Solar energy is expensive upfront — that is the single biggest barrier to adoption in Uganda. A household system that would save a family UGX 50,000 a month on kerosene still requires UGX 800,000 to 2,000,000 in cash on day one. Most families do not have that sitting idle.

SolarMarket was built to solve this. The platform supports four distinct financing models on seller offers. Each works differently, serves a different buyer profile, and requires different actions from the seller to enable. Here is a plain-language guide to all four.

The Four Financing Options

1. Hire Purchase (HP) — The Seller's Own Instalment Plan

What it is: The seller offers the buyer a payment plan without involving any bank. The buyer pays a down payment upfront, receives the product, and then pays fixed monthly instalments directly to the seller until the total is paid.

Who controls it: The seller sets the plan terms — how long, how much down, what interest rate.

Who it suits:

• Buyers with steady income but limited lump-sum savings
• Community-level purchases where the seller has an ongoing relationship with the buyer
• Products like solar home systems, water pumps, and battery banks — items buyers will use daily and have strong motivation to keep paying for

For sellers: You collect instalments yourself (via Mobile Money typically). You carry the credit risk — if a buyer defaults, the recovery is on you. The upside: no third party takes a cut of the financing margin. You earn the interest.

How to enable: In the Financing section of any offer, tick "Enable Hire Purchase" and use the Quick Fill tool to generate plans. Set your term lengths, down payment percentage, and interest rate. The platform calculates the monthly instalments using a reducing-balance method and presents the schedule to buyers on the product page.

What buyers see: A "Starting from UGX X upfront" label on the product page, with an expandable financing tab showing each plan's monthly instalment, total cost, and schedule. On a quotation, the full schedule is printed for the buyer to sign.

2. FI Financing — Bank or Microfinance

What it is: A registered financial institution (bank, MFI, SACCO) lends the buyer the purchase price. The institution pays SolarMarket directly; SolarMarket disburses to the seller. The buyer then repays the institution in monthly instalments according to a separate loan agreement.

Who controls it: The financial institution sets the loan terms. The seller has no role in collection after the sale is confirmed.

Who it suits:

• Salaried employees or verified business owners with demonstrable income
• Buyers who want a longer loan term than the seller's own HP can offer
• Buyers who want the formal assurance of a licensed lender's agreement

For sellers: You receive full payment upfront from the institution — no credit risk, no instalment collection. The trade-off is that buyers must qualify with the institution, so not everyone who wants FI will get it. Processing time adds a few days between quotation and disbursement.

How to enable: First, your shop must have an approved partnership with at least one financial institution on SolarMarket. Go to My Shop → Financing Eligibility and apply for the relevant programmes. Once approved by SolarMarket admin, tick "Allow FI Financing" on any eligible offer. When a buyer requests a quotation, they can select the FI programme they want to apply through.

What buyers see: An FI financing option appears on quotations generated from FI-enabled offers. The buyer submits an application through the platform; the institution processes and disburses when approved.

3. RBF — Government and Donor Subsidy Programmes

What it is: Certain government programmes and donor-backed energy funds (such as the Uganda Energy Credit Capitalisation Company — UECCC — and the Energy and Environment Partnership — EASP) subsidise the purchase price for eligible buyers on qualifying solar products. The seller registers the subsidy amount on the offer; it is deducted from the buyer's checkout price.

Who controls it: The programme defines eligibility; the seller sets the subsidy amount they are authorised to offer.

Who it suits:

• Off-grid rural buyers who may qualify for energy access subsidies
• Productive use solar (solar pumps for irrigation, solar for schools/clinics)
• Buyers in programme-targeted geographies

For sellers: The subsidy reduces the buyer price — but the programme reimburses you for the difference through a separate payout mechanism (usually managed directly between you and the programme coordinator, not through SolarMarket's payment flow). You must be enrolled in the programme to list its subsidy.

How to enable: In the Financing section, tick "Enable RBF Subsidy". Select the relevant plan (UECCC, EASP, etc.) from the dropdown. Choose whether the subsidy is a fixed UGX amount or a percentage. Enter the value. A live preview shows the estimated subsidy and effective buyer price. The subsidy stops applying automatically if the plan expires.

What buyers see: The product page shows the subsidised price alongside the full price ("Was UGX X, With RBF: UGX Y"). On quotations, both prices are shown with the programme name clearly identified.

4. PayGo — Pay-As-You-Go Token Collection

What it is: A financing-adjacent model used for solar home systems that operate on token payment. The buyer pays an activation deposit upfront, then makes recurring top-up payments (daily, weekly, or monthly) to keep the system powered. The device locks if payments stop; regular payments unlock it for another period.

Who controls it: The seller configures the collection schedule on the offer. Actual token distribution and device management is handled through the seller's PayGo service agreement, which is separate from SolarMarket.

Who it suits:

• Off-grid households with irregular income who can pay little and often
• Remote rural buyers who cannot afford a lump sum or formal loan
• PAYG solar home system distributors who have their own token management platform

For sellers: PayGo is used to document and present the payment model to buyers on SolarMarket. It is not a full checkout integration — the recurring collections happen outside the SolarMarket payment flow through the seller's own system. The offer displays the initial deposit, periodic amount, and schedule so buyers can evaluate the commitment.

How to enable: In the Financing section, tick "Enable PayGo". Enter the initial deposit amount, the periodic payment amount, the periodicity (daily/weekly/monthly), and the total number of periods. Add a note explaining the arrangement. This information appears on the buyer's quotation.

Combining Financing Options

A single offer can have multiple financing options enabled simultaneously. A buyer can compare:

• Full cash price
• HP: 6-month plan at 20% down vs 12-month plan
• FI: bank loan at the buyer's preferred institution
• RBF: subsidised price if they qualify under a programme

The SolarMarket product page and quotation flow present all available options so buyers can choose what works for their situation. More options on your offer generally means more buyers can afford to purchase.

Choosing What to Enable

A practical guide by seller type:

From the Buyer's Side

As a buyer, when you see a product on SolarMarket with multiple financing options, here is what each means for you:

• HP plans: You pay the seller directly each month. Simple, but the seller carries the risk — so terms may require a relationship or reference.
• FI: You apply through a licensed bank or MFI. They check your income and credit. If approved, you get a formal loan agreement. More process, but the terms may be better for larger amounts.
• RBF: Check if you qualify. If you are an eligible buyer under a government programme, the subsidy is applied automatically at checkout — no extra steps required. The price you see is the price you pay.
• PayGo: You are buying a system that requires ongoing top-ups to stay active. Understand the total cost over the term before committing.

For More Detail

Each financing type has a dedicated seller how-to guide:

• How to Set Up Hire Purchase (HP) Financing
• How to Enable FI and RBF Financing
• How to List a Presale Offer (covers PayGo context)