While growing as a wholesaler, the business will continue to operate its eCommerce channel as a direct-to-consumer business model; however, meaningful margin increases will be realized with the purchase of additional inventory enabling a distribution sales model. Today, solar equipment installers ha…
While growing as a wholesaler, the business will continue to operate its eCommerce channel as a direct-to-consumer business model; however, meaningful margin increases will be realized with the purchase of additional inventory enabling a distribution sales model. Today, solar equipment installers have to purchase the equipment they need to complete a project from multiple vendors. As a distributor, SimpleRay offers these installers vendor consolidation in exchange for higher product gross margins.
Large & Growing Market: The U.S. Solar Market Insight Report issued on June 11, 2013 estimates through 2017, revenue is forecast to continue growing, increasing at an annualized rate of 5.0% and eventually reaching an estimated $2.0 billion. The renewal of the corporate sector is anticipated to create the most demand for solar installations as corporate profit continues to recover from recessionary lows, technological advances continue to make solar more economical when compared to traditional grid electricity, and companies seek to present themselves as environmentally friendly.
An increasing number of states are passing legislation to support the growth of the solar industry and green energy as a whole. Most recently, the state of Minnesota passed the 2013 Clean Energy Jobs Bill in May 2013. This bill designates a 1.5% solar standard by 2020 for investor-owned utilities (IOU), which will create a state market of approximately 500 MW. This is 38 times the current 13 MW usage. Additionally, the bill entitles 10.0% of the 500 MW (50 MW) to small business and home systems that generate 20 kW or less. The long-term goal as defined by this bill is to generate 10.0% of all power from solar systems by 2030, up from the 1.5% benchmark set for 2020.
Team (1)
Sectors SimpleRay Solar serves:
Distribution
Retail
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