Turns out small businesses can help save the planet while enjoying some financial benefits along the way—and that’s just for starters.
It’s no secret that the climate crisis is changing standards and practices across industries. As a result, terms like green economy, sustainability, and Environmental, Social, and Governance (ESG) have quickly entered the government and corporate lingo to signal a higher focus on how the economy impacts our planet and people. Unfortunately, as if the topic wasn’t already confusing enough, the potential benefits for small and medium businesses (SMBs) going green are pretty vague. In this post, we’ll help fill in the gaps by breaking down three ways sustainability is good for the planet and your business.
Green Benefit No. 1: Your Company Can Save Money
To a large extent, sustainability is about reducing waste. Reusing resources, saving energy, and recycling are just a few environmentally-friendly methods of cutting costs. In addition, SMBs can explore what green incentives their local government offers. For example, some governments provide financial help to upgrade heating equipment or install solar panels, allowing you to save and potentially generate more revenue.
Green Benefit No. 2: Happier Customers And Staff
The “S” in ESG stands for “Social,” indicating that sustainability is also about how stakeholders—including your customers and staff—are treated. From a flexible working policy to paid maternity and paternity leave, there are numerous ways to contribute to better social interactions. Even something as fundamental as fostering an inclusive environment where staff and customers smile and treat each other with respect can earn you a better “S” score. Why is this important? Customers are more conscious and reliant on reviews than ever before and are more likely to support businesses with shared values.
Green Benefit No. 3: Better Investor And Lender Relationships
Insurers, investors, and lenders have their eyes on sustainability when making an investment or underwriting decisions. Studies show that companies complying with various ESG metrics perform better, generate higher returns, and have superior credit. To keep up with market demand for green investing, Crowdz rebranded its Smart Score to Sustainability, Risk, and Financial (SuRF) Score, which in the future will provide funders and SMB owners with both granular financial data and sustainability evaluation metrics.
How can I tell if my business is sustainable?
We’re working on it! As a recognized World Economic Forum Technology Pioneer, Crowdz has a rep for tackling global issues with innovative tech-based solutions. Soon, an expanded version of Crowdz’s SuRF score will give small and medium businesses the ability to track their progress in becoming more sustainable. It’s a unique approach that has the potential to set a new standard in SMB sustainability evaluation. Along with this tool, the Crowdz platform will offer guidance and insights on sustainability improvements to drive positive change in local communities. Stay tuned!