This study emphasises the significant role of small-scale industries in practising various sustainable processes to reduce environmental degradation in India. Small-scale industrial activities are playing a pivotal role in economic development along with the creation of environmental pollution. Developing nations like India are facing huge problems relating to industrial pollution due to excessive production processes and the emission of industrial toxins. Navigating a research work has been formulated with the help of proper research methodology. In such a way, this research work has been articulated based on the descriptive research method. The literature has been collected from various published sources such as journals and reports. The sourced existing related literature has been critically evaluated and reviewed. Based on the analytical review of the sustainable business practices has been presented. Any nation's economy depends heavily on micro, small, and medium-sized businesses, but this is especially true for developing nations like India. These MSMEs contribute to the growth of national economies. In this process, the small-scale industries in India have played a major role in practising sustainable business in production, distribution, marketing, human resources and usage of energy sources. It helps to reduce environmental degradation and enhance sustainability in business.