Top 10 Eco-Friendly Business Ideas [Sustainable Businesses]

. 12 min read
Top 10 Eco-Friendly Business Ideas [Sustainable Businesses]

How do you start an Eco-friendly Business?

When it comes to environmental conservation, a little tweak in the perspective is all it needs. Here are some innovative and low budget eco friendly business ideas that serve the purpose of sustainability and are profitable as well.

What Is Eco-Friendly Business?

  1. Eco-friendly is a method of commodity production that is less or not harmful to the environment.
  2. Other names for eco-friendly businesses are sustainable and green businesses.
  3. It also promotes digitisation of record-keeping along with help in saving natural resources.
  4. Eco-friendly businesses support renewable resources.
  5. It also reduces the consumption of fossil fuels.
  6. Its organic buildup makes people attracted and is profitable for future businesses.

Sustainable Business Ideas or Green Business Ideas

According to research some of the best sustainable business ideas in India include-

  • Publications related to Environment
  • Green financing
  • Eco-friendly retailing
  • Ink-refilling business
  • Organic catering
  • Sustainable items for Construction
  • Organic/Vegan Beauty salons
  • Eco-friendly landscaping
  • Sustainable/Eco-friendly event planning
  • Cycle repairing or refurbishing
  • Handcrafted organic or natural products
  • Eco-consultancy
  • Green housekeeping services
  • 'Upcycled' furniture
  • Secondhand shops
  • Green franchises
  • Eco-friendly cleaning
  • Solar panel installation
  • Reusable bottles of plastic
  • Carbon emission lessons
  • Local eco-friendly recycling businesses

Eco-Friendly Business Ideas in India

  1. It is indeed surprising how men had become completely oblivious towards the environment in pursuit of convenience and comfort.
  2. Nevertheless, thankfully sense has prevailed, and attempts are inculcated to make it back to eco-friendly practices in our day-to-day lives.
  3. It's also interesting to see how innovatively eco-friendly practices are integrated into the contemporary lifestyle.
  4. Right from the food, we eat to the architecture of the houses to the clothes we wear, sustainability and environment-friendly products are pulling more crowds than ever before.
  5. It will surely be a matter of pride, accomplishment as well as monetary benefit to become part of the swelling business fraternity.

Eco-Friendly Business Plan

Let’s take a look at some of the eco-friendly startups' ideas for a flourishing business.

✓ Biofuel Plant

  1. The very first in our list and certainly one of the best eco-friendly ideas for business – setting up a Biofuel Plant.
  2. Biofuel is the answer to a lot of environmental as well as economical concerns.
  3. With the rising oil prices, a lot of emphases is being given to biofuel production.
  4. Globally, the production of biofuel is set to reach 65.7 million gallons per annum by 2021 with the market worth growing steadily from USD 82.7 billion in 2011 to USD 185.3 billion by 2021.
  5. Investment – Rs.20 Lakh to Rs.2 crore

Must Read: How to Start a Biofuel Plant?

✓ Solar Energy Retailer

  1. Our next eco-friendly business idea is an excellent way to reduce carbon footprint is to use solar energy in homes and manufacturing units.
  2. Globally, India ranks 3rd as a solar market led by China and the US. Besides, this offers a plethora of business options that include –

Energy Consultant

Solar Consultant

Solar Panel Retailer

Solar Installation

Solar Manufacturing

Solar parts manufacturing and/or retailing

Solar Tax Credit ExpertSolar Maintenance Business

Also Read: How to Start a Solar Energy Retail Business?

How Solar Energy Is Eco Friendly & profitable business-wise?

  1. India has reportedly installed 8.3 GW of Solar PV capacity in 2018 which is expected to exceed 100 GW of Solar PV by 2022.
  2. The sector is receiving substantial impetus from the government and that said, it holds a mammoth opportunity in the years to come.
  3. The use of solar energy is a potent way to reduce pollution and hence, will be adopted as a part of the modern lifestyle sooner or later.
  4. Investment Required – Less than Rs.1 lakh to begin with

Eco-Friendly Business Ideas 2021 in India

Some of the businesses have been explained in brief below-

  1. Bicycle Tour Planner
  2. Recycling Waste
  3. Used Bookstore
  4. Bicycle Store
  5. Eco-friendly toys
  6. Plastic-based clothing
  7. Bio-fuel production
  8. Electronic refurbishing
  9. Environmental Publications
  10. Jute or Cotton Shopping bags
  11. Clay-based modelling
  12. Package Free Shopping
  13. Sustainable Construction Supplies
  14. Cycles repairing plus refurbishing
  15. Handmade organic products
  16. Eco-consulting
  17. Second-hand stores
  18. Thrift store
  19. Energy Auditing
  20. Retail + Installation of Solar Panels

Top Eco-friendly Businesses You Can Start With Low Capital Investment

✓ Rainwater Harvesting Projects

  1. Drinking water is becoming increasingly scarce day by day.
  2. The underground water reserve is going down at an alarming rate.
  3. The only way out of this is to replenish the underground reserves with plenty of water reserves.
  4. Water conservation is the only answer.
  5. The best part is that this comes with a very rewarding business opportunity as well.
  6. It is one of the best eco-friendly business ideas for someone who wants to get into a business with a mission of environmental conservation in mind.
  7. It couldn't be better than starting a rainwater harvesting project.
  8. Interested individuals can receive training from the Centre for Science and Environment. Investment – Rs.1 lakh

Also Read: What Is Rainwater Harvesting?

