We often write in our Newsletter about the latest developments
in connection with social enterprise, social finance and social
impact bonds in Canada. Charities and non-profits are regularly
looking to these topics and vehicles wanting to understand how and
if they represent new ways to generate revenue and investment in
their activities and missions.
A significant step was taken in this month with the announcement of the first social impact bond
publically launched in Canada. The social impact bond was launched
in Saskatchewan, supported by the Government of Saskatchewan in
partnership with Conexus Credit Union and EGADZ Youth Centre.
Miller Thomson's Rick Van Beselaere and Susan Manwaring
assisted with legal arrangements related to the Bond.
This Bond is an investment in a new supported living home for
at-risk single mothers in Saskatoon. The goal of the Bond is to
provide investment to the charity, EGADZ's Saskatoon Downtown
The project involves EGADZ providing single the mothers with
children under the age of 8 with affordable housing and support
while the mothers complete their education, secure employment or
participate in pre-employment activities such as life skill
training and parenting classes. The ultimate goal of the project is
to help these families transition back into the community and
prevent their children from entering the foster care system.
The $1,000,000 investment in EGADZ will come from the Conexus
Credit Union and Wally and Colleen Mah. The terms of the Bond
provide for an outcome payment structure (meaning reimbursement of
the investment to the investor) based on the degree to which the
social outcome is met. The success of the social outcome will be
measure by an independent investor at the end of the second, fourth
and fifth years of the agreement. The outcome marker will be the
number of women still with their children 6 months post
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
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