depending on the type of client and the size of the installation.

How much profit can a solar panel business make?

When you operate a leased solar panel business, your profit will depend entirely on the number of panels that you have installed. A typical return is about 6% per year, but this requires a long-term investment strategy as the company owner. For companies that only install panels for customers who pay all at once, you can see profits of $5,000 to $10,000 per job. However, this requires a steady stream of new contracts. If you’re working with a large industrial contract, you can see a profit in the hundreds of thousands for a year-long job.

How can you make your business more profitable?

Your largest costs will be purchasing the panels from the distributor and your payroll. You can control supply costs by purchasing large lots of panels and using them for multiple jobs, lowering your per unit cost.

Another way to increase profits is to reach out to other solar panel contractors to offer assistance as a sub-contractor. This way you can form strong professional relationships in your area, and also take on larger projects than your team might otherwise come across.

Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Solar Panel Business Name Generator

If you operate a sole proprietorship , you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.

When registering a business name , we recommend researching your business name by checking:

It's very important to secure your domain name before someone else does.

Find a Domain Now

Powered by godaddy.com, step 2: form a legal entity.

The most common business structure types are the sole proprietorship , partnership , limited liability company (LLC) , and corporation .

Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your solar panel business is sued.

Form Your LLC

Read our Guide to Form Your Own LLC

Have a Professional Service Form your LLC for You

Two such reliable services:

You can form an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.

Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services . You can choose to hire a registered agent or act as your own.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

You can acquire your EIN for free through the IRS website, via fax, or by mail. If you would like to learn more about EINs and how they can benefit your LLC, read our article, What is an EIN?.

Learn how to get an EIN in our What is an EIN guide or find your existing EIN using our EIN lookup guide.

Small Business Taxes

Depending on which business structure you choose, you might have different options for how your business will be taxed. For example, some LLCs could benefit from being taxed as an S corporation (S corp).

You can learn more about small business taxes in these guides:

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil .

Additionally, learning how to build business credit can help you get credit cards and other financing in your business's name (instead of yours), better interest rates, higher lines of credit, and more.

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Open net 30 accounts

Net 30 accounts are used to establish and build business credit as well as increase business cash flow. With a net 30 account, businesses buy goods and repay the full balance within a 30-day term.

NetMany net 30 credit vendors report to the major business credit bureaus (Dun & Bradstreet, Experian Business, and Equifax Business Credit). This is how businesses build business credit so they can qualify for credit cards and other lines of credit.

Recommended : Read our best net 30 vendors , guide and start building business credit.

Get a business credit card

Getting a business credit card helps you:

Recommended: Apply for an easy approval business credit card from Divvy and build your business credit quickly.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a solar panel business. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits .

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses .

There may be relevant regulations regarding solar power in local areas. Certain areas may prohibit the installation of solar panels for one reason or another so be sure to check with the relevant agencies before doing any work.

For more information about local licenses and permits:

Service Agreement

A solar panel installation business would need to create a services agreement, which should outline the parameters of installation, the price, and the expectations of the client. This is especially important with regards to ensuring the panels will provide enough energy for the home or business.  Here is an example service agreement.

Recommended: Rocket Lawyer makes it easy to create a professional service agreement for your solar panel installation business when you sign up for their premium membership. For $39.95 per month, members receive access to hundreds of legal agreements and on call attorneys to get complimentary legal advice.

Certificate of Occupancy

A solar panel business is often run out of an office. Businesses operating out of a physical location typically require a Certificate of Occupancy (CO).  A CO confirms that all building codes, zoning laws and government regulations have been met.

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance . This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Learn more about General Liability Insurance .

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance . If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

Recommended: Learn what business insurance for your Solar Panel Business will cost.

Business Insurance for Solar Panel Business

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners , we'll give you helpful tips and advice for creating the best unique logo for your business.

Recommended : Get a logo using Truic's free logo Generator no email or sign up required, or use a Premium Logo Maker .

If you already have a logo, you can also add it to a QR code with our Free QR Code Generator . Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.

How to promote & market a solar panel business

Attend home shows as a vendor, purchase on-air and print ads, and join your local chamber of commerce to get your name out in the community. Ask at the city hall what requirements they have in order to consider your company for municipal projects.

How to keep customers coming back

Solar panels are a highly visible product. Consider installing panels on a home or business in a high-traffic area for free or at a promotional rate. Your reputation will grow with each job completed on-budget and on-time. You could also consider donating a panel to local park or school as a goodwill gesture.

Make sure you or someone on your team knows the ins and outs of government incentives and tax cuts for people who choose to install residential solar panels. This will help potential customers place greater faith in your company’s expertise in the industry, and it will also help them feel better about investing in your products.

Still unsure about what kind of business you want to start? Check out the latest Small Business Trends to help inspire you.

STEP 9: Create your business website

After defining your brand and creating your logo the next step is to create a website for your business .

While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.

Here are the main reasons why you shouldn’t delay building your website:

Using our website building guides , the process will be simple and painless and shouldn’t take you any longer than 2-3 hours to complete.

Recommended : Get started today using our recommended website builder or check out our review of the Best Website Builders .

Other popular website builders are: WordPress , WIX , Weebly , Squarespace , and Shopify .

STEP 10: Set up your business phone system

Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.

There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2023 to find the best phone service for your small business.

Recommended Business Phone Service: Phone.com

Phone.com is our top choice for small business phone numbers because of all the features it offers for small businesses and it's fair pricing.

Start a Solar Panel Business in your State

TRUiC's Startup Podcast

Welcome to the Startup Savant podcast , where we interview real startup founders at every stage of the entrepreneurial journey, from launch to scale.

Is this Business Right For You?

A motivated individual with excellent business skills, knowledge of electrical contract work, a background in construction, and an eager marketing plan can make a success out of this rapidly expanding industry.

Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

Entrepreneurship Quiz

What happens during a typical day at a solar panel business?

As owner, your day’s activities will vary depending on what jobs you have lined up. Typical duties might include:

What are some skills and experiences that will help you build a successful solar panel business?

The successful solar panel business owner will have solid understanding of marketing and use it to the greatest effect, generating new contracts for their new company and brand. They will have shrewd personnel skills, taking the time to hire reputable technicians with all the proper licensing and training. Good managerial skills will keep the crews busy, completing jobs on time as promised, while keeping payroll expenses under control. They must also work to stay current with changing technologies, as solar is still a developing industry.

What is the growth potential for a solar panel business?

As more people, cities, and states turn to renewable energy sources, the solar panel industry is seeing a healthy growth of 15% annually, according to IBISWorld.com . With ongoing technological improvements and reducing costs of materials, solar power is becoming more affordable and appealing to both residential and commercial clients.

TRUiC's YouTube Channel

For fun informative videos about starting a business visit the TRUiC YouTube Channel or subscribe to view later.

Take the Next Step

Find a business mentor.

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Learn from other business owners

Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

What are some insider tips for jump starting a solar panel business?

You must hit the ground running as soon as you find your first customer. Before that, take the time to develop your knowledge of the entire solar industry, emerging technologies, and installation options. Research the various government rebates and work with a financing institution to provide payment options for your clients. You will need to be able to offer something unique to your clients that other companies cannot provide. Make sure your company is properly insured, as accidents will happen that can pose hazards to your crews and your customer's property.

How and when to build a team

As soon as your business loan is in place, you must start building your sales, survey, installation, and maintenance team. Unless you are an experienced installer, it is wise to include an industry expert as one of your first team members who can help guide you in building the best staff. You may require an executive assistant as your schedule gets crowded with meetings, marketing, and social events.

Read our solar panel business hiring guide to learn about the different roles a solar panel business typically fills, how much to budget for employee salaries, and how to build your team exactly how you want it.

Get more ideas with our Business Ideas Generator .

Check out our How to Start a Business page.

Sign up at the Business Center to access useful tools for your business.

Useful Links

Truic resources.

Industry Opportunities

Real World Examples

Further Reading

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Hugo Britt Mar 24, 2022

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Solar panels.

Writing a business plan forces solar farm operators to focus on the details of the business, understand the risks, and establish a roadmap for future growth. It can also be used to attract and secure funding.

The document should include the usual elements found in a business plan (detailed below), along with some information that is unique to a renewable/alternative energy business, such as a feasibility study and environmental mission statement.

Business plans can be created at any time, such as in the early planning stages or when a business has already been operating for some time but could benefit from a roadmap.

How Long Should the Business Plan be?

A business plan can vary in format from a full-length, multi-page document to a “lean” plan  that fits on a single page. Take the plan’s intended usage into account when deciding on the format; for example, venture capitalists or other lenders expect a detailed plan, while a lean plan is easier to update regularly.  

Standard Business Plan Elements to Include

All business plans – including a business plan for a solar farm – should include the following standard information:

Elements Specific to a Solar Farm

Single-use or Live Business Plans

Some business plans may only be intended for a single purpose (such as securing funding), then put in a drawer and never used again. However, business plans can also be used as a “live” document that is updated and referred to regularly. While some parts of the plan will stay the same, others (such as milestones, personnel, and market analysis) should be updated several times a year.

Other Business Plans

Business Plan Template

Image Credit: Suwin / Shutterstock.com

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Solar Farm Business Plan Template

Solar farm business plan.

You’ve come to the right place to create your Solar Farm business plan.

We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their solar farms.

Below is a template to help you create each section of your Solar Farm business plan.

Executive Summary

Business overview.

Helios Solar is a startup Solar Farm company located in northern New Mexico.  The company was founded by husband and wife team Derek and Meri Smith. Derek has deep experience in the construction industry, and Meri has a background in accounting. The combination of these skills positions the couple to succeed in building and maintaining a solar farm. What’s more, Derek and Meri already own a 250-acre tract of land in sunny New Mexico.

Product Offering

Helios Solar has designated 50 acres on which it will install crystalline silicon solar panels with sun tracking technology. It will begin as a 5MW farm, with ample land for capacity growth. The company will keep abreast of solar technology innovations as it grows.

Customer Focus

Helios Solar will offer wholesale electricity to established utility companies in New Mexico and surrounding states.

Management Team

Helios Solar will be owned and operated by Derek and Meri. Derek will oversee the physical operation of the farm, while Meri will oversee the administrative side.

