The Sustainability Necessity for Small Businesses

Jude Shrimpton | March 2025

SUSTAINABILITY • ESG • SMALL BUSINESSES

As a small business owner, you’re probably juggling a hundred different things at once. From keeping customers happy to staying on top of your finances, there’s always something that needs your attention. You probably care about sustainability; after all, it affects your community, your family, and the world we’re leaving behind. But even so, it can feel like just one more thing on an already overflowing plate.

The reality is, sustainability isn’t just a "nice to have" for your small business anymore. It’s becoming essential. And not just because it’s the right thing to do, but because it makes good business sense.

With this in mind, let’s explore why sustainability matters for small businesses like yours and how you can take practical, manageable steps to make a difference, both for your bottom line and the planet.

Why sustainability should be on your radar no matter how small your business is

1. You can make a difference

You might assume that the biggest polluters are the oil giants or large corporations, and you’d be right when considering emissions on a per-company basis. However, the reality is that small and medium sized enterprises (SMEs) make up over 99% of all businesses in the UK and also have a huge impact. In fact, SMEs are responsible for 50% of non-household emissions in the UK. The sheer volume of SMEs means that, collectively, they can drive significant change and every small step your business takes towards sustainability can make a real difference.

According to the United Nations, to limit global warming to 1.5°C above pre-industrial levels and avoid the worst outcomes of global warming, greenhouse gas emissions need to be cut by roughly 45% by 2030 compared to 2019 levels, and Net Zero emissions must be achieved by 2050. Achieving this goal will not be possible without the efforts of your small business and the 5.51 million (at the time of writing this article) other SMEs in the UK.

2. Your customers care about it and they’re paying attention

Today’s consumers are more informed and value driven than ever before. People want to support businesses that align with their beliefs - whether it’s reducing carbon emissions, paying employees a fair wage, or supporting the local community.

If you can show your customers that you care about these issues, you’re not just building goodwill, but also you’re building loyalty. Simple actions like adopting digital tools to reduce paper waste or implementing energy efficient practices in your office can have a profound impact on your audience. For small businesses, being transparent and authentic in your marketing approach is a huge advantage too. Unlike big corporations, you’re closer to your customers, so when you talk about the steps you’re taking to operate more sustainably, they’re more likely to listen and appreciate it.

3. Regulations are tightening

The regulatory landscape is evolving, with governments and industries introducing stricter rules to address climate change and social responsibility. While some regulations, like the Corporate Sustainability Reporting Directive (CSRD), predominantly focus on larger businesses, we’re already seeing these requirements expand. The CSRD has begun broadening its scope to include more companies of varying size, and in the UK, regulations such as the Green Claims Code are encouraging businesses of all sizes to be transparent about their environmental impact.

Even if you’re a small business, these changes could affect you, especially if you're part of a larger company’s supply chain. Many larger companies are starting to require their suppliers to meet specific sustainability standards or report on their ESG practices. Adopting sustainable practices now can help position your business for future compliance and open up new opportunities with bigger partners and customers.

4. Sustainability can save you money

You might be surprised to learn that sustainability can actually help reduce costs. Think about it. Reducing waste means spending less on materials. Energy efficient equipment might have an upfront cost, but it can lower your energy bills over time. Switching to digital processes can cut down on paper and printing costs.

Small changes like turning off lights and equipment when not in use or introducing more efficient delivery routes to save fuel add up quickly. And as renewable energy becomes more affordable, it’s easier than ever to make a meaningful difference without breaking the bank. For businesses with physical premises, deploying IoT devices or using proptech in office spaces, manufacturing plants, or warehouses can further optimise energy use, monitor efficiency, and reduce waste. These technologies not only lower costs but also help track and manage sustainability goals in real-time.

5. It’s good for your team

Your employees care about sustainability, too. Studies show that younger generations, in particular, want to work for companies that reflect their values. By committing to sustainability, you’re sending a message to your team that you care about the bigger picture. This can boost morale, improve retention, and even make your business more attractive to potential hires.

Simple initiatives like offering reusable water bottles, setting up a recycling program, or bringing in cycle to work schemes can be a great place to start. 

How to start your sustainability journey

If sustainability still feels overwhelming, that’s okay. You don’t need to do everything at once. Start small, build momentum, and focus on what makes sense for your business. Below we’ve listed a few practical steps to get you going:

1. Identify quick wins to get started

Look for simple, low-cost ways to make an impact. Could you reduce waste by reusing materials or recycling more? Could you save energy by switching to LED lighting or turning off equipment when it’s not in use?

These small changes might seem insignificant, but they can add up, and they’ll show your customers and employees that you’re serious about sustainability.

2. Get informed and set goals

You don’t need to be an expert on sustainability and no one truly is… but it helps to understand where your business can have the most impact. Start by asking yourself a few key questions:

• How much energy do you use, and where can you cut back?

• Are there more sustainable alternatives for your materials or products?

• Are some suppliers holding your sustainability back and could you find new ones?

• How much waste does your business produce, and can you reduce it?

Once you have a clearer picture, set realistic goals. For example, you might aim to reduce your energy use by 10% over the next year or switch to a local supplier to cut down on transportation emissions.

3. Use tools and get support

You don’t have to do this alone. There are plenty of tools and resources out there to help you get started. If you’re feeling stuck, organisations like the UN Global Compact offer guidance tailored specifically for SMEs, such as their SPARK community initiative. They provide resources, training, and even local networks to support your sustainability journey in a way that works for your business.

4. Don’t forget to communicate your efforts

Your customers, employees, and partners want to know what you’re doing! Share your sustainability journey. Whether it’s via a social media post about your new energy saving initiatives or an email marketing campaign to your audience about your new on-site composting unit, let it be heard.

Also don’t worry about being perfect. People value authenticity, and they’ll appreciate that you’re making an effort no matter how small to begin with.

Sustainability at Bright Lights

At Bright Lights, we take small but meaningful steps to reduce our environmental impact as a small but growing business. We’re a fully remote, digital team, meaning we avoid the carbon footprint of office spaces and daily commuting and all in and outbound communications are 100% paperless. When we do meet in person, we prioritise train travel as a more sustainable mode of transport. While we’re by no means perfect, we’re committed to doing more. Sustainability is a journey, not a destination, and we’re excited to continue making progress along the way.

Now is the time to act

The world is changing quickly, and sustainability is no longer optional. From shifting customer expectations to tightening regulations, businesses that embrace sustainability now will be the ones that succeed in the long run. As a small business owner or consultant, you have the unique ability to act quickly, innovate, and connect deeply with your community. By making sustainability a priority, you’re not just future proofing your business, but also helping to create a better future for everyone.