Following a July announcement, Clean Power Finance, Inc. and Kilowatt Financial LLC consummated their merger in December and now operate under the moniker Spruce Finance.
According to the press announcement, Spruce operates as a nationwide provider of consumer financing for residential solar systems and water conservation and energy efficiency home improvements in the US. To date, the company reports raising more than $2 billion in capital to help more than 50,000 homeowners improve their residences.
Spruce CEO Nat Kreamer said, “Spruce is a nationwide one-stop-shop for financing that helps consumers save money on all of their utility bills. We offer solar financing in 18 states and water and energy efficiency home improvement financing in all 50 states.”
Among banking players in the new concern, add US Bank subsidiary US Bancorp Community Development Corporation to the ledger. US Bank presently stands as one of the largest tax equity providers in this country’s residential solar market. This US Bank participation is expected to allow Spruce to finance approximately $175 million in residential solar systems across 12 states during 2016. This is no small feat as homeowners and contractors push to finance renewable energy and energy efficiency options.
According to Spruce, its partners will have access to a variety of finance products. Presently, nearly 400 channel and contractor partners can offer Spruce’s consumer financing. Spruce partners include companies selling and installing PV systems, general contractors, roofers, insulation and HVAC experts, and equipment manufacturers.
Concerning the financing scope of the new entity, Kreamer was cited in a Greentech Media article: “If a consumer wants to go solar but also needs a new roof or wants to put in LED lights, the classic solar guys can’t do that.”
Senior solar market analyst Nicole Litvak provided a big-picture perspective.
“With about half of U.S. residential solar now installed by vertically integrated companies, there is growing pressure on partner-model financiers to compete for the business of the remaining installers. This merger was likely an effort to reduce this competition by consolidating installer networks, as well as financial products.”
Image via Spruce Finance
Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!
Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.
Former Tesla Battery Expert Leading Lyten Into New Lithium-Sulfur Battery Era — Podcast:
I don't like paywalls. You don't like paywalls. Who likes paywalls? Here at CleanTechnica, we implemented a limited paywall for a while, but it always felt wrong — and it was always tough to decide what we should put behind there. In theory, your most exclusive and best content goes behind a paywall. But then fewer people read it! We just don't like paywalls, and so we've decided to ditch ours. Unfortunately, the media business is still a tough, cut-throat business with tiny margins. It's a never-ending Olympic challenge to stay above water or even perhaps — gasp — grow. So ...