Product-Service Systems (PSS) have regained attention in sustainable design research as a key driver of the circular economy. PSS challenge the belief that economic growth and resource consumption are inseparable, offering an opportunity to reconcile this contradiction. However, manufacturing companies face barriers such as a limited understanding of PSS sustainability implications and a lack of suitable design approaches. To overcome these obstacles and achieve sustainability benefits, a systematic framework is needed to guide the design process and aid decision-making. Currently, such support is lacking in academic literature and industry practices. This study employs the Design Research Methodology (DRM) to develop a systematic framework for early-stage sustainable PSS design. The framework focuses on capital goods manufacturing companies and comprises four elements: drivers and barriers, a generic PSS process model, instantiation guidelines, and a PSS sustainability screening tool. Understanding the motivation behind PSS development is crucial for strategic project management. A generic process model based on a systematic literature review (SLR) is proposed to facilitate the design of new offerings quickly and repeatedly. Instantiation guidelines are provided to support the creation of company-specific process models, increasing the chances of successful industrial adoption. Additionally, a screening tool aligns PSS concepts with triple-bottom-line (TBL) corporate strategies, enabling the evaluation of sustainability considerations. This comprehensive framework contributes to both academic research and industrial practice by enhancing the design of sustainable PSS and mitigating uncertainties related to their performance.