NEW SUSTAINABLE SOLUTIONS FOR FASHION ARE ON THE HORIZON This line is used way too often on news sites, because great ideas often don’t get that far 😞 This is MONEY situation💰 Journalist @nora.veerman wrote a strong article for @fashionunitedhq about the dilemma for sustainable startups to become scale-ups. (📎 in bio) I experienced this issue myself at @fashionforgood , where promising innovations popped up every day. So many good ideas and amazing teams are eager to work hard and grow their idea into a commercial winner. Often, they cannot, because of – let’s be honest – key figures that act out of fear. I encourage everyone to translate, read and forward this piece. Stats: -76 of the 128 startups in the Netherlands applied for financing. 1/4th received an investment (2021) -only 150 of the 3000 startups in the Netherlands are circular (2019) The dilemma unboxed: - Subsidy providers want to see successful test models, but experimenting (expensive machines, etc.) is only possible with subsidy 🔄 -... and the process to even get those subsidies are intense 🥵 -Borrowing from a bank means repaying. That’s risky, because disruptive innovations often don’t succeed (at once) ⚖️ -...if banks are even willing to give loans. They usually consider the risk too high (because the chance of failure is real and the return is uncertain) ⚠️ -...even if there is a profitable prospect - unclear revenue models do not fit the financing requirements 💰 -...banks that ‘help with sustainable development’ often ask for higher interests 📈 -...or a government guarantee, which they don’t want to give 🗂 - Public money is often not possible if a technology is patented 🤫 -Legislation does not (yet) help. We lack arrangements such as true pricing and lower VAT rates for circular products ⚒ - (Young) entrepreneurs don’t have a money tree in their backyard 🌳 The solution: key figures that act less out of fear and make bold decisions out of passion, trust and leadership!