Many new and old businesses are choosing to go green. Philosophies are changing and many business owners and entrepreneurs are putting the environment at the forefront of their operations. It will be helpful to better understand what this type of business is, how to find ideas, and five current business opportunities that exist.
Defining Green Business
A green business is one that does not have a negative impact on the environment. There are certain principles that help to define whether or not a business is green. These include adding sustainability principles to each business decision, replacing non-green services or products with environmentally friendly services or products, is greener than the competition, and has committed to long term success following environmental principles.
There are some essential characteristics for sustainable business. One of the most important essentials that can be found in all green businesses is the triple top line production value. This means that a business is pursuing three main goals simultaneously. These include financially benefiting the company, bettering the world naturally, and providing social advantages to employees as well as members of the community.
Finding Green Business Ideas
There are several different ways to find business ideas that are green. There are magazines that provide information and resources specifically about green business. This is an excellent way to learn about building sustainable companies as well as keep up on trends. It is also possible to visit a green business blog or attend a green business conference in order to become fully immersed within this industry. This will be one of the fastest ways to find out current trends and ideas that are becoming popular. The difficult part about looking for opportunities this way is that there are not a lot of conferences that occur and there are not a lot of blogs that offer great information. The websites that are available do provide a tremendous level of excellent information for entrepreneurs to read.
5 Green Business Opportunities for Entrepreneurs
These generally can be broken down into three different categories, which include recycling, reducing, and reusing. Following these three guidelines can be helpful to for someone that is looking for green business opportunities.
Below are 5 green business opportunities that have great potential, especially during recessionary times.
1) Open up a barter business:
A barter system allows businesses and consumers the opportunity to trade goods without the exchange of currency. Products and services can be exchanged for other products or services without money changing hands. Money can be made from a barter exchange by charging a small fee for each transaction that takes place.
2)Rainwater Harvesting and Catchment Systems:
This idea involves capturing fresh rain water using containment systems. With the world’s fresh water supply declining, there has become an increased demand for inexpensive rain water harvesting systems. Green entrepreneurs can help to distribute these water harvesting systems to people in third world countries.
3) Recycled products:
Manufacturing new items out of recycled products is another growing trend in green business. Entrepreneurs are taking others peoples junk and are using it to make new items that can be sold on the marketplace.
4) Luxury leasing:
Luxury leasing is an excellent idea to generate revenue by renting out high end merchandise. Consumers are interested in luxury items, but don’t have the same desire to buy these items. By renting out luxury shoes, hand bags, & accessories, you generate repeat revenue off a single purchase of a luxury item, which gives you a terrific return on investment.
5) Microfinance & Social Capital Investing:
Microfinance can be defined as a way for people with low income to be able to secure micro loans when they do not have access to other financing sources. It works by allowing poor people to borrow money from peer to peer or similar lending institutions. Money can be made from this business idea from fees collected as well as interest charged.
Green business ideas can be a great way to make money and do something great for the environment at the same time. For those that are interested, there are even green home business opportunities that exist that allow people to start a small business from the comfort of their own home.