Adopting green practices can feel like a drop in the ocean of climate change for small and medium enterprises (SMEs), but as South Africa reportedly warms at twice the global average, every drop counts. The effects of climate change range from prolonged droughts and heatwaves to devastating floods and are already disrupting communities, infrastructure, and the economy.
For SMEs, Shawn Charlie, Area Manager at Business Partners Limited, says these disruptions pose serious risks – from the breakdown of supply chains and energy insecurity to increased operating costs and lower customer confidence. “Yet, amid these challenges lies opportunity. Beyond Earth Day initiatives, SMEs are uniquely agile and well-positioned to implement sustainable changes that reduce risk, increase efficiency, and enhance brand loyalty.”
Locally, trends indicate that consumers increasingly prefer brands that take a stand on environmental issues, especially younger generations who now make up a growing share of the buying population. “If we’re serious about building a resilient economy, we must empower small businesses to contribute to the green transition,” Charlie says, offering five actionable, affordable strategies that SMEs can implement today:
- Cut energy usage
Switch to LED lighting, invest in motion sensors, and use energy-efficient equipment. Where feasible, small-scale solar installations can provide long-term relief from rising energy costs and load shedding.
- Reduce waste
Go paperless by digitising invoices, payroll, and other admin tasks. Encourage recycling at work and minimise packaging materials.
- Reconsider supply chains
Partner with local or sustainably-minded suppliers to reduce transport emissions and increase traceability.
- Green your products or services
Eco-conscious consumers are growing in number. Offering sustainable alternatives – like biodegradable packaging, refillable products, or low-impact services – steps like these can open up new market segments.
- Engage your team
Encourage staff to contribute green ideas. Initiatives like lift clubs, recycling drives, or “no-print” days create a culture of sustainability from the ground up.
“Small shifts, consistently applied, can lead to significant savings and a stronger brand reputation,” Charlie adds. Despite these benefits, many SMEs are concerned about the upfront costs of sustainability initiatives. Charlie says this is where SME financiers like Business Partners Limited can make a real difference.
“We’ve developed targeted funding solutions that enable SMEs to invest in green infrastructure like solar panels, water-saving systems, or energy-efficient machinery. Our property finance enables business owners to purchase, develop or renovate property to their business’s specifications,” he explains. “We work with business owners to find the right balance between environmental responsibility and financial sustainability.”
Beyond finance, we also offer mentorship, training, and business support services to help entrepreneurs incorporate sustainability into their operations and growth strategies.
South Africa’s climate trajectory is challenging, but its economic trajectory is still within our control. A 2024 McKinsey & Company report highlights that consumer-packaged goods marketed as sustainable grew 1,7 percentage points faster annually between 2018 and 2022 than their conventional counterparts. SMEs that act now to reduce their environmental footprint will contribute to a healthier, more inclusive future for the country.
“Customers want to support businesses that care. Being able to say your product is locally sourced, made with minimal waste, or uses renewable energy can be a game-changer,”
