Financing-Related Drivers and Barriers for Circular Economy Business: Developing a Conceptual Model from a Field Study

Abstract The transition toward sustainability and the circular economy is shaping technology investment business, leading to there being growing interest in financial aspects of businesses. As research on drivers barriers, addition literature business finance, has not yet provided a comprehensive view barriers financing, this study takes theory-developing qualitative approach. It integrates extant theoretical knowledge empirical new insights from an extensive field Finland, Europe, based over 270 data sources, including interviews, workshops, reports, media documents. From these paper analyzes conceptualizes driving inhibiting factors that have shaped criteria, subjects financing. results sources financing—being public private sources—apply diverse criteria for such as valuation profitability models, their type, costs, potential financing industry itself, when they assess different individual companies’ businesses, supply chains, joint projects. Findings show many could serve considered inhibitors. contribution, our develops conceptual model key CE businesses set propositions inhibit drive Our findings provide guidance practitioners managers policy makers who aim advance business.