Three battery power units that took the generators off tick-over
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CASE / 01 / Events and temporary power

Three battery power units that took the generators off tick-over

They asked about one battery. We funded three, and the fuel bill did the rest.

Asset
3 x battery power units
Value
£200,000
Term
4 years
Deposit
VAT only

National events production company

An events business wanted a single battery unit to cut diesel burn on site. Once we looked at how the generators were actually being run, the case for three units was far stronger than the case for one.

The background

The enquiry that came in was modest. One battery unit, priced up by a supplier, sitting in a folder waiting for a quiet month in the accounts.

Before talking about funding, we asked how the generators were being used across a season. The answer was the interesting part. Sets were running for hours on low load, burning fuel to keep a stage lit and a handful of welfare cabins warm.

The problem

Fuel was the second largest cost line on most events, and almost none of it was going into peak load.

Generators running continuously at low load meant servicing intervals arrived faster than the accountant expected.

Buying outright would have taken working capital out of the business in the middle of a season when deposits and crew costs were already stacked up.

How we looked at it

We looked at the run data across a full season rather than a single event, and split it into what genuinely needed a generator and what a battery could carry on its own.

That work showed one unit would cover a single stage, while three would let them run hybrid across a whole site and switch the sets off overnight.

We then wrote the funding proposal around the fuel and servicing savings, so the lender was reading an operating case, not just an equipment invoice.

The funding solution

Three battery power units funded together as one facility rather than as three separate decisions across three seasons.

A VAT only deposit, so the business kept its cash in the operation through the busiest trading months.

A four year term set against the run rate the units would realistically achieve, not a default finance period.

The outcome

The three units went into service together, which meant the saving landed in one season rather than being drip fed over three.

Generators now run to support peak load rather than idling through the night, and fuel and servicing costs dropped accordingly.

The business can now tender for work where low emission site power is part of the scoring, without a separate capital request each time.

What we funded

  • Battery power units
  • Distribution and connection kit
  • Delivery and commissioning

Structure: VAT only deposit, 4 year term

FAQs

Funding questions on this project

The questions businesses ask most often when they are looking at this kind of project.

Can battery power units be funded on a VAT only deposit?

Yes, on well supported cases. Battery units hold their value and are straightforward to redeploy, so funders are often comfortable taking the VAT as the deposit and spreading the capital cost across the term. On this project that kept the full £200,000 of equipment cost out of the business bank account during the trading season.

How much does it cost to finance three battery power units?

Cost depends on the equipment price, the term and the strength of the business rather than a fixed rate card. This project ran at £200,000 across three units on a four year term with a VAT only deposit. We give an indicative monthly figure before you commit to anything, so the fuel and servicing saving can be set against a real number.

Can fuel savings be used to support a finance application?

They help considerably when they are evidenced. Run data from a full season showing generators idling on low load is far stronger than a supplier projection. We build the proposal around the operating case so the funder is reading how the asset earns, not just an invoice.

Does the finance cover distribution and commissioning as well as the batteries?

It can. On this project the distribution and connection kit, delivery and commissioning sat inside the same facility as the units themselves, which is normally cleaner than paying enabling costs out of working capital.

What term suits battery power equipment?

Four to five years is common. The term should be set against the realistic utilisation of the units and the saving they generate, not a default finance period, which is why we ask about the season before we talk about structure.

A conversation, not an application

Tell us what you are trying to build.

Start with the project, not the paperwork. Tell us about the site, the equipment you are considering and what you want it to achieve. We come back within 24 hours with a clear view on how it could be funded, and an honest answer if it does not stack up.

Or call us on 01604 969123