Marigold Capital

Offering Description

Marigold Capital backs overlooked, undervalued, underrepresented and marginalized entrepreneurs, customers and markets toward equity, inclusivity & prosperity.

Marigold has been built with the premise that finance can be used as a key tool toward social change to influence and shift norms, knowledge, attitudes and practices; help lift structural and institutional barriers inhibiting social progress; and support historically marginalized individuals to find themselves with the capacity, skills and confidence to benefit across business and social value chains.

Marigold focuses on resilient and growing North American companies that drive positive financial, operational and social prosperity outcomes for employees, actors in their value and supply chains, users, clients and customers, communities, and its investors. Marigold 1LP is a 10-year Fund, offering Units with a 10% net IRR target after a 6% hurdle. The firm utilizes equity, quasi-equity, debt, revenue-based finance and blended finance toward its investees within the thematic areas of health, social justice and equity and ethical supply chains.

While Marigold may be a newer firm, its two Partners are some of Canada’s leading gender lens and social equity lens investors and blended finance practitioners, having helped build out organizations such as Grand Challenges Canada, RBC Generator Fund, Sarona Asset Management, SheEO, and Youth Social Innovation Fund. Its Partners collectively hold a track record of nearly 80 transactions led, have managed over $100MM in assets with seven exits to their name, and have 20%+ realized IRRs back to their investors.

Marigold is the first Canadian firm to pledge to Beyond The Billion, is a member of CAFIID and the CVCA, is part of the IMP Practitioner Community, and the first Canadian firm to publicly share its anti-harassment and anti-discrimination policies with #MovingForward.

Investment Highlights

Investment Offering: 
$15,000,000 raise (minimum investment $250,000).

This security is structured as an Ontario-domiciled LP unit investment with a target net IRR of 10% after an initial 6% hurdle rate.  LP units have a 10-year term with a 3-year gate. As Marigold will utilize revenue-based financing with its investees, LPs will begin to receive liquidity as of year 4 of the 10-year term.

Use of Proceeds: 
Our focus is within Canada (~65%) and the US (~35%). Specifically, we are investing in Ontario (ON) and Quebec (QC) in Canada, and parts of the Midwest, Great Lakes and Northeast US due to strong trade relations, several financial centres within this area, and an increasing number of startup hubs - many of which are in revitalizing areas. Much of this area is also undercapitalized, meaning there are both social and financial arbitrage opportunities for investment.

We invest at the Seed through Series A stages of financing. We expect to make 20 initial transactions, providing follow-on capital to eight companies, and may provide up to three companies with one final round of capital injection. All investees will be post-revenue, typically with minimum monthly recurring revenue of $25,000 (depending on the business model). Companies will initially be looking for between $750,000 and $2MM in financing, dependent upon sales growth and levels of revenue.

Target Close: 

  • First Close Q2 2020; 
  • Second Close Q1 2021
  • Final Close Q3 2021

Please note that this is not a complete investment summary. Investors should read all associated documentation including the Limited Partnership Agreement and associated securities agreements before considering or making any investment.

Marigold Capital 1LP

Brief Description of the Fund 

Marigold’s first Fund, launched late 2019, focuses on resilient and growing North American companies that drive positive financial, operational, and social prosperity outcomes for employees, actors in their value and supply chains, users, clients and customers, communities, and its investors. It provides debt, revenue-based financing, equity and quasi-equity (and blended finance) to its investees that are thematically tackling various SDGs within the following: 

  • Health: mental health and sexual and reproductive health and rights (SRHR)
  • Social Justice and Equity: education and advocacy, financial inclusion and journalism and media
  • Ethical Supply Chain: stakeholder engagement within fashion and food security

Marigold applies the best of gender lens investing throughout its investment cycle, seeking:

  • Strategies that promote diversity across all firm levels, not just senior management, including participation in decision making and ownership;
  • Diversity along company supply and value chains; inclusive of diverse decision makers, producers, employees, distributors, purchasers, users;
  • Companies that offer products/services that benefit women and girls;
  • Economic advancement (access to resources, capital, land, energy); health; education; safety, security and rights (including domestic);
  • Appropriate financial structures and expectations for business models and markets; and, we build in appropriate gender sensitive terms/conditions and governance levers; and
  • Empowerment as a goal across all aspects of product/service and company value chains in order to promote improved policies, programs and initiatives.


