The purpose of the study was to explore how venture capitalists (VCs) influence on business model innovation and internationalization of Finnish cleantech growth companies. We investigated evaluation criteria and investment preferences, VCs’ value-added and impact on the barriers and business model (BM) specific success factors of cleantech ventures’ internationalization.

The empirical part was based on a multiple case study and survey-based exploration. Digital survey with open-ended questions was conducted within an expert sample of leading venture capitalists investing in cleantech growth companies in Finland and key managers of Finnish entrepreneurial cleantech ventures. To gather the data, we also used secondary sources of information: web-sites of case-companies, media and archival sources in the Internet.

The findings of the study show that before VC approaching cleantech growth companies should focus on sustainable business model innovation, prepare strong business plan and develop a sustainable value proposition with innovative technology/service characterised by scalability, providing cost savings and requiring low capex. In return, VC firms are found to contribute significantly to internationalization in cleantech industry through overcoming main failure factors and facilitating BM-specific success factors of internationalization. Key challenges affecting the viability of cleantech firms’ internationalization involve perceived business and technical risks, high transaction costs and problems with financing. While, key enablers of rapid expansion abroad are network, human and financial resources. Thus, VC firms positively influence internationalization process through lending their funds and contacts, but require a sustainable business model to be designed before their involvement in advance. More research is required for further insights on the contribution of VC firms to the performance of portfolio companies in various industries, countries and contexts.