Skip to navigationSkip to content

How to finance a climate tech startup

Building a climate tech startup is as treacherous as traversing the Himalayas.
  • Michael J. Coren
By Michael J. Coren

Climate reporter

If entrepreneurs were mountaineers, starting a climate tech company would be like traversing the Himalayas. Beyond almost every peak lies another summit, and between them financial valleys of death. The environmental nonprofit Rocky Mountain Institute counts no less than four lethal gaps for aspiring climate startups, from leaving the lab to raising tens of millions of dollars before commercialization.

A successful traverse requires luck, technological prowess, and, of course, money. Lots of it. The companies that have pulled it off are rare and, like Tesla, often the exception that proves the rule. The issue of funding is particularly tricky.

“If you tell investors, I want to save the world but I have this technology risk, policy risk, and this market risk, the number of investors who say ‘I’ll invest in that’ is vanishingly small,” says Noah Deich, executive director of Carbon 180, a nonprofit pursuing carbon removal solutions.

Enrich your perspective. Embolden your work. Become a Quartz member.

Your membership supports a team of global Quartz journalists reporting on the forces shaping our world. We make sense of accelerating change and help you get ahead of it with business news for the next era, not just the next hour. Subscribe to Quartz today.

Membership includes:

Quartz Japanへの登録をご希望の方はこちらから。