Company Overview
Summit Energy Solutions is a solar lead generation company that connects qualified homeowners with vetted local solar installers. The company generates leads through a quiz funnel at summitenergysolution.com and earns revenue through commission on closed installations.
Ownership
50/50 Partnership
Wes Hines -- Marketing, technology, ad operations, funnel infrastructure, automation
Lance Sauter -- Sales, installer partner relationships, market knowledge, deal closing
Revenue Model
50% commission on closed installs, split evenly between partners (25% each).
Starting market: Illinois, expanding to additional states within 6 months.
Market Opportunity
Illinois Solar Landscape (2026)
Illinois ranks among the top 10 states for solar value in 2026 due to a combination of above-average electricity rates and one of the strongest SREC programs in the country.
| Factor | Data |
|---|---|
| IL Shines SREC (8kW) | ~$10,500 upfront |
| SREC rate increase 2026-27 | 34-43% higher |
| Net metering | Full retail credit, locked until 2045 |
| Property tax exemption | 10 years on added solar value |
| Avg electricity rate (IL) | Above national avg of $0.1805/kWh |
| Avg install cost (8kW) | $22,700 - $24,300 |
| Payback period (IL) | Under 10 years |
Federal Tailwind: Section 48E (TPO Structures)
The residential 30% ITC (Section 25D) expired January 1, 2026. However, Section 48E still provides a 30% credit to commercial entities that own solar systems and lease/PPA them to homeowners. This is now the dominant financing model.
This creates a 100-day urgency window that benefits our advertising messaging.
Competitive Vacuum in Paid Social
A critical finding from our research: EnergySage and Solar.com -- the two largest solar lead gen platforms -- run ZERO paid Meta ads. The paid social channel for solar lead generation is wide open. There is no dominant competitor buying Facebook/Instagram traffic for solar quiz funnels.
Source: Meta Ad Library audit (March 2026)
Business Model
How It Works
- 1. Paid ads drive homeowners to a quiz at summitenergysolution.com
- 2. Quiz qualifies leads (homeowner status, ZIP, electric bill, roof age, timeline)
- 3. Qualified leads are instantly routed via GHL automation (SMS + email in <60 seconds)
- 4. Installer partner relationships close the deal
- 5. Summit earns 50% commission on the install revenue
Revenue Split
| Installer partner | 50% |
| Summit Energy (total) | 50% |
| Wes Hines | 25% |
| Lance Sauter | 25% |
Speed-to-Lead Advantage
| Metric | Industry | Summit |
|---|---|---|
| Response time | 47 hours | <60 sec |
| First responder win rate | 78% | Built in |
| Lead value decay (5 min) | 80% drop | N/A |
Unit Economics
Core Assumptions
| Input | Value |
|---|---|
| Average install price | $22,500 |
| Summit commission rate | 50% |
| Revenue per closed deal | $11,250 |
| Revenue per partner per deal | $5,625 |
| Cost per lead (CPL) | $30 |
| Quiz funnel conversion | 33-40% |
| Lead-to-close rate | 6% |
Base Case: Single Deal
Worst Case: Single Deal
The unit economics are structurally strong because the revenue per deal ($11,250) dwarfs the cost to acquire it, even under pessimistic assumptions.
Three-Scenario Financial Model
Conservative
Base Case
Aggressive
Note: The Aggressive scenario (24 deals/month) requires expansion to 2-3 states and 5-10+ installer partners. It represents a Month 4-6+ target, not launch.
Sensitivity Analysis
Revenue per month by CPL x Close Rate. Assumes $3,000/month ad spend. Each cell = Summit monthly revenue.
| 3% | 4% | 5% | 6% | 7% | 8% | 10% | |
|---|---|---|---|---|---|---|---|
| $15 | $67.5K | $90K | $112.5K | $135K | $157.5K | $180K | $225K |
| $20 | $50.6K | $67.5K | $84.4K | $101.3K | $118.1K | $135K | $168.8K |
| $25 | $40.5K | $54K | $67.5K | $81K | $94.5K | $108K | $135K |
| $30 | $33.8K | $45K | $56.3K | $67.5K | $78.8K | $90K | $112.5K |
| $35 | $28.9K | $38.6K | $48.2K | $57.9K | $67.5K | $77.1K | $96.4K |
| $40 | $25.3K | $33.8K | $42.2K | $50.6K | $59.1K | $67.5K | $84.4K |
| $50 | $20.3K | $27K | $33.8K | $40.5K | $47.3K | $54K | $67.5K |
| $60 | $16.9K | $22.5K | $28.1K | $33.8K | $39.4K | $45K | $56.3K |
At the lowest corner ($60 CPL, 3% close rate), gross profit is still $13,875/month. There is no scenario in this grid where we lose money.
