Community Solar Project Financing
Community solar projects sell their output to many subscribers instead of one offtaker. Lenders and investors will fund them when the subscriber model, the program rules and the utility billing arrangements hold up in diligence.
FG Capital Advisors prepares community solar projects and portfolios for that review and arranges construction debt, term debt and tax equity or tax credit transfer through third party capital providers.
Start Client IntakeWho This Is For
Community Solar Developers
Developers with projects under a state community solar program who need construction and permanent capital.
Portfolio Owners
Owners of several operating or near complete community solar sites who want one financing across the portfolio.
Subscription Managers and Sponsors
Sponsors whose subscriber acquisition and billing platform needs to be presented clearly to lenders.
Investors
Funds and family offices assessing community solar projects for acquisition or co-investment.
What FG Capital Advisors Arranges
Revenue Case
We review subscriber contracts, anchor offtakers, bill credit mechanics and churn assumptions, and present them in the form lenders expect.
Debt
Construction loans, term loans and back-leverage sized to the contracted and modeled revenue of each site.
Tax Equity and Credit Transfer
Where the project is eligible, we approach tax equity investors and tax credit buyers and coordinate the tax documentation.
Portfolio Financing
Aggregation of several sites into one facility, with consistent documents and reporting.
This service is part of our Solar Project Finance Advisory work, which covers every stage of solar and renewable energy financing.
How It Works
- You send the project or portfolio details through the client intake form, including program, capacity, stage, subscriber status and the capital you need.
- We review the subscriber model, interconnection, program rules and contracts the way a credit committee will, and send you a written list of gaps.
- We build or audit the financial model and prepare the financing package.
- We approach lenders and investors whose mandate fits the project, compare term sheets and coordinate diligence to financial close.
What Lenders and Investors Look For
Program Certainty
Capacity allocation or program approval, and clear rules on bill credits and subscriber eligibility.
Subscriber Quality
A documented subscriber mix, anchor subscriber agreements where available and a realistic churn and replacement plan.
Interconnection and Site
Executed interconnection agreements, site control and permits for each project.
Operating Partners
A credible EPC contractor, O&M provider and subscriber management arrangement.
Documents to Send
Project
Site list, capacity, location, interconnection status, permits and program approvals.
Revenue
Subscriber contracts, anchor agreements, subscription management agreement and any utility tariff documents.
Technical
Energy yield assessment, EPC contract or term sheet and O&M terms.
Financial
Current financial model, budget, sources and uses and the capital you are seeking.
Related Services and Guides
Frequently Asked Questions
How do lenders view community solar compared with a single PPA project?
Lenders focus on how reliable the subscriber revenue is. They look at the program rules, the subscriber mix, any anchor agreements and the cost and history of replacing subscribers.
Can several community solar sites be financed together?
Yes. A portfolio financing can combine several sites in one facility if the documents, revenue model and reporting are consistent across them.
Does FG Capital Advisors lend to community solar projects?
No. We prepare the project and arrange capital from third party lenders and investors, who make their own credit decisions.
What should I send first?
Send the site list, program status, interconnection status, subscriber status and your current model through the client intake form.
Start Your Client Intake
Send the project through our client intake form with the details listed above. We review every submission and reply in writing with the scope, fee and next steps.
Start Client IntakeLenders and investors make their own credit and investment decisions. Terms and approval depend on their diligence, and funding is not guaranteed.
