| Accounts Receivable Financing- Cleantech | | | | Other cleantech examples are wind turbines, |
| explores the emerging definitions of | | | | fuel-efficient engines, geothermal energy, |
| "cleantech" and world of "cleantech | | | | energy-efficient appliances and water |
| industries" at a time when the world is | | | | treatment systems. |
| increasingly concerned with global warming, | | | | |
| our energy supply and pollution. Accounts | | | | The momentum of cleantech is growing because |
| receivable financing may be an important | | | | of international political issues such as |
| source of funding for cleantech industries | | | | climate change, energy security issues and |
| when banks and venture capitalists are | | | | concerns about CO2 emissions. Consumers are |
| unwilling to provide capital for growth to | | | | demanding faster, cheaper, lighter and |
| new and significantly risky companies and | | | | cleaner products. Large corporations are |
| technologies. Look | | | | responding with greening efforts. The |
| at the headlines in your newspaper. | | | | potential growth in the cleantech industry is |
| Environmental concerns are major concerns | | | | a worldwide opportunity for business of all |
| today and every day: people are worried about | | | | sizes to participate in a huge marketplace. |
| the price of gas; scientists and governments | | | | Entrepreneurs have unprecedented |
| are debating the issue of global warming and | | | | opportunities to create transformative |
| what to do about it; stories abound regarding | | | | technologies in the cleantech industry. |
| solar energy and other alternative energy | | | | |
| sources such as nuclear energy, biodiesel | | | | Cleantech starts with an idea, an |
| fuel production, and energy produced by wind | | | | entrepreneur, and a new business to incubate |
| farms. The price of a gallon of gas and how | | | | a technology, a processes or an innovation. |
| many miles to the gallon a particular car can | | | | Until the company has proven the technology |
| achieve- both are familiar topics. The | | | | and has significant revenue and growth, it is |
| quality of our air is reported regularly and | | | | unlikely to draw attention from large |
| in some areas alerts are posted on | | | | industrial conglomerates, angel investors or |
| particularly polluted air days. The purity of | | | | venture capitalists. Entrepreneurial |
| our water and whether or not we will have | | | | start-ups have a much higher risk tolerance |
| enough water for humans and agriculture are | | | | to nurture fledgling technology and retain |
| serious concerns. Is it any wonder that world | | | | the talent that start-ups attract. Accounts |
| wide concerns regarding our environment are | | | | receivable financing can provide capital for |
| subjects of intense debate today? What are | | | | start-ups to achieve profitability when other |
| governments and businesses doing about these | | | | types of financing are not available. |
| issues? What is cleantech? According to the | | | | |
| Cleantech Group: "Cleantech is any knowledge | | | | The dominant cleantech markets are solar |
| based product or service that improves | | | | energy, efficiency technologies (sensors, |
| operational performance, productivity or | | | | monitoring and control devices), energy |
| efficiency; while reducing costs, inputs, | | | | storage, and water technologies. The emergent |
| energy consumption, waste or pollution." In | | | | cleantech markets are bio-based materials, |
| other words, cleantech may be a product, a | | | | marine energy technologies, superconductors |
| technology, or an application (way of doing | | | | and waste-reducing plasma technologies. |
| things) that achieves environmental and | | | | Government subsidies may be a blessing and |
| social goals with economic benefits superior | | | | potential curse because if removed, an entire |
| to the status quo. | | | | industry economically based on subsidies such |
| | | | as the solar energy industry might go |
| Another definition by Diana Propper of | | | | bankrupt. The creativity and ingenuity of |
| Expansion Capital Partners states: "On one | | | | small entrepreneurs cannot be underestimated. |
| side, cleantech is really about resource | | | | They will invent ways to make products, |
| efficiency and productivity in supply- how to | | | | services, and processes cheaper, faster, |
| manufacture and produce to save energy, | | | | longer and cleaner. As soon as they can bring |
| water, materials, etc. On the other side, | | | | these innovations to market and receive |
| these technologies are enhancing the bottom | | | | purchase orders for sales, accounts |
| line of customers." Solar energy, subsidized | | | | receivable financing companies will take the |
| by government and the Prius automobile come | | | | financing risks by purchasing the receivables |
| to mind. | | | | which will create virtually unlimited capital |
| | | | for growth. Exponential growth for business |
| Thomas L. Friedman in the New York Times, | | | | is needed in a world that needs exponential |
| January 2006 said: "Sorry, but being green, | | | | growth of cleantech. |
| focusing the nation on greater energy | | | | |
| efficiency and conservation, is not some | | | | Attention: entrepreneurs! Here is a partial |
| girlie-man issue. It is actually the most | | | | list of businesses that need cleantech |
| tough-minded, geo-strategic pro-growth and | | | | innovation: car batteries, hybrid engines, |
| patriotic thing we can do." | | | | lighting, toys, photograph tools, appliances, |
| | | | watches, calculators, medical equipment, |
| The meaning of cleantech is changing with | | | | diving equipment, cell phones, cordless |
| innovations and new thinking. For instance, | | | | phones, portable computers, power tools, |
| polluted land, called brownfields, may be | | | | industrial instruments, cranes, elevators, |
| remediated i.e. cleaned up into greenfields- | | | | portable power generators, lawn care |
| land suitable for homes or industry- this is | | | | equipment and energy storage devices. |
| cleantech. New technologies like sensors, | | | | Opportunities abound. |
| monitors and scrubbers to reduce pollution | | | | |
| from factories in Singapore that manufacture | | | | The bottom line: as the meaning of cleantech |
| semiconductors- this is cleantech. Fuels for | | | | expands so do the opportunities for |
| cars that pollute less like electric cars or | | | | entrepreneurs. Accounts receivable financing |
| ethanol engines- this is cleantech. Energy | | | | may be the capital source to help you succeed |
| efficient light bulbs and double pane windows | | | | in the cleantech industry. |
| for superior insulation- this is cleantech. | | | | |