Online-only home solar vendor secures $23M while pledging ‘dramatically lower prices’ – Meczyki.Net

Project Solar doesn’t make solar panels, nor does it hire employees to erect rooftops, but the startup argues that it can build a residential solar business by tidying up sales reps and automating parts of the ordering, design, and installation process. can shake.

Backed by $23 million in fresh Series A funding from a funding led by Left Lane Capital, Project Solar says it is on track to install 30 megawatts of solar this year, mostly in California and Texas, while apparently priced But it is undercutting some of its competitors. The startup aims to increase its 2022 installation figure by a factor of five in 2023.

But first, some context: Tesla bail on door knock Ages ago, only to see its market share decline. Meanwhile, Sunrun, 100 . More than sales jobs listed on your site and it’s above Residential Solar Brand by Marketshare. So why would salespeople work for Project Solar, which is currently nowhere as active As the industry leader?

For homeowners, the sale mostly comes at a price. The startup says it charges an average of $2.20 per watt for installation and as little as $1.63 after federal incentives. This is the national average of 2021. about 25% cheaper than $2.94 per watt (before tax credits), according to the Solar Energy Industry Association. Whether this qualifies as “dramatically underrated” as the startup characterizes it is a matter of more opinion. For those that are particularly handy, Project Solar also offers cheaper DIY options.

Project Solar’s revenue comes from marking up equipment prices, for which quantities are discounted. The company says cutting salespeople saves a buck per watt, and from there it relies on its in-house software to reduce the time needed for things like system design, permitting and coordinating contractors. To be. For each sale, “the backend process involves approximately 40-man hours of work (not including the manual labor of the install which typically takes an 8-hour crew of 3-4 people),” says CEO Trevor Hiltbrand told Meczyki.Net. He said the firm’s software “includes a tool that has reduced engineering/CAD time from 3 hours to 30 minutes.”

Project Solar plans to use the Series A to expand into the Midwest and South and continue working on its software. Beyond Left Lane Capital, Project Solar declined to say who participated in the funding round, calling them “strategies within the industry.”