Solar is a strong investment for Midwest businesses. Often, the first question we receive is, ‘Can you get a grant for solar panels?’. The short answer is yes, depending on your project structure.  

What grants and financial incentives are available for commercial solar projects? 

Grants

1. Focus on Energy  (Wisconsin) 

The Focus On Energy (FOE) Business Customer PV Incentive supports up to $25,000 for commercial properties and up to $35,000 for agricultural producers. 

The FOE grant is available for commercial properties,municipalities, non-profits, or any entity on a commercial utility rate structure. This incentive is prescriptive based on size; more specific details can be found on the FOE Business Webpage. 

2. Solar for Good (Wisconsin) 

RENEW Wisconsin and Couillard Solar Foundation award grant funding or solar module donations to non-profit organizations through the Solar for Good program.  

Arch has worked extensively on Solar for Good projects that have added over 500kW of energy independence to local non-profits and churches.  

3. REAP – Rural Energy for America Program (Federal) 

REAP grants are available for agricultural producers and rural small businesses. REAP helps with both grant funding and loan financing for renewable energy systems, including solar.  

The REAP application can be intensive, but Arch makes it as seamless as possible through our partnership with a nationally recognized application advisor. Finally, REAP grants are open for specific application windows throughout the year, and applicants are notified of their project status within the following months after their submission cycle. 

Incentives

1. Federal 100% Bonus Depreciation  

Systems installed in 2025 and beyond will receive 100% bonus depreciation for property placed in service. 

We recommend working with your accountant or financial advisor to maximize this benefit. 

2. Domestic Content  

The Inflation Reduction Act (IRA)’s introduction of domestic content was rolled out in 2022 and will remain viable through 2032. Under the IRA, businesses can receive up to 10% off their solar project if their products qualify as ‘domestic content’. 

The rules on domestic content are updated frequently. Please reach out to a Business Developer at Arch to learn more about taking advantage of this incentive. 

3. 30% Business Energy Investment Tax Credit – ITC 

Businesses that install solar photovoltaic (PV) systems are eligible to receive an (ITC) investment tax credit, which can be used to directly offset federal tax liability on a dollar-for-dollar basis. If the tax credit exceeds your tax liability you can roll the credit into future tax periods for 20 years. 

The latest legislation established new timelines for commercial solar projects to secure the full 30% ITC. 

• Begin construction BEFORE July 4, 2026: Your business must complete the project and place it in service within four years. 

• Begin construction AFTER July 4, 2026: The project must be completed and placed in service by December 31, 2027. 

• After December 31, 2027: The ITC for commercial solar is eliminated for projects that did not begin construction before July 4, 2026. 

• Foreign Entities of Concern (FEOC) rules: Starting in 2026, equipment sourced from certain foreign entities may affect eligibility for tax credits. To avoid these restrictions, some providers recommend starting construction by December 31, 2025. 

Non-taxable entities now have an option for Direct Pay of their ITC.  

Financing

We partner with multiple financiers to offer you the most competitive rate on financing your commercial solar project.  

1. Sunstone Credit  

Sunstone Credit offers Standard and Special Payment loan terms that range from 5 year to 20 year loan terms. The loan structure can allow re-amortizations and is light on collateral; the flexibility of these terms makes it a great option for businesses.  

Sunstone finances solar projects across the United States and understands the complex nature of tying a solar project’s financial components together.  

2. BMO Greener Future Financing 

For projects that incorporate solar, BMO has a Greener Future Financing option with climate resiliency discounts available on qualifying loan terms.  

Conclusion  

One of the unique aspects of commercial solar is the compatibility of financial incentives. Many solar projects in the Midwest mix and match the incentives to receive the best solar project cost in Wisconsin or Illinois.   

Arch Solar’s business developers are excited to figure out the best grants and incentives for your personal solar project.