€1 Million in Funding for Start-Ups Driving Sustainable Innovation in Fashion

The H&M Foundation has announced this year’s winners of the Global Change Award, providing a total of €1 million to five start-ups that are pioneering sustainable innovations in the fashion industry. Among the winners is a Peruvian company specializing in vegan leather production, underscoring the growing focus on sustainable materials in men’s fashion.

Empowering Sustainable Fashion Start-Ups through Funding and Innovation Programs

Out of 6,640 entries from 182 countries, five start-ups were selected by a panel of industry experts. The Peruvian start-up, “Lab Leather,” a subsidiary of Le Qara, was awarded €150,000 for its groundbreaking biodegradable vegan leather, created using microorganisms. This innovation highlights a significant shift towards eco-friendly materials that could redefine the future of men’s fashion.

Beyond financial support, each winner gains access to a comprehensive one-year innovation acceleration program, courtesy of the H&M Foundation in collaboration with Accenture and the KTH Royal Institute of Technology. This program, taking place in Stockholm, New York, and Hong Kong, includes virtual coaching sessions designed to fast-track the development of these cutting-edge projects.

Overcoming Funding Barriers in Sustainable Fashion

A major takeaway from this year’s submissions is the ongoing challenge of financing, with 45% of entrepreneurs citing it as the biggest barrier to realizing their sustainable innovations. To address this, the H&M Foundation, in partnership with Indiegogo, has launched a new crowdfunding initiative. This initiative allows consumers to directly support these promising start-ups as sponsors, testers, and advocates, driving further innovation in sustainable fashion.

This year’s awards have seen notable growth in participation from emerging markets, with submissions from African companies up by nearly 200% and innovations from Asian companies increasing by 90%. Projects from India, Nigeria, and Pakistan led the entries, with 47% of ideas coming from women-led start-ups, 34% from students, and 41% from young entrepreneurs aged 25-34.

As the demand for sustainable solutions in fashion continues to rise, these start-ups are poised to lead the charge in reshaping the industry, offering innovative approaches that align with the evolving priorities of the global fashion market.