Marigold Capital 1LP Deployment Strategy

We expect to deploy Marigold’s $15MM 1LP as follows:

Impact Orientated Diligence and Management Methodologies

  • Proprietary screening and analytics that begin with impact criteria to screen in opportunities targeting SDGs of focus within our problem themes of focus
  • All investees will also embrace social equity advisory services from Marigold to help understand equity issues as needed and learn to implement equality strategies, policies and processes in their own firms

Financial Allocation

  • ~23 initial transactions of ~$225,000 at Seed stage
  • ~6 follow-on rounds of ~$650,000 at pre-Series A stages
  • Up to 3 final rounds of ~$1,100,000 to propel existing investees through Series A

Strategic Alignment

  • All financings will be syndicated with other aligned investors
    • Initial Seed rounds will be $750,000 - $1,500,000
    • Pre-Series A rounds will likely be $1,500,000 - $3,000,000
    • Series A rounds will likely be $3,000,000 - $6,000,000
  • Pipeline sources and partners include many unlikely suspects as we access underserved and undercapitalized communities

Geographic Diversification

  • Canada (ON, QC): 65%
  • US (MidWest, Great Lakes, NE): 35%

SDG Focus

  • Portfolio-wide: 5, 8, 10, 16
  • Theme-specific: 1, 2, 3, 4, 12
Existing Balance Sheet Transactions

Social Justice & Equity: Journalism: The Discourse

SDGs: 5, 8, 10, 16
Bottom-up location-oriented content development (versus previous top-down drivers) leads to greater accessibility, awareness and inclusion for the voiceless as digital media converts to content over clicks and advert revenue models. 

Stakeholder Engagement within Supply Chains: Ulula

SDGs: 5, 8, 10, 12, 16
Supply and value chains are increasingly complex and global. Empowering frontline workers increases transparency, accountability, employee productivity and return on investment.

Stakeholder Engagement and Social Justice within Supply Chains: NeedsList

SDGs: 1, 2, 5, 8, 10, 12, 16
Removing information asymmetry within large aid and relief systems through timely transparency and supportive technology enables those in need to receive specific assistance more efficiently and effectively.


B Corp Score:

95.3, Certified 

2019 B Corp Best for the World Honoree (Customers)
#MovingForward Pledge (first Canadian firm) 
Beyond the Billion Pledge (first Canadian firm) 

Impact Methodologies and Frameworks:

Marigold uses best in class analysis, frameworks and metrics to define, manage and measure on impact, including GBA+, XX Challenge, IRIS metrics, B Corp evaluation, Impact Management Project frameworks, the IFC Operating Principles for Impact Management, the UN PRI, in addition to indicators, measures and determinants from UN Women, Women Deliver, and the XX Factor data sets.

Theory of Change:

Our focus on sustainable impact begins with transformative change at the individual level that implicitly occurs via a positive change in one’s mental models. We then continue to seek structural change between and among individuals that are semi-explicit as power dynamics via reformed relationships and connections shift. Finally, we strive for truly sustainable impact via explicit structural change that is found within reformed company and industry policies, practices and standards. Additionally, resources of all kinds will flow differently from and to actors and sources that had previously been at the margins of participation.

Jigbl3kHdV8aY2b4bRz3sGnW9F3M4FhV29dMOQUIzS9Bg4BnwRELdlG-wPALPwEzr-pDrYpz89kyfgJ00y9j8efJy9RBeiYiv2u3x9g4lcoO8V7I3i16qMEKP54sf5aI6fuQgQcTo arrive at the gender-equitable systems change we seek, we focus on creating positive intermediate and ultimate of intersectional drivers at four levels.

