There are 4 core methods of financing your commercial solar project, PPA, capex, asset finance, and leasing. Choosing the right funding method for your business can make a commercial solar project cash-flow positive from day one, preserve capital for core investments, and simplify long-term maintenance.
Many projects achieve cash-flow positive outcomes with asset finance, where monthly bill savings exceed finance repayments. PPAs deliver immediate savings with zero capex by selling you onsite solar at a discounted rate to grid power.
How the four commercial solar financing options compare
Option
Upfront Cost
Who owns the system
Typical Term
O&M Responsibility
Best For
Power Purchase Agreement (PPA)
£0
Greenscape Energy
10–25 years
Funders (included)
Firms prioritising £0 capex, predictable unit prices, minimal hassle.
Greenscape Energy pays for, owns and maintains the solar system on your site. You buy the electricity it generates at a pre-agreed unit rate, typically significantly below your grid tariff (usually around 50% reduction in energy price) for 10–25 years. There’s no upfront cost and all operation and maintenance is handled for you.
Pros:
£0 capexConserve cash for core projects.
Guaranteed SavingsSavings start day one with a lower electricity unit rate than from your grid power
No performance/maintenance burdenInstallation, operation and O&M (operation and maintenance) included.
ESG/CSR impactMeasurable carbon reductions without capital outlay.
Cons:
Contract term commitment (10–25 years)Ensure the pricing indexation and buyout options fit your plans.
You don’t own the asset during the termExport revenue benefits sit with Greenscape Energy.
Landlord/tenant alignment neededOnly if you lease your building (Greenscape Energy broker this routinely).
Ideal When:
You want immediate bill reductions with no capex or operational burden, or you occupy a large site with daytime demand and prefer a utility-style agreement to asset ownership.
CapEx (Outright Purchase)
How It Works
You pay for the system in full, own the asset from day one, and keep all of the savings and export income over its 25–30 year life. Typical payback is ~3–5 years depending on size, usage and tariffs.
Pros:
Highest lifetime return on investmentStrongest IRR option once paid back.
Full controlExport strategy and operational control.
Potential tax advantagesCapital allowances on qualifying equipment (speak to your accountant).
Cons:
Upfront capital requirementInternal approval cycles & budgets need to be managed.
You manage O&MThis can be mitigated by setting up a service plan agreement.
Opportunity costIf capital is scarce or earmarked for other investments.
Ideal When:
You have available capital and want the highest total benefit with full control over the asset.
Asset Finance (Hire Purchase / Loan)
How It Works
Spread the purchase cost with monthly repayments. In many cases, bill savings meet or exceed repayments, making projects cash-flow positive during the term; you typically own the system at the end.
Pros:
Preserves cash and mitigates opportunity costWhile retaining ownership economics.
Cash-flow positive potentialGreenscape will work in alignment with your businesses your load profile to optimise cash-positivity.
Flexible termsOften designed to match savings curves.
Cons:
Finance costsCost of finance adds to total project cost.
Credit approval requiredPossibly requiring a security/deposit.
You handle O&MThis can be mitigated by setting up a service plan agreement.
Ideal When:
You want ownership with minimal upfront spend, and steady monthly outgoings offset by predictable savings.
Leasing
How It Works
Pay a fixed monthly lease for use of the system. Contracts often include options to buy or upgrade at term end; maintenance duties vary by agreement.
Pros:
Low upfront costSimple budgeting via fixed payments.
Upgrade flexibilityOften at the end of the term.
Cons:
You may not own the systemAlthough buyouts can be exercised
Higher total cost than CapExEarly termination may carry fees.
Ideal When:
You prefer a predictable “as-a-service” style arrangement with upgrade choice later.
If You Don’t Own Your Building
Solar is still very achievable. Landlords gain improved EPCs and asset value, tenants gain lower running costs. Greenscape Energy routinely broker structures (PPA, lease adjustments or shared investment) so both sides win.
For tenants/landlords, we’ll structure a tri-party agreement so the economics and responsibilities are crystal-clear.
Frequently Asked Questions
01What are the main ways to finance a commercial solar panel system?
There are four core options: Power Purchase Agreements (PPA), outright purchase (CapEx), asset finance (hire purchase or loan), and leasing. Each method has different benefits depending on your business’s cash flow, ownership goals, and appetite for long-term returns.
02Can I install commercial solar panels with no upfront cost?
Yes. A Power Purchase Agreement (PPA) allows you to benefit from solar energy without any upfront capital. The system is installed and maintained by the funder, and you simply purchase the electricity at a discounted rate compared to your grid tariff.
03Which is the cheapest way to finance solar for my business?
The “cheapest” option depends on your objectives. CapEx (outright purchase) delivers the highest lifetime return, while a PPA provides immediate savings without investment. Asset finance spreads costs over time, and leasing offers fixed monthly payments with flexibility.
04How do I choose the best solar financing option for my company?
The right choice depends on your cash position, long-term strategy, and ownership preference. Businesses with available capital usually benefit most from CapEx. Companies prioritising cash conservation may prefer a PPA or asset finance. Leasing suits organisations seeking predictable, service-style arrangements.
