Green Investment Opportunities
By Irina Bright.
As of the end of 2012 - beginning of 2013, we sure started observing a changed investment landscape that is now capable of bringing a much wider range of green investment opportunities to a much wider audience of investors.
I wrote a lot about green investment some time ago and described medium- to large-scale industries that might be of interest to environmentally aware investors. For example, solar and wind energy, green building and energy efficiency are just several green industries with a big potential.
I am very excited to note that many positive changes have recently taken place for small-scale start-up businesses as well.
Let's make it clear: small businesses are just as innovative (or often even more so) as large and established ones.
There are loads of fantastic innovations introduced by small companies on to the market for eco-friendly products.
I know, I know - eco-friendly products are the buzz of the day.
But let's keep it in mind that such gadgets are still capital-intensive, they require the use of precious natural resources and they don't actively improve the state of the environment per se.
For that reason, I am personally much more interested in businesses which can actually help reduce our negative impact on the nature (including, of course, the rainforests) and, in fact, even aim to "make it better" in every possible way.
As of 2012, United States and United Kingdom have introduced the legislation which makes it much easier for an ordinary (wo)man to invest in start-up companies.
Historically, start-ups have been considered a highly risky type of investment, which is totally true. Many start-ups don't make it past the 1st year of their trading activities, and investors may end up losing their capital as well.
For that reason, this type of direct investment was pretty much a domain of business angels and venture capital firms. Governments believe that these types of investors are very experienced, and that they understand the risks they undertake by investing in early-stage businesses.
But thanks to an explosion in online social networking and all the possibilities that new technologies bring with them we are now observing a deep democratization of the investment process.
Technology and favourable legislation are making it possible for individuals and "crowds" (and not just institutional investors) to put small amounts of money into their chosen start-up businesses. For example, one of the UK pioneers that gives individuals a chance to invest in start-ups is an online platform called Seedrs.com.
So, this all is very good, of course.
Now let's think what green investment opportunities are out there for individuals like you and me - the investments which can make a real positive difference for people and the environment.
I have always been interested in organic foods.
This is a perfect example of a green industry which can improve both people's health and the health of the environment at the same time.
One of my past ventures (Kill Tiredness Now) promoted organic and premium-quality superfoods.
I had it listed it on Seedrs for a certain period of time to raise capital from individual investors.
I think this is a type of classic *green investment opportunities* we should consider when looking for environmentally aware start-ups to put our money into.
Written by: Irina Bright
Original publication date: 2013
Republication date: 2020