What happens when your solar installer goes out of business?

What Happens If Your Solar Installer Goes Out Of Business?

Has your solar installer closed their business? Learn how to safeguard your investment and keep your solar energy flowing. Don’t be left in the dark.

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Just like like that your solar installer’s business has vanished. You’re stuck, need help and wondering what’s next.

Don’t panic. This guide will help you navigate the cloudy situation of a solar company going out of business. Understand why solar companies close, and what are your options. We’ll even show you how to avoid becoming a ‘solar orphan’. With our help, you’ll ensure your green investment keeps shining brightly.

Key takeaways to help if your solar company goes out of business

  • It is important to check the status of the solar company through ACN, ABN, or business name search on the ASIC Connect website.
  • If a solar company goes bust, consumers should make a complaint to the state-based consumer affairs or fair trading agency for assistance and mediation.
  • Contacting the ACCC and the ombudsman can provide further support in dealing with a solar company that has gone out of business.
  • If the solar company has been wound up, it may be worth contacting the electrician who installed the system or the manufacturer of the faulty component for assistance. Additionally, hiring an independent solar electrician may be necessary for diagnosing and repairing the system.

What happens when your solar installer goes out of business?

The Prevalence of Solar Companies Going Under

You’re not alone if you’re facing issues with solar companies going under, as this has become a prevalent problem in the industry. This increasing prevalence of solar companies going under creates a multitude of problems for consumers who’ve invested in solar energy.

When a solar installer goes out of business, it often leaves customers in the lurch, especially when it comes to service and warranty issues. It’s not uncommon for you to find yourself dealing with malfunctioning equipment, warranty disputes, and the absence of reliable customer service. The market volatility and competitive nature of the residential solar industry contribute to the precariousness of solar businesses, leading to a higher failure rate than in other sectors.

In these situations, you’re left orphaned with a solar system that might not work properly and no one to turn to for support. It’s a frustrating and disappointing experience, especially considering the significant investment you’ve made.

So, if your solar installation company goes out of business, it’s important to understand your rights, options, and the steps you can take to resolve your issues.

Immediate Steps to Take if Your Solar Installer Goes Bankrupt

In the unfortunate event that the company that installed your solar panels goes bankrupt, there are immediate actions that you can take to protect your investment. You’re not left entirely in the dark when your solar company goes out of business. Here’s your game plan:

Verify the company has closed

  1. Business Operations: Check if the business is still operating. This could be through their website, customer service line or their physical address.
  2. ASIC Connect: This is your next stop. Perform an ABN or business name search on the ASIC Connect website. This will give you a clear picture of the company’s current status.
  3. Verify the Bankruptcy: Double-check the bankruptcy information. It’s possible, though less likely, that you’re dealing with a scam or misinformation. Use official channels like the ASIC Register of Insolvency Notices for verification. This is a crucial tool for your research. It will reveal if your solar retailer has filed for insolvency or if they’re undergoing liquidation.

Who you should contact next

  1. Contact the Manufacturer: Your solar contract should provide warranty details. Manufacturers typically honour warranties even if the installer has gone under. Reach out to them directly to discuss your options.
  2. Consult SolarEze: If you’re facing issues with your solar system, contact a local, reputable solar professional like SolarEze who can diagnose and repair your system.

Remember, a solar company going out of business can leave you in a tough spot, especially when it comes to warranty claims and servicing. In such situations, engaging with a highly-reviewed solar installer could be worthwhile. In the end, it’s all about staying informed and proactive. Your solar investment is valuable, and taking the right steps at the right time will ensure it continues to serve you effectively.

Case Studies of Abandoned Solar Customers

Let’s dive into some real-life examples of customers who’ve been left high and dry by their solar companies.

Imagine you’ve invested in solar power, only to find out your solar installer goes out of business. Suddenly, you’re an abandoned solar customer, without support for maintenance or warranty issues.

