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The Easy Way to Start a Green Construction Company

Shutterstock Photo License - By Franck Boston



Starting a construction company can be a natural transition for someone that has worked as a general contractor, as well as somebody that has been working in the field for a long period of time. However, it is a very competitive field, and one of the best ways to set yourself apart is to specialize yourself. One idea is to market your brand as a sustainable construction company.

The green building market is booming. The number of green certifications rose from 296 in 2006 to nearly 70,000 in 2018. This growth creates a massive opportunity for eco-friendly construction companies.

There is a good reason that the green construction industry is growing so rapidly. People are more eco-conscious than ever before, and now would be a great time to start a green recognizable company. But to start one, you have to know what differentiates a green construction company from a regular one. You then need to take the steps necessary to fit the criteria. Let’s take a look at what the process should look like.

Handle the Legal Aspect

You first have to make sure that you choose a structure for your business and know all the requirements. That means looking at special licensure and certifications. The most important and recognizable are LEED and GBI certification. Others you will have to look out for include Energy Star, Green Seal, and Cradle to Cradle. You also need to look at the tax implications and possible tax benefits open to your type of business.

Have a Good Business Plan?

You also have to make sure that you have a professional business plan drafted. Not only will this give you direction, but it will also improve your chances of securing financing. Speaking of which, now would also be a good time to start looking at financing options. There are plenty of different loans that you may be eligible for. You have things like equipment loans that allow you to buy equipment that will be used as collateral, or invoice factoring that allows you to borrow money against invoices that are due to you at a later date. If you want to learn more about financing options for construction companies, you can visit

Find Green Materials

You will then need to start informing yourself on what are considered green materials and find reliable suppliers. Not only that, but where these suppliers are located will also need to be taken into consideration. Distance contributes to carbon footprint and some people might criticize you if you get your material from too far away or from overseas. These are things to consider when starting a green construction company.

Some of the materials you will need to use on your projects include:

  • Recycled wood
  • Recycled steel
  • Recycled concrete
  • Polyurethane rigid foam
  • Wool bricks
  • Structural insulated panels (strand board, insulated plywood, cement panels)
  • Plastic composite lumber

You’ll also need to be careful to use coatings, paints, and carpeting that are free of VOC (volatile organic compound) emissions.

Install Green Solutions

You also need to be prepared to install green solutions for your clients. Some may want you to install solar panels for them, for instance. You could leave that to a subcontractor, but it’s always better if you can master the technique yourself.

Starting a green construction company is a great way to differentiate yourself and do your part for your environment. It’s a bit more complex than starting a regular one, however, so make sure that you do your research before you make the jump.


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