{"id":5526,"date":"2016-04-04T10:48:01","date_gmt":"2016-04-04T15:48:01","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/smallbusiness\/starting-a-business\/starting-a-green-business.html"},"modified":"2026-06-10T11:10:00","modified_gmt":"2026-06-10T16:10:00","slug":"starting-a-green-business","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/smallbusiness\/starting-a-business\/starting-a-green-business.html","title":{"rendered":"Starting a Green Business"},"content":{"rendered":"\n
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Starting an Eco-Friendly Business<\/h1>\n\n
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\n By Natalie Moritz<\/a> | Legally reviewed by Catherine Hodder, Esq.<\/a>\n | Last updated\n
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Editorial Note: We earn a commission from affiliate partner links on FindLaw. Commissions do not affect the editorial integrity of our legal content.<\/p>\n\n <\/div>\n \n

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This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n\n\n

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Key Takeaways<\/h2>\n

A green business is an enterprise that combines economic sustainability with social responsibility and environmentally friendly principles to minimize its carbon footprint. By adopting the triple bottom line\u2014focusing on profit, people, and the planet\u2014these companies successfully appeal to an eco-minded customer base.<\/p>\n\n <\/div>\n <\/div>\n<\/div>\n\n\n

While large corporations have the most responsibility towards alleviating the environmental problems brought by climate change,\u00a0small businesses<\/a>\u00a0can also make a significant impact.<\/p>\n

Small business owners are “greening up” their endeavors. Many are turning toward sustainable business models as they start new businesses.<\/p>\n

At the same time, customers are changing their buying habits and looking to sustainable companies for their products. In general, eco-friendly businesses succeed by aligning with environmentally friendly principles and making those alignments known to an eco-minded\u00a0customer base<\/a>.<\/p>\n

This brief overview covers how to\u00a0start a small business<\/a>\u00a0with environmentally friendly economic principles. It will give you ideas on creating an eco-conscious business and inviting like-minded individuals to do business with you.<\/p>\n

FindLaw\u2019s Starting a Business section<\/a>\u00a0provides various articles and other resources to help you get started.<\/p>\n

Form your LLC with confidence.\u202fOur trusted partner LegalZoom has packages starting at $0 + filing fees.<\/a><\/i><\/b><\/p>\n

The Importance of Environmental Regulations and Incentives<\/h2>\n

Industries deemed essential to environmental initiatives, like solar and wind power, can often receive financial aid to drive growth. This aid can be through direct investments by the federal or state government. It can also be from rebates provided directly to customers. This has been the case with rooftop solar power installations.<\/p>\n

Businesses in renewable energy and other earth-friendly fields need incentives to thrive. Lawmakers hostile to green enterprises may be less willing to extend rebates and incentives, which can have a chilling effect on the industry.<\/p>\n

Alternatively, air quality and carbon emissions regulations may bring the cost of high-polluting energy sources like coal up to par with renewable energy sources. As a result,\u00a0regulations like carbon taxes<\/a>\u00a0and stricter pollution standards can help earth-friendly businesses compete.<\/p>\n

What Makes a Business Green?<\/h2>\n

A green business combines economic sustainability with social justice principles of family-supporting wages, benefits, and inclusivity. It\u2019s not enough to merely operate a green business. You must also be able to explain the measures you\u2019re taking to reduce your carbon footprint.<\/p>\n

Customers want to make informed decisions about where they spend their money. The best way to inform potential customers about your green efforts is by documenting them and sharing that information on your company website or through other\u00a0marketing channels<\/a>.<\/p>\n

Reduce Your Carbon Footprint<\/h3>\n

A carbon footprint is the total amount of\u00a0greenhouse gases<\/a>\u00a0(gases that trap heat in the atmosphere) generated (directly or indirectly) by any given activity of a person or enterprise. Experts consider these gases a primary driver of human-caused global warming.<\/p>\n

Whether a business is green or not is measured by that business\u2019s carbon footprint. Certain activities reduce a carbon footprint while others increase it. A green business has a smaller carbon footprint than a similar business that does not adopt sustainability.<\/p>\n

The average annual carbon footprint of an American is 16 tons. The average for the rest of the planet is four tons. The Environmental Protection Agency (EPA) has a helpful\u00a0carbon footprint calculator<\/a>\u00a0to determine a specific business\u2019s footprint.<\/p>\n

Work With Other Green Companies<\/h3>\n

One way to reduce your startup\u2019s carbon footprint is through a green procurement policy. This is when a business transacts with other companies also engaging in green practices. These can be your suppliers, the people who provide transportation, or even the retail outfits where you will make purchases.<\/p>\n

Research potential partners\u2019 sustainability practices and carbon footprints. Use this research to inform whom you conduct business and transact with.<\/p>\n

Here are some other ways to connect with other like-minded\u00a0business owners<\/a>\u00a0who share your values:<\/p>\n