Ferrandino and Son is a construction and facility maintenance company that provides solutions and services nationwide. In the following article, Ferrandino and Son, Inc. reviews an industry outlook for EV charging stations with the growing demand for electric vehicles.
With demand for electric vehicles (EVs) on the rise, Ferrandino and Son, Inc. notes the increasing need for a reliable and convenient charging infrastructure. As the world shifts towards a more sustainable future, investing in these charging stations has become an increasingly attractive option for business investors and individuals.
Why Invest in EV Charging Stations
Ferrandino and Son, Inc. knows that the global demand for EVs is growing at a breakneck pace, and with it, the need for widespread charging infrastructure. According to
a report by the International Energy Agency, EVs have the potential to reach over 20% of sales by the start of 2030, increasing the stock by a staggering 11-fold from today’s current figures.
Naturally, as the demand for EVs continues to climb steadily upward, so does the
demand for charging stations.
Ferrandino and Son, Inc. reviews that investing in the new installation of EV charging stations can be a lucrative business opportunity, as evidenced by the considerable growth seen by the industry over the last few years.
By providing a vital service to EV drivers, especially in areas that are not over-saturated with options, charging station operators can generate revenue by way of fees and advertising.
Where EV Charging Stations Are Currently
Ferrandino and Son, Inc. reviews that existing charge stations are primarily located in urban areas and along highways, with a less significant number located in rural areas, if at all. In urban areas, charging stations have been established in public spaces such as parking garages, shopping centers, and office buildings.
Meanwhile, on highways, charging stations can be found at various rest areas and truck stops, allowing drivers to recharge during long trips, similarly to how gas-powered vehicles refuel.
Ferrandino and Son, Inc. adds that investors should keep location in mind when they're searching for the best spot to set up a charging station business.
How to Invest in EV Charging Stations
· Direct Investment
Ferrandino and Son, Inc. maintains that direct investment is one of the most straightforward ways to finance a business opportunity. With a direct funding, the investor(s) utilize their own funds for purchase.
Through this avenue, the investor has the unique opportunity to be directly involved in the ownership and operation of charging stations. It additionally provides the chance to earn ROI from revenue generated through any additional fees the station chooses to add on to the charge cost.
Ferrandino and Son, Inc. reviews that this method can be achieved via buying stocks, bonds, or other securities of companies that specialize in the manufacturing, installation, and operation of charging stations.
· Indirect Investment
Indirect investment is when a benefactor puts money into a company that provides services toward a business - in this case, charging station operators. Those investments usually take the form of maintenance and repair services. Ferrandino and Son, Inc. reviews that indirect investments allow investors to financially support within sector without the need to directly own or operate stations – more of a hands-off approach to investing.
· Public-Private Partnerships
Public-private partnerships are when businesses connect with a local government or utility company (such as power and water) to install charging stations in public spaces. Public-private partnerships can provide a way for individuals and businesses to invest in the EV charging industry while also helping to promote the use of EVs for reducing carbon footprint.
· Real Estate Investment Trusts (REITs)
Real estate investment trusts, or REITs, allow investors to keep their money in real estate –which may come as a surprise, but does include EV charging stations! REITs are a convenient way for investors to own a piece of the real estate that houses charging stations and earn a quantifiable ROI through rent and other income generated by the property those stations rest on.
· Crowdfunding
Finally, another method is crowdfunding. With crowdfunding, the investor pools resources from a large number of individuals to finance the installation of charging stations. This method can provide a way for individuals who may not have enough funds to invest in a station alone to contribute to the EV charging industry and make a positive impact on their surrounding environment and community.
Conclusion
The growth and outlook for EV charging station installations and investments is positive. As the demand for EVs continues to grow, the demand for EV infrastructure will also grow, providing opportunities for businesses and individuals to invest in this emerging industry.
Whether through direct investment, indirect investment, or public-private partnerships, investing in EV charging stations can be a lucrative opportunity for those who are looking to make a positive impact on the environment.
