Are sustainable (low carbon) businesses more profitable? - Inteb

Are sustainable (low carbon) businesses more profitable?

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Introducing sustainability practices into the core strategy of your business will cut into your profits and leave your business out of pocket, right?

Actually, the opposite is true.

By reducing your carbon footprint, your business can win you contracts, clients and make you money.

Where’s the proof?

Well, read on to find out…


How sustainability makes your business more profitable

In a study by the Carbon Disclosure Project Worldwide (CDP), it was found that sustainable businesses or businesses planning on reducing their carbon footprint achieve:

  • An 18% higher ROI than those who aren’t
  • A 67% higher ROI than those who refuse to declare their emissions data
  • A 50% lower volatility on earnings over ten years
  • A 21% stronger dividend score compared to their competitors

Proof that being sustainable is not only good for the environment, but it’s also having a positive impact on their bottom line.

Statistics which are backed up by CDP CEO, Paul Simpson:

The number one question investors ask CDP about climate change data is whether there is evidence of a link to financial performance. The answer is a resounding yes.

There is only upside for corporations acting to address climate challenges. At the very least, this will put to rest the common misconception that taking action on climate change comes at a cost to profitability.

sustainable businesses

And in an article by the Financial Times, it was found that by introducing energy-efficient initiatives, 190 Fortune 500 companies alone have saved around $3.7bn per year since 2016.

Many blue-chip clients achieve this, initially, by greening their supply chain, which means they’re looking for small businesses that can react faster to change and implement sustainable practices much easier.

By greening their supply chain, it shows they’re dedicated to change, and means those suppliers who aren’t will lose contracts and clients – putting you in pole position to win them.

And it’s not just industry giants where you can pick up extra income, it’s happening locally in the UK too.

Right now, to work with or win contracts with local councils, you need to have:

  • An environmental policy
  • An environmental management system

Don’t have these, and you’ll be overlooked – sustaining further damage to your business from your bread and butter customers.


The further benefits for sustainable businesses

Financial benefits are just the tip of the melting iceberg, as reducing carbon emissions also has long-lasting benefits elsewhere, namely with your employees.

Your staff want to work for a company that cares about the environment, and it’s a subject that’s only going to become more important in years to come.

Why?

Because the new group of school leavers and university graduates will be the ones who, ultimately, decide whether they work for you or not. They care passionately about the environment and aren’t afraid to make their voices heard.

They’ll be more likely to ask you at the interview what you’re doing to lower your emissions, and if you’re not, there’s a chance they’ll go straight onto social media and vent about it. Young people hold such a huge sway on environmental issues, they’ve even managed to force Comic Relief to change their red noses from plastic to a natural alternative.

Ignore them, and not only will you miss out on the best talent, but you’ll also have a load of lousy PR heading your way too.

sustainable businesses


How Inteb helps you lower your carbon emissions

If you want to become a sustainable business and be more energy-efficient our article, What does net-zero look like? will help you understand even more about what reducing emissions really means.

And after that?

Get in touch with Inteb.

At Inteb, our team will help you define your vision and put the necessary steps in place to lower your carbon footprint and make your business more profitable.

We call this our connected energy map, which consists of six steps:

  1. Strategy
  2. Data-driven energy reduction programmes
  3. Real-time optimisation and control
  4. Renewable energy supply chain
  5. Auditing
  6. Compliance

Our team of experienced energy managers, utility experts, engineers and chartered surveyors work with you to help you:

  • Create an environmental policy
  • Improve your sustainability practices
  • Reduce your carbon footprint
  • Stay compliant

And to make sure you’re seen in an even better green light, getting your business certified by B Corporation builds trust and shows you’re meeting the highest standards of transparency in reducing your carbon emissions.


Become sustainable and make your business more profitable.

Get the conversation started – call us now on 0151 601 3476