Time Is Running Out: Small Businesses Have Until July 2026 to Start Solar Projects for 30% Tax Credit

Kim Sykes • November 11, 2025

As a veteran-owned solar company that's been serving San Diego County since 2008, we've helped hundreds of customers make the transition to clean, affordable energy. Today, we need to share some important news that could save your business tens of thousands of dollars—but only if you act soon.

The Clock Is Ticking on Significant Savings

Here's what most business owners don't realize: While they're busy running their businesses, they're missing out on one of the most generous federal incentives ever offered to small businesses.



The federal Investment Tax Credit (ITC) currently offers small business owners a 30% tax credit on solar panel and energy storage installations. This substantial incentive has made solar energy accessible and affordable for businesses across our community. However, there's a critical deadline approaching that every small business owner needs to know about: your project must begin construction by July 4, 2026, to qualify for the full 30% credit.


After July 4, 2026, the credit begins to phase down. Projects that start construction after this date must be fully installed and operational by December 31, 2027 to receive any tax credit at all. This means the window for maximum savings is closing faster than many business owners realize.

What does 30% really mean for your business?

  • $50,000 system = $15,000 tax credit
  • $100,000 system = $30,000 tax credit
  • $200,000 system = $60,000 tax credit

Why Solar Makes Dollars and Sense for Small Businesses

Picture this: It's 2 PM on a scorching August afternoon. Your air conditioning is running full blast, your equipment is humming, and your utility meter is spinning like a slot machine. Now imagine that same scenario—except you're generating your own power at a fraction of the cost.

For nearly two decades, we've watched San Diego small businesses transform their bottom lines through solar energy. The benefits go far beyond feel-good environmentalism—this is smart business strategy.


Immediate Cost Reduction

Energy costs represent one of the largest variable expenses for most small businesses. The math is compelling:

  • First-year recovery: Between the 30% federal tax credit and accelerated depreciation benefits, businesses typically recover 50-60% of their solar investment in year one
  • Ongoing savings: Electric bills drop by 70-90% on average
  • Complete elimination: Many of our clients pay $0 in electricity costs


One of our restaurant clients in North Park was spending $2,400 monthly on electricity. After going solar, their average bill dropped to $180. That's over $26,000 in annual savings—money that went straight to hiring additional staff and expanding their patio.

San Diego businesses seeing major savings with solar:

Hospitality & Food Service

  • Hotels running 24/7 HVAC and laundry facilities
  • Restaurants with high-draw kitchen equipment and refrigeration
  • Breweries with energy-intensive brewing and cooling systems
  • Coffee shops and cafes with constant equipment operation


Healthcare & Senior Care

  • Medical clinics requiring uninterrupted power for critical equipment
  • Dental offices with high-tech diagnostic tools
  • Senior living facilities with round-the-clock lighting and climate control
  • Veterinary clinics protecting animal welfare during outages


Retail & Consumer Services

  • Grocery stores with extensive refrigeration needs
  • Retail chains with multiple San Diego locations
  • Shopping centers and strip malls
  • Fitness centers and gyms with equipment and extended hours


Industrial & Education

  • Light manufacturing facilities with machinery and production lines
  • Warehousing operations with climate control and logistics systems
  • Private schools and educational facilities
  • Charter schools looking to redirect savings to student programs


Each of these business types has unique energy profiles—and unique opportunities for savings. Whether you're keeping food fresh, patients comfortable, or products moving, solar energy can dramatically reduce your operating costs.

Energy Resiliency When You Need It Most

Remember the last time your power went out? How much revenue did you lose? How many customers did you turn away?

San Diego's beautiful weather comes with an increasingly unreliable grid. Public Safety Power Shutoffs, equipment failures, and extreme weather events can shut down your business without warning. When you pair solar panels with battery storage (also eligible for the 30% credit), you're investing in business continuity.


Battery storage benefits:

  • Keep operations running during grid outages
  • Protect sensitive equipment and inventory
  • Maintain credit card processing and point-of-sale systems
  • Stay open while competitors close their doors
  • Preserve refrigerated goods and prevent spoilage


That's not just resilience—that's competitive advantage. While your competitors close their doors during outages, you stay open, serving customers and maintaining revenue.

Lock In Your Energy Costs for Decades

What if we told you that you could freeze your energy costs at 2025 rates for the next 30 years?

Utility rates in California have increased by an average of 5-7% annually over the past decade, and there's no reason to expect that trend to reverse. When you go solar, you're essentially locking in your energy costs at today's rates for the next 25-30 years.


The compound effect is staggering:

  • Year 5: Utility customers pay 35% more than solar businesses
  • Year 10: Utility customers pay 75% more than solar businesses
  • Year 15: Utility customers pay 130% more than solar businesses



It's like signing a lease with guaranteed pricing while everyone else faces annual rent increases. For business planning and budgeting, that predictability is invaluable.

Why Small Businesses Can't Afford to Wait

Here's an uncomfortable truth: Every day you delay costs you money.

We understand that installing solar feels like a big decision. But consider this: every month you delay is another month of paying premium rates to the utility company instead of investing in your own energy infrastructure.


Timeline reality check:

  • Initial consultation and site assessment: 1-2 weeks
  • Custom system design: 1-2 weeks
  • Permitting and approvals: 4-8 weeks
  • Installation: 1-2 weeks
  • Utility interconnection: 2-4 weeks


Total timeline: 2-4 months minimum

With the July 4, 2026 construction deadline approaching, businesses that wait until late 2025 or early 2026 may face:

  • Longer wait times due to increased demand
  • Rushed installations as the deadline nears
  • Limited equipment availability
  • Scheduling challenges with permitting offices

Our Commitment to San Diego's Small Business Community

We're not just solar installers. We're your neighbors.

Since 2008, Asgard Energy has been more than just a solar installer. We're fellow business owners, proud members of the San Diego community, and veterans who understand the value of preparation, reliability, and mission-critical infrastructure. We bring that same commitment to every commercial installation we complete.

What sets us apart:

  • 17 years serving San Diego County
  • Veteran-owned and operated
  • Licensed C10 Electrical Contractors
  • Local team, local support
  • Transparent pricing, no hidden fees
  • Long-term service commitment
  • Still here supporting systems we installed in 2008


We're not here to pressure you with high-pressure sales tactics. We're here to provide honest assessments, transparent pricing, and reliable service—before, during, and long after your installation. Our longevity in this community speaks to our commitment: we'll be here to support your system for decades to come.

Take the Next Step

The question isn't whether solar makes sense for your business. The question is: Can you afford to miss this deadline?


The 30% federal tax credit represents potentially tens of thousands of dollars in savings for your business. Combined with reduced operating costs, increased resilience, and predictable energy expenses, solar energy is one of the smartest investments a small business owner can make.


But with the July 4, 2026 construction deadline approaching, now is the time to explore your options.


Ready to see what solar can do for your business?

Contact Asgard Energy today for a free, no-obligation assessment of your business's solar potential. Let's work together to reduce your costs, increase your resilience, and secure your energy independence before this opportunity expires.

Your business deserves the stability and savings that solar energy provides. Let's make it happen.


Asgard Energy | Licensed C10 Electrical Contractors | Veteran-Owned | Serving San Diego County Since 2008

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