Derek Smith has a background in construction, and is a graduate of Solar Energy International, and subsequently earned a North American Board of Certified Energy Practitioners (NABCEP) certification as a PV Commissioning & Maintenance Specialist.

Meri Smith is a graduate of the University of New Mexico with a Bachelor’s degree in Accounting. She has been working at a local accounting firm for over a decade as a CPA. Meri’s experience in accounting has given her the skills to manage the company’s finances, and the knowledge to steer the company to financial stability and success.

Success Factors

Helios Solar will be able to achieve success by offering the following competitive advantages:

Financial Highlights

Helios Solar is seeking $2 million in debt financing to launch its solar farm. The funding will be dedicated towards installing solar panels and payroll of the staff until the farm reaches break even. The breakout of the funding is below:

To supplement its funding requirements, Helios Solar intends to apply for government grants and take advantage of incentive programs for the installation of solar equipment.

The following graph below outlines the pro forma financial projections for Helios Solar.

Company Overview

Who is helios solar.

Helios Solar aims to deliver utility-scale solar power, starting with a 5MW capacity. The husband and wife team is highly qualified and experienced in PV maintenance, accounting, and financial reporting.

Helios Solar History

Helios Solar is owned and operated by Derek and Meri Smith, a former construction manager and certified PV Commissioning & Maintenance Specialist (Derek), and CPA (Meri). Derek has worked for a large construction company and oversaw a variety of construction projects in the Albuquerque metro area. Derek’s tenure with the construction company, as well as his education in PV maintenance, combined with Meri’s financial acumen has given them the skills and knowledge required to venture out and start their own company. Derek and Meri have been awarded contracts with two large utility companies, which guarantees Helios Solar stability while they work to increase capacity.

Since incorporation, Helios Solar has achieved the following milestones:

Helios Solar Services

Industry analysis.

The Solar Power industry is expected to grow over the next five years to over $18.3 billion.

The growth will be driven by the large expansion of government spending is set to support the industry as the push toward renewables accelerates. Electric power consumption is expected to increase slightly, but is expected to continue its shift toward renewable sources and away from fossil fuels.

The Solar Power industry in the United States is growing rapidly, underpinned by a combination of favorable government incentives and consistent technological advancements. Furthermore, solar power falls into the emergent green energy sector and benefits from rising public and private support.

Costs will likely be reduced as PV panels continue to gain efficiency and manufacturers compete to drive down the price of producing the panels. Solar Farms have also benefited from attractive tax credits and requirements for downstream utilities to diversify energy holdings and integrate renewable energy into their portfolio.

Customer Analysis

Demographic profile of target market.

Helios Solar will target utility companies in New Mexico, Colorado, Utah, and Arizona.

The precise data for these target states are:

Customer Segmentation

Helios Solar will primarily target the following customer profiles:

Competitive Analysis

Direct and indirect competitors.

Helios Solar will face competition from other companies with similar business models. A description of each competitor company is below.

Sunrise Solar Power Plant

Sunrise Solar is a 794 MWp (614 MWAC) photovoltaic power station in California, near the Mexican border. The facility was developed and constructed in three phases.

The first phase was commissioned in 2014, and supplies 266 MW under a 25-year agreement. The third phase was commissioned in 2018, and provides 328 MW using 2.8 million thin film panels. Phase two was commissioned in early 2020, and provides 200 MW.

The plant users more than 3 million thin-film CdTe photovoltaic modules and 138 skids which rotate on a north-south axis tracking the path of the Sun, and produces enough energy to power 72,000 homes.

Sun Mountain Solar Facility

The Sun Mountain Solar Facility is an 802 megawatt solar photovoltaic power plant. The plant entered service on December 1, 2010. It is co-located with three other solar projects in the region, thus forming a more than 1 gigawatt (GW) solar generating complex.

100 GW·h/year from phase 1 has been sold under a 20-year power purchase agreement (PPA). Power generated from phase 2 has been sold under a 25-year power purchase agreement (PPA).

This solar complex creates enough electricity to power 200,000 homes. It sits on 4,000 acres of land and has about 4.3 million solar panels. The facility has been built in phases and the first one came on line in 2010, with the rest following in 2012, 2015, 2016, and 2021.

Badlands Solar Park

Badlands Solar Park is one of the largest solar parks in the US. The park is spread over a total area of 7,000 acres, and has a total capacity of 2,000 MW. It is expected to eventually have a total capacity of 3,000 MW. The project is a joint effort between state-owned energy companies, which provide electricity across the country. Construction on the Badlands Solar Park began in 2016.

It was built in four phases:

Competitive Advantage

Helios Solar will be able to offer the following advantages over their competition:

Marketing Plan

Brand & value proposition.

Helios Solar will offer the unique value proposition to its clientele:

Promotions Strategy

The promotions strategy for Helios Solar is as follows:

Professional Associations and Networking

Helios Solar will become a member of solar associations such as Solar Energy Industries Association (SEIA), American Council on Renewable Energy (ACRE), and Solar Energy International (SEI). They will focus their networking efforts on expanding their brand recognition and relevance.

Print Advertising

Helios Solar will invest in professionally designed print ads to display in programs or flyers at industry networking events.

Website/SEO Marketing

Helios Solar will maintain a well-organized and informative website, which will list all their services. The website will also list their contact information. The company will also hire a digital marketer to enhance their website presence with SEO marketing tactics so that Helios Solar’s website will be well-positioned at the top of internet search results.

Helios Solar’s pricing will be moderate and on par with competitors so clients feel they receive value when purchasing their services.

Operations Plan

The following will be the operations plan for Helios Solar.

Operation Functions:


Helios Solar will have the following milestones complete in the next eight months.

5/1/202X – Finalize construction of office space

615/202X – Finalize property preparation and solar array planning

8/1/202X – Installation of racks and mounts

12/1/202X – Installation of solar array

12/15/202X – Begin networking at industry events

1/1/202X – Helios Solar opens its office for business

Financial Plan

Key revenue & costs.

The revenue drivers for Helios Solar are the electricity fees they will charge to utility companies for their services. Most other solar energy wholesale companies charge $83 per MWh; Helios Solar will initially charge $80 per MWh.

The cost drivers will be the overhead costs required to maintain and upgrade solar arrays. The major expenses will be payroll, and hardware purchases.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required to achieve the revenue and cost numbers in the financials and to pay off the startup business loan.

Financial Projections

Income statement, balance sheet, cash flow statement, solar farm business plan faqs, what is a solar farm business plan.

A solar farm business plan is a plan to start and/or grow your solar farm business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can easily complete your solar farm business plan using our Solar Farm Business Plan Template here .

What are the Main Types of Solar Farm Businesses?

There are a number of different kinds of solar farm business , some examples include: Crystalline Silicon Power Plant and Thin-Film Solar Power Plant.

How Do You Get Funding for Your Solar Farm Business Plan?

Solar farm businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Solar Farm Business?

Starting a solar farm business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Solar Farm Business Plan - The first step in starting a business is to create a detailed solar farm business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.  

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your solar farm business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your solar farm business is in compliance with local laws.

3. Register Your Solar Farm Business - Once you have chosen a legal structure, the next step is to register your solar farm business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws. 

4. Identify Financing Options - It’s likely that you’ll need some capital to start your solar farm business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Solar Farm Equipment & Supplies - In order to start your solar farm business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your solar farm business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful solar farm business:

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Each detailed project reports cover all the aspects of business, from analysing the market, confirming availability of various necessities such as plant & machinery, raw materials to forecasting the financial requirements. The scope of the report includes assessing market potential, negotiating with collaborators, investment decision making, corporate diversification planning etc. in a very planned manner by formulating detailed manufacturing techniques and forecasting financial aspects by estimating the cost of raw material, formulating the cash flow statement, projecting the balance sheet etc.

We also offer self-contained Pre-Investment and Pre-Feasibility Studies, Market Surveys and Studies, Preparation of Techno-Economic Feasibility Reports, Identification and Selection of Plant and Machinery, Manufacturing Process and or Equipment required, General Guidance, Technical and Commercial Counseling for setting up new industrial projects on the following topics.

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business plan for solar panel manufacturing company

How to Start a Solar Panel Business

Here's a step-by-step business plan

Ready to create your LLC? Check the availability of your new company name to get started.

Starting a new solar business can seem like a daunting task. This is true of any new challenge you decide to overcome. However, the great thing about establishing your own solar industry business is that you’ll be your own boss and you’ll get to learn a lot along the way. Plus make really good money on your own terms. Say goodbye to your boss and hello to solar energy!

Most people, though they want to start profiting from solar panel installation, wait for what they believe is the ‘right time’ to take the plunge. Kari DePhillips, CEO of The Content Factory, has a simple solution to this dilemma. “Just do it already,” is his advice.

And it’s brilliant in its simplicity. Don’t wait around for several years before you set down your own commercial solar business because the competition is tough. According to a 2017 survey, 26% of millennials said they planned to become entrepreneurs and start a business within the next three years. So there you go: don’t wait too long.

Decide what kind of solar project you want to start and set it up right away! The sooner you start the faster you will make money!

Now is the Time to Start Your Solar Power Company  

Solar power is a smart investment as electricity cost rise nationwide. According to Walid Halty at Dvinci Energy, “solar is the #1 most bankable sustainable technology, which has turned the industry into a gold rush.” ‘Gold rush’ is right because according to the  US Energy Information Administration  (EIA), 1.6% of total electricity generation in the US is powered by solar.

What’s more, the National Renewable Energy Laboratory ( NREL ) claims that 40% of total US electricity could easily be provided only by solar roof panels.

These are whopping numbers and they all point to the same thing: the solar panel business is a lucrative one. Once you take the first step, you should patiently and effectively work to expand your new business. You never know, you could easily end up in the same ranks as Sunrun and Vivint Solar, currently the biggest solar installation firms in the United States.

A Day in the Solar Panel Installation Trade

Before you start dreaming about your name in lights, you should understand what a typical in at work would look like for you. This will vary depending on whether you’re buying, manufacturing or installing solar panels. Or even all three. 

