GREEN MONEY: WANT SOME?

Green money is  income a business generates from being eco-friendly.  What does it mean for a business to be eco-friendly? A business is eco-friendly when it works with nature, rather than against it. This makes business sense as nature forms our physical environment, provides natural resources, and allows all life forms to thrive particularly us humans. In other words for a  business to achieve long term success it needs to make sustainable business practices an integral part of its business.

Every business regardless of its size can make some green money, just follow these steps:

STEP 1: Understand your business

Seems pretty obvious? Truth is most business owners do not take the time to study their business and those who do, tend to stop as the business grows. All successful business owners understand a hands-on approach is or may become necessary at some point.  A major testament to this is the international acclaimed ‘undercover boss television series’. Only when you know how your business operates can you know how things work. You cannot make a positive change if you do not know how your business is run.

 STEP 2: Write it down

Now   you understand how your business is run, you need to write it down including associated costs. For example if you use a generator for back up electricity supply, how many hours is the generator ran in a week? What quantity of fuel/diesel does it consume? And how much does it cost? Writing down your operation costs gives you a realistic view of your expenses, a must if you want to run a profitable business.

STEP 3: Draw up your budget and slash it by 50% on paper

This exercise is particularly helpful for new businesses, whose figures are mainly estimates. The purpose of slashing your budget is to make you prioritise your spending. For example a waiting area is necessary in an office. The essentials: staff to cater to customers, chairs for customers to seat while they wait, and an air conditioner for those hot days. The chairs don’t need to be leather upholstery all they need be is comfortable.

STEP 4: Don’t get hung up on the “add-ons”

Some business owners get so hung up on the “add-ons” that they forget what the heart of their business really is, their customers. You may have an impressive and tastefully furnished business environment, but if your customer service is poor, your office décor becomes inconsequential. An irate customer, is not likely to admire your marble counter top or Matisse painting. A business with a clean office environment, and good customer service, trumps a business with an expensive décor and poor customer service any day.

STEP 5:  Make some green money

 As a business owner you need to realise that your business exists because nature allows it to. Beg to differ? Can you efficiently run your business without electricity? I suppose not. How is the electricity generated? You may want to give it some thought. You make green money when you take eco-friendly measures. For example when you use energy saving bulbs as opposed to incandescent bulbs you save about 25% - 80% energy, plus, they last three times longer. Installing a prepaid electricity meter guarantees you only pay for the electricity you consume. Efficient communication is vital in any business, so aim to disseminate all or most information via email, particularly internally. You can also set up your printers to print on both sides, this way you use less paper. When you use less paper you save money. It may not seem like much at first, but taking these little steps, does add up to become quite significant. And finally, if you want physical cash have you considered placing well labelled bins in your staff canteen? You’ll be surprised how much you can make from what you consider to be waste plastic bottles and metal cans.

Congratulations! It’s time to spend your green money

You can reinvest your green money in your business. Energy cost savings, can allow you treat your customers to discounts. What better way to reward them, for their custom and solicit their loyalty. You can; explore a sustainable power source, e.g. solar panels for your security/outside lights. Using rechargeable batteries as opposed to traditional ones which you throw out when they run down. You may also consider installing motion sensor lighting fixtures, or if you’ll prefer, you can take it to the bank!!!

Article source- ECOVISION Magazine (April- June 2015)

ECOVISION Magazine is written and published quarterly by NATURA DEFERO VITA LTD, established in Abuja, Nigeria.