California Foots the Interest Bill for Small Businesses Looking to Go Green
California has taken yet another ambitious step in its mission towards becoming a green energy leader. The state-backed GoGreen Financing program, administered by the California State Treasurer’s Office, is now offering exceptionally low-interest rates on qualifying loans for energy efficiency upgrades to small and medium-sized businesses across the Golden State.
Starting this month, for a limited period, customers participating in the GoGreen Business Energy Financing arm of the program may secure interest rates as low as 0% as part of the special “Go Low Rates” promotion. The program aims to provide up to $10,000 per project to finance companies, an initiative known as an interest rate buy-down, to reduce interest rates for GoGreen Business borrowers.
The Go Low Rates offer is a strategic effort to prompt more businesses to invest in energy efficiency improvements that can help businesses and nonprofits save on energy costs and, in turn, contribute to the state’s ambitious climate goals. Energy efficiency in businesses and homes is a core pillar in California’s commitment to battling climate change.
With more than 4 million small businesses residing in California, providing over 7 million jobs, it’s a high-impact sector in the state’s economy. As stated by State Treasurer Fiona Ma, programs like GoGreen Financing are vital to assist local businesses in enhancing their operations while also aiding in energy cost reduction. They concurrently support the broader state agenda of promoting green energy.
This offer is particularly timely, considering the various challenges businesses have been facing due to recent harsh weather conditions. As summers in California get increasingly hotter, businesses in warmer regions may look to provide more effective and efficient HVAC systems for their customers. Others might be eager to replace outdated equipment or effectively manage energy costs. Regardless of the motivating factors, GoGreen Business is offering a financial lifeline to these businesses, allowing them to access competitive rates and terms for energy efficiency upgrades and potentially reap long-term savings.
While the buydown amounts can go up to $10,000, the precise amount will vary based on the financed amount, project size, and finance provider. However, businesses have the freedom to explore various financing options with lenders that could decrease overall interest paid, lessen monthly payments via extended payback terms, or achieve a combination of the two.
According to GoGreen Financing Specialist Traci Hukill, this unique promotion can significantly aid businesses that require upgrades but are hesitant due to the initial costs. GoGreen Financing enables businesses to undertake these upgrades without immediate full payment. With interest rates as low as 0%, California’s small and medium-sized businesses now have a substantial opportunity to enhance their operations to peak efficiency levels.
For more information about eligibility for the Go Low Rates promotion and qualifying projects for GoGreen Business, please visit gogreenfinancing.com.
In the fight against climate change, it’s initiatives like these that can turn the tide. By combining smart economic incentives with green energy priorities, California is not only fostering a healthier environment but also a more sustainable and resilient economy.