Solar Project Finance
How Do I Raise Debt for a Solar Project?
Solar debt is not raised with a deck and a dream. It is raised with bankable contracts, a lender-grade model, and a submission that underwrites.
Financely Term Sheet Desk packages your solar project to lender standards, introduces it to matched lenders, and runs tracked decisioning to written outcomes.
This is commercial only. Financely is not a lender.
For the platform workflow, see How It Works.
What solar developers actually ask when they want debt
Bankability and readiness
- Is my PPA or offtake financeable, and what term length matters?
- Do lenders require NTP, or can I raise pre-NTP capital?
- What is the interconnection requirement for underwriting?
- What is a bankable EPC contract and what warranties are expected?
Model and debt sizing
- How do lenders size debt on P50 vs P90 energy yield cases?
- What DSCR and reserve mechanics show up in term sheets?
- What reports do lenders expect from an IE and resource consultant?
- How do curtailment and merchant tail affect appetite?
The lender view: what gets underwritten
Solar project debt is a risk allocation exercise. Lenders look for contractual revenue, construction certainty, operational reliability, and a model that survives downside cases.
If one pillar is weak, the term sheet tightens or disappears.
| Underwriting pillar |
What lenders look for |
What you must show |
| Revenue and offtake |
PPA or contracted revenue profile, credit quality of offtaker, term length, curtailment language, change in law, termination regime. |
Executed PPA or clear offtake path, plus a plain-language summary of risk points and mitigants. |
| Interconnection and permits |
Interconnection status, milestones, upgrade scope, permitting path, site control, schedule risk. |
Interconnection documents, permit status tracker, site control evidence, critical path schedule. |
| Construction risk |
EPC wrap, schedule LDs, performance guarantees, contractor strength, supply chain and module traceability risk where applicable. |
EPC term sheet or executed EPC, warranties, security package, and procurement plan. |
| Operations and availability |
O&M scope, response times, availability targets, spares strategy, degradation assumptions, insurance program. |
O&M agreement term sheet, operating plan, and insurance summary. |
| Energy yield and resource |
P50 and P90 production cases, sensitivity drivers, irradiance data provenance, degradation and losses, tech assumptions. |
Lender-grade model with P50 and P90 cases and a clear assumptions register. |
| Financial model and DSCR |
DSCR sizing, reserve mechanics, distribution tests, covenants, base case and downside resilience. |
Model outputs that reconcile, with a covenant and reserve schedule lenders can follow. |
| Security and controls |
Project accounts, cash waterfall, assignments, step-in rights, lien position, reporting cadence. |
Security and controls summary, including account structure and reporting plan. |
What types of solar debt we help place
Project-level debt
- Construction-to-term facilities
- Mini-perm or term debt (amortizing or sculpted)
- VAT and construction bridge (fact dependent)
- Portfolio warehouse style facilities (fact dependent)
We focus on clean deal packaging and lender decisioning. The structure follows the contracts and the model.
Pre-COD and capital stack situations
- Development stage capital when bankability gates are clear
- Bridges to committed capital sources (fact dependent)
- Holdco or back-leverage overlays when supportable (fact dependent)
If your project is not ready, we scope around getting it to a financeable submission standard.
The solar lender-ready package checklist
Lenders do not want ten folders of random files. They want a controlled data room that mirrors their credit committee workflow.
This is the core pack we build and normalize for submissions.
| Workstream |
Documents and outputs |
Why it matters |
| Commercial |
PPA or offtake contract summary, tariff terms, credit notes on offtaker, curtailment and termination points. |
Revenue drives debt sizing and tenor comfort. |
| Development |
Site control, permits tracker, interconnection status, schedule and critical path milestones. |
Unresolved development risk kills debt appetite. |
| Construction |
EPC term sheet or contract, LDs, warranties, performance guarantees, contractor profile and security. |
Lenders price construction certainty and counterparty risk. |
| Operations |
O&M agreement term sheet, availability targets, spare parts plan, insurance summary. |
Operating stability protects DSCR over time. |
| Technical |
Energy yield model (P50 and P90 cases), assumptions register, degradation, losses, curtailment sensitivities. |
Debt sizing is tied to downside cases. |
| Financial |
Project finance model outputs, DSCR schedule, reserves schedule, sources and uses, capex and opex build. |
Term sheets follow the model, not your headline IRR. |
| Sponsor and compliance |
KYB pack, ownership chart, sponsor track record, financial support evidence where relevant. |
KYB is a hard gate for most lenders. |
What you get when you retain Financely
| Deliverable |
What it includes |
What you see on the platform |
| Lender pack build |
Underwriting memo, sources and uses, covenant targets, security and controls summary, and a controlled data room structure. |
Version-controlled package, checklist completion status, and submission readiness gate. |
| Matched lender routing |
Introductions to lenders whose credit box fits your project size, geography, and contract profile. |
Submission log, lender status tracking, and standardized follow-up cadence. |
| Decisioning workflow |
Q&A routing, term sheet capture, and comparison matrix with key economic and covenant terms. |
Term sheet matrix, decision log, and documented written outcomes. |
| Diligence sequencing support |
Process management through CPs, counsel coordination where applicable, and closing workflow visibility. |
CP tracker, diligence requests log, and timeline discipline through closing. |
Pricing and minimum requested facility size
Term Sheet Desk is priced as a flat fee because the work is standardized and measurable.
