What commercial solar finance options does ASLS offer?
ASLS offers three core commercial solar finance pathways: Power Purchase Agreements (PPAs), Commercial Solar Leases and Chattel Mortgages.
Commercial Solar Finance FAQs
Commercial Solar Finance FAQs
Answers about commercial solar PPAs, leases, chattel mortgages, payments, ownership, installer work, the ASLS portal, and STC Trading and Stock Finance coming soon.
Commercial Solar Finance
What is the difference between a PPA, Solar Lease and Chattel Mortgage?
A PPA is an energy-cost structure, a Solar Lease uses an agreed lease-payment structure, and a Chattel Mortgage is an ownership-focused asset-finance structure.
Can commercial solar have $0 upfront cost?
Yes. A Power Purchase Agreement can allow an eligible business to access commercial solar with $0 upfront capital expenditure.
Power Purchase Agreements (PPA)
What is a commercial solar PPA?
A commercial solar Power Purchase Agreement allows an eligible business to access solar without purchasing the complete system upfront. The customer purchases the solar energy generated under an agreed PPA, while the relevant energy provider funds and owns the approved equipment during the applicable term.
Does a PPA mean the installer loses the work?
No. The approved solar installer remains the installer and completes the project. The PPA changes how the customer's project is funded — it does not take the installation away from the vendor.
How does the installer get paid on a PPA?
The approved solar installer remains the installer and completes the project. Payment arrangements for the installation are governed by the approved project and applicable agreement.
Who owns the equipment under a PPA?
The relevant energy provider funds and owns the approved equipment during the applicable term.
Who maintains and cleans the equipment under a PPA?
Under the applicable ASLS PPA pathway, the relevant energy provider is responsible for maintenance and cleaning obligations specified in the PPA agreement.
Is a PPA an ordinary loan?
No. A commercial solar PPA is an energy agreement under which the customer purchases the solar energy generated under the agreed PPA.
Commercial Solar Lease
What is a Commercial Solar Lease?
A Commercial Solar Lease allows an eligible business to access commercial solar equipment through an agreed schedule of contractual lease payments rather than purchasing the complete system upfront.
What is the interest rate on a Solar Lease?
A Commercial Solar Lease is generally quoted as an agreed schedule of contractual payments rather than as a consumer-style loan with a headline interest rate. For example, a lease may be structured as 60 monthly payments.
What happens if a Solar Lease is paid out early?
Early termination or payout is governed by the terms of the specific commercial lease agreement. A lease should not be treated like a standard consumer loan where an early payout simply removes future interest. The applicable payout amount is determined under the lease documentation.
Who owns equipment under a Solar Lease?
Ownership during the lease and any end-of-term options are determined by the specific lease structure and agreement. ASLS will ensure the proposed structure and payment obligations are clearly presented before the customer proceeds.
Commercial Solar Chattel Mortgage
What is a Chattel Mortgage for solar?
A Chattel Mortgage is a commercial asset-finance structure that allows an eligible business to finance approved solar equipment while owning the financed asset from settlement. The financier takes security over the equipment until the finance obligation has been satisfied.
When does the business own the equipment under a Chattel Mortgage?
The business generally owns the financed solar equipment from settlement, while the financier retains a security interest over the asset during the finance term.
Which is better: PPA, Lease or Chattel Mortgage?
The appropriate structure depends on upfront cost, payments and equipment ownership. Businesses should obtain independent accounting and taxation advice regarding their individual circumstances.
ASLS Vendor Portal
What can solar vendors do in the ASLS Vendor Portal?
Solar vendors can submit structured commercial solar finance applications, upload requested documents, track application status and manage authorised sales agents through the ASLS Vendor Portal.
Can vendor managers see their agents' applications?
Yes. Authorised vendor administrators can view and manage applications across their sales team, helping maintain visibility over the finance pipeline.
Can documents be uploaded through the portal?
Yes. Requested documents can be uploaded directly against the relevant application so outstanding requirements remain organised.
STC Trading and Stock Finance — Coming Soon; ASLS Rewards Available
Does ASLS offer STC Trading?
Not yet. ASLS STC Trading is coming soon and is not currently available. Solar vendors can register their interest while ASLS prepares the planned service.
Does ASLS offer Solar Stock Finance?
Not yet. ASLS Solar Stock Finance is coming soon and is not currently available. Eligible Australian solar vendors and installers can register their interest in the planned service.
Does ASLS offer sales incentives to vendor agents?
Yes. Eligible participating agents accrue a $100 ASLS Reward for each approved and settled finance deal. Once an agent reaches five eligible approved and settled finance deals, ASLS issues a $500 Prezzee eGift Card.
Vendor Accreditation
How do I become an accredited ASLS vendor?
Use the Become an ASLS Vendor link to begin the accreditation process.
Application Timing
How long does commercial solar finance approval take?
Commercial solar finance approval time varies by application, project, supporting information and the relevant finance provider's assessment. ASLS does not promise a fixed approval time.