How To Start A Solar Business? Things you must consider!
In this era of start-ups, everyone is looking to do something different with their careers. If you’re that someone too, then you will probably love to try your hand at the solar panel business.
The best thing about the solar sector is that the options are not limited – you could be a solar manufacturer, an EPC contractor, a solar consultant, a home solar energy setup company, a solar installation vendor, and so much more.
Fascinated by the variations that the solar panel business promises already? Well, welcome to the world of the Solar Industry – shining as bright as the Sun!
In this article, we will uncover many unexplored sectors of this booming business. Dive right in and figure out which solar business will justify your talent the most.
Top Solar Energy Business Options You Should Know About
#1 Based on Product:
The most important component of a solar panel business is the product itself – it shouldn’t be a brain-scratching fact to understand where we’re headed with this first category.
Let us explain!
The solar industry offers a wide range of products that can be considered for a solar energy business. According to the product side of the model, the following 3 options are worth exploring.
1. Solar Manufacturers –
The demand for solar products will always increase. In fact, most of the global players are shifting their base towards manufacturing solar products. You could step into the world of manufacturing as well.
The most amazing product categories you could pursue are listed below.
- – Solar Panels: The solar manufacturing business is largely dominated by solar panels. There are basically four types of PV panels in the solar sector: monocrystalline, polycrystalline, mono-PERC, and thin-film solar panels.
Some of the top solar panel manufacturing companies you could draw inspiration from include Tata Power Solar Systems Ltd, Waaree Energies Ltd., and Navitas Green Solution Pvt. Ltd.
- – Solar Inverters: Solar inverters are the soul of any solar system. They’re responsible for converting DC power generated by solar panels into AC power. It’s AC power that’s used to run electrical appliances at homes.
Some of the biggest players you could draw inspiration from are Luminous, V-Guard, and Microtek.
- – Solar Thermal Products: Solar power can be generated from heat just as much as light. Most of you would already know that PV systems use light. But, there are solar thermal devices that use heat.
The devices we’re talking about include solar water heaters, solar-powered outdoor lights, solar chargers, etc. You could certainly venture into the manufacturing of solar thermal devices.
2. Solar Dealers and Suppliers –
If manufacturing isn’t your cup of tea, then you can consider going for the distribution of solar products. This line of solar panel business is easier and involves less capital investment as compared to setting up a manufacturing unit.
Solar manufacturers don’t sell their products directly to consumers. There are always middlemen (dealers) involved in the process.
Dealers purchase solar products and sell them. They often deal in B2B or B2C businesses.
3. Solar EPC (Engineering, Procurement, and Construction) –
EPCs have gained huge popularity in recent years due to the customizable solar solutions that they provide to their customers. They are directly involved with the end-users.
The EPCs are part of the customer journey right from the beginning. From designing the solar system according to the customer’s will to installing it, they offer full support to customers.
#2 Based on Services
The solar industry has the scope of offering a wide range of services such as maintenance, financing, consultation, etc. Opportunities in this field of solar panel business are also very bright.
Solar servicing doesn’t require a huge investment as compared to the manufacturing business. Several services can be offered after solar system installation.
Here, we are covering two major segments of solar services that are popular across the globe:
- – Operation and Maintenance Services: Be it a vehicle or a solar system, every device needs maintenance (even if minimal) to keep functioning. Operation and maintenance are essential services that are offered along with solar systems.
Solar systems require regular cleaning and periodical maintenance to keep up their efficiency. Many people tend to clean their solar systems by themselves. But cleaning the panels with a regular brush and chemicals can cause damage.
Experts use specialised brushes to clean the panels. Another advantage of servicing is that minor repairs are also checked during the servicing sessions. You could explore your luck in this line of the solar panel business as well.
- – Solar Consultants: People do a lot of research before buying a solar system. Understanding the specifications of solar may seem tricky as it involves a lot of tech and calculations. It might get overwhelming and ultimately people do drop the idea of installing solar systems.
Here comes the role of solar consultants. Any person who is sound in solar tech can be a Solar consultant. It is his/her job to provide proper information and guidance to people interested in going solar and simplify their journey.
#3. Based on Industry
The use of solar energy is not just confined to households but is being largely used to power the industrial sector as well.
The three broad categories in this regard have been listed below. Have a look.
- – Residential Sector (1 to 10 kW): In the past few years, there has been a rise in the number of homeowners that have switched to solar. The system required to power a house depends on various factors such as the size of the house, number of floors, energy consumption, etc. A residential house may require a solar system ranging between 1kW to 10kW solar system.
- – Commercial Sector (100 kW to 50 MW): Many industrial giants have realised their social responsibility towards the changing climatic conditions and are shifting towards solar energy. The industrial or commercial sector has higher energy demands and, thus, requires large solar plants to power their units.
Manufacturing giants like Johnson & Johnson, D’Decor, etc. have started operating their units on clean energy. Generally, solar systems ranging between 100kW to 50MW are considered in the commercial sector.
- – Utility Sector (50MW to GW level): What if an unused and barren piece of land is converted into an energy-generating powerhouse? This is exactly the concept behind utility solar projects in the solar business.
A solar project is said to be a utility project if it produces over 50MW of solar energy.
With the kind of growth that the solar sector is witnessing, it’s definite that the future of the solar panel business is bright. Hence, having a career and owning a business in this space can be quite fruitful. In a nutshell, we hope we have helped you figure out the best solar business field you’d like to pursue your interest in.
Conclusion:
With the kind of growth that the solar sector is witnessing, it’s definite that the future of the solar panel business is bright. Hence, having a career and owning a business in this space can be quite fruitful. In a nutshell, we hope we have helped you figure out the best solar business field you’d like to pursue your interest in.
FAQs
1. Is selling solar a good business?
Yes, absolutely. You can make a lot of money by venturing into the solar panel business. There are many fields that you can try your hand in.
2. What are the career options available in the solar panel business?
There are many options when it comes to choosing a field in the solar panel business. You could be:
- – A solar panel manufacturer
- – A solar inverter manufacturer
- – A solar dealer
- – A solar supplier
- – An operation and maintenance service provider
- – A solar consultant
- – An EPC vendor offering installations in the residential solar industry i.e. a home solar energy setup company
- – An EPC vendor offering installations in the commercial solar industry
- – An EPC vendor offering installations on the utility-scale