  • Consider John, who invested thousands in a solar panel system from a company that went under just six months later. His panels malfunctioned, but with no original solar installer to contact, he was stuck with a nonfunctional system and no recourse.
  • Then there’s Lisa. Her solar company ceased operations a year after installation. When her inverter failed, she had to pay out of pocket for repairs, turning her cost-saving investment into a financial burden.

These stories underscore the importance of choosing a reliable solar company. Just as you wouldn’t buy a car from a manufacturer with a high chance of going bankrupt, the same caution should apply to choosing a solar installer.

Why Do Solar Companies Close?

Solar companies can close for a variety of reasons, and it’s crucial to understand these so you can avoid becoming an abandoned solar customer. When a solar installer goes out of business, it’s often due to one or more of the following reasons:

  • Poor financial management: Some solar companies are simply not financially sustainable. This is because they offer prices that are too low to cover their costs. With tightening margins and rising operational costs, companies that can’t adapt quickly enough, or won’t, often find themselves on the brink of bankruptcy.
  • Low-quality products and service: Companies that compromise on quality products to cut costs and offer poor customer service may face a backlash from dissatisfied customers. As complaints quickly mount, damages to the company’s reputation will eventually cause financial losses. Quality issues also impact warranty obligations, leading to additional financial strain.
  • Regulatory changes: Changes in government policy or subsidies can impact the profitability of solar companies, leading to business failure.
  • Dodgy business practices: Poor business models and practices, such as over-aggressive expansion or unethical sales tactics, can also often lead to a company going out of business.

Understanding these pitfalls can help you choose a reliable solar installer and avoid potential inconveniences down the line.

What to Do When the Manufacturer Is Your Last Resort

When you’re left with no other option, turning to the manufacturer of your solar equipment might be your last resort. Often, when a solar company becomes insolvent, warranties and services are left hanging. Here, the manufacturer becomes your lifeline.

  1. Start by locating your warranty documentation. You’ll find the manufacturer’s contact details there.
  2. Reach out to them detailing your situation and the problems you’re facing with your solar equipment.
  3. Be clear and precise, this will help with your warranty claim.

However, be prepared for some challenges. If your solar company went out of business, there’s a chance the manufacturer might have as well. Moreover, warranty coverage might not extend to labour costs, only parts. So, even if you’re successful in your claim, you might still need to shell out for the repair or replacement labour.

But don’t lose heart. Contacting the solar manufacturer is a critical step in resolving your solar equipment issues. And remember, this is a learning experience. As you navigate this, you’re gathering valuable insights for finding alternatives and preventive measures for future solar installation.

Finding Alternatives and Preventive Measures for Future Solar Installation

You’ll need to explore alternatives and take preventive measures for your future solar installations to avoid facing similar issues. It’s an unfortunate reality that sometimes a solar installer is no longer operating, leaving you with limited support.

  1. Explore Local Alternatives: If your original installer is out of business, don’t panic. Reach out to local solar companies for assistance. They can potentially take over the maintenance and support of your system, even if they didn’t install it.
  2. Preventive Measures: Be proactive in your choice of solar company. Look for businesses with a strong track record and positive reviews. Check their financial stability and the length of time they’ve been in the industry.
  3. Secure Your Investment: Opt for quality components from reputable solar manufacturers that offer long-term warranties. Remember, these warranties still apply even if your installer goes out of business.

Taking these preventive measures for future solar installations can save you from the stress and hassle of dealing with a company that disappears. It’s worth the effort now to avoid problems down the line.


Navigating the solar sector can feel like steering a ship through stormy seas, with one in three solar companies sinking in the past decade. But armed with the right knowledge and preventive measures, you can weather any storm.

Remember, your investment in solar is more than a financial decision; it’s a commitment to a sustainable future. Don’t let a failing company derail your solar journey.

If your solar company has closed down, contact our friendly team at www.solareze.com.au or on 0410 658 790 today. We’ll answer all of your questions and help point you in the right direction to help resolve your issues or concerns.

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