Make Those Dreams of New LEDs and Advanced Controls for Your Facility a Reality

What do you do when you want new LEDs and advanced controls but are not sure how to pay for it?

Of course, you can always go the quick, flexible and easy way: finance. Financing creates a cash-flow positive situation since your energy savings will outweigh any monthly payments. Plus, you can receive an answer swiftly. With simple documentation, you can get an automated credit approval and rapid funding. With no down payment and lower running costs, this path is typically the most preferred.

However, financing isn’t always the best option for everyone.

According to Lee Levitt, North American Utility Director at Current, “It’s not just about funding; it’s about savings. Many people look at LEDs and advanced lighting controls as an expense, but it doesn’t need to be. While financing is often the easiest route, there are other options you may not be aware exist. That’s why we always recommend our customers talk with a funding advisor who can provide information of the various options.”

Grants provide another source of funding business can pursue when looking to make the switch to LED. They can reduce cost while offering big benefits for small businesses, including zero-cost upgrades. And unlike traditional financing options, there is no repayment. By utilizing grant opportunities, businesses can take advantage of grants to upgrade their lighting while saving critical cash for the future.

Another possibility businesses should consider is using a tax-centric strategy. While it may seem complicated, it’s actually very straightforward. Consulting your accountant, you can use abandonment to retire existing and obsolete lighting equipment. With a bonus/QIP depreciation, you can write off part or even all of your new energy-efficient lighting equipment. Plus, the remaining fixed building assets have accelerated depreciation.

The final option is to receive cash rebates from local utilities. Rebates are essentially discounts on the cost of energy-efficient LEDs and advanced controls. Most utility companies offer prescriptive and custom rebates and incentives, also known as “Downstream” rebate program. The prescriptive method uses energy rebates that are typically offered for each energy-efficient fixture you install—a one-for-one replacement or retrofit. Custom incentives are more complicated and are paid based on the amount of energy savings. In both cases, apply early for pre-approval as rebate dollars may be limited and pre-inspections may also be required.

As you can see, financing and funding are not the only ways to make your energy-efficient lighting and advanced controls dreams come true. The reality is that where there is a will, there is a way.

Want to learn more? Call a funding advisor at 1-833-544-0514 or email You can also download our funding guide to better understand all the options available to you.