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Starting a Green Building Business: A How-To Guide

Green building’s main objective is to reduce or eliminate the harmful impact of construction on the environment, and it has seen a steep upward trend in recent years. Among its many social and economic benefits, it protects biodiversity, reduces energy and water consumption, and increases property value. So if you want to launch your own green business and benefit your community and the planet, here is a quick guide to get you started:

Create a Detailed Business Plan

Put your ideas down on paper and outline how your green building business will be run. More than a general overview, a business plan should be a roadmap for success. Estimate how much you’ll need upfront and decide how you will fund your new venture: Will you be applying for grants offered to environmentally-friendly small businesses, get a bank loan from a banking institution, or look for angel investors? Your plan should also detail your structure and management, your target market, and what role each person involved in the business will play.

And don’t forget to include possible marketing strategies and sales projections, along with a market analysis showing where you’ll stand amongst your competitors. Additionally, think about bringing up industry trends and forecasting to highlight how well the green building sector is currently performing and is expected to perform in the future.

Network With Other Professionals

Look for designers, architects, craftsmen, and contractors in your area that are committed to being environmentally friendly. You can turn to your local chamber of commerce or join online groups to find those professionals and start networking. And if you need funding for your new venture, you can find investors who are committed to helping green efforts and are ready to lend money to companies using renewable energy resources. So if your business is related to wind or solar energy, or if you use renewable materials for construction such as cork, bamboo, and sustainable wood products, think about joining or creating a network of environmentally-conscious people to share advice, expertise, and resources, and help each other build successful businesses.

Register Your Business With the State

If you structure your green building business as a limited liability company, partnership, or corporation (nonprofit or for-profit), you’ll need to register with the state where you and your employees work. And if you conduct business in multiple states, you will have to file for foreign qualification as well. Each state has its own fees and requirements for filing, so make sure to check with the Secretary of State’s office or a business bureau to ensure compliance. To make things easier on yourself, consider getting a registered agent who will always be available during business hours to receive all official documents on your behalf. You’ll be able to see clients and give them estimates or visit a construction site without worrying about missing an important notice.

Use the Right Tools

Digital tools can help you work more efficiently. As an example, invoicing options for contractors include software that reduces the need for repetitive tasks. You can generate an invoice from the estimate you gave your client and keep all the information you need organized and virtually error-free since there’s no need to reenter data. Additionally, online payment tools let you easily schedule and collect payments, giving you a better handle on your cash flow. And by syncing your bookkeeping software to your invoicing software, you’ll spend less time on administrative tasks and more on R&D, customer management and relations, and marketing strategies to grow your business.

Launching a green building business is a worthy endeavor. In order to make it a success, make sure you surround yourself with the right people. Ensure compliance with your state, and take advantage of software designed to accomplish a contractor’s tasks faster and easier.

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Image via Pixabay

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