South African energy-fintech startup Sun Exchange has announced that its shifting from original crowdsale model to an institution-focused approach towards funding small-scale solar projects.
Launched in 2015, Sun Exchange begun as a peer-to-peer solar leasing platform that enabled customers to buy remotely-located solar cells that power schools, businesses and other organisations.
The company said in a statement ,“The initial inspiration for Sun Exchange was rooted in the urgent need to address the climate crisis, and that remains a powerful motivator for us. However, we now also find ourselves playing a critical and unexpected role in responding to South Africa’s energy crisis. This has brought challenges and opportunities that are bigger and more urgent than we could have imagined in the early days. With a landscape that has so markedly changed in recent years, it’s become increasingly clear that for Sun Exchange to continue growing successfully and sustainably, we too must evolve.”
Sun Exchange will now focus entirely to full-service commercial solar power and energy storage project development, with all projects being funded via a global network of corporate and institutional funders.
This transition will enable the company to continue serving core sectors of high-impact organisations including schools, retirement homes, NPOs and agriculture, while expanding into larger commercial and industrial projects as well.
According to the company ,the incredible momentum seen since launching its corporate and institutional funder programme, clearly signals that this is the best path forward for Sun Exchange to continue making an impact with solar power.
The company said this pivot also comes with challenges and mixed emotions. The most difficult part of this transition is moving away from the original crowdsale-based model, which has been core to Sun Exchange since its founding. It’s what allowed the company to build a global community of solar power supporters and what established Sun Exchange as an innovative industry leader ,unfortunately, this model is no longer viable for Sun Exchange.
Since its launch ,the startup built a community of more than 20,000 members across around 170 countries, and brought solar power to more than 90 high-impact organisations, including schools, farms, retirement homes, small businesses and NPOs, among others.