Do you want to start an eco-friendly business? If so, find here a selected list of eco-friendly business ideas you can start with a small investment.
The products that do not harm the environment in their production, use, and disposal, are called eco-friendly products. Generally, these products when in use help conserve energy, minimize carbon footprint or the emission of greenhouse gases, and do not lead to substantial toxicity or pollution to the environment.
The products made out of recycled materials are also considered eco-friendly products. Buying organic food, using organic products, and using energy-efficient appliances are the few steps towards an eco-friendly lifestyle.
Manufacturing eco-friendly products and providing eco-friendly services are also very effective in making this planet a better place to live. Generally, any company or organization can fall into a green business category if it practices environmentally safe operations and sustainable business policy to address the current environmental safety issues. Here in this article, we have listed the most profitable small eco-friendly business ideas for your ready reference.
List of 10 Profitable Eco-Friendly Business Ideas
#1. Bio-Diesel Production
Biodiesel can ultimately contribute to counteracting the increased levels of carbon dioxide, particulate matter, hydrocarbons, sulphur oxides, nitrogen oxides, carbon monoxide, and air toxins trapped in the atmosphere as a result of the long-term burning of fossil fuels.
As an alternative, biodiesel effectively eliminates noxious gas emissions and cuts soot emissions in half. It decomposes biologically with no harm to soil or groundwater. It contains no benzene or carcinogenic polyaromatic components and close to zero sulphur content.
Biodiesel is a cost-effective alternative to conventional petroleum-based diesel with added environmental and performance benefits.
Read: How to Start Bio-Diesel Production Business
#2. E-Cigarette
Electric cigarette provides smokers with a healthier option and has been claimed to be a more environmentally friendly product. Smokers can enjoy the feeling of nicotine without harming the environment. Electric cigarettes do not have anything except nicotine, along with a device for expelling it.
There’s no deadly carbon monoxide, tar, or the 4000 other harmful toxins found in cigarettes. You can start an e-cigarette business in several ways. Additionally, you can start assembling e-cigarettes and selling them. You can also import this product and sell it through online marketplaces.
#3. E-waste Recycling
E-waste recycling is an eco-friendly and profitable business. While e-waste poses a problem for the environment it is also a source of valuable resources and contains a number of precious metal and mineral resources, which are available in very limited quantities in nature.
In India, electronic product wastes dangerously increase the volume of obsolete computers, printers, fax machines, TVs, mobiles, and other electronic devices. Of the nearly 8 million PCs in India, 2 million are only for software up-gradation is accounted as e-waste.
#4. Handmade Paper Making
Handmade paper and paper products make are some of the most innovative eco-friendly business ideas. You can start this small venture from home. Handmade papermaking in India is a traditional art. The equipment used to transform the raw materials into paper has been improved by modern technology.
Handmade paper has the advantage of being 100% wood-free. It makes the paper the most eco-friendly form of paper around. Handmade papers are made from 100% cotton waste and other residual agro waste.
#5. Jute Bag Making
Jute is one of the most affordable natural fibers jute fibers are composed primarily of the plant materials cellulose and lignin. The industrial term for jute fiber is raw jute. The fibers are off-white to brown and 1-4 meters (3-13 feet) long. jute is also called “The golden fiber” for its color and high cash value.
Jute is a 100 percent biodegradable and eco-friendly material and does not pollute our environments like plastic products and poly bags. As jute is grown by the farmers in rural areas thus if jute and its various products are much sought and sold in the market, then it would be a very big support for rural people.
Read: How to Start Jute Bag Making Manufacturing Business
#6. LED Light Manufacturing
The LED light can save a significant amount of energy and carbon emissions over incandescent and fluorescent lamps. In addition, LED bulbs are available in various sizes in markets. LEDs offer the potential for cutting general lighting energy use nearly in half.
They are an extremely energy-efficient and perfect replacement of traditional bulbs with distinct advantages such as an exceptionally long life span (50,000 hours), enormously lower energy usage (85% more efficiency), reduced maintenance costs, and higher safety. LED stands for the light-emitting diode.
Read: How to Start LED Light Manufacturing Business
#7. Moss Carpet Making
Moss carpet making is one of the most trending eco-friendly business ideas to start with a small capital investment. It is made out of a material is known as Plast azote, which is a form of imputrescible foam. The mat also contains island moss, forest moss, and ball moss.
The best part is that it requires minimal maintenance since it is a bath mat, the humidity levels in your bathroom ensure that the mosses can be sustained.
#8. Organic Farming Green House
Organic farm products have got more value compared to inorganic products. People are becoming more conscious of their health and the environment. Organic farming also helps conserve water. With the increase in awareness of the multiple health risks of food grown with chemicals, more and more people are turning away from food products that are grown with fertilizer and other chemicals towards organically grown foods.
Read: How To Start A Profitable Organic Farming Business
#9. Solar Light Manufacturing
Solar power is a great source of renewable energy. There are several different techniques and technologies developed to use this natural energy. It is estimated that very little part of solar energy is efficiently used. Solar technology is classified into two types active and passive based on its conversion and distribution. It is a successful form of energy used for both residential and industrial purposes.
During the day, the solar panel transforms sunlight into electrical energy, which is stored in rechargeable batteries. At night, powered by the stored energy, the LED bulb turns on automatically to illuminate.
Additionally, consumers can use solar lights as both indoor lamps and outdoor lamps. Solar indoor lamps are used for general illumination while solar outdoor lamps have more function than just illuminating lawn and garden. In many places, those solar lamps are also used in light streets billboards, signs, and parking lots.
#10. Water Powered Watch
A water-powered watch is an eco-friendly product. The eco-friendly water watch’s unique technology converts ions in the water into a clean energy power. You won’t need to replace your water for six months or more. This is one of the most trending and lucrative eco-friendly business ideas to start from home. You can sell the watch from your own online store.

Editorial Staff at NextWhatBusiness is a team of Business Consultants having years of experience in small and medium scale businesses.