With the rise of solar energy and its importance in bettering our planet, it is significant to understand the ups and downs of solar energy companies. Why are some failing to uphold and others flourishing in expansion? A person looking to transition to solar power is looking for a reliable, efficient, and trustworthy company to guide them through the process. Solar energy companies lacking in these values have seen their business decline.
What will Make or Break Long-term Success?
Despite the demise of some companies, solar energy has seen a steady increase of annual installations, particularly reaching high volume in 2016-17. Annual installations in 2017 reached upwards of 15,000. This increase is largely attributed to the cost and availability of solar energy today. Financing options also play a critical role. Customers are given the option to pay no money down for their solar panels and simply pay for the energy produced. A lot of customers wonder, if the solar business is growing so rapidly, then why are we seeing solar companies going bankrupt?
When looking into companies that have gone out of business, the “missing links” become more apparent. Sungevity announced its bankruptcy in March of 2017. This put an astounding 66% of their workforce to be out of jobs. The company had a different model of getting customers to sign with solar energy, their rates being system generated and their installation process being primarily outsourced hardware. Sungevity did not deal directly with the installation, instead the customer would work with subcontractors for their installation, ultimately causing delays and confusion. Although argued that this made more time for the direct customer service, it did not gradually build the relationship into full bloom.
A similar occurrence is seen in other solar energy companies. When NRG Home Solar began doing home installations and direct financing, they saw problems with their rapid expansion. The reconstruction of NRG from a fossil fuel to renewable energy caused a dramatic shift but ultimately clean transition. It was not until NRG Home Solar focused on becoming the top solar energy provider, that their success began to take a turn. They purchased regional solar companies and when they tried to integrate them into their corporate structure, damaged the sales production and efficiency. The lack of nurturing acquired companies and losing customer focus, is what is believed by analysts to be the reason for the shutdown of NRG Home Solar. From here, NRG has made the choice to end installation services causing over 500 lay-offs this past year.
The trend that is seen in both of these declining companies is the missing link of simplicity in the solar energy process. Code Green Solar, founded by Charles Kartsaklis as a sole proprietorship in 1994, has taken their time to build developmental growth in their budding company. At Code Green, after designing an agreed upon proposal, our technicians will come out to design and install your new solar panel system. No need to deal with third party finance options as Code Green works with direct finance partners. Code Green Solar is an all-in-one company; working to achieve a simple goal of providing renewable energy at affordable options to all families to create a thriving, sustainable future.