Many eco-minded entrepreneurs are well aware that what motivates the average worker has shifted dramatically. People decide to leave stable jobs and oftentimes pursue their own ventures for many reasons. These include a desire for independence, flexibility, and a passion for a unique business idea.
However, for the new generation of Millennial entrepreneurs, starting a business goes beyond financial stability and personal goals.
Numerous studies have shattered the inaccurate notion that people in their 20s and 30s are lazy, arrogant, and self-entitled. Instead, they’ve shown that sustainability is just as important as profit for the youngest generation of eco-minded entrepreneurs. More and more people decide to start businesses that help the planet either directly — by creating a product or service that helps with waste, pollution, and climate change — or indirectly, by implementing the latest sustainability practices and reducing carbon footprint as much as possible. Back when sustainability wasn’t more than a trend, a common misconception was that being eco-friendly was too expensive. It was only worth it for big corporations. Nowadays, 62% of executives agree that businesses need a sustainability strategy to stay competitive and that being eco-friendly can actually reduce business expenses and boost customer trust.Young, eco-minded entrepreneurs are balancing sustainability with financial returns.
Starting a business is no longer just about financial gains. According to a 2017 report from HSBC, the motivations of young entrepreneurs are less about cash and more about the good of the planet. Thus, 25% of entrepreneurs in their 20s want their businesses to positively impact the environment and the local community. By comparison, only 13% of entrepreneurs in their 50s share the same values. This commitment to sustainability doesn’t come at the expense of profit, however. Millennial entrepreneurs still want their independent ventures to bring them personal fulfillment. However, they’ve chosen to balance financial returns with sustainability. This approach can be applied to all endeavors, even when a company’s products and services might not seem to have a lot to do with the environment. Take waste management, for example. For years, businesses such as warehouses, hotels, and restaurants have generated huge amounts of waste. They traditionally disposed of it by tossing it all in a rubbish bin.Concerns over waste-handling practices are fueling innovation.
Now, with waste concerns on the rise, eco-minded entrepreneurs are trying to dispose of it more responsibly by using special machines for waste recycling. Also known as balers or compactors, these machines compact waste such as cardboard and PET bottles. This saves space, reduces waste collection costs, and even helps businesses make money by recycling their waste. This is just one of the examples that shows that being eco-minded doesn’t have to apply to only one field and that sustainability can also be profitable when it’s done right. An analysis from McKinsey revealed further ways in which companies can use sustainability to drive growth.- Conduct better resource management — water, energy supply, etc. — to reduce operational costs.
- Reduce unnecessary packaging across the production chain to cut costs and reduce waste at the same time.
- Use the latest technologies to develop innovative, sustainable products.
- Leverage influence to educate clients on sustainability matters.