The typical day will start out with a customer asking you for a consultation or a new installation. You will ask them what they require and then once you’ve determined the type of panels they need, it can take from 1-3 days to get a complete installation finished. According to Kristin, a photovoltaic installer at HelioPower, the last thing you’ll need to do is meet the inspector at the site you’ve installed so they can check if the panels are functioning properly.

Meanwhile, on the back end, your outreach team will get in touch with new and existing customers to ensure that sales keep going strong.

Let’s Talk Skills Needed for Solar Business

The skills you need for a solar panel business aren’t too different from the ones you’d need in any other business. Most of all, you need to understand how to interact with people because they can all be potential customers. According to Val Geisler, Strategist, “you need to be comfortable with numbers and selling.” Be confident about your product and only then will you be able to do things like door-to-door sales and social media selling.

What’s more, once your business grows, you will have to hire more people. This means you have to be on top of your game. Keep learning about HR, Finance, Taxes, and other vital topics. A willingness to learn and a lot of confidence will help you on your journey to success.

Helpful Experience for Solar Entrepreneurs

Generally, if you have some experience in the field of renewable energy, this will help you. However, most industry experts and entrepreneurs believe that lack of experience shouldn’t hinder anyone from becoming a business owner.

According to Filipa Neto, Managing Director of Chic by Choice, “you can learn as you go and you have nothing to lose.” You need to have some basic knowledge of solar energy industries and the confidence to know you want to succeed.

Who’s Buying Solar Panels

Once you start a business, it’s important to know who you’re selling to. A recent University of Texas study showed that current solar buyers weigh two things before shelling out for panels. They want solar panels to be a “good financial investment,” i.e. cost-effective as well as be able to reduce their environmental impact. Make sure your consumers hear referrals and positive Word of Mouth (WOM) about your particular products and know about all upfront costs.

How Your Solar Panel Businesses Makes Money

Now onto the important bit: how solar panel installation businesses make profit. This is done in a couple of ways: revenue stream and incentives.

Moreover, the government often offers tax credits to both customers and solar companies. The companies can take advantage of this as well as faster depreciation on solar assets, meaning they pay even lower taxes. They can also enjoy other government incentives given to companies in the renewable energy field.

Growth Potential for Solar Panel Businesses

Solar power is growing by leaps and bounds and will continue to do so in the long term. According to a report by Allied Market Research, the market will exhibit a Compound Annual Growth Rate (CAGR) of 20.5% by 2026 as solar power systems and solar technologies develop and grow at furious rates.

Startup Costs for Solar Panel Business

Not all solar installation businesses are the same. According to experts at Profitable Venture, you’d need about $8,750 for a small solar panel business, about $560,000 for a medium-sized one and if you want to start a whole corporation, you’d be set back by around $2,240,000.

Market it With All You’ve Got

There are several marketing and promotion techniques you can use to grow your solar panel business. According to serial eco-entrepreneur Scott Cooney, you should use a combination of WOM, community building and strategic partnerships to get the word out. It’s important to know your consumers and once you do, link up with a beneficial partner to capitalize on their reach and exposure as well. 

When to Hire Additional Solar Panel Installers

You should be able to recognize the right time to expand your business by taking on employees. You should start to hire when you want someone with specific technical skills and when the task required from them will be lucrative for the company. You need to hire to expand, after all. Just make sure it’s at the right time.

Solar Industry Experts Advice

Industry expert and owner of 400 companies,  Sir Richard Branson , believes that great business ideas come for “people’s bad personal experiences.” He says, “…you think, ‘well I could maybe do it better than it’s being done,’ and there you have a business.”

In addition, Selena Soo, founder of the S2 Groupe, believes that “cultivating relationships” and being a people person is the way to go. “Behind every life-changing opportunity is a person who can give it to you,” she says.

So there you have it. Go ahead and set up your solar panel business. Just remember to create communities, invest in people and believe in yourself.

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Korean Solar Company Plans to Build $2.5 Billion Plant in Georgia

Hanwha Qcells expects to make solar panels and their components in the United States to take advantage of President Biden’s climate policies.

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A worker checks a solar panel at a factory. The worker is wearing a blue shirt and jeans and a pink cap. Two computer screens are mounted on a wall on the left.

By Ivan Penn

The climate and tax bill President Biden signed in August to increase the use of green energy and electric cars while expanding domestic manufacturing appears to be yielding some results.

A Korean solar company, Hanwha Qcells, announced on Wednesday that it would spend $2.5 billion to build a large manufacturing complex in Georgia. The plant will produce critical components for solar panels and build complete panels. If realized, the company’s plans could bring some of the supply chain for solar energy, which is largely based in China, to the United States.

Qcells, which has its headquarters in Seoul, said it was making the investment to take advantage of tax credits and other benefits in the Inflation Reduction Act, the law Mr. Biden signed last summer. The manufacturing complex is expected to create 2,500 jobs in Cartersville, Ga., roughly 50 miles northwest of Atlanta, and at an existing plant in Dalton, Ga. Production at the new plant is expected to start in 2024.

The company opened its first solar panel manufacturing plant in Georgia in 2019, quickly becoming one of the largest U.S. producers — by the end of last year, it was cranking out 12,000 panels a day. The company said its new complex would increase its capacity to 60,000 panels a day.

“As demand for clean energy continues to grow nationally, we’re ready to put thousands of people to work creating fully American-made and sustainable solar solutions, from raw material to finished panels,” Justin Lee, chief executive of Qcells, said in a statement.

Senator Jon Ossoff, Democrat of Georgia, and the state’s Republican governor, Brian Kemp, have aggressively courted renewable energy, battery and automotive companies to the state. Several of those investments have come from South Korea, including a planned electric vehicle plant by Hyundai.

“With a focus on innovation and technology, Georgia continues to set itself apart as the No. 1 state for business,” Mr. Kemp said in a statement.

In 2021, Mr. Ossoff introduced a bill, the Solar Energy Manufacturing for America Act , that would have provided tax incentives to solar manufacturers. The bill was later incorporated into the Inflation Reduction Act.

Under the legislation, businesses receive a tax credit at every stage of the supply chain. The act includes an estimated $30 billion in production tax credits to accelerate manufacturing of solar panels, wind turbines, batteries and for the processing of critical minerals. The law also offers an investment tax credit to companies that build factories that produce electric vehicles, wind turbines and solar panels.

How Times reporters cover politics.   We rely on our journalists to be independent observers. So while Times staff members may vote, they are not allowed to endorse or campaign for candidates or political causes. This includes participating in marches or rallies in support of a movement or giving money to, or raising money for, any political candidate or election cause.

Those and other provisions are intended to reduce reliance on China, which dominates the supply chain for crucial raw materials and components for batteries and solar panels. In addition to the fear that the United States was losing ground in important technologies, lawmakers have also been concerned that some Chinese producers are using forced labor .

“I wrote and passed into law legislation precisely intended to attract this type of manufacturing,” Mr. Ossoff said in an interview. “It’s the largest solar manufacturing in U.S. history coming to Georgia. This economic and geostrategic competition will continue, but my law has brought the United States back into the fight to secure our energy independence.”

Lawmakers and administrations from both parties have long sought to boost a domestic solar manufacturing industry, including by imposing tariffs and other restrictions on imported solar panels. But such efforts have, so far, achieved only modest results. Most of the solar panels installed in the United States are imported.

The new plant “will bring back our supply chains so we aren’t reliant on other countries, lower the cost of clean energy, and help us combat the climate crisis,” Mr. Biden said in a statement. “And, it will ensure that we manufacture cutting-edge, solar technology here at home.”

The Qcells project and others could reduce U.S. reliance on imports, but not quickly. China and other Asian countries have had a huge head start in assembling panels and producing the parts that go into them. Governments there have also used subsidies, energy policy, trade agreements and other tactics to help domestic producers.

While the Inflation Reduction Act has spurred new investment, it has also raised tensions between the Biden administration and U.S. allies like France and South Korea .

For example, the law offers tax credits of up to $7,500 for the purchase of electric cars, but it is only available on vehicles made in the United States, Canada and Mexico. Consumers seeking to buy models made by Hyundai and its subsidiary Kia would not be eligible for at least two years until the company’s new Georgia plant begins production in 2025.

Still, energy and auto executives have said that on the whole, the legislation should benefit their businesses, which struggled to get important parts when the pandemic and Russia’s war in Ukraine wrecked global supply chains.

Mike Carr, executive director of the Solar Energy Manufacturers for America Coalition, said he expected more companies to announce plans for new solar equipment factories in the United States in the first six months of the year. His group estimates that between 2030 and 2040, U.S. plants will be able to meet all of the country’s demand for solar panels.

“We see this in the medium to longer term as a very, very large contributor to lower prices in the United States,” Mr. Carr said referring to the cost of panels.

Several other solar companies have announced new U.S. manufacturing plants in recent months, including CubicPV, a start-up backed by Bill Gates that plans to begin production of solar panel components in 2025.

Another company, First Solar, said in August that it would build its fourth panel manufacturing plant in the United States. First Solar plans to invest $1.2 billion to expand its operations and add 1,000 jobs.

business plan for solar panel manufacturing company

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Solar Farm Business Plan

Are you thinking of starting a solar farm business We have prepared a solid solar farm business plan sample that guides you on every stage of your business plan writing

business plan for solar panel manufacturing company

With growing concerns related to climate change, the adoption of clean and sustainable forms of energy is on the rise.

Apart from pollution, the depletion of traditional fuel resources has also led to the adoption of solar energy as an alternative source of energy.

If you are planning to start a new solar farm or energy business, the first thing you will need is a business plan. Use our sample Maxwell Technologies – Solar Farm Business Plan  created using Upmetrics business plan software to start writing your business plan in no time.

Before you start writing your business plan for your new solar farm, spend as much time as you can reading through some examples of  manufacturing-related business plans.

Industry Overview

The solar power industry stood at a value of 52.5 billion dollars in 2020 and is expected to grow exponentially in the coming years.

The setup of a solar farm includes installing solar panels and modes of storing the converted energy. It costs anything between 820,000 dollars to 1.36 million dollars to set up a 1-megawatt solar farm.

Hence, it is essential to decide upon a cost-effective size and plan your business to get the maximum out of your efforts.

