eBay’s Circular Fashion Fund Expands to Reduce Emissions

eBay’s Circular Fashion Fund (CFF) has expanded with a US$1.2m investment by 2025 in the UK, US, Germany and Australia to drive sustainable fashion innovation and tackle the 92 million tonnes of clothes ending up in landfills every year.

Launched in 2022, the fund seeks to foster circular fashion solutions, from repair programmes to recycling initiatives, with a vision of reducing the fashion industry’s environmental impact.

The expansion will provide vital support to start-ups, encouraging more sustainable business models and practices across key markets.

The CFF doesn’t just address waste; it plays a role in reducing Scope 3 emissions, targeting Category 1 (Purchased Goods and Services) and Category 12 (End-of-Life Treatment of Sold Products). 

It aims to reduce the environmental burden of clothing production and disposal by supporting start-ups that offer rental, repair and recycling services. This helps eBay cut emissions associated with manufacturing new garments and disposing of used ones in landfills.

Beyond this, the fund also impacts Category 4 (Upstream Transportation and Distribution), as local repair services reduce the need for long-distance shipping and Category 11 (Use of Sold Products), by extending the lifespan of clothes through innovative solutions like at-home repair kits and recycling programmes.

This broad approach strengthens eBay’s commitment to making fashion more sustainable across the entire product lifecycle.

New funding and global partnerships

In its third year in the UK, the Circular Fashion Fund is set to launch in the US and Germany for the first time, having successfully expanded to Australia last year.

This round will deliver US$1.2m in total investments to start-ups working on circular fashion solutions, with more than 200 hours of mentoring and networking support provided by industry experts.

Additionally, a new element has been introduced for the 2025 cohort: eBay Ventures. It will be the company’s venture capital arm, awarding one start-up the title of ‘Circular Fashion Innovator of the Year’ along with an extra US$300,000 investment to help scale their circular solution.

Kirsty Keoghan, eBay’s Global GM of Fashion, comments: "The Circular Fashion Fund is a catalyst for collaboration by combining the global scale and power of established companies like eBay with the creativity and innovation of nimble start-ups.

"We’re not only helping to scale circular solutions but also bringing together the most knowledgeable and respected experts in the industry.

"Together, we’re making a positive impact on the circular economy and truly reshaping the future of fashion."

Industry support and success stories

The CFF operates in partnership with leading fashion councils, including the British Fashion Council (BFC), Council of Fashion Designers of America, Fashion Council Germany and the Australian Fashion Council. These partnerships help amplify the impact of the fund by supporting start-ups that are actively pushing the boundaries of circular fashion.

"Building on the success of the past two years, we remain focused on boosting excellence and innovation in the British fashion community," adds Caroline Rush, CEO of the British Fashion Council. 

"Small businesses are integral to building an ecosystem that can create specialised solutions and we want to help them scale.

"The Circular Fashion Fund has been a game-changer and we are thrilled to support the new ideas and entrepreneurial spirit from this next cohort. Together, we’re making the fashion industry more sustainable, one step at a time."

One of the UK’s previous winners, Swoperz, is a shining example of what the fund can achieve. Swoperz, a clothing swap service designed for children, has scaled rapidly since receiving funding and mentorship through the CFF.

The business has hosted swap shops at 500 schools and distributed their book, The Swoperz Fashion Show, to children across the UK.

"Winning the Circular Fashion Fund has been transformative for Swoperz," asserts Co-Founder Vicky Fuller. "It enabled us to partner with new organisations and helped us bring sustainable fashion education to classrooms nationwide and potentially host swap shops at 500 schools.

"Our book, The Swoperz Fashion Show, has been read 653 times, sparking vital conversations about conscious consumption so we can make sustainable fashion a reality for children. We're grateful to the CFF for amplifying our mission as we work towards a more sustainable fashion future."

Looking forward

With applications open until 15th November 2024, eBay’s Circular Fashion Fund offers a platform for fashion start-ups to innovate and grow, while contributing to a more sustainable future for the industry.

The combination of financial investment, mentoring and strategic partnerships is designed to maximise the potential of these young businesses and drive meaningful change in how we produce, wear and dispose of fashion.

Through the CFF, eBay is championing circular solutions that can help reduce emissions, minimise waste and make a real difference in the fight against climate change.

Receive the next edition of Scope 3 Magazine by signing up for its newsletter. 

As part of this portfolio, make sure you check out Procurement Magazine and also sign up to our global conference series - Procurement & Supply Chain LIVE.

Also check out our sister brand, Sustainability Magazine and sign up to its global conference series - Sustainability LIVE.

Scope 3 Magazine is a BizClik brand.