With the increased awareness of environmental sustainability and development, everyone wants to do their bit to save the environment. So, if you are an eco-minded entrepreneur and want to make ecological recovery your priority along with profitability, here are some business ideas you can pick up.

What makes these the best eco-friendly business ideas is that they can be done digitally, uses renewable resources only and meet the modern requirement of customers. So, read on to know more.

Setting up an eco-friendly business means dealing with those products that do not cause any harm to the environment. In other words, it makes extensive use of natural resources but efficiently and effectively. 

Also, when a consumer uses these products, it helps minimise carbon footprint, conserve energy and reduce the emission of greenhouse gases. In addition, it does not lead to any pollution or sustainability toxicity. 

By following environmentally friendly business ideas, companies can gain different commercial advantages ranging from cost savings to increased market scope. To help, we have mentioned these ideas and their attached benefits below:

1. Green Beauty Products

One of the top eco-friendly business ideas in India is starting a green beauty product business. Green products in the cosmetics sector contain only natural ingredients produced using renewable raw materials. The main ingredients used to form these green beauty products are oleo-chemicals sourced from bacterial items and renewable plants. 

It can increase sales and improve public perception. Moreover, it also serves as a way to promote corporate responsibility. Apart from these, adopting sustainable practices like switching to sustainable packaging can considerably improve the company's image. 

Benefits of Green Beauty Products

• No Effect on Soil: The products are made of natural and organic ingredients; thus, avoid using harmful pesticides and fertilisers. So, it does not affect the quality of the soil.
• Light on Skin: Green products are light and do not clog skin pores. Thus, the skin has enough space to breathe. This attracts customers to buy them more.

2. Solar Energy Trade

Another profitable eco-friendly business in India that reduces carbon footprint drastically is trading solar energy into various manufacturing industries and factories. Even many countries have made efforts like introducing EVs or Electronic Vehicles to reduce the carbon footprint. Here solar panel traders can help by assisting them with solar system installation and manufacturing. 

Up till now, India has installed 9.3 GW of solar capacity power, and this will exceed more in the upcoming year, 2023. 

Benefits of Solar Energy Trade

• Eliminate the Greenhouse Effect: Solar energy trade promotes pollution-free power resources, thus reducing the emission of greenhouse gases. 
• Low Maintenance: Customers can benefit as solar panels do not require virtual maintenance, as these last for over thirty years.

3. Green Cleaning

Many households are experiencing the side effects of the toxic cleaners being used to wipe floors and dust. It is creating irritation, affecting health and making tons of plastic waste. So, one of the best eco-friendly start-up ideas can be to start a green cleaning business. 

Entrepreneurs can supply services as well as create green cleaning products to make them easily available either locally or via subscription. For this, you can first find clients who need this service, replace synthetic or harmful chemicals and consider installing equipment for a speciality cleaning service.

Benefits of Green Cleaning

• Lower Impact on the Environment: Switching to non-toxic cleaning products minimises the harmful by-products released into the atmosphere by your business. Thus, the condition of the ecosystem stays intact.
• Healthier Workplace: As you deal in green cleaning products, the quality of your commercial building remains positive. The staff does not get exposed to harmful chemicals or create side effects.

4. Up-Cycling Business

Another top suggestion in this list of eco-friendly start-up ideas is modifying old furniture to produce new ones. In an up-cycling business, producers need to give a new form to the already-used product without adding any new element to the production.

It is a good option for those looking to deal on a small scale. Unlike big businesses, it does not require large investments or setups. Moreover, apart from furniture, this type of production is also common in the textile, wood, second-hand items and glass industries. 

Benefits of Upcycling Business

• Financial Support: One of the biggest benefits is that it provides financial support to businesses, as you can make money from trash by upgrading its form. 
• Reduces Pollution: It benefits the environment as there is less dumping in landfills and reduced sulphate emissions in the air and water. As a result, the degree of pollution decreases.

5. Sustainable Tourism Business

Introducing sustainability in the tourism sector means promoting eco-tourism. It means establishing a low-impact small-scaled business that allows tourists to learn about the local flora, fauna, and culture. As a result, you are able to attract more customers, lower overhead costs and boost your brand name.

For this, you will have to take up your business online and reduce the usage of paper. Additionally, promote sustainable activities like wildlife sanctuaries and cycle tours. Also, provide customers with conservational resources for different places they are visiting. 

Benefits of Sustainable Tourism Business

• Better Reputation: By adopting a sustainable tourism business, you are giving an idea to the world that you care about the environment. This gains a better reputation for your business in the market.
• Keep Up with the Competition: Now, more and more businesses are waking up to the fact that they must mitigate the impact of tourism and travel on the social and economic environment. So, by establishing sustainable tourism, you are keeping up with the competition.

6. Nursery

Opening a nursery can be among the best eco-friendly business ideas if you do not want to invest largely in equipment and machinery. Moreover, the percentage of people showing interest in sustainable agriculture, like nurseries, has increased. 

