Closed Loop Partners Funding Programs for Circular Economy Projects and Innovations

Grant Overview

Access Strategic Funding for Recycling Infrastructure, Circular Plastics Solutions & Sustainable Ventures

Donor: Closed Loop Partners

About: Closed Loop Partners is a pioneering investment firm and innovation center focused on building the circular economy through strategic funding initiatives. Their comprehensive suite of funding programs addresses the full spectrum of circular economy needs – from early-stage venture capital for innovative startups to substantial infrastructure funding for established recycling operations.

The firm operates four distinct funding programs, each tailored to specific segments of the circular economy ecosystem. The Closed Loop Infrastructure Strategy provides below-market rate loans to municipalities and companies in the United States seeking to improve recycling infrastructure. This program typically offers loans ranging from $3-5 million over 3-10 year terms, secured by collateral, and targets projects that demonstrably increase materials recovery, reduce greenhouse gas emissions, and create community economic benefits.

For organizations focused on plastic recycling innovations, the Closed Loop Circular Plastics Strategy offers flexible financing for infrastructure, technologies, and companies advancing plastic recovery and recycling specifically within the U.S. and Canada. This program prioritizes projects targeting post-consumer, post-commercial, or post-industrial sources of rigid and flexible polypropylene (PP) and polyethylene (PE). The financing options include various debt instruments, mezzanine debt, and equity investments following a lead investor, with minimum investments starting at $1 million.

Companies seeking localized recycling solutions can apply to the Closed Loop Local Recycling Strategy, developed in partnership with PepsiCo Beverages North America. This initiative specifically targets new recycling systems and technologies that improve access in communities currently underserved by recycling infrastructure. The program particularly values projects that can unlock new supplies of recycled PET, supporting PepsiCo’s sustainable packaging goals while creating broader environmental benefits.

Entrepreneurs and innovators with cutting-edge circular economy solutions can access venture capital through the Closed Loop Ventures Group. This initiative partners with companies commercializing the most advanced circular solutions for foundational materials that influence various economic sectors. Initial investments typically range from $500,000 to $1 million in pre-seed and seed rounds, with potential follow-on investments and continued support as companies grow.

What truly distinguishes Closed Loop Partners funding programs is their comprehensive approach to support. Beyond capital, recipients gain access to unparalleled industry expertise from a team with over 200 years of combined experience, exposure to an extensive network of potential partners, and valuable promotion through Closed Loop Partners’ communication channels. This holistic support ecosystem maximizes the potential for funded projects to achieve scale and lasting impact.

For businesses and organizations seeking to advance circular economy initiatives, navigating the funding application process requires careful preparation. Applicants should be prepared to provide detailed information about their organizational structure, project scope, material impact projections, financial statements, and existing funding sources. The evaluation process is rigorous, with applications assessed against specific criteria including greenhouse gas reduction potential, material diversion metrics, economic benefits, and project scalability.

Need expert guidance to navigate the Closed Loop Partners funding application process? Grantaura’s team of grant specialists can help strengthen your application through comprehensive research, professional document preparation, application submission support, and expert guidance throughout the entire funding process. Our extensive experience with circular economy and sustainability funding has helped numerous clients secure the capital needed to advance their environmental initiatives.

Focus: Circular economy, Recycling infrastructure, Materials recovery, Plastic recycling, Sustainability, Venture capital, Environmental impact, Resource efficiency, Waste reduction, Sustainable packaging, Supply chain innovation

Region: United States, Canada, North America

Eligibility:
-Based in the United States (for Infrastructure Strategy and Local Recycling Strategy)
-Based in the United States or Canada (for Circular Plastics Strategy)
-Global innovative companies (for Ventures Group, with focus on U.S. markets)
-Municipalities and private companies demonstrating ability to repay loans
-Projects with measurable environmental impact metrics
-Organizations with replicable and scalable business models
-Companies with existing MVPs and initial product-market fit (for Ventures Group)
-Established operators with proven expertise in their field
-Projects focused on collection, sortation, processing, or end-product manufacturing
-Technology developers creating enabling innovations for circular economy

Benefits:
-Loans ranging from $3-5 million (Infrastructure Strategy)
-Investments starting at $1 million (Circular Plastics Strategy)
-Initial investments of $500,000-$1 million (Ventures Group)
-Below-market interest rates for municipalities
-Competitive rates for private companies
-Flexible financing structures including various debt instruments and equity options
-Technical support and expert advice
-Access to extensive industry network and potential partners
-Promotional opportunities through Closed Loop Partners channels
-Potential for follow-on investments
-Long-term partnership approach to building circular supply chains

Deadline: Rolling basis (applications accepted continuously)

Terms:
-Circular Economy: An economic system designed to eliminate waste and continually reuse resources, keeping materials in productive use through recycling, refurbishing, remanufacturing and other methods that extend product lifecycles
-rPET: Recycled polyethylene terephthalate, a form of recycled plastic commonly used in beverage bottles and food packaging
-Material Recovery Facility (MRF): A specialized plant that receives, separates and prepares recyclable materials for marketing to end-user manufacturers
-Post-Consumer Material: Products that have completed their life cycle as consumer goods and would otherwise be disposed of as waste
-Post-Industrial Material: Waste materials generated during manufacturing processes
-Bridge Loan: Short-term financing used until a company or project secures permanent financing or removes an existing obligation
-Mezzanine Debt: Financing that sits between equity and secured debt, typically structured as unsecured debt or preferred stock
-SAFE: Simple Agreement for Future Equity, an investment instrument used by early stage companies as an alternative to convertible notes
-Offtake Agreement: A contractual arrangement between a producer and a buyer of a resource to purchase/sell portions of the producer’s future production
-Feedstock: Raw material supplied to a processing facility for conversion into a new product