Sungage knows that the solar sale can be a complex process. From qualifying leads, to collecting utility bills, to getting a signature on the dotted line – a salesperson will want to keep things as simple as possible and maximize savings for their customer.
However, an aging roof can introduce headaches and hurdles into a solar purchase. A new roof will increase the sticker price, but it’s deepest impact may be an emotional one as homeowners feel nervous about adding complexity into an already difficult purchasing decision. To overcome this challenge, solar installers and salespeople should be prepared to offer solutions that help the homeowner feel at ease.
Here are the keys to ensuring a successful solar and roofing project:
Have a Roofer at the Ready
The first step is to have a quality, trusted roofer at your disposal before walking into the home. You can shine and stand out by having an answer to every homeowner concern, from financing to roofing. If you don’t already have access to a roofer’s services, then be sure to check online reviews or ask for a list of past customers. Then you can ensure that a potential roofing partner will delight your homeowners.
Coordination and Communication
Consider what the timeline is for the roofer and how you can adjust your process into alignment with them. How can your team condense the time between the start of roofing work and the installation of solar? While juggling all these considerations, don’t forget to communicate with the homeowner. Remember that overcommunication is better than under-communication. And transparency today will help ensure a referral tomorrow.
Cash Flow and Down Payment
Roofing work will also have consequences on cash flow. What payment terms does your roofer require? And how will those terms affect the payment schedule with your homeowner? Solar is an industry that grew on a zero-money-down model but it behooves installers to train their sales teams to adapt and ask for down payments. Asking for a down payment is prudent and routine in other home improvement projects. This down payment model will reduce stress on your cash flow as ticket size and complexity increase on solar projects.
Set Homeowners Up for Success at Tax Season
When homeowners install a solar system, they may be eligible to claim 26% of the project cost to decrease their tax liability (learn more about solar tax credits and tax liability here). Homeowners should consult with a tax professional to confirm their eligibility for the solar tax credit, which is a function of each homeowner’s unique financial circumstances.
Adding roofing work to the project adds another layer of complexity to evaluating the tax implications of going solar. The IRS has not issued clear or specific guidance on the eligibility of roofing for the solar ITC. The best course of action is for homeowners to consult a tax professional for guidance on this part of the project. The best course of action for an installer is to ensure that their finance partner sets your homeowner up for success.
Choosing the Right Financing Partner
Finally, make sure you have the right finance partner lined up to tackle all the challenges outlined above. A finance company that cares about helping their installer partners grow through referrals will help installers communicate with the homeowner and offer a streamlined experience, from credit application to loan repayment. A finance company that understands the challenges of cash flow will offer training on asking for down payments and resources for managing capital. A finance company that cares about responsible lending will provide financial products that colors within the guidance set forth by the IRS.
At Sungage Financial, we believe that partnership means providing more than just a loan to installers. Sungage is pleased to be a one-stop shop for installers who offer solar and roofing. Our solar loan provides a unified financing solution with one credit application and one monthly payment. More importantly, we train our team to go above and beyond for you and your homeowners. If you’d like to learn about financing roofs and solar, then call 844-SUNGAGE!
About the Author
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