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Installer business, licensing, insurance and tooling

How much does it cost to start a solar business in Australia?

Short answer

A lean one-crew solar installer can start for a low-to-mid five-figure sum before vehicles, but the real cost is working capital: you pay for panels, inverters and labour weeks before the STC value comes in. Budget for licences, SAA accreditation, insurance, tools and three months of cash flow.

Written and checked by the Energy Merchants desk · Reviewed 3 October 2026 · For installers

Two questions sit under this one: what does it cost to start, and how do you actually start a solar retail or installation business in Australia. They share an answer, because the order you do things in decides what you spend.

Nothing else matters until you have the right licences. Rooftop solar needs a licensed electrician in every state, and to create STCs the work has to be done or directly supervised by a person accredited with Solar Accreditation Australia (SAA). If you are not already both, that is the first and largest cost in time. See how to become an SAA accredited installer and the state pages, starting with NSW.

The cost buckets

Figures vary by state, supplier and how many people you employ, so treat these as categories to price rather than quotes.

Cost What to expect
Business set-up ABN, company or sole-trader structure, accountant, bookkeeping software
Electrical contractor licence and SAA accreditation State licence fees plus SAA fees and training; see SAA accreditation cost
Insurance Public liability, workers compensation if you employ, and possibly professional indemnity and warranty cover; see insurance for solar installers
Tools and test equipment Roof safety gear, testers, ladders, scaffolding hire, cable tools
Vehicle A ute or van is often the biggest single purchase
Software Quote, design and CRM tools; see quote and design software
Marketing Website, Google profile, lead costs
Working capital Stock, wages and a buffer for slow-paying jobs

Working capital is the real number

A 6.6 kW job might carry several thousand dollars of equipment before you can lodge anything. If the customer pays a deposit and you sell the STCs to a trader after install, you still carry the gap between paying the supplier and receiving the STC payment. Faster settlement shrinks the gap, which is why the choice of buyer matters; the installer cash flow answer goes through the maths, and the how long should STC payment take insight shows what is normal.

How to start, in order

  1. Confirm your electrical licence and get SAA accreditation.
  2. Set up the entity, ABN, GST registration and insurance.
  3. Decide whether you will sell direct, install for a retailer, or both. Selling brings extra obligations; see solar retailer requirements.
  4. Choose your suppliers and make sure every product is on the approved lists.
  5. Build your contract, quote and photo routine before the first job.
  6. Line up an STC buyer and register your details so the first claim does not stall. Start trading covers it.

From the desk: new installers underprice the job to win work and then discover the STC discount they advertised is higher than the cash they will receive. Check the current rate before you quote and keep your discount tied to it.

What this means for installers

Price your first year in two columns: what you spend to be allowed to install, and what you must fund between install and payment. The STC calculator shows the certificate value on a typical job, and pricing shows the published rate. The wider picture is on the installers hub.

Follow-up questions

People also ask

What is the biggest start-up cost for a solar installer?
Working capital. Stock and wages go out long before customer payments and STC proceeds arrive, so cash flow, not tools, is usually what sinks a new operator.
Do I need to be an electrician to start a solar business?
To do the electrical work yourself, yes. You can employ or subcontract licensed, SAA-accredited installers, but the licence and accreditation rules still apply to whoever does the work.
How long does it take to get set up?
Allow a few months if you already hold an electrical licence, longer if you are still training. Accreditation, insurance and a business structure can run in parallel.

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