✓ Organic Store Business

  1. If you are geared towards an eco-friendly business, what could be better than reaching out to as many lives as possible with sustainable and environmental products for daily use?
  2. Starting from eatables, personal care products, and every other product that we use in our house and offices – there are innumerable ways in which we can reinforce sustainable and eco-friendly business and production practices.
  3. With rising awareness among people about eco-friendly products, the shift in people’s choice is evident.
  4. Not only do people opt for chemical and preservative-free products, but they are also vigilant enough about the production process.
  5. There is a remarkable growth in customer loyalty towards brands that support local businesses and practices production processes that does not have any harmful implications towards the environment or animals.
  6. Hence, organic products have emerged to be the new sweet spot with a staggering growth of 25% per annum.
  7. Investment – Rs.5-8 Lakh

Also Read: How To Start an Organic Store Business?

✓ Retailing Recycled Items

  1. Indian customers have a stiff mindset when it comes to buying recycled items.
  2. However, there is a thriving market for scraps at the industry level. India has also been a major scrap importer for non-ferrous scrap metal like aluminium and brass.
  3. Apart from that, there are plastic and paper scraps.
  4. Every item, from a needle to our clothes, upholsteries, shoes, plastic waste, and electronic products that we use in our house, can all be recycled and reused.
  5. Offering one of the most innovative eco-friendly business ideas, the recycling business also allows you to create employment for the lesser qualified labor force and train them as per your company requirements.
  6. Investment– Depending on the product you choose to be recycled and the infrastructure you need to put in.
  7. A plastic recycling business involves substantial investment in infrastructure and machinery may involve a setup cost of Rs.5-10 Lakh.
  8. A fabric recycling business that can outsource the labor might require much less investment on the manufacturing side, but they might have to invest substantially in marketing and logistics.

Also Read: How To Start Recycling Business In India?

✓ Eco-Friendly Paper Bags

  1. The planet needs to breathe and no matter how much we recycle plastic bags, it will eventually reach the saturation point sooner than we can expect.
  2. Paper bags come with a possibility and promise to reduce the carbon footprint created by the ever-so-durable plastic bags.
  3. It is the most trusted and best eco-friendly product business idea that caters to the need of the hour.
  4. The best part is that the contemporary paper manufacturing process does not involve cutting down trees.
  5. Some of the most trusted base materials for paper manufacturing include straw fibre, coconut husk, sugarcane waste, jute twine, recycled paper, and elephant excreta.
  6. Investment– Rs 50,000 (manually operated) – 8 Lakh (fully automatic paper bag manufacturing machine)

✓ Eco-friendly Furniture India

  1. Old and discarded furniture can be refurbished into pieces that are aesthetically and functionally brilliant.
  2. This segment holds a lot of promise in the domestic as well as in the export market.
  3. A small unit can be set up in a 500-800 sq. ft area.
  4. A work table and some equipment are all it requires to kick start your business.
  5. An experienced carpenter can gear start all on his own or choose to hire helping hands as and when the demand increases.

✓ Composting Industry Business

  1. The kitchen waste in your house is a gold mine.
  2. It is the most profitable eco-friendly small business ideas with practically no capital investment.
  3. It's the production and sale of vermicompost.
  4. It can be created for free in the backyard of your house by setting up just a couple of composting beds.
  5. This could be a great side hustle for a restaurant or a food chain owner.
  6. Investment – Installation of one composting bed costs approximately Rs.3000, to begin with, and can go up to
  7. Examples: Eco-friendly Makeup, personal care, and home care products.

Also Read: How to start a composting business?

✓ Green Architecture

  1. The homes that we live in are increasingly becoming breeding grounds for diseases for not being well lit and airy.
  2. Besides, the materials and chemicals that go into the construction, wall plasters and paints are heavily chemical-laden that have bad repercussions on our health as well as on the environment.
  3. The government is investing substantially in green infrastructure.
  4. Green architecture is much more cost-effective and eco-friendlier.
  5. A lot of well informed and educated people are hiring architects who deploy eco-friendly construction processes.

Also Read: What is Green Architecture?

Types Of Green Architecture Or Green Building Technologies

Some of the well-known green building technologies in 2020 are-

  1. Water
  2. HVAC (Heating, Ventilation And Air Conditioning)
  3. Materials with Low Emitting
  4. Roof cooling
  5. Solar power and panels
  6. Modern energy preserving electronics
  7. Green Insulation

✓ Start a Blog/App

  1. More than anything else, what is more, important at this point is to spread awareness about eco-friendly products and services.
  2. And one business that will help achieve the purpose with an investment as good as a dime is through a blog, application, or social media platforms.
  3. It will help in spreading awareness and help the eco-friendly businesses connect with their target audience.

