glossary 
of terms

Glossary of terms

a

Two terms that can be used interchangeably to describe the addition of CO2 removed from the atmosphere into a reservoir, which serves as its ultimate destination. For example, some CDR strategies store carbon in biological systems, such as forests or soil ecosystems, whereas others inject CO2 deep underground or chemically transform CO2 into stable, mineral forms.
Caron dioxide removal. Activities that remove CO2 from the atmosphere and durably store it in geological, terrestrial, or ocean reservoirs, or in products. CDR includes enhancement of biological or geochemical sinks and direct air capture (DAC) and storage, but excludes natural CO2 uptake not directly caused by human intervention.

Diversity, equity and inclusion. DEI is a term used to describe policies and programs that promote the representation and participation of different groups of individuals, including people of different ages, races and ethnicities, abilities and disabilities, genders, religions, cultures and sexual orientations. This also covers people with diverse backgrounds, experiences, skills and expertise.

The right to purchase stock in future offerings by the company on the same terms as other investors. Usually the right is designed to enable investors to maintain their percentage ownership of the company by purchasing a pro rata share of all new stock sold by the company. Investors also often require company founders to grant first refusal rights on shares the founders own. Also sometimes called Preemptive Rights.
A fund thesis is the strategy by which a venture capital fund makes money for the fund investors, called Limited Partners (LPs). It identifies the stage, geography and focus of investments, as well as the unique differentiation of the firm. It is the first thing LPs would assess funds on and differentiates you from other VCs.

The investor who takes on most of the work in negotiating the investment terms, doing due diligence and monitoring the company after the closing. The lead investor usually invests more than other investors who participate in the round. The lead investor is often located near the company or specializes in the company’s industry.
An event that could result in either investors or debt holders to receive cash from the company, either through acquisition or a sale of assets resulting from bankruptcy. In either case, preference clauses determine order of payout to claimants, typically valuing debt holders and preferred shareholders over common stockholders.