To start this business, you can either partner with the local company or retail nursery to sell plants as a landscaper or florist. In contrast, you can sell bulk gardening supplies or plants to retailers, landscape contractors, municipalities or distributors. Also, use recycled products for packing or shipment, plant in organic containers, arrange compost for livestock, etc.

Benefits of Nursery

• Promotes Green Life: Nurturing plants serves as a method of preservation, thus restoring the ecosystem and promoting green life.
• Easy Setup: The nursery does not require much setup. For example, if there is considerable space in your house's backyard that you do not use, turn it into a little nursery. It will require minimum effort and investment. 

7. Sustainable Event Planning

No matter if you are planning a small or big event, they all generate a considerable amount of waste. Not only this, but it also consumes valuable resources. You can help by giving out your expertise and planning skills as a green event planner. 

It includes suggestions including where one can find eco-friendly materials, venues and accommodations. Also, arrange a proper disposal system to avoid waste dumping in landfills. 

Benefits of Sustainable Event Planning

• Creates Brand Awareness: Hosting sustainable events spreads a great message to the public that you care for nature. Your efforts create a positive brand image and attract people's attention.
• Reduces Carbon Footprint: The minimised use of plastics, recycled products, and other arrangements reduces carbon footprint. This, in turn, also saves us from the climate crisis. 

8. Bicycle Refurbishing and Repair

However, bicycles also need occasional tune-up like all other modes of transport for the best service. Here comes the opportunity to start a bicycle refurbishing and repair business as an eco-friendly idea. 

So, if you have extra space, purchase old inexpensive bikes, improve their condition and sell them for a profit. It will not only help nature by reducing pollution but also by recycling old products.

Benefits of Bicycle Refurbishing and Repair

Strong Demand: As it is an environmental friendly idea, it impacts customers and even retains them. Moreover, as people want to promote such positivity, there is an increased chance of getting referrals.  In addition, with people becoming health conscious, the demand for bicycle repair and refurbishment has increased. Not to mention, this business idea is relatively free from the effect of recession.

9. Handmade Organic Products

If you have a good grip on the packaging, selling handmade organic products can be one of your top eco-friendly business ideas. Sure, it is simple to find the recipe for vinegar-based cleaning solutions and sugar scrubs, but a customer can only benefit from them if one packs the products well while selling.

The aim is to make handmade organic cosmetics, soaps and cleaning products available to customers conveniently. Local events and markets are good places to sell them, but you can also start online.

Benefits of Handmade Organic Products

• Less Energy Resource: As products are being handcrafted, they offer more attention and quality while using less energy from the resources. This makes it a highly sustainable business idea.
• Promotes Personalisation: Handmade products are natural and not made in factories. Thus, one can customise it in the way they like. Therefore, it fits the needs of customers and promotes personalisation.

10. Second-Hand Store

Few things do not lose their value even when used multiple times. So, one can buy the used one for a reduced price. For example, a new book costs around ₹ 1000 to ₹ 2000, but when used, it costs only ₹ 100 to ₹ 200. However, this does not mean the book has lost its value.

So, as a great eco-friendly start-up idea, open a second-hand store. It will not only save customers money but also preserve the environment by reducing the production of trash. The platform will bring together parties, one who wants to sell their used product and the second who wants to buy products at a reduced cost.

Benefits of Second-Hand Store

• Flexibility: In this type of business, there is no need to have a physical storefront. One can set it up online and transact at the convenience of home. 
• Lower Start-Up Cost: Starting a second-hand store is much less expensive than most businesses. It ranges anywhere between ₹ 16 lakh to ₹ 18 lakh.

Corporate social responsibility, or CSR, is a management concept that consumers have come to care about. Under this, companies must incorporate different environmental and social concerns while conducting business operations and interacting with stakeholders. 

As a result of the shift in consumer interest, a greater number of companies are emerging as green businesses. However, it can be tough for entrepreneurs to address so many problems that climate change poses. So, follow the below steps:

Step 1: The first step to starting a green business is to identify an eco-friendly service that no other company currently offers. 

Step 2: Look for like-minded people that you can add to the team. 

Step 3: Introduce a green procurement policy in the company that says to transact with only companies engaging in green practices. 

Step 4: Write down a business plan that explains to potential funders how the green business plan will work in real life. It should address the triple bottom line, including people (social responsibility), profit and the planet. 

Step 5: Maintain a green office by going paperless, decorating live plants, building recycling centres, using eco-friendly cleaning products, moderating temperature, etc.

Step 6: Get certified as an environmentally friendly or green business. It shows the customer and business partners that you will meet all the criteria set by the authorities. 

This is all the information available on eco-friendly start-up ideas currently trending in the market and how to start them. These are easy to build and require minimum effort and investment. Moreover, it is easy to get it sanctioned with minimum paperwork. So, compare the benefits and setup details to find which one will be the perfect idea for you.