At the nexus of circular economy, equity crowdfunding and renewable energy sources: Are enterprises from green countries more performant?

Circular economy proposes paradigm shifts from linear production patterns. Entrepreneurs can highly benefit from fresh models driven by industrial symbiosis. In this setting, renewable energy is a prime asset for fostering circular economy and sustainable development. Equity crowdfunding can assist this transition, proposing an array of possibilities for supporting green entrepreneurship. The inquiry at hand is the first exercise linking circular economy, renewable energy and equity crowdfunding. This work tests whether the deal value of an equity-based crowdfunding campaign is higher in countries with renewable energy orientation. It is made use of probit model estimations. One may observe that being a firm from a country consuming large proportions of renewable energy is positively associated with higher crowdfunding performance. Conversely, when a company is located in a country which has large shares/ratios of renewable electricity production, it usually gets modest results when compared to its international competitors. Lower deal values are also attributed to firms situated in countries relying on biomass use. The solidity of the analyses is ensured by robustness tests. The outcomes may elicit policy and research formulation on environmental sustainability and business success at micro/macro levels – of primary importance to illuminate energy, circular economy and ecological transitions.