Further Read: How To Start A Blog For Your Small Business?

Check out our video below on 5 best Eco-friendly business ideas in Hindi.

Also read:

1) Solar Panel Business Ideas
2) Automobile Business Ideas
3) Offline Business Ideas
4) Wholesale Business Ideas
5) Franchise Business Ideas

Stay updated with new business ideas & business tips with OkCredit blogs in English, Hindi, Malayalam, Marathi & more!
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Q. What are the most successful small businesses?

Ans. Some of the successful small businesses in 2021 are-

  1. Food trucks
  2. Automobile repairing
  3. Car washing services
  4. Electronics repairing
  5. IT Support cells
  6. Personal Fitness Trainer
  7. Post-pregnancy or Newborn services
  8. Motor-training skills or children enrichment activities
  9. Children entertainment mobile apps
  10. Shared attire or accessories
  11. Shared Home Improvement Equipment
  12. Vacation property rentals
  13. Educational courses
  14. Language learning courses
  15. Marketing/Management/Business related courses
  16. Personal Wellness/Life Coach
  17. Hobby-based courses
  18. Accounting
  19. Bookkeeping
  20. Graphic Designing
  21. Consultation
  22. Copywriting
  23. Virtual Assistant software and support
  24. Social Media Management

Q. How do I start an environmental business?

Ans- These are some of the easy steps to start an environmental business-

  • Step 1- Complete your Bachelor's degree in a Science field eg: environmental science, biology, or geology.
  • Step 2- Intern at Environmental Consultancy firms
  • Step 3- Gain work experience in the relevant fields
  • Step 4- Give exams like GRE or pursue a Master's degree for better accolades.
  • Step 5- Finds jobs in Environmental Protection Agencies that'll give you hands-on experience in the field.

Q. Which recycling business is most profitable?

Ans- According to recent studies, recycling aluminum cans has proved to be the most profitable sustainable business or green business.

Q. Which companies are eco-friendly?

Ans- Some of the world-famous companies who follow the eco-friendly business approach are-

  1. FORD Motors
  2. HP (Hewlett-Packard)
  3. Disney
  4. Fisher Investments
  5. Starbucks
  6. E-bay
  7. Nike
  8. Johnson & Johnson
  9. Google

Q. Why green business is a smart business?

Ans- Green businesses help in maintaining the eco-system balance of our nature along with other practical advantages like-

  1. 20% less water usage plus wastage
  2. Around 15% paper reduction costings
  3. Approx 30% less consumption of energy & other fuel costings

Q. How are eco friendly products different from conventional products?

  • The qualitative difference between the eco-friendly products might be better or equivalent to that of conventional products.
  • In the case of eco-friendly products, it is the methodology that goes into producing or procuring the product that is more important because it is less harmful to the environment

Q. What are principles that an eco friendly business owner should follow?

  1. The agenda behind any eco-friendly practice harps on conservation, sustainability, and reducing the carbon footprint.
  2. Hence, it is a prerequisite for an eco-friendly business owner to make sure that the production facility does not spread pollution, bio-based, and recycled items are used, and energy conservation practices are put into use.
  3. Apart from that, the business should also support other local businesses.

Q. What is the Eco-Mark label?

Ans: Eco-mark label is awarded to products that adhere to the specified environmental criteria and quality parameters.

Q. Is green business profitable?

  • Yes, customers tend to go for businesses that support sustainable methods of production in the long run.
  • It's best to use green business methods to convert your business entities to profitable.

Q. Is being eco-friendly expensive?

  1. Yes, going eco-friendly can be initially expensive.
  2. It's manufacturing and pricing part is costlier than traditional market products.
  3. The production cost for making eco-friendly products is higher than others, hence, fixing your target audience is much more important.

Q. What is not eco friendly? (Materials/Products)

Ans: The things that aren't eco-friendly by nature are-

  1. Beverage cups
  2. Tea boxes
  3. Disposable utensils
  4. Plastic spoons and forks
  5. Single-use razors
  6. Menstrual hygiene products
  7. Plastic or polyethylene bags

Q. What are examples of eco-friendly products?

Ans: Some best examples of eco-friendly products are-

  1. Recycled bottles
  2. Reusable organic products
  3. Organic cotton clothing
  4. Footwear
  5. Vegan items
  6. Cruelty-free cosmetics
  7. Organic skincare
  8. Handmade household products
  9. Rechargeable batteries
  10. Eco-friendly toothbrushes
  11. Eco-friendly Cardboards etc.
We hope you liked our article. To know more details about business ideas in India, you can visit these linked articles as well:

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Business Ideas In Chennai Business Ideas In Hyderabad Business Ideas In Mumbai