Formula: Revenue = (Ad Spend / CPL) x Close Rate x $11,250
Monthly Cash Flow Projection
Sales cycle lag: 30-60 days from lead to closed install (modeled at 45-day average). Revenue recognized at install close, commission collected within 30 days.
| Metric | M1 | M2 | M3 | M4 | M5 | M6 |
|---|---|---|---|---|---|---|
| Daily ad spend | $50 | $100 | $150 | $200 | $200 | $200 |
| Monthly ad spend | $1,500 | $3,000 | $4,500 | $6,000 | $6,000 | $6,000 |
| CPL (blended) | $45 | $35 | $30 | $25 | $25 | $25 |
| Leads generated | 33 | 86 | 150 | 240 | 240 | 240 |
| Close rate | 4% | 5% | 6% | 7% | 7% | 7% |
| Deals closing (lagged) | 0 | 0.7 | 2.8 | 6.7 | 12.9 | 16.8 |
| Revenue received | $0 | $7,875 | $31,500 | $75,375 | $145,125 | $189,000 |
| Cumulative ad spend | $1,500 | $4,500 | $9,000 | $15,000 | $21,000 | $27,000 |
| Cumulative revenue | $0 | $7,875 | $39,375 | $114,750 | $259,875 | $448,875 |
| Cumulative profit | -$1,500 | -$4,125 | -$1,125 | $57,750 | $175,875 | $331,875 |
Cumulative Break-Even
Early in Month 4
Cumulative spend of ~$15K covered by ~$114.7K revenue
Monthly Break-Even
Month 2
$7,875 monthly revenue exceeds $3,000 monthly spend
Break-Even Analysis
Deals to Cover Ad Spend
| Monthly Spend | Deals Needed |
|---|---|
| $1,500 (Phase 1) | 0.13 |
| $3,000 (Phase 2) | 0.27 |
| $6,000 (Phase 3) | 0.53 |
| $15,000 (Scale) | 1.33 |
Maximum Viable CPL
At 6% close rate (base case):
$675/lead
Our target is $30. That is a 22.5x safety margin.
At 4% close rate (worst case):
$450/lead
Still a 9x safety margin against $50 CPL.
Lifetime Value (LTV) Analysis
| Scenario | CAC | LTV | LTV:CAC |
|---|---|---|---|
| Conservative | $1,000 | $16,875 | 16.9:1 |
| Base Case | $500 | $16,875 | 33.8:1 |
| Aggressive | $250 | $16,875 | 67.5:1 |
A healthy SaaS business targets 3:1 LTV:CAC. Summit's worst case is 16.9:1.
Illinois Shines SREC Bonus (Homeowner Value Prop)
Go-to-Market Plan
Launch and Learn
Weeks 1-4 | Illinois only | Meta | $50-$100/day
| Action | Timeline | Owner |
|---|---|---|
| 8 Meta ad creatives live | Week 1 (done) | Wes |
| GA4, Meta Pixel, TikTok Pixel confirmed | Week 1 (done) | Wes |
| GHL automation <60s follow-up | Week 1 (done) | Wes |
| First data read -- top/bottom performers | Day 5 | Wes |
| Kill bottom ads, scale winners by 20% | Week 2 | Wes |
| Install Meta Conversion API (CAPI) | Week 2 | Wes |
| Activate installer partner routing (IL) | Week 1-2 | Lance |
| Launch retargeting -- quiz abandoners | Week 3 | Wes |
| 30-day performance review | Week 4 | Both |
Targets
50-80 leads at $30-$45 CPL | 2-3 winning ad creatives | First 1-2 closed deals in pipeline
Optimize and Expand
Months 2-3 | IL + CO | Meta + TikTok | $100-$200/day
| Action | Timeline | Owner |
|---|---|---|
| Launch TikTok ads ($50/day) | Month 2, Wk 1 | Wes |
| 4-6 UGC video ads (40% cheaper CPL) | Month 2, Wk 1-2 | Wes |
| Expand geo targeting to Colorado | Month 2, Wk 2 | Both |
| Activate CO installer partners | Month 2, Wk 2 | Lance |
| A/B test quiz question order | Month 2 | Wes |
| Creative refresh (8-10 new ads) | Month 3 | Wes |
| Build lookalike audiences | Month 3 | Wes |
Targets
150-300 leads/month | CPL $25-$35 | 5-10 deals/month | Close rate 5-6%
Scale
Months 4-6 | 3-5 states | Meta + TikTok + Google | $200-$500/day
| Action | Timeline | Owner |
|---|---|---|
| Launch Google Ads (search + PMax) | Month 4 | Wes |
| Build installer network in 2-3 new states | Month 4-5 | Lance |
| Launch YouTube Shorts ads | Month 5 | Wes |
| Organic content engine (TikTok/Shorts) | Month 4+ | Both |
| Evaluate Nextdoor ads | Month 5 | Wes |
| Hire closer/appointment setter | Month 6 | Lance |
Targets
300-600+ leads/month | CPL $20-$30 | 15-25+ deals/month | Revenue $100K-$250K+
Channel Budget Allocation
| Channel | Phase 1 | Phase 2 | Phase 3 |
|---|---|---|---|
| Meta (Facebook/Instagram) | 100% | 65% | 50% |
| TikTok | 0% | 25% | 20% |
| Google Ads | 0% | 0% | 20% |
| Organic / YouTube Shorts | 0% | 10% | 10% |
Weekly KPI Dashboard
Numbers to review every Monday.
