WHAT IS A PHILANTHROPIC IMPACT FUND?

Decarbon8-US is a philanthropic impact fund. It uses donations and grants to invest in early stage companies whose technologies accelerate the transition to environmentally sustainable solutions.

 

Entrepreneurs apply in the spring and a team of selected investors, fellows, and experts choose 2-4 companies to receive funding in the fall. Each year the Decarbon8-US Fund choses a different theme around decarbonization.
 

All contributions to Decarbon8-US are tax-deductible and are made to our 501(c)(3) partner Realize Impact.

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WHAT IS REALIZE IMPACT'S ROLE IN DECARBON8-US?

Realize Impact administers the Fund, supporting Fund operations, investments and monitoring. Realize Impact is a 501(c)(3) public charity focused on making impact investing easier. In 2020, RI launched a new investing service to fill the gap for donors, donor advised funds, and foundations, working with E8, the Seattle Foundation and others.

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WHAT IS THE DECARBON8-US INVESTMENT IMPACT AND THESIS?

Our goal is to accelerate the growth and scale of solutions that align with the sectors and industries needed to decarbonize our economy and successfully reach the clean energy goals required to mitigate climate change. 

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We invest in early-stage companies across the US and Canada with demonstrated traction, or with line of sight to commercialization. Our portfolio companies find value in the investment and the accompanying visibility and support from our community. Investments can come from both Decarbon8-US and E8 angels. Depending on funds received for each funding round, we expect to invest between $50,000-$150,000 in each of the companies selected for the Fund, with additional funding available from co-investing E8 angels.

 

WHO CAN DONATE TO DECARBON8-US?​

Decarbon8-US gives anyone, of any means, an opportunity to connect and invest in the exciting entrepreneurs and innovations transforming our economy. Collectively we drive investment to accelerate the transition to a cleaner world.

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$5,000<

• Access to co-invest in the finalists round (if accredited investor)

• Donor-investor updates 

$5,000+

• Everything above plus:

• September presentations and celebration event

$20,000+

• Everything above plus:

• “Charitable Share” option to recover a portion of your returns 

$50,000+

• Everything above plus:

• First access to direct and all investee follow-on investment opportunities

• Visibility of all companies considered in the Decarbon8-US process

• Exclusive invitations to selected E8 events throughout the year

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HOW CAN I CONTRIBUTE?

The fund accepts tax deductible donations, contributions, and grants. The first step is to fill out this form confirming how you’d like to contribute. You can contribute via multiple ways, at any amount.​​

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• Via Credit Card/ Online: Through the donate button at  e8angels.com/decarbon8-us (credit card fees will be deducted from the investment amount).

• Via Check: Payable to “Realize Impact” with “D8” in the memo line

  • Mailed to: Realize Impact – Decarbon8-US, 271 Winslow Way E, #11548 Bainbridge Island, WA 98110-0106

• Via Wire: Umpqua Bank 249 Winslow Way, East Bainbridge Island, WA 98110;

  • Routing: 125108272; Account: 7001202668

• Via Transfer of Securities, Donor Advised Fund, or Private Foundation Grants: Please contact us at director@e8angels.com.                                      

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WHAT HAPPENS TO RETURNS ON INVESTMENTS?

The 2-4 startup companies chosen for the fund will focus on deploying their technologies to accelerate the transition to a cleaner future. 

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Once there is an exit:

• Contributions up to $20,000 are considered a tax deductible donation to the Fund. Any returns on investments in companies will be automatically reinvested in the Fund, to be invested in later rounds–increasing your impact!

• For contributions of $20,000 and above, you have the option to reinvest returns in the Fund, or allocate returns back to your donor advised fund or a public charity (recoverable grant).

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Your contribution will be tracked and upon investment returns, we will contact you to confirm your preference. Foundations or donor advised funds requiring a “recoverable grant” agreement in advance should contact Realize Impact.

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HOW DO I MAKE AND MONITOR MY INVESTMENTS/RETURNS?

The investment committee will use insight pulled together through the diligence process to assess and identify the most promising and impactful investments from the Fund. Upon the selection of the companies being funded, Realize Impact will administer investments from the Fund, and in partnership with E8, track the progress of invested companies. Contributors to the Fund will have access to regular investment updates.

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WHAT IS THE COMPANY SELECTION CRITERIA?

There are five main selection criteria for companies that apply.

 

• Accelerating progress in specific decarbonization goals and growth. The overriding criteria for investment is impact, using new technology and business models to fill gaps and surmount barriers in specific decarbonization pathways.

• Market-ready solutions. We prioritize tested and available products and services that address gaps and barriers in clean energy pathways.

• Business model and growth potential. Scalable, profitable business models are essential to our investment thesis and a company’s potential for growth is a primary consideration. We look at for-profit enterprises based in the US or Canada. 

• Equity and access. Equity and access are factors in the scoring rubric, with consideration for solutions available to disadvantaged communities.

• Deals, deal terms, and fundraising rounds. Companies need to be raising funds or have a investment vehicle open during the window of September-November of the funding year. Various types of deals will be considered, from equity and convertible debt to project-based or revenue-based loans. We encourage companies to offer deals that suit their situation and priorities. 

 

WHO SERVES AS JUDGES FOR DECARBON8-US?

We fund transformative solutions, which often involve complex technology. To support us in the identification of the most promising innovations we engage experts in the field.

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• Sector Expertise: Partners from the University of Washington, Washington State University, national laboratories, and industry partners are engaged in the evaluation process.

• Investor Expertise: A committed group of subject matter experts and veteran cleantech angel investors will score, screen and review applications, choose companies to move forward in the process, conduct due diligence, and recommend companies for investment.

• Ecosystem Partners: Decarbon8-US leverages a host of leading cleantech organizations with complementary missions and expertise including the CleanTech Alliance, Microsoft, the Clean Energy Institute and others.​​​​​