Digital transformation helps organisations become more efficient while increasing their outreach and targeting new markets. However, it also makes the organisational design more malleable and can blur or even disrupt a firm’s boundaries. For sustainable entrepreneurs who develop business models for sustainability (BMfS), this is a Faustian bargain, as they trade independence for more potential. In this in-depth case based on action and design science research, we accompanied and evaluated the design of a BMfS with digital technologies. To evaluate for rising tensions, we looked at the relevant dynamics within the entrepreneurial firm and the digital business ecosystem. Besides a proposed solution model and its evaluation, we present design principles of contingency, re-configuration, and alliancing. This nascent design knowledge explains dynamics that occur when developing business models with digital technologies.