Invoice Financing for Solar PV EPC Contractors in Accra
Bridge 60-90 day payment delays on commercial solar PV installations across Accra. Unlock working capital between GHS 3,000 and GHS 150,000 on certified invoices.
Solving Cash Flow Bottlenecks for Solar EPC Contractors in Accra
Commercial and industrial (C&I) solar installations are expanding rapidly across the Greater Accra Region, driven by factories in North Industrial Area, retail hubs in Airport City, and office parks in Ridge seeking cleaner, cheaper power. However, solar Engineering, Procurement, and Construction (EPC) firms in Accra face substantial working capital bottlenecks.
Procuring tier-1 solar photovoltaic (PV) modules, commercial inverters, mounting rails, and lithium battery storage systems requires immediate payment—often in foreign currency or cash-on-delivery to importers. Conversely, corporate clients and real estate developers typically pay across milestone certifications, holding 10% retention fees and delaying milestone invoices by 45 to 90 days. Academic research on Ghanaian SMEs highlights that restrictive conditions in traditional banking make accessing short-term liquidity a major hurdle (Braimah, 2021).
Typical Cash Flow Cycles and Invoice Sizes
- Invoice Range: GHS 25,000 to GHS 150,000 per certified milestone.
- Payment Terms: Net-45 to Net-90 days following engineer inspection.
- Capital Trap: Contractors must purchase high-cost balance-of-system hardware for Phase 2 before receiving funds for Phase 1 delivery.
Funding Scenario
Consider an EPC contractor that completed a 120kW rooftop solar installation for a cold store in Spintex. The contractor submits an approved inspection milestone invoice of GHS 120,000 with 60-day payment terms.
- Approved Invoice Value: GHS 120,000
- Advance Rate: 80%
- Immediate Cash Disbursed: GHS 96,000 within 24–48 hours
- Remaining Balance: GHS 24,000 credited to the contractor upon corporate debtor settlement, minus the discounting fee.
This immediate injection allows the contractor to settle local technician payroll and purchase balance-of-system components for their next installation without taking on long-term balance sheet debt.
Frequently Asked Questions
Can I discount milestone invoices for commercial solar projects?
Yes, provided the milestone has been formally certified and approved in writing by the corporate buyer or supervising project engineer.
What is the minimum invoice size eligible for financing?
The minimum eligible invoice size on Built Float is GHS 3,000, with a single facility ceiling of GHS 150,000 to GHS 200,000.
Does Built Float finance residential installations?
No. Built Float strictly discounts invoices issued to registered private corporate buyers and commercial businesses.