The business environment is the starting point and foothold of industrial upgrading, and it is also an important driving force for industrial upgrading. This paper is based on the investment and financing perspective to study the optimization of the business environment in the area of industrial upgrading to promote and promote the role of the two so as to achieve the effect of synergistic development of the two studies were constructed in the area business environment and industrial upgrading index system, and in the entropy weighting method of the indicator assignment, selected the relevant regional research data, through the linear weighting method to measure the level of development of the two. Empirical testing of the influence of the business environment on industrial upgrading is conducted by selecting the fixed-effect model, and investment and financing are added as an intermediary variable in the benchmark model. Finally, according to the empirical study of the impact of the business environment on industrial upgrading, it is concluded that in the benchmark regression analysis, with the introduction of control variables, the business environment shows a significant positive impact on industrial upgrading at least at the level of 10%. Meanwhile, investment and financing have an important mediating effect on the influence of the business environment on industrial upgrading.