Things to Consider Before Writing a Solar Farm Business Plan.

Decide upon the type of your solar farm.

Decide what kind of solar farm you want to set up. There are two types based on the volume of electricity the farm produces.

Check water and land use requirements

Setting up a solar farm requires sizable land that has to be evaluated before setting up a solar farm. It should be a flat land with no or minimum wetlands in its surrounding areas.

Your solar farm can put a strain on an area’s water resources if it is a thermal power-based plant which can lead to concerns amongst the population. Hence, keep such things in mind when you set up.

Look into rules and regulations for owning a solar farm

As there are several chemicals like hydrochloric and sulphuric acid used in the process of producing solar power, it can lead to health concerns for workers and people living in surrounding areas, which makes it essential to follow rules and regulations laid out for the disposal of such chemicals.

Look into maintenance costs

Apart from setup costs, a solar farm may require timely maintenance of panels and other systems to ensure smooth functioning. Hence, it is essential to look into the same and have a budget for it at the beginning itself.

Chalking out Your Business Plan.

It is no surprise that the solar farm business is growing. From individuals to organizations and the government such businesses have a vast and varied client base.

There are also several setup and equipment requirements for a solar farm, and if you are planning to set up or grow your solar farm, read on for some handy tips.

Reading sample business plans will give you a good idea of what you’re aiming for. It will also show you the different sections that different entrepreneurs include and the language they use to write about themselves and their business plans.

We have created this sample Maxwell Technologies – Solar Farm Business Plan  template for you to get a good idea about how a perfect solar farm business plan should look like and what details you will need to include in your stunning business plan.

Solar Farm Business Plan Outline

This is the standard solar farm business plan outline which will cover all important sections that you should include in your business plan.

After getting started with Upmetrics , you can copy this sample solar farm business plan template into your business plan and modify the required information and download your solar farm business plan pdf or doc file.

It’s the fastest and easiest way to start writing your business plan.

business plan for solar panel manufacturing company

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We have plenty of  free business planning resources  available to help you with your planning. You can download our resources to learn all about business planning.


Not found what you are looking for? Explore our 200+ sample business plans to find match for your business.

business plan for solar panel manufacturing company

DISCLAIMER: The business plans, templates, and articles contained on upmetrics.co are not to be considered as legal advice. All content is for informational purposes, and upmetrics makes no claim as to accuracy, legality or suitability. The site owner shall not be held liable for any errors, omissions or for damages of any kind.

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Business Plan for Investors

Solar Energy Farm Business Plan Sample

MAR.01, 2014

solar farm business plan

Do you want to start solar energy business plan?

Are you interested in starting a solar energy business? In this age of renewable energy, this might be one of the best business to start. And the best part is its simplicity. You don’t need a degree or professional training to start a solar energy business. Just the basic know-how is enough.

Whatever the business may be, you will need the help of best business consultants . They will guide you in making a solar farm business plan. This is a very important step when you want to learn how to start a solar panel business. Here, we have shown how to write a small solar farm business plan .

Executive Summary

2.1 the business.

Sun Rise Energies will be a solar energy business started by Ben Stark. It will provide all solar energy related services in and around Chicago. This business will provide various services such as procurement and installation of solar energy panels, maintenance and supply.

2.2 Management of Solar Energy Business

When you are starting solar panel business, you will need a good solar farm business plan first and foremost. You can take help from professional business planning firms for this. Alternatively, you can also refer to this document when you are learning how to start solar company.

In solar farm business plan , you should include all the technical, financial and management details related to your solar panels franchise.

2.3 Customers of Solar Energy Business

Since everyone is joining the green energy bandwagon, our customers will not just be limited to one domain. Our customer base will include work places as well as residential areas. However, our recurring customers will be:

2.4 Business Target

The man aim of our business is to be the primary suppliers of solar panels for business. We want to become the most reliable and authentic source of all solar energy related services that our clients need.

The financial targets that we want to meet in the first three years of our launch are shown below:

3 Years Profit Forecast - Solar Energy Company Business Plan Sample

Company Summary

3.1 company owner.

Ben Stark will be the owner of Sun Rise Energies. Stark completed his technical training under the guidance of an industry giant a few years ago. And then he proceeded to work up to a managerial position in a home-appliance business.

But he wanted to pursue his goal of starting a business in solar energy. And so he left his job to start this venture.

3.2 Why the solar energy business is being started

Being in the appliances industry, Ben was already aware of and interested in the rise of the renewable energy services. He saw that despite the popularity, there was still a lot of demand of solar energy ventures. And so, he started looking how to start an energy company to apply his own knowledge of the industry.

3.3 How the solar energy business will be started

Step1: Plan Everything

One of the foundational steps in starting a solar energy business is developing a business plan on solar energy. This acts as the basis for the success of your business. So getting this step right is crucial. You can take help from solar energy business plan pdf pdf samples from the internet. Or you can ask solar farm business plan experts for advice. You can also look through this document to learn about everything you need to have in a strong business plan.

Step2: Define the Brand

The second step is to make your brand stand out from its competition in the industry. You have to refine and market your values, services and exceptional policies in this step to gain competitive advantage.

Step3: Establish Your Corporate Office

In order to start up his business, Ben decided to rent out a shop in a commercial building. He will talk to his supplier for all the relevant equipment and furniture required for the store.

Step4: Establish a Web Presence

Setting up an online presence is just as important as a physical store in our digital age. Ben knew this and decided to create a simple website where people can look through the store’s services and products and even order them. Ben has also decided to create social media pages for his store to get greater reach.

Step5: Promote and Market

The final step is to create a marketing plan and execute it to its completion.

Startup Cost - Solar Energy Company Business Plan Sample

Services of Solar Energy Business

Before you start any business, you need to find your customer base. Figuring out your customers helps in the development of your solar farm business plan . And same is the case for solar system business plan.

As Ben wanted to offer not just products but also services in his business, so his solar energy plan business plan can be used as a reference for any type of solar farm business plan . You can use this solar energy business plan doc to understand what you should write in your plans.

Before we get into the details of how to get into solar business, let’s take a look at the services Sun Rise Energies will provide:

We will sell all basic solar energy equipment that is listed below. And our customers will be able to seamlessly shift to using renewable energy sources.

As a part of our versatile business plan solar energy company, we will also provide services related to installation and user guidance of solar energy products. We will provide:

We will also provide maintenance of solar energy products. This will extend to products that were not necessarily installed by us.

Our last service will be consultancy regarding energy related goals of our customer and how to attain them in their homes or workplaces.

Marketing Analysis of Solar Energy Business

Learning how to open a solar panel installation business involves a lot of research. You need to know about both your customers and competitors in detail. You can do this by conducting a thorough market analysis as part of your solar energy farm business plan. You should also include price analysis and expected financial goals in your solar business proposal.

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If you don’t understand all the details related to marketing analysis, then you can just take a look at a solar business plan template like this one for guidance. For starting a solar power company, we have included some information gained from market research in this solar installation business plan .

5.1 Market Trends

According to SEIA’s solar industry research data, the solar industry received more than $25 billion private investment in just 2020. And according to Allied Market Research, the solar energy market was valued around $52 billion in 2018. And as the demand for shifting to solar energy increases, the market value is expected to rise to around $220 billion by 2026. The global warming scares have everyone shifting to green energy as fast as they can. And solar energy is the biggest contributor in this shift.

5.2 Marketing Segmentation

The potential customers of Sun Rise Energies will be:

Marketing Segmentation - Solar Energy Company Business Plan Sample

5.2.1 Residential Suburbs

Our customer base will primarily be made of people living in the surrounding residential towns and suburbs. As the focus on shifting to cleaner sources of energy increase, more and more residential towns will need our services regularly.

5.2.2 Small/ Large Businesses

Our second biggest clients will be small and large businesses. Solar energy is not only cleaner but after the initial investment, it’s much cheaper than the usual sources. Therefore, more and more businesses want these services and the will be our regular customer as well.

5.2.3 Educational Facilities

Our third group of clients will be educational facilities looking to shift to greener energy sources. They are expected to regularly avail our maintenance services.

5.2.4 City Residences

Lastly, city residencies or houses are also expected to be our recurring customers as most people are taking baby steps towards shifting to renewable energy sources.

5.3 Business Target

5.4 Product Pricing

Our charges will be very reasonable as compared to competitive prices. And our services will also ensure maximum customer satisfaction.

Marketing Strategy of Solar Energy Business

You cannot gain attention and success in a crowded industry by selling goods and services alone. You need a strong competitive advantage when you want to start a solar farm business.

There are many good solar business ideas in the industry. You need to carry out detailed marketing analysis and identify your strengths.

You can look at solar farm business plan samples to learn how to start a power company. You can even use this information for starting a paintball business because at the end of the day, the broad details are the same.

6.1 Competitive Analysis

6.2 Sales Strategy

6.3 Sales Monthly

Sales Monthly - Solar Energy Company Business Plan Sample

6.4 Sales Yearly

Sales Yearly - Solar Energy Company Business Plan Sample

6.5 Sales Forecast

Unit Sales - Solar Energy Company Business Plan Sample

Personnel plan of Solar Energy Business

The success of a business is greatly dependent on the customer experience. Customers subscribe to a business when they feel welcome and taken care of. Since employees are responsible for this interaction, so figuring out an employee criterion is important when you want to start a solar panel company.

These criteria will be essential for your solar farm business plan . Or even a business plan template for summer camp for that matter.

7.1 Company Staff

7.2 Average Salary of Employees

Financial plan of solar energy business.

Starting a business is not just selling products, it involves a great deal of planning. A part of this planning is business plan on solar energy. Or a plan related to the specific business such as coal mining business plan .

To ensure the success and financial stability of your business, you need to perform a detailed financial analysis. This will help you reduce solar energy startup cost. And it will be a part of the solar farm business plan as well. This is important to plans for any and all businesses such as biofuel business plan .

Here we’re providing the thorough financial plan developed for Sun Rise Energies. So that you can understand the financial side of the business.

8.1 Important Assumptions

8.2 break-even analysis.

Break-even Analysis - Solar Energy Company Business Plan Sample

8.3 Projected Profit and Loss

8.3.1 profit monthly.

