The Liverpool-based business was established on 1 January 2008 as an environmentally friendly print service.
Managing director Jon Aindow, who has been in the print industry for 20 years, said the decision to take the green route was based on perceived customer demand.
"Corporate responsibility is becoming important to companies and their end users, and sustainability is a big part of that," he said.
"Another reason we chose to have a strong environmental capability was that we wanted to be able to allow our customers as much choice as possible."
The company has been backed by a £700,000 package that includes a £100,000 loan from Alliance Fund managers through the Small Firms Fund – part of the Merseyside Special Investment Fund.
It has recently installed a Xerox 700 digital press for £60,000, and the 15-staffed company has also refurbished its site in Aintree.
Aindow said: "We try to only sell our customers quantities that they need, and we wanted to be able to offer the best quality digital option to complement the litho side."
Redwood has also invested in litho print, finishing, small- and large-format, and is working towards gaining ISO 14001.
He said: "Things are going to plan, although it is a tough time to be trading. As with the rest of the industry, we are working very hard at everything we're doing."
In September last year, the company started the process to become FSC and PEFC Chain of Custody-certified.
Green printer seeking to boost turnover to 1.2m
Print company Redwood has reported a strong first year of trading with a 700,000-turnover figure, which it hopes to boost to 1.2m in 2009.