German startup DZ4 bags €55M to make rental solar power systems accessible

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Hamburg-based DZ4, a company that aims to make the supply of solar power as easy as possible, announced on Thursday, April 13, that it has raised €55M in a fresh round of funding.

DZ4 received growth funding of €15M in equity and additional working capital of €40M. The company has built up a solid capital base and is ready to scale up its fast-growing business model.

Making solar power easy

Founded in 2012, DZ4 became the first company in Germany to introduce the Photovoltaics (PV) leasing model for solar self-sufficiency, solidifying its position as the industry pioneer in the rental of solar and storage systems.

The DZ4 lease offer is aimed specifically at homeowners.

Customers receive a customised solar system with storage at a set monthly charge, free of purchasing costs. From a single source, users receive all-encompassing assistance, thorough service, insurance, remote maintenance, and repairs. 

The company claims that its solar solutions offer the highest quality criteria, which are exclusively set up by qualified and legally obligated craftsmen.

Why rent solar systems instead of buying?

According to DZ4, when you buy, you make a single, lump-sum payment for the total acquisition cost. One must also factor in recurring expenses for insurance, remote maintenance, repairs, and the replacement of parts like the inverter. 

Renting eliminates this significant expense as well as the financial risk because users pay a guaranteed fixed monthly rent for 25 years. 

These extra expenses and services are now included in a comprehensive, worry-free package. The German firm says it designs a customised DZ4 system for its customers that suits their requirements.

The monthly rental price depends on the size of the solar system and an energy management system or an electricity storage system is part of it.

DZ4 mentions, “Our specialist advisors come from your region and are perfectly familiar with the general conditions that apply there. We coordinate the installation of the solar system with one of our certified construction partners and we take care of the maintenance of the system during operation. In addition, we are always available as a contact person for all questions.”

Capital utilisation

DZ4 MD Hans-Martin Rüter says, “Fulfilling our customer promise of fast delivery of high-performance solar systems including storage requires foresighted purchasing and the support of our installation partners from the trade.”

“With the strengthened capital base and the conclusion of numerous capacity and purchasing contracts, we are well prepared for increasing customer growth.”

DZ4 solar systems provide clean power to thousands of users. The company claims to be outpacing the industry in terms of growth after being the first to establish the rental model for solar and storage systems more than 10 years ago.

The raised capital will support this development in the national provider of solar power systems, which also enables other development stages like product portfolio expansion, acquisition, and entry into new growth markets and regions. 

The company’s end goal is to provide all roof owners with access to their own solar systems.

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Vishal Singh

Vishal Singh is a News Reporter and Social Media Marketing Lead at Silicon Canals. He covers developments in the European startup ecosystem and oversees the publication's social media presence. Before joining Silicon Canals, Vishal gained experience at the Indian digital media outlet Inc42, contributing to its growth with insightful content. Despite being a college dropout, his passion for writing has driven his career in journalism.

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