D2D glossary / Solar terms
What is a redline in solar sales?
Redline: A redline is the base price per watt a solar dealer or installer sets for a rep. The rep's commission is the difference between the price sold to the customer and the redline, times the system size.
Think of the redline as your cost. If you sell a system above it, the gap multiplied by the system's watts is your commission; sell at the redline and there is nothing left for you. Add-ons such as batteries or roof work are often priced as adders on top.
Your redline depends on where you sit in the organization. Each layer above you, from team lead to dealer, is paid from the space between its own redline and yours, so a new rep's redline is higher than a manager's. Reps earn lower redlines through volume.
A lower redline is not automatically a better deal. Compare it with how fast the installer builds, how many deals install, and when commission is paid.
Ask before you sign
What is my redline, what lowers it, and what are the adders?
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Redline: quick answers
What is a redline in solar sales?
A redline is the base price per watt a solar dealer or installer sets for a rep. The rep's commission is the difference between the price sold to the customer and the redline, times the system size.
What should I ask a company about my redline?
Ask this before you sign: "What is my redline, what lowers it, and what are the adders?" Get the answer in writing, in the rep agreement or the pay plan.