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How do I market to investors? Solar Farm

Hi,
I am currently seeking investors to own and operate a solar farm in northern NSW, I am a electrician and solar installer and have done a few large jobs and now seeking to build one for myself with investors.
I have created an investor proposal and had many of comments on improvements from various people, my question is how do i effectively get this in front of investors? I want to do face-to-face so that my passion can be conveyed, this would prove very time consuming. Any advice would be greatly appreciated.
Project cost 3.8M, Estimated annual revenue 1.2M +8%growth p.a, Lifespan 30 years.
-No employees, consistent cash-flow, economically sound in all climates.
Regards

2 Answers

G'day Darren,
Thank you for replying to me question.

We have cash flows for the next 30 years in our proposal. these are based on pricing trends on the last 20 years and inflation costs.

In regards to the contracts, as this system is under 5MW at current no firm contracts can take place before the registration of the generator system, to do this we need to have all aspects approved (council, ASP) and both of those require financial backing. All generator systems can operate on the AEMO pricing structure

In the document we have allowed for the cost of replacing the equipment as the warranty ends. even if that equipment last longer then the warranty, a fixed replacement structure has been put in place.

We have a property selected after due-diligence with drafted site plans already created to be submitted to council, including a 1300 page Environmental impact statement that has been developed to ease the approval process.

That business model is one we have looked into and with regulation on retailer supply it would not be cost-effective to supply less then 100 consumers. There is also the issue of the need for energy at night which we are unable to provide without having a second means of supply.

I would love for you to review our proposal, What is the best way to get this to you? I am also keen to organize a 1 -to- 1 with you through mentored to get insight into the major hurdles you have faced when pulling off an infrastructure project.

Regards
Hayden
Start Up

Hayden,
Congratulations, this is an excellent initiative and your passion is admirable. A few thoughts for you in terms of the case you will need to prepare for potential investors. Please bear in mind this business case should be robust before you approach any investors as you may only get one shot at a presentation.
Firstly, investors in long life projects value high confidence in the cash inflow. This is normally demonstrated through the financial forecasts in a business plan and underlying contractual commitments of users or off-takers as they are known in the industry. In a nutshell long term contracted income with price certainty.
Second, your business plan will also need to demonstrate a whole of life (30 years) costs forecasts. This should include operational costs, maintenance and replacement of capital items eg. the panels.
Thirdly, you will need a site to install the panels and be able to secure this without risk of leasehold termination i.e. certainty of occupation. If the project is to transmit through the electricity grid then connection agreements will also be required. The alternative would be a private project where you connect with a small local group of businesses.
A finance model can be assembled once these inputs are consolidated
Before you kick this off too much further, it would be worth doing a quick review of what price you will need to charge and how that compares with what local businesses are paying for their current supply. Then you have a target to work forward with on what the market competitive price point is for supply.
Happy to give you more detailed guidance and review your proposal if you find the above points useful. Otherwise all the best with getting your project to market.

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