Financial options for your projects
Whether your project is in kWs or MWs, Solarity will help you finance the purchase of photovoltaics materials for your projects. You may choose from several options based on the size of the project, the timing of payments and your financial situation. We work with our financial partners to provide our customers with the best possible funding opportunities. Do not hesitate to contact us for further information.
FACTORING
If you have smaller projects and you need a fast, convenient financing solution for recurrent transactions, we recommend using the following solutions by factoring in:
- Purchases from 5 000 to 200 000 EUR based on the approved credit limit
- Financing 30, 45 or 60 days
BENEFITS:
- Once you have a strong financial position, approving the initial funding is easy.
- Once the limit is approved, the consequent transactions are very simple with minimal administrative requirements.
- For our associates in the Partner Program, the cost of financing is below 1 % of the amount of provided credit. This pricing is applied in the case of a 20% prepayment made. After three successful transactions, the prepayment is not necessary.
To apply for Solarity financing, several formal procedures are required. Let us briefly present these procedures to you.
- In order to apply for factoring limit, we need you to provide us with your company’s financial statements for the past year and an estimation of the amount of required credit limit.
- Once the credit limit is approved by Erste Group (dealing with receivable insurance companies takes up to 2 weeks), we will send you the following documents and ask you for your cooperation:
- Framework Agreement (with / without Partner Program) conclusion is required to provide you with the financing.
- Announcement Letter (Notice of the assignment of accounts receivable) that needs to be signed, scanned and sent back to us as an attachment to the response on the last email from the sales representative regarding factoring. This document stipulates that:
a) you formally accept that the receivables of Solarity from your orders using financing (due dates) become receivables of Erste Group and
b) relevant payments for your orders must be directed to the bank accounts of Erste Group instead of ours (identification of such accounts is part of the Announcement Letter).
- Procedure related to factoring and Pricing list where you will find all the necessary information regarding factoring.
- As soon as the documents are signed and accepted, you can start to place orders with financing. Minimum value of order for factoring is 5,000 EUR and a 20% prepayment is usually applied. The proforma invoice will contain a clause: “I agree with financing conditions and hereby confirm ordering”.
- After confirmation of the proforma invoice, we will send you the goods and a final invoice for the remaining amount, for which the credit is provided. Unlike the proforma invoice, the final invoice contains the bank account of the factoring company instead of Solarity.
Once you receive our final invoice for your order, please inform us and confirm the existence of the invoice (acceptance) to Erste Group within 2 business days after their request.
- Erste Group will consequently follow and assess your payment discipline regarding these invoices. In case of any delay, we would have to invoice you a penalty each day, following the terms of Erste factoring.
LETTER OF CREDIT
If you have a larger commercial project, you do not prefer factoring, or factoring is not suitable for you, we accept Letters of Credit as a method of payment.
- For purchases of 50 000+ EUR
- Financing from 30 to 90 days
We are experienced in documentary payments and we accept Irrevocable Letters of Credit, with the preference of Transferable Irrevocable Letter of Credit. We only ask you to cover our fees related to using Letter of Credit which is below 2% of the transaction amount.
BENEFITS:
- Well documented instruments with mutual high security.
- Your financial position is not checked, the banks will take care of the administrative work.
FINANCING TAILORED TO YOUR NEEDS
If your conditions and needs are unique and none of the provided financing options suit you, do not hesitate to contact us to discuss other possibilities that suit you the most. We will do our best to provide you with the most fitting financing option solution.
