Edge Tax Capital · Tax Credits

A credit is not cash
until someone pays for it.

Most of the market handles one piece of a tax credit. Study firms qualify it, marketplaces list it, lenders advance against it, insurers wrap it. Edge runs the whole path on one desk: we qualify the credit, build the file buyers underwrite, insure the risks that make them discount, and place it with credit-transfer counterparties or finance it before it is earned. The result is cash on terms you control, not the first bid a platform returns.

85–95¢
Typical transfer pricing per dollar of credit
100%
Of a credit lost on a failed FEOC test
4
Routes to cash: transfer, tax equity, hybrid, advance
1
Desk from qualification to closing
The Problem

The discount is a price on risk.

Buyers do not pay less for a credit because they want to. They pay less because of what they cannot see. Every cent between the bid and par traces back to one of four questions.

01

Will It Survive an Audit?

A transferee takes the credit subject to disallowance and recapture. If eligibility, basis, or a bonus adder fails on examination, the buyer carries the loss plus penalties. Thin documentation is priced as risk, and that risk comes straight off the purchase price.

02

Does It Clear FEOC?

Foreign Entity of Concern rules now gate §45X, §45Y, and §48E. Miss the material assistance threshold and the whole credit is lost, not a portion. Buyers are adding FEOC representations that many sellers cannot give without a traced supply chain. Read our analysis →

03

Are the Labor Records Clean?

For most energy credits, the full rate depends on prevailing wage and apprenticeship compliance. The difference is a five-times multiplier. Payroll records gathered after the fact rarely satisfy a buyer's counsel, and an unanswered question here can reprice the entire deal.

04

When Does the Cash Arrive?

Most credits are earned when a project is placed in service or a product is sold. The capital is needed months or years earlier, during construction or ramp-up. A credit that can only be sold at the end does nothing for the balance sheet when it matters most.

The Edge Difference

Credit, insurance, and capital on one desk.

We answer each of those four questions before a buyer asks them. That is the whole difference between a credit that gets bid and a credit that gets priced.

01

A File Built for the Buyer

Qualification is not finished when the return is filed. We assemble the package a buyer's counsel actually reviews: eligibility and basis support, bonus adder evidence, prevailing wage and apprenticeship records, and FEOC tracing, organized the way diligence teams work through it.

What it moves: Fewer diligence rounds, fewer price chips at signing.
02

Insurance Placed In-House

Through our specialty insurance affiliate, Risk Capital Partners, we structure and place tax credit insurance against disallowance and recapture. An insured credit is one a buyer can underwrite without pricing in worst cases, which is where most of the discount lives.

What it moves: Pricing closer to par, a wider pool of buyers.
03

Cash Before the Credit Exists

We arrange forward commitments with credit-transfer counterparties and advance financing against signed transfer agreements, so construction or production can be funded from credits that will not be generated for another year or more.

Best for: Developers in construction and manufacturers ramping output.
04

A Curated Process, Not an Auction

Open marketplaces expose your project data to every bidder. We run a controlled process with a short list of vetted corporate buyers and credit-transfer counterparties, under NDA and non-circumvention terms with each, so pricing tension is created without broadcasting the deal.

Best for: Sponsors protecting pipeline, pricing, and counterparties.
05

The Right Exit for Each Credit

A transfer sells the credit but leaves the depreciation with you. Tax equity captures both but costs more to raise. Hybrids sit in between. We model each route side by side, including the depreciation that cost segregation adds, and recommend the one that delivers the most cash net of cost.

What it moves: Net proceeds, not headline price.
06

Credits Inside the Capital Stack

Because Edge also structures debt, insurance wraps, and investor placement, credit proceeds are sized into the financing from day one. Lenders see a contracted credit as a repayment source, which can lift debt capacity and reduce the equity a project has to raise.

What it moves: Debt sizing, equity at close, sponsor IRR.
Both Sides of the Trade

We know what buyers need because we work with them too.

For Sellers

Developers, manufacturers, and fuel producers generating §45X, §48E, §45Y, §45Z, or §45Q credits who want the highest net price, cash earlier than the credit is earned, and a process that keeps their project data private.

For Buyers

Corporates with federal tax liability who want to buy credits below face value without taking on audit or recapture risk they cannot assess. We bring diligenced, insurable credits and structure the purchase on institutional terms.

