Specialist commercial finance solutions provider Wesleyan Bank has launched a cashflow product designed for the renewable heat sector.
The finance option provides advanced payment for companies involved in government-qualifying Renewable Heat Incentive (RHI) projects.
The RHI financing solution has been created in partnership with Alterinvest Capital (Alterinvest), which acts as a dedicated commercial finance broker for limited companies with renewable energy projects.
Richard Baker (pictured), who heads up the RHI team at Wesleyan Bank, said: “Improving cashflow can make a tangible difference to the success of renewable energy projects. Our solution aims to accelerate annual RHI subsidy income into one upfront payment, reducing the impact of short-term setup costs and is suitable for customers operating systems that have already achieved accredited status.”
Qualifying businesses receive an upfront single payment based on their 12-month RHI claim forecast and historic RHI receipts.
Baker added: “The launch of this solution allows us to further help those investing in renewable heating. As an asset finance specialist, we are continuing to assist with initial equipment purchase and, in some instances, refinancing. RHI Financing offers a unique advantage over other forms of traditional lending as it allows renewable heat operators to improve cashflow and short-term financial stability on an ongoing basis, after the initial investment has been made.”
Wesleyan Bank is a wholly owned subsidiary of Wesleyan Assurance Society and provides specialist commercial lending to support UK professions and SMEs.