How To Offer Finance For Solar Installers

What customer finance really changes for a solar installer

Customer finance lets you present solar as an affordable monthly decision rather than a single, high-ticket outlay. In practice, it means you can quote the system your customer actually wants, then show payment options alongside the cash price so the conversation stays focused on outcomes: energy savings, comfort and predictability. In the UK, finance is no longer a niche add-on in renewable home improvements; it is increasingly a mainstream way households choose to fund installations, especially when monthly payments feel similar to a utility bill.

Why homeowners increasingly ask to pay monthly

Solar buyers are typically trying to balance long-term savings with short-term household budgeting. The upfront cost can be a psychological barrier even when the numbers stack up, which is why low, fixed payments are so persuasive. Across the UK market, energy suppliers and installers have normalised 0% interest deals over 12 to 36 months, and some providers now offer longer plans that stretch to decades with monitoring and maintenance bundled into one predictable bill. At the same time, green home improvement loans and renewable energy loans have become more visible, giving customers alternatives if they prefer a bank-backed route or want to combine borrowing with grant support.

How finance helps you sell more (without discounting)

Offering finance can increase sales by widening the pool of customers who can say “yes” today and by protecting margin that might otherwise be lost to price negotiation. When customers can choose a term and monthly payment, they often upgrade to batteries, better inverters or additional panels because the incremental cost is spread. Finance also reduces drop-off between survey and install because the customer has a clear, agreed plan for paying. Done well, it improves trust: a transparent APR and total payable can feel more reassuring than an informal “we can work something out” payment arrangement.

Standout principle: customers rarely buy solar by “total cost” alone. They buy by confidence and cashflow.

Typical solar transaction values (UK guide)

These ranges vary by region, roof complexity and specification, but they are useful for designing finance bands and lender criteria.

What you can offer finance on

1. Solar PV panels and mounting system

2. Inverters and optimisers

3. Battery storage (including retrofit batteries)

4. EV charger supplied and installed

5. Monitoring packages and smart energy controls

6. Electrical works (consumer unit upgrades where required)

7. Scaffolding and roof works directly related to the install

8. Optional service plans (where permitted and structured correctly)

FCA and compliance essentials (what to get right)

If you introduce customers to finance, you need to operate within UK consumer credit rules and ensure promotions are clear, fair and not misleading. Key points include presenting representative examples appropriately, stating APR and key terms where required, and avoiding pressure selling or suggesting approval is guaranteed. You should also keep a clean audit trail of quotations and finance illustrations, handle customer data lawfully, and ensure staff know what they can and cannot say. Where permissions or exemptions apply, get specialist confirmation before you market finance.

Introducer or broker: what the model looks like in practice

Most installers do not become lenders. Instead, you either act as an introducer to a broker or lender panel, or you partner with a retail finance broker who manages the lender relationships and application flow. In an introducer setup, you generate the lead at the point of sale, the customer completes an application (typically online), and the lender makes the credit decision. Your role is to explain the options accurately, provide the goods and services as agreed, and ensure the finance paperwork aligns with the final specification. This approach can let you offer a range of terms, from short 0% deals often seen in the market to longer fixed-rate plans, without having to build an in-house credit function.

A clear customer journey (step by step)

1. Quote properly: provide the cash price first, with itemised specification and clear inclusions.

2. Offer payment choices: present 2 to 4 finance options (for example 12, 24 and 36 months, plus a longer-term alternative if relevant).

3. Explain the real cost: show APR (if applicable), monthly payment, deposit (if any) and total payable in plain English.

4. Check eligibility early: ask the customer if they are comfortable with a credit application and soft-check options where available.

5. Customer applies: send a secure link or complete an assisted application process, depending on your set-up.

6. Decision and acceptance: the lender confirms approval, the customer e-signs, and you confirm the install date.

7. Install and sign-off: complete works, capture completion evidence, and ensure the customer is satisfied.

8. Payment release: finance is settled according to the agreed process once completion is confirmed.

9. Aftercare: provide handover documents, warranty details and a clear route for support.

Next-step suggestion: add a one-page “Payment Options” sheet to every proposal so finance is introduced consistently, not only when the customer hesitates.

Getting started with Kandoo

Kandoo is a UK-based retail finance broker. We help installers offer customer finance in a way that supports sales conversations while keeping the process straightforward for the homeowner. The aim is to help you present clear choices at the point of quote, match customers to suitable terms, and reduce the admin burden that can slow down installs. With the right set-up, finance becomes part of your standard proposal: transparent monthly payments, a smooth application journey, and a consistent process your team can follow across enquiries, surveys and conversions.

Short standout line: finance works best when it is built into the quote, not bolted on at the end.

FAQs

Is 0% solar finance still available in the UK?

Yes, 0% APR deals remain common in the market, typically over 12 to 36 months, often offered via third-party lenders through suppliers or installers. Availability depends on lender criteria and customer status.

Should we offer only short 0% terms, or longer plans too?

Many installers benefit from offering both. Short 0% terms can be a low-friction option, while longer fixed-rate terms can make higher-value systems (especially PV plus battery) accessible with lower monthly payments.

Can customers use a green home improvement loan instead?

Often, yes. Some customers prefer bank-style green loans or home improvement borrowing, particularly if they are bundling multiple upgrades. Your role is to explain your finance option clearly and let the customer choose what suits them.

What’s the difference between installer finance and “solar subscription” style plans?

Installer finance is usually a loan used to purchase the system outright. Subscription-style models can look more like a service plan with a monthly fee, sometimes bundling monitoring and maintenance over longer terms.

Do we need FCA authorisation to introduce finance?

It depends on how you promote and arrange credit and on the permissions or exemptions that apply to your business model. You should take professional compliance advice and ensure your processes and promotions meet UK consumer credit requirements.

Will offering finance slow down our sales process?

When implemented well, it often speeds decisions up. The key is having a repeatable journey: clear options, a simple application step, and consistent documentation that matches the final install specification.

How many finance options should we show in a quote?

Typically 2 to 4. Too many can overwhelm customers. A good mix is a short term, a mid-term and a longer alternative for larger systems.

What should we include in a finance-friendly proposal?

At minimum: cash price, system specification, what’s included, expected timeline, warranty information, and a clear finance illustration showing APR (if applicable), monthly payments, term length and total payable.