Lead Generation
| Metric | Target | Red Flag |
|---|---|---|
| Weekly ad spend | Per phase | >20% over |
| Leads generated (weekly) | 25+ | <15 |
| Cost per lead | <$35 | >$50 |
| Quiz start rate | >60% | <40% |
| Quiz completion rate | >33% | <20% |
| Cost per quiz completion | <$30 | >$50 |
Sales Pipeline
| Metric | Target | Red Flag |
|---|---|---|
| Lead-to-appointment | >25% | <15% |
| Appointment-to-close | >20% | <10% |
| Overall lead-to-close | >5% | <3% |
| Average days to close | <45 | >75 |
| Deals in pipeline | Growing WoW | Stagnant |
Revenue
| Metric | Target | Red Flag |
|---|---|---|
| Monthly closed deals | 3+ (P1), 6+ (P2) | 0 for 6+ wks |
| Monthly revenue | Per model | <$10K after M3 |
| ROAS | >10x | <5x |
| Revenue per closed deal | >$10K | <$8K |
Creative Performance
| Metric | Target | Red Flag |
|---|---|---|
| Active ad creatives | 6-8 min | <4 |
| Top performer CPL vs avg | 30%+ below | No clear winner |
| Creative fatigue | Refresh 3-4 wks | >25% CPL rise WoW |
Risks and Assumptions
Key Assumptions
| # | Assumption |
|---|---|
| A1 | CPL $20-$50 on Meta for solar quiz leads |
| A2 | Close rate 4-8% from Meta leads |
| A3 | Average install price $22,500 in IL |
| A4 | 50% commission rate sustainable |
| A5 | Sales cycle 30-60 days |
| A6 | Illinois is a strong launch market |
Known Risks
Section 48E deadline (July 4, 2026)
After this date, urgency messaging weakens. TPO structures lose new 48E credits unless safe harbor applies.
High probability | Medium impact | Mitigation: Front-load deals before July 4, pivot messaging to state incentives
Meta ad account restrictions
Solar advertising faces scrutiny. Misleading claims can trigger ad account bans.
Medium probability | High impact | Mitigation: Compliant creative only, no false claims
Installer capacity constraints
More leads than installer partners can handle. Leads go cold, close rate drops.
Medium probability | Medium impact | Mitigation: Build network ahead of volume
Lead quality issues
Quiz leads that don't convert -- renters, out-of-area, tire-kickers.
Medium probability | Medium impact | Mitigation: Quiz filtering, ZIP validation, lead scoring
Competitive response
Other lead gen companies enter paid social for solar.
Low probability | Low-Medium impact | Mitigation: First-mover advantage, creative volume
Solar market contraction in 2026
Industry expects 30-50% volume decline post-ITC. Fewer homeowners actively shopping.
High probability | Medium impact | Mitigation: Focus on markets where ROI is strongest without ITC
Cash flow timing
Revenue lags ad spend by 45-90 days. Early months require capital.
High probability | Medium impact | Mitigation: Keep Phase 1 low ($1,500/mo), scale after revenue confirms
Single-state concentration
Launching only in IL means all revenue depends on one market.
High probability | Medium impact | Mitigation: Phase 2 adds CO within 60 days
What Could Go Right
- + Lance's installer relationships drive close rates above 8%, making aggressive scenario the base case
- + Sub-$20 CPL on TikTok (Solar Energy Partners data shows 90% lower CPL vs other channels)
- + Referral network effects -- each closed deal generates 1-2 warm referrals at 30% close rate
- + Illinois Shines SREC rate increase for 2026-27 makes the value prop even stronger
- + Organic content reduces blended CPL by 18%+ (industry benchmark)
Sources
Cost & Market Data
- EnergySage -- Solar Panel Cost 2026
- EnergySage -- Solar Payback Without ITC
- ConsumerAffairs -- Solar Panel Cost 2026
- Electric Choice -- Rates by State (Feb 2026)
Illinois Incentives
- Straight Up Solar -- IL SREC Increase 2026
- Illinois Shines Program
- NCSL -- State Net Metering Policies
Federal Policy
- IRS -- Residential Clean Energy Credit
- Electrek -- 30% Solar Tax Credit Expiry
- Solar Insure -- One Big Beautiful Bill
- SEIA -- Clean Energy Provisions
Advertising Benchmarks
- WordStream -- Facebook Ads Benchmarks
- Simple Tree Digital -- $5 Solar Leads
- Taleist Agency -- 88% Lower CPL
- Wood Mackenzie -- Solar CAC 2026
- TikTok Business -- Solar Case Study
Quiz & Conversion Data
- Outgrow -- 2025 Benchmark Report
- Interact -- 2025/2026 Quiz Report
- Chili Piper -- Speed to Lead
- HBR -- Lead Response Study
Lead Pricing & Competitive
- SolarReviews -- Solar Leads 2025
- Sunvoy -- Close Rates by Source
- AgentZap -- Solar Lead Stats 2026
- Meta Ad Library -- Competitor Audit (Mar 2026)