The minimum requested facility size is USD 2,500,000.
| Item |
Terms |
| Flat fee |
USD 49,500 per mandate |
| Payment milestones |
USD 19,500 to start USD 15,000 on lender-ready package delivery USD 15,000 when lender outreach begins |
| Minimum requested facility |
USD 2,500,000 |
Simple 4-step procedure
| Step |
What happens |
What you get |
| 1) Submit your deal |
You submit the solar project summary and initial documents. We return a fit decision and a deal-specific checklist. |
A clear readiness path tied to lender expectations. |
| 2) Sign and pay to start |
You sign the engagement letter and pay the start milestone. We open your platform workspace and controlled data room structure. |
One workspace for documents, questions, statuses, and version control. |
| 3) Package to lender standard |
We build the lender pack, normalize the model outputs, and prepare the submission version. You approve the outreach package. |
A lender-ready file built for credit committee review. |
| 4) Decisioning through written outcomes |
We run matched outreach, track submissions, route Q&A, and standardize term sheets into a comparison matrix. Where offers progress, we coordinate diligence sequencing toward closing. |
Written outcomes and a controlled path from term sheet to closing. |
90-day refund guarantee
Refund Guarantee:
If, within 90 days of engagement start (date of the start milestone payment), you do not receive at least one written term sheet or a written decline from matched lenders after outreach launch,
you may request a refund of all Financely fees paid on that mandate.
This guarantee is conditioned on timely delivery of required documents, accurate disclosures, and reasonable cooperation with lender Q&A.
Third-party costs, if any, are not refundable.
Deal Assessment Questions
Answer these cleanly before you expect real term sheets.
If you cannot, the project is not yet financeable or the structure must change.
- Is revenue contracted via PPA or equivalent, and what is the offtaker credit story?
- What is the interconnection status, and what are the remaining milestones to COD?
- Do you have site control and permits on a schedule that matches the financing timeline?
- What is the EPC risk allocation, including schedule LDs and performance guarantees?
- What is the O&M scope, availability target, and insurance program?
- What do P50 and P90 cases show, and what sensitivity breaks DSCR first?
- What is the capex basis, and what contingencies and reserves are built in?
- What is the exact use of proceeds and the draw schedule during construction?
- What security and cash controls are acceptable for the sponsor?
- What is the repayment plan at stabilization and what is the refinancing or take-out story?
FAQ
Do I need an executed PPA to raise solar project debt?
Contracted revenue materially improves lender appetite. Some lenders may engage earlier if bankability gates are clear, but terms typically tighten until revenue and interconnection risk are resolved.
What is P50 vs P90 and why do lenders care?
These are probability-based production cases. Lenders size debt to downside resilience, not the most optimistic yield. Expect lenders to focus on DSCR under conservative cases.
Can you help with tax credit bridge loans?
We focus on debt packaging and lender introductions. If a tax credit bridge is relevant, we can position the request and coordinate with appropriately qualified specialists where required.
Do you provide the financing?
No. Financely is not a lender. We package the deal to lender standards, introduce it to matched lenders, and run a controlled decisioning workflow to written outcomes.
Important:
Financely is not a bank and does not lend. We do not promise approvals or funding.
Outcomes depend on credit, documentation quality, contracts, model assumptions, compliance, and lender approvals.
Submit your solar project
If you want solar project debt, submit a lender-ready file. Financely will screen fit, build the pack, route to matched lenders, and run decisioning to written outcomes.
Start with How It Works
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review our solar context article Solar Project Debt Financing in Africa
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or submit directly via Contact Us.