Profit Monthly - Solar Energy Company Business Plan Sample

8.3.2 Profit Yearly

Profit Yearly - Solar Energy Company Business Plan Sample

8.3.3 Gross Margin Monthly

Gross Margin Monthly - Solar Energy Company Business Plan Sample

8.3.4 Gross Margin Yearly

Gross Margin Yearly - Solar Energy Company Business Plan Sample

8.4 Projected Cash Flow

Projected Cash Flow - Solar Energy Company Business Plan Sample

8.5 Projected Balance Sheet

8.6 business ratios.

Is solar panel business profitable? The answer is a huge YES. Solar energy business is in great demand with the world today that wants to shift its energy sources.

You can start your business by researching industry niches and looking at a business plan solar farm. They will give you a good idea of how you can use your resources to start a solar farm and reduce start up cost of solar energy business.

The capital and resources you need to start energy company depends on the size and location of your business. You can use your own savings to start it or look for loans to finance your venture.

Solar energy business gives a great return on investment(ROI). With the innovations causing a decrease in equipment with all the government incentives, you can already see the profit.

Download Solar Energy Company Business Plan Sample in pdf

OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

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How to Start a Solar Business

Last Updated: November 8, 2021 Approved

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Are you looking to start your own business in the growing solar field? Solar is one of the hottest businesses around and with the growth in alternative energy, this permanent trend is going to continue. Alternative energy sources are on the minds of everyone today and this trend is going to continue. Oil prices are going to continue to go higher and saving the environment is being tackled by lawmakers and entrepreneurs alike. Two of the biggest venture capital firms have recently shifted most of their funding to businesses that specialize in finding ways to save the environment and make money at the same time and solar is at the forefront of this revolution.

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How To Open Solar Panel Business

Get the business plan ready.

Recommended Reading: Are Solar Panels A Good Investment

What Are The Largest Solar Farms

Currently, the largest solar farm in the United States is called the Solar Star in Kern and LA Counties, California .

It comprises 1.7 million separate solar panels.

It will utilize the Nevada sunshine to generate 690 MW of electricity .

Is It A Good Idea To Start A Solar Panel Installation Business In 20201

Choose your business structure.

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your solar panel business will shape your taxes, personal liability, and business registration requirements, so choose wisely.

Utility Scale Solar Farms

Utility scale solar farms produce at least 1 megawatt of power. Utility scale solar farms are usually much larger, producing up to 2,000 megawatts. To date, there are more than 10,000 utility scale solar electricity farms in the US.

How Suitable Is Your Land For A Farm

Not all land can accommodate a solar farm.

Have flat land that faces south to serve as a sunny platform.

Understand the different regulations and taxes.

Electric Quotes From Customers

Most electric customers receive a bill in the mail every month. If they dont, they can likely access it online from their utility. Either way, Aurora can provide a forecast of year-round energy usage from just one months bill taking into account factors like weather, HVAC, and more. If the bill isnt available, get the kWh from your customers meter. Next, divide the kWh by the number of days that have elapsed since that billing cycle , and multiply the result by 30 to get a rough energy use estimate.

Also Check: Do Solar Panels Require Direct Sunlight

Make Sure You Are Thorough With Your Research

We will also provide you with examples and different options to help you understand the concept better.

Innovations In Agriculture Business And Start

Step : register for taxes.

You will need to register for a variety of state and federal taxes before you can open for business.

Learn how to get an EIN in our What is an EIN guide or find your existing EIN using our EIN lookup guide.

Small Business Taxes

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

Choose Where To Register Your Company

Also Check: Why Go Solar In California

> how Much Investment Do You Need To Start A Solar Business In India

You can also become a solar installer which required very less investment but you should have your own team to handle big projects.

Then youll have to set up an office which will cost you around Rs.20,000/- and then youll need to invest in hiring and marketing. Also, you will need extra funds for the future.

Work Out A Reasonable Pricing For Your Services & Products

Finally, the cost of electricity varies widely across the USA, from as low as $0.07/kWh in West Virginia to as much as $0.24/kWh in Hawaii. Youll have to adjust my guidelines accordingly, because they apply to an average home with average consumption and average electricity costs.

Choose A Business Name

It is always a good idea to select a name that is easy for customers to remember so that they can refer you without having to look up the spelling of your name because it is too complicated.

There are lots of business naming resources that you can use like Neamcheap here:

Find a domain starting at $0.88

You are not required to reserve a name before starting your business, but if you are afraid someone else might use the name, then you may want to consider doing a name reservation, especially if you dont plan on forming your business right away.

What Are Some Skills And Experiences That Will Help You Build A Successful Solar Panel Business

The successful solar panel business owner will have solid understanding of marketing and use it to the greatest effect, generating new contracts for their new company and brand. They will have shrewd personnel skills, taking the time to hire reputable technicians with all the proper licensing and training. Good managerial skills will keep the crews busy, completing jobs on time as promised, while keeping payroll expenses under control. They must also work to stay current with changing technologies, as solar is still a developing industry.

How Do I Start A Solar Panel Business

#step : make a business plan.

Business planning is also one of the most important things youve to do before you actually start your business.

You can hire an expert to make a business plan for you or you can learn yourself and then make a full-proof business plan for your business.

What Is A Solar Panel Farm

There are two main types of solar farms:

Either way, the solar power is connected by power line into an electricity grid, or power grid, owned by a utility company.

Solar Plates Manufacturing A Business Opportunity

How to start a solar panel business: step by step business plan.

Most people, though they want to start profiting from solar panel installation, wait for what they believe is the right time to take the plunge. Kari DePhillips , CEO of The Content Factory, has a simple solution to this dilemma. Just do it already, is his advice.

Advice For Other Entrepreneurs Who Want To Get Started Or Are Just Starting Out

Get a job in whatever industry that you are looking to start a business in. For example, if you want to start a clothing line, go to work for a smaller clothing company . Learn as much as you can before starting your own company. You will gain invaluable hands-on experience and save yourself a lot of rookie headaches, time, and money!.

How To Start Solar Energy Business

Starting your own solar energy business can become big even if you are also one of the consumers of these products. It starts with renting a solar energy system for your home. In order to give you the step-by-step method then keep on reading.

What Is The Best Solar Stock To Buy

How much sunlight do solar panels need, how much do tesla solar roof tiles cost, is solar worth it in san diego, editor picks, solar power for air conditioner, blue wave solar pool cover, how much does a solar roof cost, popular categories.

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Ohio will soon be home to the largest solar factory complex outside of China

Matt Egan

China’s dominance over the world’s solar industry just took a hit.

First Solar unveiled plans Wednesday to double its US manufacturing capability by building a new state-of-the-art factory in Ohio.

The $680 million investment by First Solar (FSLR) , the only US-headquartered major manufacturer of solar panels, will be the company’s third factory in the Toledo area.

First Solar said it believes this will be the largest fully integrated solar manufacturing complex in the world — outside of China. It will be capable of making one solar module every 2.8 seconds. And it will primarily supply America’s booming market for clean energy.

The major solar expansion in the Midwest checks all of the boxes for President Joe Biden, who is simultaneously attempting to revitalize the nation’s manufacturing industry , modernize infrastructure , strengthen its critical supply chains and create a clean energy superpower to challenge China’s stranglehold over the sector.

“This investment really helps us position the United States on solid footing to achieve its objectives of energy independence and security – and having US manufacturing enable it,” First Solar CEO Mark Widmar told CNN Business.

The Biden administration has set a lofty goal to cut US greenhouse gas emissions in half by 2030. Hitting that target would require a dramatic ramp up of renewable energy, especially solar.

China’s grip on the solar industry

However, China makes most of the materials and parts in photovoltaic (PV) solar panels used in the United States — and its supply chain has been plagued by allegations of forced labor.

“China largely dominates the PV supply chain,” Widmar said.

First Solar stressed that — unlike many other major solar manufacturers — it is not dependent on China. That’s because the company’s thin-film PV panels do not rely on the popular crystalline-silicon technology that is made mostly in China.

TOPSHOT - This photo taken on May 31, 2019 shows a watchtower on a high-security facility near what is believed to be a re-education camp where mostly Muslim ethnic minorities are detained, on the outskirts of Hotan, in China's northwestern Xinjiang region. - As many as one million ethnic Uighurs and other mostly Muslim minorities are believed to be held in a network of internment camps in Xinjiang, but China has not given any figures and describes the facilities as

Solar panels are key to Biden's energy plan. But the global supply chain may rely on forced labor from China

“Renewables created this great promise of liberation and energy independence. But the dominance of the Chinese has taken over this industry,” Widmar said. “It really undermines the opportunity we created when renewables became reliable.”

Research published last month presented troubling evidence that the solar panel supply chain is tainted by forced labor in China’s Xinjiang region. The report indicates forced labor is used in the mining and processing of quartz, a raw material used at the beginning of the solar panel supply chain.

The Solar Energy Industries Association, the largest solar trade group in the United States, announced earlier this year that 175 solar companies signed a pledge opposing forced labor in the industry’s supply chain.

In a statement, Energy Secretary Jennifer Granholm hailed First Solar’s investments in American-made solar technologies as the “perfect embodiment” of Biden’s strategy to build out domestic manufacturing and supply chains. Granholm noted that First Solar has been a partner in the Energy Department’s solar program since 2003 and received a loan from the agency in 2012.

“This company is a great example of how investment and innovation can build the clean energy future right here at home—shoring up American competitiveness and bringing good-paying jobs to all pockets of the country,” Granholm said.

If they build it, will the workers come?

After completion of the 1.8 million square foot facility in Ohio, First Solar expects that about half of its solar panels will be made in America, up from roughly one-third today. US operations are expected to begin in the first half of 2023 and hit full capacity two years later.

The First Solar facility will help meet America’s surging demand for solar power. The United States added a record amount of solar power capacity in 2020 and that capacity is expected to quadruple by 2030 , according to consulting firm Wood Mackenzie.

Of course, building a major new factory will require workers – and that is no small task in the current environment. The United States had 9.3 million job openings as of April, the most since the Bureau of Labor Statistics began tracking this metric at the end of 2000. Manufacturers are having particular trouble finding workers, a problem First Solar is not immune to.

