Frequently Asked Questions

<– Back To Main Page – The Faithfully Green Fund

What is a community bond?

A social finance tool that can be used by charities, non-profits and co-operatives to finance socially and environmentally impactful projects. Similar in many ways to a traditional bond, they are an interest-bearing loan from an investor, which has a set rate of return and a fixed term.

Rather than the money you invest going to the government or an institution, the organization uses the money for a project.

What are the benefits?

  • The organization is able to set the bond terms based on its financial structure and capacity to pay investors back;
  • Creates a strong sense of community ownership and engagement in the project;
  • Keeps wealth within the community;
  • Investors can see exactly how their investment benefits the community;
  • Allows an organization to accept investments from both individuals and institutions

How risky are the community bonds?

Community Bonds are intended to be a medium-risk investment; however, investors are subject to a number of risks that are common to non-profit ventures in general as well as specific risks associated with operating an independent school in Ontario. All risks will be documented in the offering statement.

How will the bonds be paid out?

Sustainable Capacity Foundation has done extensive financial planning to ensure that the interest on the bonds can be issued and the principal can be paid out to investors in a timely manner based on our revenues over the next few years. The Offering Statement, which includes the Business Plan with all these details, is available for download.

Who else has used community bonds?

Many other social enterprises and charities across Canada have used community financing and community bonds successfully. Tapestry Community Capital has supported other organizations as they raised over $80 million dollars in 16 campaigns. Other not-for-profit or co-operative organizations such as the Centre for Social Innovation, SolarShare, ArtScape, SKETCH Working Arts, YWCA Toronto, and Innovation Works have used community bonds.

Will I receive financial statements if I invest?

Yes. On an annual basis upon written request.

What if I have an emergency and need my money back before the term is up?

Bondholders may request a repayment of bond principal in times of hardship, subject to the availability of replacement capital and/or funds within the organization and at the discretion of the organization’s Board of Directors.

How are community bonds taxed?

Interest earned from a community bond is taxed as regular Investment Income from Canadian Sources. Consult with a tax accountant for your individual case. Tapestry Community Capital will support the organization in preparing, filing and issuing T5 Statements of Investment Income and will send them annually to investors via a secure electronic PDF or by mail according to the investors’ consent on behalf of the organization.

Can I buy a bond on behalf of or in another person’s name as a gift?

Bonds may be purchased on behalf of a minor by filling out a subscription agreement and paying for the bond. The organization can provide assistance via phone or email. If you are purchasing a bond on behalf of another adult, they must agree to the terms of the investment as their name is on the bond certificate. Contact us at for more details.

How do I know my information is safe after it has been collected?

Tapestry’s subscription agreement and Investment Management system is a closed, encrypted system. All traffic between the client and server is SSL-encrypted with a signed certificate issued by a third-party certificate authority (COMODO RSA Domain Validation Secure Server CA). All database files on the server are encrypted at rest. The server is hosted in a secure data centre in Canada. All data changes are logged in an audit trail and only key Tapestry staff have access to this data. For more information on Tapestry’s Privacy Code please visit

How is my investment managed?

Have more questions? Contact us at

Our partner’s Tapestry Community Capital has over 20 years of experience in managing community investments. They will manage the bonds and interest payment process throughout the term of the investment via their custom-built secure platform.

How is my interest paid to me and how often?

Interest is paid annually and deposited directly into your bank account.

Are the bonds secured?

No, this is an unsecured bond.

How do I invest?

Complete this form to be emailed the full investor package. Investors will have the option to invest via a secure online platform administered by Tapestry Community Capital.

<– Back To Main Page – The Faithfully Green Fund