Citizen Entrepreneurship (CE) is a promising approach to tackle global challenges such as climate change, poverty and social inequality, but also local problems. This paper explores how CE projects empower citizens to actively engage in their communities, focus on local needs and promote sustainable solutions. In doing so, theoretical frameworks such as Ostrom’s commons theory, innovation as a social good and Sen and Nussbaum’s capabilities approach provide insights into the foundations of CE. Methods for engaging citizens encompass a spectrum from participatory research approaches to leveraging digital platforms, thereby promoting collaboration and facilitating the exchange of knowledge among a diverse array of community stakeholders. CE promises to strengthen the resilience and well-being of communities by effectively addressing both local societal needs and global challenges.