Green Business - How Long do Entrepreneurs Have to Start a Profitable Wind Farm

Image source: http://foodcycles.files.wordpress.com/2008/11/homegrown.jpg

This brings up an alternate point: the cost involved with starting a wind farm. This involves the huge begin costs as well as operating factors consisting of hiring the technicians and engineers needed for the business to continue running smoothly. Costs of setting up a wind farm would vary depending on location and the amount of power being generated, but you will expect that a wind farm would take at least a couple of million dollars to set up. This may be possible with the stimulus package, the correct angel investors and existing personal assets. It still would be a significant barrier of entry to most small entrepreneurs and could be over a decade before they recoup their initial investment. In the end, starting a wind farm might be a great lengthy-term opportunity for entrepreneurs looking to launch a green business, extraordinarily if they are engineers with the expertise to develop a more efficient system than those currently developed. However, constructing a wind farm can be a risky venture for small business developers and they will lose the opportunity to accomplish that entirely if they do not act now.

The bad news is that entrepreneurs may soon find themselves outside their window of opportunity to profit from building their own wind farm. There are few sites in the United States that have wind speeds high enough to harvest wind energy economically and effectively. As demand for wind energy peaks, is likely that these sites will quickly be occupied by large companies attempting to capture as much of the renewable energy market as they can before space runs out, resulting in an oligopoly. This means that smaller entrepreneurs will need to raise the capital necessary to invest in a wind farm quickly in order to make sure that they can get in the game before the opportunity passes over them. If they don't they will need to cut their losses and sell their capital before it depreciates to the point where they lose all of their own investment.

While most industries have crashed due to the recession, the marketplace for wind energy has grown 39%. This is largely due to the stimulus package that has been introduced by the government, but as green business begins to gain momentum that is expected that the demand for wind energy will increase even further. In fact, wind energy was the fastest growing source of energy even before the demand for the recent popularity of green energy. This has provided many possibilities for green businesses and created demand for the engineers, technicians, and venture capitalists needed to make them successful.