05How does a solar Power Purchase Agreement (PPA) work for businesses?
With a PPA, Greenscape Energy funds, owns, and maintains the solar panels. You buy the electricity they generate at a fixed, discounted rate (often up to 50% cheaper than grid power) for 10–25 years. This provides immediate bill savings without capital outlay.
06Will a PPA price go up each year?
Most PPAs include indexation. We model the rate against your historic tariffs so you can see net savings across the entire term. Even with indexation, PPAs usually remain well below market electricity prices, if not Greenscape can be open to negotiation and it can be written into contracts.
07What happens at the end of a solar PPA term?
At contract end, you can often buy the system outright at fair market value, extend the agreement, or request removal. This gives businesses flexibility depending on future plans.
08Is a PPA suitable for SMEs, or only large corporations?
PPAs work for both. Any business with significant daytime electricity use can benefit, including offices, warehouses, manufacturing, and agriculture.
09What are the benefits of buying solar panels outright?
Outright purchase (CapEx) offers the strongest long-term financial return. You own the system from day one, keep all energy savings and export revenue, and gain full control of the asset. Typical payback is 3–5 years.
10Do commercial solar panels qualify for tax relief?
Yes. In most cases, businesses can claim capital allowances on qualifying solar equipment. Always confirm the treatment with your accountant to maximise tax efficiency.
11How does asset finance for commercial solar work?
Asset finance spreads the cost of the solar system across monthly repayments, usually over 3–7+ years. In many cases, savings from reduced energy bills meet or exceed repayments, making the project cash-flow positive during the term.
12Do I own the solar panels at the end of asset finance?
Yes. With hire purchase or loan structures, you typically become the system owner once the finance is fully repaid. This allows you to capture all future savings and export income.
13Do I still save money if I lease solar panels?
Yes. Leasing replaces part of your grid spend with cheaper onsite solar. While lifetime returns may be lower than CapEx, the benefit is low upfront cost and predictable monthly budgeting.
14What happens at the end of a solar lease?
Depending on the contract, you may choose to extend the lease, upgrade to a newer system, or purchase the panels at an agreed price.
15Who maintains the solar system under each financing option?
With a PPA, all operation and maintenance (O&M) is included. With CapEx, asset finance, or leasing, the system is your responsibility. However, Greenscape Energy offers comprehensive service plans to protect warranties and performance.
16Can I earn from exporting surplus electricity?
Yes, if you own the system (CapEx, asset finance, or lease with buyout). You can set up Smart Export Guarantee (SEG) or bespoke export agreements. With a PPA, export benefits remain with the system owner.
17Can tenants and landlords both benefit from solar financing?
Yes. Greenscape Energy regularly structures tri-party agreements so tenants enjoy reduced bills while landlords gain improved EPC ratings and asset value.
18How long are typical commercial solar finance terms?
PPA: 10–25 years
Asset Finance: 3–7+ years
Lease: 5–10+ years
CapEx: lifetime ownership (25–30 years).
19How does solar financing impact ESG and CSR reporting?
Financing solar demonstrates a clear commitment to sustainability, helping businesses reduce carbon emissions and strengthen ESG credentials without affecting working capital.
01What are the main ways to finance a commercial solar panel system?
There are four core options: Power Purchase Agreements (PPA), outright purchase (CapEx), asset finance (hire purchase or loan), and leasing. Each method has different benefits depending on your business’s cash flow, ownership goals, and appetite for long-term returns.
03Which is the cheapest way to finance solar for my business?
The “cheapest” option depends on your objectives. CapEx (outright purchase) delivers the highest lifetime return, while a PPA provides immediate savings without investment. Asset finance spreads costs over time, and leasing offers fixed monthly payments with flexibility.
05How does a solar Power Purchase Agreement (PPA) work for businesses?
With a PPA, Greenscape Energy funds, owns, and maintains the solar panels. You buy the electricity they generate at a fixed, discounted rate (often up to 50% cheaper than grid power) for 10–25 years. This provides immediate bill savings without capital outlay.
07What happens at the end of a solar PPA term?
At contract end, you can often buy the system outright at fair market value, extend the agreement, or request removal. This gives businesses flexibility depending on future plans.
09What are the benefits of buying solar panels outright?
Outright purchase (CapEx) offers the strongest long-term financial return. You own the system from day one, keep all energy savings and export revenue, and gain full control of the asset. Typical payback is 3–5 years.
11How does asset finance for commercial solar work?
Asset finance spreads the cost of the solar system across monthly repayments, usually over 3–7+ years. In many cases, savings from reduced energy bills meet or exceed repayments, making the project cash-flow positive during the term.
13Do I still save money if I lease solar panels?
Yes. Leasing replaces part of your grid spend with cheaper onsite solar. While lifetime returns may be lower than CapEx, the benefit is low upfront cost and predictable monthly budgeting.
15Who maintains the solar system under each financing option?
With a PPA, all operation and maintenance (O&M) is included. With CapEx, asset finance, or leasing, the system is your responsibility. However, Greenscape Energy offers comprehensive service plans to protect warranties and performance.