WASHINGTON, DC - SEPTEMBER 24: Federal Reserve Board Chairman Jerome Powell testifies during a Senate Banking Committee hearing on Capitol Hill on September 24, 2020 in Washington, DC. Powell and U.S. Treasury Secretary Steven Mnuchin are testifying about the CARES Act and the economic effects of the coronavirus pandemic. (Photo by Drew Angerer/Getty Images)

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“There clearly is a shortage of qualified workers. It is a concern of ours,” Widmar said.

First Solar plans to hire 500 people for the new Ohio factory, but that is a relatively modest amount given the size of the expansion. For context, First Solar currently employs 1,600 people (including administrative staff) at its existing Ohio complex. Even though the company’s manufacturing capacity will double, its headcount will only rise by about a third.

Due to the “constrained” labor market, Widmar said First Solar plans to lean more on automation than it normally does. In addition to robots, First Solar plans to use automated and guided vehicles to move materials. For example, Widmar said the fork lifts at the new facility will all be automated.

Taxes and tariff question marks

Widmar said First Solar is considering adding more manufacturing capacity in the United States as well as overseas in India and perhaps in Europe as well.

The solar industry is racing to catch up to surging demand as power plants shift away from coal and major companies pledge to move to 100% renewable energy.

First Solar has a record high backlog of contracted work that stretches for multiple years, Widmar said.

However, Widmar expressed concern about Biden’s proposal to unwind the Trump tax cuts by lifting the corporate rate to 28%, compared with 21% today.

President Joe Biden talks about the May jobs report from the Rehoboth Beach Convention Center in Rehoboth Beach, Del., Friday, June 4, 2021. (AP Photo/Susan Walsh)

Goldman Sachs to clients: Don't sweat the global minimum tax

“If that’s the only thing that happens, it clearly has an adverse impact as you think through investment decisions to add manufacturing capacity in the United States,” Widmar said.

Another major question mark swirling around the solar industry is the fate of Trump’s tariffs on foreign solar panels. The levies, first imposed in 2018 , benefit domestic solar manufacturers.

The Biden administration, which is conducting a review of the prior administration’s trade policies, defended the Trump tariffs in court in March.

Not surprisingly, First Solar is in no rush to see the solar tariffs go away.

“Tariffs play a role,” Widmar said. “If there isn’t fair trade, there has to be a mechanism to address that.”

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How china’s solar industry is set up to be the new green opec.

Are you ready to go from dependence on foreign oil to dependence on China for solar panels?

That’s right. China is preparing to be the world’s Green OPEC. Who’s ready to challenge them on that?

As the West kicks fossil fuels to the curb, it is turning to only two sources of energy to generate electricity: wind and solar. Wind is still a European business, but that will change. Solar used to be a European business. It used to also be an American one. Now it’s a Chinese industry. Of the top 10 solar companies in the world, 8 are Chinese. None are European (Norway’s REC Group used to be there, but it’s now owned by ChemChina ). One is American — First Solar FSLR of Ohio. They also manufacture in Asia, though their technology is different than most so a lot of their supply chain is local.

“One of the biggest mistakes the West has done on green policies to cut CO2 emissions and trying to reduce dependence on oil and gas producing nations is that the transition to renewable energy puts the West at the mercy of China,” says David Zaikin, an energy industry consultant and founder of Key Elements Group in London.

The Biden Administration wants to reduce fossil fuel use and the President has said on his campaign trail that he was aiming to have upwards of 500 million solar panels installed nationwide. Where will they be made?

Competing with the 8 behemoths of China will be a tough slog. The economies of scale there are tough to beat.

China really doesn't need the U.S. market. It has a monster market of its own. Here, an aerial view ... [+] of solar panels on the roof of a metro maintenance base seen on March 2, 2021 in Shanghai. (Photo by Zhang Hengwei/China News Service via Getty Images)

Worse yet, China continues to raise the stakes with large subsidies supporting billions of dollars of Chinese solar industry expansion. “Beijing’s goal is global dominance of this industry,” says Jeff Ferry, chief economist for the Coalition for a Prosperous America (CPA) in Washington. They published a 19 page report on China and the solar industry last week. In it, Ferry said that Chinese dominance along solar supply chains threatens U.S. energy independence and U.S. technology leadership in solar and other clean energy technologies.

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“Our evidence documents the China chokehold on solar manufacturing,” Ferry says. “China is seeking global dominance of this industry because they recognize the importance of renewable energy and if they achieve their dominance in solar energy this will give them a huge advantage in winning support and loyalty from many other countries around the world. In the game of global geopolitics, control of energy supply is a vital weapon and advantage. In a hyper-competitive business world, being number one in energy production is much more important than being number one in stock market listings or basketball sneakers.”

Solar panels aren’t made from “sea glass.” There are three key items that must be made before the solar panel you have on your roof gets made. 

To put it simply, solar panels are made from polysilicon that gets turned into ingots and wafers that get turned into solar cells that are then wired up and plugged into solar modules (panels) that are built by machines — usually made in China.

Two manufacturers put the finishing touches on solar panels for export to Africa and Southeast Asia ... [+] in China, March 11, 2021.PHOTOGRAPH BY Costfoto / Barcroft Studios / Future Publishing

Nearly 80% of the solar panels installed here are from China companies. In 2019, U.S. made solar panels hit a 10-year high of 19.8% of market share, but that, says Ferry, is mostly thanks to tariffs and the anti-dumping/countervailing duties imposed on Chinese firms by the International Trade Commission.

Not too long ago, U.S. companies beat Chinese firms in an anti-dumping case which increased tariffs. China quickly ramped up in southeast Asia to bypass those duties. In 2018, the Trump Administration put tariffs on solar sourced from anywhere in the world, giving American based companies a chance to compete. China’s JinkoSolar, a top 10 player, set up shop in Jacksonville because of the tariffs.

Even so, if there are three ingredients that go into making a solar panel here in the U.S., all of them are going to come from China. If not from mainland China, then from Asia and by Chinese firms.

China controls 64% of polysilicon material worldwide — the raw material used to make solar ingots and wafers. The U.S. has a 10% market share.

After polysilicon comes the solar ingots and solar wafers. China’s share of that worldwide is nearly 100%.

China’s global share of solar cell manufacturing is 80%. The U.S. barely makes these things, too. Our share is in the low single digits.

The CPA report says that the U.S. needs to implement policies designed to secure the long-term future of an end-to-end U.S. solar supply chain, using a mixture of incentives, tax credits, government procurement policies for solar installations on government property, and tariffs. And they need to be long-term, because our “strategic rival” as Biden calls China, thinks long-term, they said.

The Section 201 safeguard tariffs expire February 2022.

A Trina Solar solar wafer making lab. (Photo by PHILIPPE LOPEZ/AFP via Getty Images)

The goal — from an energy security perspective — should be American resilience and self-sufficiency in solar power technology and manufacturing. It would be a shame if, just as the U.S. becomes more sufficient in oil and gas, we dump it all for a technology that is woefully reliant on Chinese firms.

Paul Mutchler, the director of commercial operations at Mission Solar Energy LLC in San Antonio, says the company got its start in 2012 thanks to a supply agreement from CPS Energy, the country’s largest municipally owned utility company. They were contracted to do 400 megawatts of solar. They built a factory to make solar panels and shipped their first ones to CPS Energy in 2014.

But, they are as reliant as anyone on foreign sources of solar materials used in manufacturing their Texan solar panels.

“We are competing against Chinese owned companies located outside of China,” he says. “It is more difficult for us because we only have one factory with our name on it and it is here in the U.S.”

Section 201 tariffs helped Mission, he says, “because it increased the cost of (their) imports and when imports are made at the economy of scale as they are, it matters. That 30% tariff was a big hurdle for them. It’s also bringing more of the supply chain here and that helps us in the end.”

Those tariffs started at 30% in 2018 and will decline by 5 percentage points each year over a four-year period. The tariffs gave a kick-start to the industry by making foreign companies pay more to enter the U.S. market.

Jinko Solar executives watch their IPO on the NYSE in 2010. Since then, their stock price has risen ... [+] 356%. First Solar, the only American company in the top 10 of solar, is down 32% since.

“We were dead wrong believing people wanted made in the USA, and it cost us millions. People wanted the lowest price,” Mamun Rashid, COO of Auxin Solar is quoted as saying in the CPA report. Auxin started in 2008 and was wrecked by China’s low cost production and economies of scale.

In 2019, in the wake of the tariffs, Auxin’s business came back. Production approached the 150 megawatt capacity at their San Jose plant for the first time in years. “We are alive today because of the 201s,” Rashid is quoted saying.

The CPA report highlights China’s main players along the supply chain.

The polysilicon, ingot, and wafer-making businesses are dominated by half a dozen Chinese companies, namely Daqo New Energy DQ , GCL-Poly, Jinko Solar, and Longi.

Chinese industries have repeatedly used the domination of one part of a supply chain to drive foreign competition out of other sections of the chain, making them the indispensable link. Honestly, it’s an evil genius move.

Ferry says that the danger of China exercising its chokehold to seize ever-larger market share “is a very real threat and makes it difficult for U.S. entrepreneurs to raise money to invest in domestic solar manufacturing projects.”

The CPA report called for longer-term global tariffs on solar, and provisions in government procurement contracts that would require more of the solar panel components be made in the U.S. Tax credits for products with more American components were also recommended as a way to reshore more of the solar industry.

China has long been an oversupplier of solar materials, crushing prices globally. They have so much ... [+] solar, they can put it anywhere. Here, an aerial view of a solar panels atop a snowy mountain in Chongqing on January 17, 2021. (Photo by Ye Xingjian/VCG via Getty Images)

According to Zaikin, who did not take part in the study and was only contacted by myself on this, the U.S. is ahead of Europe when it comes to solar manufacturing. “If it is a European solar panel, it’s from China. They are the major supplier,” he says. “There is some industry in Spain but in the last few years that whole industry was left to die because the costs went up and they all moved to China. Now that cost of production is down they are trying to bring it back, but they are nowhere near where they would like to be. The U.S. is in better shape than Europe.”

For Ferry, the reason for that lies in tariffs.

