Companies are starting to recognise that going green is far more than a marketing scheme. For many businesses, implementing sustainable initiatives leads to measurable financial and environmental outcomes — benefits that far outweigh the convenience of traditional waste management and energy consumption.
As consumers and governments continue to push for greener companies, with the United Kingdom even offering tax breaks for sustainable organisations, businesses must continue enhancing their green initiatives. There’s no better time to reinvest your rising revenue into smarter, more ambitious sustainability goals.
In this article, we’ll showcase a handful of ways that companies can use their earnings from green initiatives to create more eco-friendly operations.
COMPARE PRICES FROM LOCAL INSTALLERS
Compare prices from local companies fast & free
Getting started with sustainability can be as simple as using fewer packaging materials and finding ways to reuse your waste or unsold goods. These small changes can help you achieve rising profits, whether it’s thanks to increased sales or reduced waste. But while these small initiatives can make a big impact on the environment, you still have room to improve your sustainability using your increased revenue wisely.
One way you can reinvest your revenue — and achieve even higher returns than ever before — is by upgrading to energy-efficient equipment, especially if you’re operating a warehouse or factory that currently has faulty machinery. For example, you can invest in battery-operated forklifts or opt for vertical conveyor belts that help you produce more with less space (and therefore, less electricity). Newer technologies are usually more efficient already, which means choosing new, greener options can rapidly reduce your carbon footprint while decreasing your expenses.
Energy-efficient equipment can also help you lower your taxes. In the United Kingdom, where businesses are charged environmental taxes for emitting harmful chemicals, companies that invest in sustainable technology can actually receive tax deductions or exemptions. As other countries follow suit, your green initiatives could help you reduce your tax obligations in any country you’re operating in.
Even better than reducing your traditional energy usage is not using it at all. Businesses can invest their earnings from green initiatives into renewable energy solutions, which are significantly more environmentally friendly.
For many companies, installing solar panels is a popular way to reduce dependence on non-renewables. Solar panels can greatly reduce your utility expenses, allowing you to quickly earn back what you invested — especially since many governments, like the U.K., offer solar panel grants to alleviate the cost of investment.
Other ways to implement renewable energy include investing in rainwater harvesting, which can decrease your water consumption, and installing biomass boilers, which produce heat using natural materials like wood chips.
When first kicking off their sustainability practices, many businesses focus heavily on going green within their company. However, when you’re ready to invest your earnings from your green initiatives, it’s important to consider how you can improve the sustainability of your entire supply chain. Supply chains generate significantly more greenhouse gases than your company itself.
Your company can build a greener supply chain by using strategies like:
- Investing in electric cars for delivery purposes
- Choosing local suppliers to shorten the distance your raw materials need to travel
- Working with suppliers with green initiatives of their own
- Ensuring you’re completely filling your trucks before sending them off
Identify the biggest waste-makers in your supply chain and work on combating those first.
While going big with your green initiatives may sound difficult for small businesses that don’t have as many resources, it’s actually far from impossible. In fact, aiming for net-zero emissions may actually be simpler, since most small businesses don’t produce nearly as much energy as big enterprises.
If you’re just starting your business, you can get a step ahead of competitors by establishing your brand as a sustainable company from the get-go. You can avoid reliance on wasteful practices altogether, so you don’t need to make any dramatic shifts in your business processes to go green. As your business expands and you reap the benefits of your green initiatives, you can maintain your sustainability — even as demand increases — by proactively crafting a growth strategy that prioritises eco-friendly practices.
As worldwide demand for sustainability grows, businesses across industries are increasingly implementing green initiatives. Most start with simple actions, like setting up recycling programs within their teams. However, as you start reaping the financial benefits of sustainability, you need to consider reinvesting your earnings into more advanced initiatives that further help the environment — and, of course, help you save money and profit more.
Start by investing in equipment that’s energy-efficient or that uses renewable energy. This action can decrease your dependence on harmful non-renewables and help you qualify for tax cuts. Then, take a look at what’s happening across your supply chain to come up with more reinvestment strategies for your business.
By Sam Bowman