17Can tenants and landlords both benefit from solar financing?
Yes. Greenscape Energy regularly structures tri-party agreements so tenants enjoy reduced bills while landlords gain improved EPC ratings and asset value.
19How does solar financing impact ESG and CSR reporting?
Financing solar demonstrates a clear commitment to sustainability, helping businesses reduce carbon emissions and strengthen ESG credentials without affecting working capital.
02Can I install commercial solar panels with no upfront cost?
Yes. A Power Purchase Agreement (PPA) allows you to benefit from solar energy without any upfront capital. The system is installed and maintained by the funder, and you simply purchase the electricity at a discounted rate compared to your grid tariff.
04How do I choose the best solar financing option for my company?
The right choice depends on your cash position, long-term strategy, and ownership preference. Businesses with available capital usually benefit most from CapEx. Companies prioritising cash conservation may prefer a PPA or asset finance. Leasing suits organisations seeking predictable, service-style arrangements.
06Will a PPA price go up each year?
Most PPAs include indexation. We model the rate against your historic tariffs so you can see net savings across the entire term. Even with indexation, PPAs usually remain well below market electricity prices, if not Greenscape can be open to negotiation and it can be written into contracts.
08Is a PPA suitable for SMEs, or only large corporations?
PPAs work for both. Any business with significant daytime electricity use can benefit, including offices, warehouses, manufacturing, and agriculture.
10Do commercial solar panels qualify for tax relief?
Yes. In most cases, businesses can claim capital allowances on qualifying solar equipment. Always confirm the treatment with your accountant to maximise tax efficiency.
12Do I own the solar panels at the end of asset finance?
Yes. With hire purchase or loan structures, you typically become the system owner once the finance is fully repaid. This allows you to capture all future savings and export income.
14What happens at the end of a solar lease?
Depending on the contract, you may choose to extend the lease, upgrade to a newer system, or purchase the panels at an agreed price.
16Can I earn from exporting surplus electricity?
Yes, if you own the system (CapEx, asset finance, or lease with buyout). You can set up Smart Export Guarantee (SEG) or bespoke export agreements. With a PPA, export benefits remain with the system owner.
18How long are typical commercial solar finance terms?
Great technical support from a most personable Callum.
Chris13 Oct 2026
Trustpilot
My email was answered by Chloe Hickman who made the adjustment I requested by return. Thank you Chloe, well done. Keep up the good work.
MR I CARRUTHERS13 Oct 2026
Trustpilot
Had my Air Con installed today.. Could not fault the two installers who attended. . Arrived nice and early, took a look around outside and indoors no hesitation in starting work and confirming where I wanted the appliance. Shoes off each time they entered house and completed the tidy up after themselves. Remote and operation of A/C explained to me.. Good work, keep it up.
Alan 13 Oct 2026
Trustpilot
I had a conversation with Callum Wrigley yesterday and he was very polite, efficient and completed my requirements very quickly, I would not hesitate to recommend him and Greenscape energy
Clive Parr13 Oct 2026
Trustpilot
Easy payment by credit card
Linda Thomas13 Oct 2026
Trustpilot
I've just had solar panels, battery and EV charger installed by Mark and Luke. They arrived a little early, did the job as quietly as possible with no fuss, and have finished much earlier than I'd expected. Mark then explained what's what, which I think I'll remember. Couldn't expect more.
Scaffolding subcontractor was similarly efficient putting the scaffolding up.
The back office and survey staff have been friendly and efficient too. It has been good to be able to visit the showroom office in Ipswich.
Mr Fish13 Oct 2026
Trustpilot
Good communication. Did what was required promptly
Thank you Callum
JohnRoadley13 Oct 2026
Trustpilot
After leaving a message and emailing w/b 5 Oct 26, I telephoned again at the end of that week and spoke with Callum Wrigley in the tech dept. He listened to my concern, was very understanding and dealt with the problem I had efficiently and to my satisfaction. Thank you Callum
Ms Ann Quilton13 Oct 2026
Trustpilot
Good Service
Brian Farrington12 Oct 2026
Google
Michaela, dealt with my finance query in a professional, efficient manner, and placated my fears that the progress on my solar system would be paused until the return of the surveyor from holiday. Good customer care. Thank you
Andrew Kay16 Sept 2026
Google
Very professional and efficient from the sales engagement through to commissioning. I wouldn’t hesitate in recommending them.
Granary Barn17 Aug 2026
Google
I have been very impressed with the service I received from Greenscape. The initial survey was very professionally done by Andrew and I was pleased that he convinced me not to have more panels than necessary. The team that installed the battery and inverter were excellent and very pleasant to deal with. The system is up and running and there have been no complications. I thoroughly recommend Greenscape.
Richard Stainer11 Aug 2026
Google
I arranged to have solar panels and a battery installed by Greenscape via OVO Energy. From start to finish, the service has been excellent. From the survey, to the panel installation and battery installation, every team member has been professional and very friendly. The after sales have kept in contact to make sure everything has gone smoothly. Couldn't fault Greenscape.