“China controls too much of the solar energy supply chain today and there is nothing stopping us from creating the policies that ensure we have an end-to-end supply chain in this country,” he says.

Kenneth Rapoza


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Solar Learning Center > Solar Panels for Home > How Does Solar Power Work on a House? Your Questions Answered > How are solar panels manufactured? Solar Learning Center > Solar Panels for Home > How Does Solar Power Work on a House? Your Questions Answered > How are solar panels manufactured? -->

How are solar panels manufactured?

business plan for solar panel manufacturing company

By Hannah Glenn | Jun 26, 2019

You know solar panels as the futuristic-looking black or blue rectangles that soak up sunlight and bring down your energy bills. You might even get the technology behind how they work. But how are solar panels actually made? What are the stages to produce these modern marvels in clean energy?

We’ll look at the manufacturing process for most common panels, photovoltaic or PV. Photovoltaic cells make electricity from sunlight. Basically, they do this by enabling light particles from the sun to knock electrons from atoms in the PV cells. Here’s how a solar panel is put together to do just that on your rooftop day after day.

Solar Panels 101: Start with Silicon

The most common material to create PV cells with is silicon crystals. Some of the development processes depend on individual manufacturers and specifically what kind of panels they make. There are a single layer or multiple layer panels, for example. But here are the basics.

The first step in making a solar panel is to mine and purify silicon. Purification is usually done with an electric furnace. Thankfully, silicon is a highly abundant resource. In fact, it’s the second most abundant element (right behind oxygen) on the planet. It’s mined around the world, but in the U.S., it’s found primarily in the Midwest and the South.

Pure silicon cylinders, known as “ingots” are then sliced into paper-thin disks or wafers. These are then further trimmed into rectangles or hexagons. This is so they can fit together perfectly within the frame of a solar module and maximize the area.

How silicon cells become little semiconductors

By treating the polysilicon with boron and phosphorus, a positive and negative charge is created. This P/N junction is where the electricity happens. Wires connect the tiny electricity semiconductors with metal to creates paths for the electricity.

The cells are coated with an anti-reflective substance so they don’t simply reflect sunlight back but capture it. Then they’re sealed into an acetate, often made of rubber or vinyl. The panel is placed into an aluminum frame and sealed beneath a sheet of glass or plastic to create the much-anticipated solar panel.


Who Manufactures Solar Panels?

Much of the work for solar panels is done by precision-level robotics. These robot workers are part of the reason solar prices are becoming more competitive. Some aspects are fully automated, but some are still run by technicians.

As a whole, the solar industry (from manufacturing all the way through sales and installation) employed more than 250,271 Americans in 2017.

If you’re interested in getting the most climate-friendly solar panels, check out this post on the greenest solar panels . If you’d like to learn more about the differences between the two main types of solar panels, read this post on monocrystalline vs. polycrystalline panels .

Also, check out this video to find out the difference between mono and polycrystalline solar panels.

How Does Solar Power Work on a House? Your Questions Answered

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

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business plan for solar panel manufacturing company

13 Marketing Strategies for PV Manufacturing

13 ways to find customers for a solar panel manufacturing business.

Trade shows and industry events are great ways to increase visibility, build relationships, and find new customers. In this article, we’ll take a closer look at trade shows, business networking groups, and several other marketing strategies for a newly started PV manufacturing business.

The Importance of Trade Shows and Industry Events

Trade shows are events where vendors, suppliers, and manufacturers set up booths to display their products and services. Industry events are smaller events, such as seminars and conferences, that are geared toward a specific industry. Both trade shows and industry events can provide you with the opportunity to meet potential customers and build relationships with them.

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Attending trade shows and industry events is a great way to increase visibility for your solar panel business by interacting with customers who may not have heard of your business. It also gives you the chance to network with other businesses and gain valuable information about the industry.

Business Networking Groups

Attending business networking groups is another great way to increase your reach and find new customers. Business networking groups are groups of people who meet regularly to discuss business topics, exchange ideas, and share resources.

Strategic Partnerships with Other Businesses

Forming strategic partnerships with other businesses is a great way to increase your visibility and find new customers. By forming strategic partnerships, you can leverage each other’s resources and increase your reach. For example, you could partner with a local energy company to promote your solar panel services.

You should also consider forming strategic partnerships with businesses that are related to the solar panel industry. For example, you could form a strategic partnership with a company that specializes in installing solar panels. 

Online Directory Listings

An online directory listing for your business can make it easier for potential customers to find you. 

Creating online directory listings is also a great way to increase your visibility in search engine results. By optimizing your listings for specific keywords, you can make sure that your business shows up in search engine results when potential customers are looking for solar panels.

Online Advertising Campaigns

By creating an online advertising campaign, you can target potential customers who are actively searching for solar panel manufacturing services. Although this is more common for consumer-facing solar businesses, you can make sure your ads are seen by the right people by using targeted keywords and creating ads that are optimized for specific customers.

Using SEO to Increase Organic Search Traffic

Optimizing your website for search engines is another great way to increase visibility and find new customers. By optimizing your website for specific keywords, you can make sure your website shows up in search engine results when potential customers are looking for solar panels. 

Email Campaigns

With email campaigns, you can target potential customers who are likely to be interested in your services. You can also create email campaigns that are tailored to specific customers.

Creating email campaigns is also a great way to stay in touch with existing customers. By sending regular emails to existing customers, you can remind them of your services and keep them engaged with your business.

Social Media Marketing

Using social media, you can target potential customers who are likely to be interested in your services. You can also use social media to interact with customers and build relationships with them. By using targeted keywords and optimizing your posts for specific customers, you can make sure that your posts are seen by the right people.

Online Influencers and Brand Ambassadors

Working with influencers and brand ambassadors, you can reach a large number of potential customers. Influencers and brand ambassadors can help you build customer relationships and improve your visibility. Using online influencers and brand ambassadors is also great to generate buzz about your business.

Referral Programs

By creating a referral program, you give customers incentives for referring new customers to your business. Creating referral programs is also great for customer retention through rewarding existing customers. 

By giving customers incentives for referring new customers to your business, you can show your appreciation for their loyalty and encourage them to continue to refer new customers.

Create a Blog to Showcase Products and Services

A blog is a great way to showcase your products and services and provide readers with valuable information about the solar panel industry. You can also use your blog to share success stories and testimonials from customers.

Creating a blog is also a great way to increase your visibility in search engine results. By optimizing your blog for specific keywords, you can make sure that your blog shows up in search engine results when customers are looking for photovoltaic panels.

Use Video Marketing to Promote Products and Services

Using video marketing is another great way to increase your reach and find new customers. By creating videos about your products and services, you can make sure that potential customers are able to get a better understanding of what your business has to offer.

Using video marketing is also a great way to increase your visibility on video search engines like YouTube.

PR with Local Media Outlets and Advertising Agencies

Working with local media outlets and advertising agencies, you can make sure your business is seen by the right people. You can also use these relationships to create campaigns that are tailored to specific customers.

Marketing is an essential part of a successful business. By leveraging the methods discussed in this article, you can make sure your business is seen by the right people and find new customers.


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Be the Solar Expert & Start Your Own Solar Business

Be the Solar Expert & Start Your Own Solar Business

A small investment may help in an income over Rs 1 lakh in a month*

There have been increased global discussions on climate change & sustainability that are gaining momentum with many countries & organisations confirming a reduction in carbon footprint.

Lots of actions around harnessing renewable energy have been piloted and research in many cases is in mid to advanced stages

In 2020, an unprecedented scenario because of Covid 19 played a significant role, impacting many businesses and acted as catalyst for many too. The Aatmanirbhar Bharat campaign also picked up many folds with many new & innovative businesses gaining real momentum.

fastest growing solar industry

Besides pharma, insurance, online education, OTT, telecom, healthcare etc.; many large-scale businesses gained heavy consumption. During the same time the subject of ESG (Environmental, Social & Governance) also became a much-voiced subject across all strategic interactions nationally or internationally.

The amalgamation of the global pandemic & the call for Atmanirbhar Bharat also fast tracked and created many avenues for many people who were wanting to start their own business but were not so sure, however in 2020 few took calculated risks and began with smaller investments and within limitations of their knowledge, experience and skills. 

While there have been many opportunities for people who want to step up and are thinking of starting their own, solar business is one which has been one of the preferred choices.

business plan for solar panel manufacturing company

Solar business is here to stay as the demand of energy consumption per person is going to increase and at the same time the per unit charges by the electrical energy companies are continuing to increase.  Further, many cities esp. the smart cities and the next level cities and towns are also looking at utilizing the rooftops solar energy generation and there are related policies in place. These further create very large scope for the solar business.

As the shift to solar energy as the primary source of electricity is in its nascent stage in India, the opportunity is indeed very big for many years to come. One can judge from the scope of its installation on the rooftops of independent residences, residential societies, factories, institutions, schools, commercial buildings, religious places, hospitals, malls, hotels etc.

How to Start Solar Business?

Prior to starting, you need to understand the various opportunities within the Solar business:

Start as Solar Installer / system integrator/ EPC contractor

While you may explore more underneath, on each of the above opportunities, some basic knowledge and understanding needs to be gained: 

Basic working Technical knowledge

business plan for solar panel manufacturing company

Loom Solar conducts a online learning session for this on every Saturday at 10-11 AM. You can join via mobile phone / laptop through this link:  https://www.loomsolar.com/blogs/collections/learn-solar-with-loom-solar  

Acquire right set of skills or have skilled team

Either you must have basic understanding of electrical connectivity or have an electrician to be part of your business

An installer to ascertain the surface, roof, wall, factory shed, ground etc and the use of appropriate structure + alignment of solar panels and other equipment etc.

1. Solar Dealership Business

solar dealer business

If you are looking at higher returns on lesser investment, you may look at starting a solar dealership business from your home or from shop

2. Solar Distributor Business

solar distributor business

In case you are already into some other business and are still interested in picking up another business opportunity, you may choose, to take either the dealership or distributorship to start a new venture

3. Solar Installer / System Integrator/ EPC Contractor

solar installer

In case you are an electrician and know the house wiring, AC connectivity, have the knowledge of Inverters and batteries, then you may opt for Solar Installer / system integrator/ EPC contractor .