Individual: We look to move from an individual’s roles that may be submissive or subservient to one that is empowered with opportunity and increased accountability.

Family and household: At this level we aim to transition from roles related to stigma, shame and silence to those that are based on recognition, respect and dialogue.

Work, school and community: Within these key local environments, our theory of change is aimed at moving from exploitative and inequitable norms and practices towards an enabling environment that fosters the respect and opportunity found at individual and household levels.

Social norms and policies: Aligned with the ultimate outcomes we seek for our intended beneficiaries, our efforts with this initiative aim to move from discriminatory laws and policies to those that are supportive at company, community and society writ large.

Logic Model (Impacts and Outcomes Described):

Ultimate Impacts: Enhanced socially equitable economies and communities.
To achieve this ultimate outcome will mean affecting positive changes to policies, processes and resource flows for a safer, healthier, more accessible and equitable industry – especially for women and girls. Specific programs and policies we can expect are parental leave and dependent care programs for both men and women, pay equity policies and practices in effect, and all policies – anti-harassment, domestic/workplace violence, anti-oppression – enforced.

Outcomes: Increased implementation of gender-equality and social equity strategies and approaches.
To achieve these explicit and semi-explicit organizational strategies, attitudes, norms, roles, and approaches across investees will require Marigold to improve operations: improvements in health, rights and safety statistics; disclosure of gender pay gaps and improvements in gender pay gap over time; increased ratios of each gender in management compared to ratio of each gender in total employees as part of promotion and career development initiatives; and explicit recruitment strategies supportive of diversity, equity and inclusion to target groups of peoples who have historically been underrepresented and marginalized.

As a result of the activities and outputs to drive these outcomes, we expect to see explicit improvements: increases in marginalized populations women in total workforce and management; increases in said populations’ income and household income; increases in their access to capital; increase in their decision-making abilities;

Outcomes: Enhanced production and delivery of socially equitable products and services.
We expect to see explicit and semi-explicit organizational change via: increased access to sector-wide benefits in health, education and clean energy; increase in clients’ satisfaction/receiving high quality products and services; and, overall improvements to the quality, accessibility and affordability of products and services, specifically for marginalized populations.

Aligning Capital to Meet Impact Objectives and Fill Market Gaps

Market Gaps:
Problems have persisted since venture capital's advent in the 1970s: lack of diversity, lack of access for underprivileged groups, and lack of realism when it comes to growth rates and scalability. 

+95% of today's business community does not fit the sensationalized venture capital model of zero to exponential value in a short timeline. This model has created an unintended gap in access to capital for the majority. Furthermore, traditional lending has proven exclusionary to many start-ups for a variety of reasons. Investors and entrepreneurs alike require new and more diverse approaches to financing.

Enterprises led by women, people of colour, or people in rural areas may lack the preexisting networks and leadership teams to fit the traditional VC mold. Further, these populations are becoming increasingly disadvantaged. Investors' and entrepreneurs' obsession with VC, that once-in-a-lifetime savior funding, is the exact funding that's structurally least likely to meet the challenges facing rural, poor, minority society. 

Financial Innovation to Align Interests with Investees and Investors
Providing alternative funding approaches mitigates many of the market and vehicle challenges that currently exist in traditional venture capital and impact investing. 

One of the most proven alternatives to equity funding is revenue-based investing (RBI). With it investors provide funding to a business in return for a share of ongoing revenue. Typically, payments are made by the startup until the initial funding amount is repaid in addition to a return multiple. Once the initial agreement is fulfilled, an option to buy equity in the business is often available based on the success of the investor/investee relationship to that point.

For entrepreneurs, RBI offers a far more flexible and forgiving payment structure. It's responsive to the organization's growth rate and can flex in response to slow seasons or downtimes. In contrast to equity funding, RBI allows business owners to adhere to a strategic approach that values the health of the business above all, with payment to investors as a consistent proportion of the budget but not the primary portion of the budget. RBI also enables entrepreneurs to retain full ownership in their company, which can translate into greater long-term strategic realization or even into other ownership structures, like employee ownership.

