The Circular Economy is a force for change, designed on the seven pillars of Circular Economics.
These seven pillars are essentially a “play book” of how to build a Circular Economy. Kavedon Kapital has applied the seven pillars to Venture Capital and allowed that overwhelming positive change to deliver.
Circular Economics are a design philosophy. What we mean by this is, when compared to linear economics they can at least provide the same output in a direct comparison and in most cases a substantially better output.
However, more importantly about Circular Economics is that it takes a far wider review of any type of engagement, resource, plan, methodology, etc. It considers how a positive or negative impact on a single topical area can increase or decrease all areas.
In terms of Venture Capital, Circular Economics impacts the entirety of everything, quite literally. Interpreting the seven pillars into Venture Capital, we can look at something as simple as, how do we ensure that all parties are aligned so that there is no competition inside the investment itself, all the way through to, how do we ensure longevity in our resource pools.
If you are to ask in geographical terms where Circular Economics will impact in Venture Capital, the answer is very simple they transcend any form of border.
In recent years general populations have become aware, because of global events, that we need change, and so universal movements are now importantly directing us to move away from linear consumerism.
You could even argue that it is abundantly clear that Circular Economics, and the wider Circular Economy must happen. So, Venture Capital, a force for innovation and creativity, has a unique opportunity to lead the way for change in the financial markets.
Venture firm Investors, Fund Teams, Founders and their Start-Up Teams all have something in common, which other financial products do not; everything we do is a human led interaction from the earliest level of a Start-Up. Success using a common framework of Circle Economics (and its seven pillars) will drive Start-Ups in the long term.
The answer is simple, Circular Economics are just far more impressive than linear economics.
Linear Economics by definition create waste and consume resources without any consideration of replenishment, therefore this is a finite process; consider Founder relationships as a resource, and suddenly you see the issue in linear Venture Capital models.
Losing less resource means you increase the prosperity long term.
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