Sustainability is defined as the ability to be sustained, supported, upheld, or confirmed. In a business context, there are a number of good reasons to incorporate sustainability practices in daily operations. While some of the steam in the climate change movement has recently diminished (at least on the federal level), the tangible benefits of sustainability to small businesses have not. Here are some ideas of why you want to adopt sustainability practices and how to do it.
Why you want to adopt sustainability practices and how
1. Cost savings
Using sustainable practices produces savings and ultimately increases your profit margin. Depending on the actions involved, you can see a better bottom line very quickly.
What to do: Look for areas of waste that can be reduced. For example, instead of discarding paper, consider shredding it for use as packing material (assuming you have a good shredder that destroys the content on the paper). Find ways to reduce energy use on your premises (e.g., changing thermostat settings, turning off lights, turning off computers, copiers, etc. when not in use, such as over the weekend). Save water by using low-flow fixtures and repairing leaks. Use AI to find ways to improve sustainability.
2. Branding
Customers appreciate businesses that are sustainable. Over a third of consumers want to buy a sustainable product; only 15% expressed no interest in sustainability. Customer appreciation of your sustainability practices can translate into customer loyalty and higher sales…provided that your actions match your claims of sustainability (i.e., you’re authentic).
What to do: Use local sourcing to cut down on shipping. “Repair, refill, reuse” to preserve what you have in good working order and keep items out of the landfill (replace when technology means better or different equipment is justified). If possible, have your prices for goods and services reflect the cost savings from your sustainability actions.
3. Staffing
Sustainability can be a powerful tool for small businesses in recruiting and retaining talent, especially given the current problem of quality labor. According to one source, 69% of employees want their employers to invest in sustainability efforts.
What to do: Engage employees in sustainability efforts (e.g., recycling programs; energy efficiency actions). Show employees that you’ve adopted energy-efficient technologies (e.g., lights go off when rooms are not in use).
4. Credits, rebates, and grants
While many of the federal green energy tax breaks have ended or are being terminated soon, state and local governments continue to offer incentives for certain sustainability actions. These incentives can effectively reduce the cost of buying new equipment, getting utility rebates, and even obtaining special financing (e.g., “green financing” for commercial real estate offered by Noveen.
What to do: Check DSIRE for policies and incentives by state (click on your location on the map).
Final thought
In the not-so-distant past, sustainability was a basic practice—in business and at home. I recall that my mother used to darn socks rather than buy new ones. A broken TV would simply get repaired rather than replaced. And turning off the lights when you left a room was a must in my parents’ house (my dad would say “I don’t work for Con Ed”). Then, over time, it became more cost effective or just easier in many instances to replace rather than repair old things. Regardless of your beliefs about climate change, EVs, and other green energy themes, the benefits of sustainability to small businesses are without question.
Remember this anonymous saying: “Less is more when it comes to sustainability.”
For more information related to sustainability, see this list of blogs.
