Gainvest and Opportunity Zone Terminology


Gainvest and Opportunity Zone Terminology


Total Project Cost: the total amount of capital needed to complete the project


Capital Contribution: amount of money invested into an Opportunity Zone Fund


Project: a project designated to receive the opportunity zone tax benefits


Opportunity Zone fund: investment vehicle for opportunity zones


Opportunity zone business: entity operating within an opportunity zone


Project manager: leader of the project


Developer: leader of the project


Investor: invests in the project


Gainvest: marketplace of projects


Risk rating: likelihood the project will not return 100% of investment


Class Units: kinds of interest purchased in each project


Gainvest Opportunity Zone Fund: qualified opportunity zone fund


Gainvest Holdings: qualified opportunity zone business


Accredited investor: investor who meets definition under SEC Rule 501 of Regulation D


Working capital safe harbor: 31-month grace period to deploy capital into a project


Capital gains: profit from sale of capital asset, i.e. real estate, stock, bond


Cash, cash equivalent, or debt instruments: acceptable uses of capital to qualify for working capital

safe harbor


Designated writing: necessary written plan for deploying capital within 31 months into a project


SEC Registered investment advisor: firm that is an Investment adviser in the United States, registered as such with the Securities and Exchange Commission.


Subscription agreement: agreement for the sale of shares of the designated investment


Project Participation agreement: agreement for the project to participate in the marketplace


Operating agreement: agreement for the project management and operation


Investment Advisory Agreement: agreement for the investor to participate in the marketplace


Form D: SEC filing necessary to sell shares of the designated investment


Articles of Organization: formation documents necessary to file with the governing State.


Cash Sweep Account: liquid, interest bearing account connected to each project’s checking account


SPV (special purpose vehicle): limited liability company organized for each project.