Clean Power Finance

Clean Power Finance is an enterprise based in San Francisco, California, that provides software tools and direct financing solutions for the residential solar industry. The platform allows solar integrators, panel manufacturers, and electrical distributors to automate system specifications, generate quotations, and source consumer financing options like loans, leases, and power purchase agreements. The organization raised substantial capital during its independent operations, highlighted by a $25 million equity round led by Kleiner Perkins Caufield & Byers and a $75 million project financing fund commitment from Google. The firm also received a $3 million SunShot award from the Department of Energy before merging with Kilowatt Financial to create Elevate Power. This combination resulted in an entity overseeing $1.6 billion in project financing under management across a base of 50,000 customers. Clean Power Finance was founded in 2007 by Gary Kremen.

# Clean Power Finance: A Financial Services Platform for Solar

Clean Power Finance is a financial services and software company—not primarily a technology company, though technology is central to its operations[4]. Founded in 2006, it operated as a B2B marketplace connecting institutional investors and lenders with residential solar professionals, enabling the mass-market adoption of solar energy through accessible financing[1][4].

High-Level Overview

Clean Power Finance built an online platform that solved a critical problem in the residential solar industry: the gap between capital providers and solar installers who needed financing products to offer customers. The company raised 100% third-party-owned project finance funds from institutional investors like Morgan Stanley and Google, then packaged these as solar leases and power purchase agreements (PPAs) that solar professionals could brand and sell to homeowners[2][3]. This model allowed homeowners to access solar without the upfront cost of ownership, while investors earned stable returns on distributed generation portfolios.

At its peak, Clean Power Finance managed approximately half a billion dollars in capacity, supported more than 100 solar professional customers, and operated the largest network of solar professionals in the United States across nine states[2][4]. The company served a dual customer base: institutional capital providers seeking reliable returns and solar installers seeking differentiated financing products to grow their businesses.

Origin Story

Clean Power Finance was founded in 2006 by Gary Kremen, the founder of Match.com and a serial entrepreneur[4]. For its first five years, the company sold CPF Tools—a software-as-a-service platform—to solar installers to simplify quoting and design processes. The pivotal moment came in early 2011 when Nat Kreamer, co-founder of SunRun, joined as CEO[4]. Under Kreamer's leadership, the company shifted its business model in April 2011 to make residential solar finance products directly available to channel partners, transforming from a pure software vendor into a financial marketplace[4].

This evolution reflected a deeper understanding of the solar industry's bottleneck: installers had products to sell but lacked access to consumer financing options. By connecting institutional capital with solar professionals, Clean Power Finance positioned itself at the intersection of renewable energy growth and financial innovation.

Core Differentiators

• Integrated marketplace model: Connected capital providers directly with solar professionals, eliminating intermediaries and reducing transaction friction[2][3]

• White-label financing products: Solar professionals could brand and sell CPF's finance products as their own, maintaining customer relationships while accessing institutional capital[1]

• Software-as-a-service platform (CPF Tools): Minimized "soft costs" of selling solar by automating complex sales, quoting, proposal, and finance processes[2]

• Institutional investor relationships: Secured funding from major players like Morgan Stanley, Google, Edison International, Dominion Resources, and Duke Energy, providing stable capital for solar projects[1][2]

• Transparent pricing and risk management: Structured funds with managed risk and return profiles, making solar investments attractive to institutional capital[2]

Role in the Broader Tech Landscape

Clean Power Finance emerged during the critical early phase of residential solar adoption in the United States (mid-2000s to mid-2010s). The company rode several converging trends: declining solar panel costs, growing environmental consciousness, and increasing institutional interest in renewable energy infrastructure. However, the industry faced a structural problem—consumer financing was fragmented and expensive, limiting adoption.

By creating a standardized marketplace for solar finance, Clean Power Finance helped professionalize the residential solar industry and demonstrated that distributed generation could attract institutional capital at scale. The company influenced the broader ecosystem by proving that solar could be financed like other infrastructure assets, opening the door for larger capital flows into clean energy.

Quick Take & Future Outlook

Clean Power Finance's journey ended in January 2016 when it merged with fellow solar financing company Kilowatt Financial to form Spruce Finance Inc.[1][4]. The merger reflected industry consolidation as the residential solar market matured and larger players sought to expand their service offerings beyond solar into water conservation and energy efficiency.

The company's legacy lies in demonstrating that technology and financial innovation could democratize access to renewable energy. While Clean Power Finance itself is no longer independent, the model it pioneered—connecting distributed capital with distributed energy projects through software platforms—became foundational to how modern clean energy infrastructure is financed. The shift from Clean Power Finance to Spruce Finance represented an evolution toward broader energy efficiency financing, suggesting that the future of residential clean energy lies in integrated solutions rather than solar-only offerings.