Cindy

Keller Graduate management school

Professor : Ehab Yamani

St.Emad Ibrahim

Date: June 12,2014

ECON545: Project 2—Macroeconomic Analysis

Introduction

The new business idea of Cindy is very innovative but being an intelligent businessman Cindy should look for all the broad macroeconomic conditions in the U.S economy where he is planning to begin her contracting business for installing solar panels. Cindy has not only to look for the growth prospects of Solar energy equipment which will make use of solar energy to harness and convert it into other types of energy which can be used for daily chores work. Being a student of economics, I would like to give him few ideas and some broad perspectives which Cindy should be taken care of before investing such a huge amount at one instance. In a challenging economy and a highly competitive business sector, Cindy may consistently create new sources of financing that could be widely adopted throughout the solar industry. The San Mateo, California-based company already is known for its innovative rooftop leasing program, launched in 2008, which helped to stimulate the solar residential market by virtually eliminating the upfront costs of installation. Cindy’s new company may also offer institutional investors a new opportunity to purchase several bonds which has been secured by its customers and commercial power contracts. It would need to raise capital in order to finance the setting up of the company in California.

The New Year has brought optimism among U.S. solar companies, from manufacturers to project developers, with some of them touting solid 2013 financial performance and promise to do better in 2014. Some of the solar companies have generated good amount of revenues last year. Moreover, Federal, state and local governments offer incredible solar tax credits and rebates to encourage homeowners to switch to renewable energy to lower their energy usage and switch to solar...