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By Meg Flippin, Benzinga
The Awareness Group (TAG) (OTC: FHLD), a solar energy services and financing solutions company, is helping transform the industry, rolling out innovative financing products that are making solar more accessible to U.S. households.
Those efforts seem to be paying off. The company reports that it is seeing strong interest in its financing options, which include its Non-FICO Driven Residential Lease program that removes a minimum credit score requirement. Since launching that option in July, TAG says it has signed 475 solar projects, representing a total contract value of $36.9 million. Of those projects, 201 were from July to September, and 274 were in October and November, underscoring the pace of growth. Meanwhile, the total contract value increased from $15.7 million in the July through September period to $21.1 million in October and November alone. The projects have generated $28.8 million in interest-bearing TAG-owned notes and $13.6 million in investment tax credits that TAG owns, both of which can be monetized to generate cash flow.
Boosting Access To The Masses
"Our first-of-its-kind residential PPA, which eliminates FICO scores as a key determinant of approval, is a game-changer in the solar industry. The results speak for themselves: since July, we've signed 475 solar projects, representing a TCV of $36.9 million. These projects have generated $28.8 million in TAG-owned notes and $13.6 million in ITCs TAG owns which we can now monetize,” says Pablo Diaz, CEO and founder of The Awareness Group. “The amazing thing is that during the beta test phase from July through mid-September, we onboarded just two TAG GRID members to sell this product. Since the official launch in mid-September, we've been rapidly expanding, bringing our total to 10 TAG GRID members submitting projects for this innovative product and 21 total have been onboarded and are expected to begin producing in 2025. In addition, with our recently launched TAG-owned non-FICO driven residential solar leasing program, we now enable TAG GRID members to offer our residential solar solutions to homeowners in all 50 states.”
By eliminating credit score barriers, TAG enables its channel partners to tap into a previously underserved customer base. As it stands, traditional solar financing typically requires a minimum credit score of between 600 and 650. TAG’s new Non-FICO Driven Lease eliminates that requirement, enabling homeowners previously shut out of the market to benefit from solar. While low and moderate-income households make up 43% of the households in the U.S., they only represent 15% of solar adopters. TAG is betting this new program will increase access to a part of the market that has long been underserved.
Making The Cost More Manageable
But that’s not the only way TAG is increasing access to residential solar panels. The company also just announced a 30-year loan option for TAG GRID members to offer on residential solar projects available in 26 states. The loan has no dealer fees (which can typically increase the amount of the project cost by up to 40% for homeowners) and offers flexible terms aimed at attracting new members to the company’s TAG GRID platform. In addition to the cost reduction related to not having dealer fees, it also spreads the monthly cost out for homeowners – making it a more affordable way to install solar on their homes.
TAG says the product is a material addition to TAG Financial Services' financing offering and is set to empower TAG GRID members with financing solutions it believes will drive success. "This likely industry-first loan significantly broadens the TFS portfolio, delivering another highly compelling product for TAG GRID members to offer their customers,” says Diaz. “With no dealer fees, above-industry-average payouts that should drive enhanced customer service, and flexible terms, this financing solution is designed to increase sales velocity, attract new members to our platform, and position TAG as a leader in solar financing.”
Timing Is Everything
The launch of the 30-year loan, coupled with the Non-FICO lease program, seems perfectly timed to meet the growing demand for residential solar. According to the Solar Energy Industries Association, the U.S. residential solar market is forecasted to grow at an average annual rate of 10% from 2025 to 2028, driven by strong consumer demand for clean energy solutions, declining technology costs and supportive federal policies. Meanwhile, by 2030, SEIA says there will be 10 million residential solar systems in the U.S., more than double the number of installations today.
“We believe our diverse and innovative product portfolio is among the strongest in the residential solar space, and it positions us to continue driving growth across the TAG GRID while delivering exceptional value to our members, their customers and our investors,” said Diaz.
TAG's 30-year loan is designed to capitalize on this growth, providing TAG GRID members with the tools to address these market trends head-on while helping homeowners access affordable, long-term financing for their solar projects, reports TAG. “With predictable lower monthly payments and flexible budgeting options, homeowners can better manage their cash flow while investing in sustainable energy,” says Diaz. “We're proud to lead the industry with innovative solutions that support the renewable energy transition and ensure TAG GRID members remain at the forefront.”
Making Splashes In The Commercial Industry
In addition to the residential solar market, TAG is aiming to make its mark on the commercial side, gearing up to offer in-house proprietary products as well as access to third-party products. Its new strategic partnership with Apollo Solar and Battery, an international solar consulting firm and founder of the Catalyst Network, underscores that. The Catalyst Network unites over 140 EPCs, equipment OEMs and solar industry professionals nationwide. Through the partnership, TAG became the exclusive commercial finance arm for Apollo's clients and Catalyst members, delivering tailored financial solutions.
Unlike some competitors like SUNation Energy (NASDAQ: SUNE) and Sunrun Inc (NASDAQ: RUN), whose approaches are much more granular, TAG reports it is committed to diversifying its options for long-term longevity. TAG plans to reveal more about its plans in the commercial solar and commercial EV markets in 2025.
Featured photo by Michael Roberts on Unsplash.
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