Waste is an unfortunate part of the manufacturing process, and most leftover materials aren’t recycled. But if manufacturing waste goes unchecked, it can cost businesses a significant amount of money. In fact, this waste adds up to 8 trillion a year, or 10% of the global GDP.
10 Financial Incentives for Reusing Manufacturing Waste
By reusing manufacturing waste, we can conserve natural resources and save big time on cost of production. Here are 10 reasons why you should start recycling manufacturing waste.
1. Reduced Costs of Manufacturing
By taking the time and resources to recycle waste, businesses can reduce the amount of energy being used to produce new materials and thus keep manufacturing costs to a minimum. Plus, recycled materials are cheaper than new materials, giving you more wiggle room in your budget.
2. Substantial Tax Breaks From the Government
The United States government offers tax breaks to businesses that invest in renewable energy, resources, and eco-friendly manufacturing methods. By taking advantage of these credits, you can increase your potential savings and get the most out of your newly recycled materials.
3. Increased Revenue Streams From Recycled Materials
Recycled materials generally bring in higher returns when sold, thus allowing businesses to reap the rewards of their efforts. You can also develop relationships with other companies who are interested in buying recycled materials and partner with local scrap metal recycling services.
4. Reduced Waste Management and Disposal Costs
Recycling can significantly reduce costs associated with the transportation and disposal of waste materials. You’ll spend less money on gas, labor, and vehicle maintenance. This can help businesses keep their operational costs lower and increase their overall profitability.
5. Improved Brand Image (Eco-Friendly Company)
Consumers today are increasingly conscious of their environmental impact, so opting to use recyclable materials in your production can dramatically improve your brand image. This has the potential to attract loyal customers, which can eventually translate into additional revenue.
6. Increased Efficiency and Overall Productivity
By recycling materials, businesses can reduce the amount of time and effort typically required to make products and thus increase their efficiency. When you have a more efficient operation, you’ll free up more time you can use to focus on your core operations and increase your profits.
7. Reduced Energy Consumption
By opting for recycled packaging, materials, and processes, businesses reduce their energy consumption and create a more sustainable working environment. Businesses will see immediate savings on their energy bills, which add up to significant cost savings over time.
8. Reduced Risk of Fines From Improper Disposal
One of the most important financial incentives of recycling is the fact that it helps businesses avoid paying fines associated with the improper disposal of waste. By taking the necessary steps to dispose of waste correctly and legally, businesses won’t have to pay hefty fines.
9. Increased Access to Grants and Incentives
Recycling can be a valuable opportunity to access grants and incentives offered by local, state, and federal governments. If businesses are looking to maximize their return on investment and improve their overall financial outlook, they should take advantage of these incredible programs.
10. Discounts on Insurance Coverage
Businesses that implement holistic recycling policies may be able to receive discounts on insurance. For example, farmers are offered discounts for having green certifications, like LEED and Energy Star. Consider bringing these certifications the next time you purchase insurance.
Recycling Manufacturing Waste is More Than Worth It
The financial incentives for recycling manufacturing waste can be beneficial for businesses looking to maximize their profits and create an environmentally friendly working environment. By implementing these strategies, you can increase both immediate and long term financial returns.
