The luxury fashion industry is facing increasing scrutiny due to its negative environmental impact and unsustainable production methods. However, new business models in the form of second-hand commerce and renting are emerging as attractive options for consumers, reshaping the luxury fashion landscape. This paper examines the current state of second-hand luxury fashion and explores the business models adopted by companies in this sector. A review of existing literature reveals key themes pertaining to second-hand luxury, including consumer motivations and attitudes towards recycled luxury fashion, the evolving meanings and consumer identities associated with second-hand luxury, the impact on the traditional luxury fashion industry, the environmental benefits of recycled luxury fashion, and the business models and sustainability strategies of companies operating in this sector.