4. Solar Service Center

solar servicer provider

In case you are more inclined towards servicing only, you may get suitable understanding by associating with a solar company. Remember with the pace at which the installations are happening, though there is limited care needed, but with the volume, this is going to be an interesting earning opportunity.

5. Solar Panel Manufacturer

solar panel manufacturer

Solar Power System installation needs many components like solar panel, inverter battery, panel stand, wire, DC distribution box etc. In case you are interested in B2B business, you may start manufacturing solar panels. To install a solar panel manufacturing plant, you may need an investment of Rs 4 to 5 crores (minimum) and to have the business as profitable, you need to have about 10 customers with whom the business operations can run smoothly.

6. Solar Project Developer

solar developer

Within the solar industry there are interesting opportunities of turnkey and bigger projects that include private & government projects or tenders. This opportunity needs a deeper understanding of managing the end-to-end project working capabilities.

7. Solar Influencer

solar influencer

This gives the opportunity to be a solar influencer without having any direct investment in solar business. However, it needs an understanding of solar business and more importantly the knowledge and working understanding of digital & social engagement. 

How to Choose the Solar Company for doing Business?

loom solar

As illustrated above, there are various opportunities to explore. Loom Solar is one such organization that has been introducing the latest and best technology products to the Indian market. Innovation and simplification is at its core when it comes to solar technology. Loom Solar is Faridabad, Haryana based organization, that started its India operations in the year 2018 and has been pioneering the home solar category needs with the latest technologically advanced products also ensuring the home delivery with simplified installation practices. With over 60,000 households across India and over 2500 resellers, Loom Solar is the best choice in solar powered energy systems.

Some more interesting facts

The solar business in India is growing at more than 3 times the pace. Many of the resellers who initiated the engagement with Loom Solar as dealer have now upgraded to distributor of their district and many who initiated their journey as influencers have now taken the installer practice and have started earning more than double.

It's time to shake hands with Loom Solar and step into the solar powered world.


Srinibash Mohapatra

Srinibash Mohapatra September 30, 2022 at 12:26pm

Pranam! Jay hind! I am a marine Ch. Engr/ Superintendent from Bhubaneswar, Odisha. Would like to request your advices/ guidances-how to go ahead, to start with a minimum investment & later to xpand. Would be grateful to have a detailed discussions with your rep. Namaskar! My contact no. +919937839499. Jay Bharat!


Sampathkumar September 27, 2022 at 17:22pm

I am salem I am interested pls share details

N K Batta

N K Batta September 08, 2022 at 10:41am

I am an electrical engineer and worked in senior position in major oil& gas psu. Now I am interested in starting my own business/ consultancy in solar power system in Ahmedabad. I need your assistance in exploring the best opportunities in this sector in Gujarat.

Sede jax

Sede jax September 04, 2022 at 22:06pm

I’m from Nagaland I would like to open a franchise here. Share me complete information on 9862409855

Shubham Sharma

Shubham Sharma August 11, 2022 at 17:16pm

Hello this is Shubham Sharma From Madhya Pradesh India, Mobile No. +918878757173, +919144384334, I also want to start work with you, if there is some requirment like district co-ordinator or block lavel distributor You Can Call me.

mohammad moin

mohammad moin July 12, 2022 at 18:40pm

am interested in this business am from vijawada,AP. call me 9000392514

Jersey D. Gomid

Jersey D. Gomid July 04, 2022 at 17:49pm

Hi! I was reading you article and I’m interested in doing Solar Panel Business with you. However I’m in the Philippines. Will it be possible?

Javed Siddiqui

Javed Siddiqui June 09, 2022 at 12:23pm

Hello, I’m from Prayagraj, Uttarpradesh, I am interested in this business, can you please guide me, thank you. My Mobile number – 9323098126

Navneet Gaur

Navneet Gaur May 23, 2022 at 00:32am

Myself a Delhi University official looking for my elder son dynamic future in business knowing well my childhood chum as land developer & cement dump holder are far better than, as compared to me. I want my son with dynamic groth and golden future.Hoping your precious time & direction.

M Ramana

M Ramana May 07, 2022 at 13:30pm

Hi I am Basically Electrician, and i have group of electricians to work in the business, let details please, I am from Hyderabad, Isnapur region, my ph-9490758635

Raghuveer T

Raghuveer T February 22, 2022 at 20:18pm

Hi Iam from Hyderabad, I am interested in this business, can you please guide me, thank you.

Satbir singh

Satbir singh February 22, 2022 at 17:05pm

I want start solar business/consultancy solution.so place suggest me how to start plz contact 7888984784

Tikayat Ray

Tikayat Ray February 11, 2022 at 13:25pm

Appreciate your web page. Interested in starting franchise in solar panel/ accessories. Would like to know relevant information pertaining to same including but not limited to minimum investment, your guidance etc. Do please send me your reply in my email.

Nitish Kumar

Nitish Kumar January 25, 2022 at 23:40pm

I want dealership. Please guide us. Contacts number -9993827275

Narendra Kumar Ahuja

Narendra Kumar Ahuja January 08, 2022 at 21:33pm

I have knowledge of solar panels and provide training on it. How can I start a solar business without any investment but with only my efforts?


JYOTISH . S. BHATTACHARYA January 02, 2022 at 12:23pm

I am residing at Virar , Maharashtra. Basically i am interested in Dealership. Needs trainning for that. Maximum i can invest 1 lack only. please advise. jsb 7574858110 7021387959

Goutam Das

Goutam Das December 25, 2021 at 23:32pm

Interesting. I am from West Bengal and wish to start a business on Solar Pannel. Would like to be associated.


CHANDAN P December 04, 2021 at 16:58pm

Sriranga Damodar

Sriranga Damodar November 28, 2021 at 08:34am

Good morning sir I’m Sriranga Damodar from Trichy Tamilnadu Interested in solar system business I want to start business Regards

Mangharam Choudhary

Mangharam Choudhary November 18, 2021 at 21:29pm

Buisness for distribution


sidhanta November 02, 2021 at 06:51am

Hi, I am from Odisha. This article is very helpful brother. so nice Grate Job bro

Jaikishan Rai

Jaikishan Rai October 17, 2021 at 23:25pm

Hi, I want to become a EPC contractor in Delhi NCR region. Kindly assist me. 8285045031

Amidu hameed

Amidu hameed October 14, 2021 at 21:58pm

I have a lot of land here in Nigeria where you can set your business and earn a lot because of the bad electricity here

Keerthi Nandigam

Keerthi Nandigam October 13, 2021 at 08:24am

Hi, Your website looks impressive and I’m interested in setting up a dealership with you guys in Andhra Pradesh. Kindly contact-630286019


jithin.u October 07, 2021 at 15:12pm

intrested instalation becuase i am an elecrician how to start

Sujit Rajan

Sujit Rajan October 01, 2021 at 09:13am

Sir, I want to start a solar business in Kerala. Kindly advise.

Madhusudan Kabra

Madhusudan Kabra September 20, 2021 at 09:27am

Interested in solar panel manufacturing and distributorship. Can you help. Want to cater to eastern india needs


Bhushan September 19, 2021 at 20:10pm

Looking for start solar panels business as a production unit. Will you people help me in that

Khuzaima Chhatriwala

Khuzaima Chhatriwala September 12, 2021 at 16:48pm

Interested in solar dealership business


Bhavin September 04, 2021 at 14:54pm

I am completely new to this, but I am interested in solar technology. I am more over interested in manufacturing or distributorship

Zainudheen K

Zainudheen K September 04, 2021 at 08:01am

Sir, I would like to start a dealership/distribution for Solar Energy in Kerala. Please assist me, Thank you Mobile# 7034581669

Rajendra  thosar

Rajendra thosar September 02, 2021 at 17:53pm

Interested solar system business I want to start business


Dulari August 31, 2021 at 23:35pm

I am interested in solar business and want to know more about it.

Uvan Suresh Kumar

Uvan Suresh Kumar August 31, 2021 at 16:56pm

Pls send me details to contact officials in Chennai . Regarding set up and installation of commercial solar project , dealership and distribution .

Subhash simepurushkar

Subhash simepurushkar August 30, 2021 at 12:10pm

Interested in dealership


PRASHANT SHELKE August 26, 2021 at 18:57pm


UTKARSH YADAV August 23, 2021 at 00:41am

Want to start solar business. Please contact 9208617320

tapan kumar dash

tapan kumar dash August 21, 2021 at 07:33am

Good assesories.

manoj pal

manoj pal August 20, 2021 at 12:34pm

i want to set up my own business,i man electronics engg. in electro mechanical field and industrial automation. Nagpur 9923528903

Vivek Jindal

Vivek Jindal August 15, 2021 at 13:54pm

Interested in Discussing business possibilities. Contact us at 9417206568


Antony August 13, 2021 at 22:45pm

I would like to start a loom solar business as a dealer can you explain how to start the business

Aman Deep

Aman Deep August 12, 2021 at 17:04pm

I am intrested in solar business, pleasw guide me. I want to start this. 9264242820

Jaswant Singh

Jaswant Singh August 09, 2021 at 19:56pm

Basically I am mechanical engineer having interest in solar energy field just want to start my own solar business as a dealer please guide & suggest me about eligibility & how much investment & space own/ rental/lease & government certification required etc. Please call or send your reply on my above email id or contact number 9410956396. Jaswant Singh. Tri Vihar, west canal road, Sewla kalan. Dehradun- 248002 (Uttrakhand)

Jaswant Singh August 09, 2021 at 19:43pm

Basically I am mechanical engineer having interest to start my own solar business as a dealer please adv


ManoharAdbal August 08, 2021 at 16:06pm

start solar system business ,so please suggest me how to start ManoharAdbal,,,Maharashtra,Dist:Ratnagiri.8169385140

Vijay Ambhure

Vijay Ambhure August 03, 2021 at 08:33am

I want to start my own business with Loom Solar, as a distributor or Dealer. Please assist me.


DILEEP July 26, 2021 at 18:42pm

Dear All, I would like to start a solar business in Kerala, if any body can guide me please send mail to my id .Appreciate your support

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  1. Solar Company Business Plan Template Sample Pages

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  1. How to Write A Solar Production Business Plan

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