Finance helping Australian businesses go green

Go Green With Finance

Whether motivated by reducing energy costs or becoming a more sustainable business, businesses with warehouse facilities have taken green energy to heart, and more and more are using finance to achieve their green energy objectives.

Australia's $5 billion warehousing industry is a huge supporter of the economy, backing, not least of all, the transport and logistics sector, which generates $201 billion in revenue each year. According to consultancy firm Ferrier Hodgsons, that accounts for around 15 per cent of our entire GDP, while the sector is "predicted to double by 2030 and triple by 2050 off the back of a doubling between 1990 and 2010."

With such steep growth predicted, the businesses in these sectors are looking at ways to minimise cost to improve their bottom line. One significant way to do that in the modern world is to reduce their energy usage and cost through investment in clean energy.

Going green

Australian businesses have taken green energy to heart, encouraged by the double dividend of cutting electricity bills and putting less strain on our climate conditions. With significant advancements in technologies like solar photovoltaic (PV) panels, energy efficient lighting and HRVAC systems, who could blame them?

These clean energy assets, however, do range in size, efficiency, reliability and price. For those looking to upgrade their facilities, it may be difficult to start the daunting process of researching requirements and available systems, selecting the supplier, obtaining the essential internal buy-in and sign off, and then arranging payment.

A little help from your friends

For this reason, the dedicated clean energy finance team at Classic Funding Group can assist interested businesses by, not only providing a cost-to-saving analysis on a hypothetical solar PV system, but also putting them in touch with suppliers and installers who can provide more detailed system specification options.

Ben Lai, a clean energy finance specialist explains, “A business looking into installing a solar PV system for their leased or owned premise can build their business case for investing in the system by getting an obligation free cost-to-savings analysis on a financed system, which clearly shows the indicative energy savings and cash flow position.”

"We offer innovative finance options, which enable businesses to lower their monthly repayments by spreading the cost of the system over seven years, as opposed to the traditional five-year finance terms prevalent in the market", he says.

"With most solar systems having a lifespan of over 15 years, businesses can benefit from low-cost energy well after they have paid off the system," Ben concluded.

There are many ways in which businesses can go green, and the process can be made simpler by arranging finance pre-approval and being able to invest in high quality systems, without being deterred by upfront cost.

Are you looking to trim the costs of powering your warehouse? There's more to discuss, so please feel free to contact our specialist team at Classic Funding Group to speak to an expert. Call us on 1300 780 895.