If you’re going to start solar energy business in India, then this article is for you. Everything you need to know about getting your solar energy business off the ground will be addressed here in this article.
Why start Solar Energy Business in India?
Because of the alarming rise in global power demand, renewable energy sources have become increasingly important.
India’s national and state governments have devised and implemented a variety of programs, incentives, and approaches to encourage more people to use solar power.
With patience and determination, you may reap enormous rewards if you start solar energy business in India. As one of the greatest renewable energy sources, solar has attracted a huge number of experienced business people and start-ups.
Furthermore, many communities, particularly smart cities and next-level cities and towns, are also exploring rooftop solar energy generation and have regulations in place to support it. These factors contribute to the solar industry’s enormous potential.
As India’s transition to solar energy as the dominant source of power is still in its infancy, the possibility for many years to come is truly enormous.
Types of Solar Business in India
Manufacturing Sector in Solar Business
The first is the manufacturing sector, which is responsible for the production of goods and accouterments in the solar business.
As a result of the high costs associated with manufacturing the product, as well as acquiring the property and paying for the wages of the employees, this industry necessitates a significant outlay of capital on your part.
If you can’t risk investing all your savings in the business, you may utilize a business loan to start solar energy business in India.
Service Sector in Solar Business
Installation, repair, maintenance, and other services are all part of this industry. Solar expertise and a team are required, as the job entails responsibilities like support and maintenance.
Marketing and Sales Sector in Solar Business
The marketing industry does not need a large financial outlay, but rather a high level of expertise. However, You should be capable of generating leads and converting them into clients using website development and digital marketing.
Stepwise Procedure to Start Solar Energy Business in India
Create a Business Plan
A thorough business plan is a must-do before launching any new venture. Everything you need to start a business should be included in your business plans, such as a history of your company and a breakdown of your finances and working capital.
Having a solid business plan and project report also makes it easier to obtain financing from a variety of sources, including private and public sector banks, non-bank financial institutions (NBFIs), regional rural banks, small finance institutions (SFIs), and microfinance institutions, at any point in the company’s lifespan.
Apply for Company Formation
Creating a legal business entity is the next stage, and this is done by registering a company.
You can have Company Registration in a variety of forms.
As per the Indian rules and regulations, you can have company registration in any of the following ways:
- Private Limited Company Registration
- Public Limited Company Registration
- One Person Company Registration
Choose the appropriate Location
A company’s success or failure is largely determined by its location. As a matter of fact, given the nature of the solar energy industry, it is critical to carefully choose the business location.
Certainly, there must be a high concentration of sunshine in order to maximize storage and future use of sunlight.
Obtain Mandatory Registrations and Licenses
It is possible to start a solar energy business in a variety of ways, including production, distribution, consulting, installation, sales, parts & accessories, contractor/financer/researcher, R&D/maintenance, trading, and training.
Every one of these divisions has a great deal of potential for corporate growth and expansion, as well as the potential to generate profits.
As a result, there are several registrations and licenses that vary as per the business model. However, some mandatory registration that applies to every business model to start solar energy business in India are as follows:
- GST Registration and GST Return Filing to be compliant with taxation compliances
- Trademark Registration to protect your branding
- MSME Registration to avail benefits from the government and Financial Institutions
Download E-Startup Mobile App and Never miss the latest updates narrating to your business.