Startup innovation has emerged as a crucial driver of economic development, technological advancement, and sustainable business growth in the global economy. Startups are uniquely positioned to introduce disruptive innovations, develop scalable business models, and address social, environmental, and economic challenges. However, achieving long-term business sustainability remains a significant challenge due to limited resources, market uncertainty, intense competition, and rapidly changing technological environments. This study explores the relationship between startup innovation and business sustainability by examining innovation strategies, sustainability frameworks, success factors, barriers, and emerging trends. Through a comprehensive review of academic literature, entrepreneurship reports, and industry case studies, the research highlights how innovative startups create competitive advantages while contributing to sustainable development goals. Findings indicate that startups integrating innovation with sustainable business practices are more resilient, attract greater investment, achieve stronger stakeholder engagement, and demonstrate improved long-term performance. The study concludes that innovation and sustainability should be strategically integrated to ensure startup survival, growth, and positive societal impact.