Credits We Structure

Every program has its own clock.

The 2025 tax act shortened some windows and tightened others. Where each credit stands today:

§45X Advanced Manufacturing

Per-unit credits for U.S.-made solar, battery, inverter, and critical mineral components. Wind components end after 2027; critical minerals phase down from 2031. FEOC rules apply.

§48E / §45Y Clean Electricity

Storage, geothermal, nuclear, and hydro keep the full credit into the 2030s. Wind and solar that began construction after July 4, 2026 must be placed in service by the end of 2027.

§45Z Clean Fuel Production

Per-gallon credits for low-emission transportation fuels, including SAF and renewable diesel, now extended through 2029 with North American feedstock requirements.

§45Q Carbon Capture

Per-ton credits for captured and stored or utilized carbon oxide, available for projects that begin construction before 2033.

§45V Clean Hydrogen

Production credits for low-carbon hydrogen, available to facilities that begin construction before 2028.

§41 Research Credit

Federal and state R&D credits for engineering and product development. Qualifying startups can apply up to $500K a year against payroll tax before they have income tax to offset.

Legacy §45 / §48 Projects

Projects that began construction under the older PTC and ITC regimes, including partial-year credit strips and the remaining years of contracted credit streams.

§179D & §45L Final Claims

Both ended on June 30, 2026, but buildings that began construction before then, and homes acquired by that date, can still be claimed. Many owners have not yet filed.

Engagement

Four steps from credit to closing.

1

Qualify

We confirm eligibility, size the credit, and identify the adders, FEOC exposure, and labor-compliance gaps that will drive price.

2

Package

The diligence file is assembled the way buyers' counsel reviews it, so questions are answered before they are asked.

3

Protect

Where it improves net proceeds, tax credit insurance is structured and placed through Risk Capital Partners.

4

Place

A controlled process with vetted buyers and credit-transfer counterparties, with advance financing arranged where cash is needed early.

Common Questions

FAQ

A marketplace matches a listed credit with a bidder. Edge works on what determines the bid: documentation, insurance, timing, and buyer selection. We also structure the financing around the credit, so the proceeds do more than land in an account.
Policies are typically written to cover loss of the credit from disallowance or recapture on examination, along with related interest, penalties, and defense costs. Terms vary by credit and by insurer, and not every risk is insurable. We assess whether a policy improves your net proceeds before recommending one.
Often, yes. A forward commitment from a credit buyer can be paired with advance financing secured against the signed transfer agreement, so capital is available during construction. Advance rates and terms depend on the credit type, the sponsor, and the strength of the commitment.
It depends on the credit, when construction began, and where your components and materials come from. Projects that began construction before 2026 face lighter rules than those starting later. We map the exposure early, because it is far easier to address before a buyer adds FEOC representations to the transfer agreement.
Transfer is simpler and faster, but the depreciation stays with you and only creates value if you can use it. Tax equity captures both the credit and the depreciation, at a higher cost of capital and with more structure. We model both, plus hybrids, and recommend the route with the best net result.
Yes. Corporates looking to reduce federal tax through credit purchases use us to source diligenced credits and structure purchases with appropriate protections, including insurance and indemnities.
Typically a defined work fee plus a success fee tied to proceeds, both set out in writing in the engagement letter before work begins. The discovery call carries no charge.

What is your credit actually worth?

30-minute discovery call. Tell us the credit, the project, and when you need the cash, and we will show you where the price is being lost and how much of it can be recovered.

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IMPORTANT DISCLOSURES

Not tax, legal, or investment advice. Edge Management LLC is not a law firm, CPA firm, tax advisor, registered investment adviser, or broker-dealer. Information on this page is general and educational. Credit eligibility, amounts, and transfer terms depend on facts specific to each taxpayer and project and require advice from licensed professionals.

Securities and insurance. Where a financing involves securities, it is conducted through a licensed broker-dealer partner. Insurance is placed through Risk Capital Partners, our specialty insurance affiliate. Coverage is subject to underwriting and policy terms.

Pricing and law. Transfer pricing ranges describe typical market levels, not a commitment for any credit. Credit programs, deadlines, and FEOC rules summarized here reflect current law and guidance, which continue to change.

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