Venture Capital Industry Focus on Energy and Environment Key Terms

Understand these important key terms that pertain to the segment of the venture capital industry focused on energy and the environment.
By Angela King, Freelance Writer Whether you plan to start a business or run an established company in the energy and environment sector, venture capital (vc) is an essential component to support current projects or future endeavors. Social venture capital companies that offer seed money to businesses that focus on energy and the environment need to know the ways you plan to use vc funds. A well-written business plan can convey your needs and project how much of a return a venture captial company can expect from their investment. A reputable venture capital directory can locate potential energy venture capital firms to help you secure the private equity capital for your business.

Regardless of your specific venture capital needs, learn about important key terms that pertian to the venture capital industry's energy and environment-focused firms as you research vc possibilities in your industry.

Cleantech or "green" venture capital

Cleantech venture capital, also referred to as "green" venture capital, is vc earmarked for businesses dedicated to renewable energy resources such as solar power, wind power and recycling.
Try:  Learn more about cleantech vc at VentureBeat.com.

Energy venture capital firms

An energy venture capital firm is an investor company with a focus on environmental issues. The energy vc firm caters to renewable energy companies.
Try:  Pure Energy Systems offers more information on the types of energy venture capital firms available to fund renewable energy projects.

Seed or "early stage" venture capital

Seed venture capital, also called "early stage," is vc allocated to companies to support start-up costs.
Try:  Funding Post further defines seed venture capital and offers more information on numerous terms associated with the vc industry.

Business plan

To secure venture capital, a company must present a business plan to the venture capital firm. A business plan is a presentation of how the potential vc will be used and the projected return the venture capital investor can expect.
Try:  Learn how to write a well-rounded business plan with a focus on the environment at bplans.com.

Venture capital directory

A venture capital directory is a listing of vc firms that offers contact information and a description of the firms on the list. VC directories are generally searchable by location or focus.
Try:  Energy Priorities offers a directory of energy venture capital firms.

Venture capital valuation

Venture capital valuation is an estimate of what a company is worth before a vc firm invests in it and what it is worth after venture capital is invested. Venture capital firms use valuation to determine what the return may be on the investment.
Try:  Learn more about venture capital valuation at milleniapartners.com.