The risk associated with investing via revenue-based financing is typically much lower than a venture capital approach, making RBI an attractive alternative to investors as well. The lowered risk is a function of a comparatively predictable repayment schedule that's not dependent on the sale of the business to make a return. And while returns are also lower, the tradeoff between lower risk for lower reward helps make RBI a competitive investment opportunity. RBI does not introduce the same lopsided power dynamics into an investment relationship as equity approaches can, making RBI a more collaborative approach for both investors and entrepreneurs.

RBI works well for hyper-growth, moderate growth and slow growth companies since there is no “equity exit” required for an RBI investor to receive an appropriate rate of return. As a result, RBI is a good fit between Seed and Series A amounts of funding.

Marigold will pool its funds from investors via a traditional limited partnership structure. It will deploy funds via a similar timeline to most private market equity funds. The difference is that as repayments from ventures are made via RBIs, Marigold will be pooling venture returns and issuing returns to its investors/LPs far earlier than is normally experienced in traditional equity funds.

This means that Marigold’s funding to 1) ventures can complement their existing debt or equity funding as needed, and 2) can offer its investors faster liquidity than normally seen via any comparable venture-like fund.


All private securities listed through online investment platforms and Exempt Market Dealers (EMDs) like SVX are likely to carry more risk than those available on the public markets. Our goal is to make you aware of those risks before making an investment. For further details on the risks in the private markets, refer to the SVX Risks section. Some of the offering specific risks are identified below:

Industry Risk
Impact investing is, like all private equity investing activity, inherently risky and depends on the competence of Management, portfolio strength, stable market dynamics, and that of the underlying portfolio companies. It is assumed that the demand for impact-focused investments will continue to increase.

Underlying Asset
Investments in early and mid-stage companies are typically more volatile than investments in later-stage companies. There is no assurance that the Fund will generate returns for its Limited Partners, or that returns will be commensurate with its risk. Limited Partners may lose the entire amount of their investment in the Fund.

This investment is a private, illiquid investment with a ten-year exit opportunity. Investors may not be able to receive any forms of distributions in principal until the ten-year maturity date has passed, calculated commencing from the date of final close. No public market exists and Units are not transferable except under certain limited circumstances and with the prior written consent of the General partner. As a result, Limited Partners may have to hold their LP Units indefinitely.

Manager Performance Risk
A fund exit will depend wholly on the Fund Managers’ ability to divest from portfolio companies. While they have prior experience launching impact investment funds, developing investment vehicles, and managing impact portfolios, it is early in the Fund’s operating history to have a wholly reliable track record. As such, there is no assurance that the Fund will perform similarly to the Fund Managers’ previous investments via other vehicles. Additionally, the loss of the services of any of the core management team could have adverse effects on the Fund, its ability to manage its investments, and its prospects.

The success of the Fund will depend on its ability to identify, select, close, improve, and exit its investments. It may lack diversification based on its mandate to invest across three themes: health, social justice and equity, and ethical supply chains.

Management Team

Jonathan Hera

Jonathan Hera

Managing Partner

Jonathan Hera’s finance career tracks the transition of impact investing from fringe idea to mainstream. He is the Managing Partner of Marigold Capital. Marigold Capital’s mission is to create a more prosperous society, enabled by diversity, equity and inclusivity. Our vision is to modernise traditional financial systems that support entrepreneurs to serve the needs of their clients and improve the social condition of their communities while ensuring a sound return on investment. Marigold was built on the premise that finance can be used as a tool for social change, shifting ideology and lifting structural barriers to value historically marginalized individuals with the capacity, skills and confidence to lead a better life and sway business and social value chains towards positivity.
Jonathan has been the Director of Investments at Grand Challenges Canada, Fund Manager at RBC Social Finance, Director of Investor Relations at Sarona Asset Management, and worked with the World Bank's CGAP on a third party microfinance initiative. He is also the founding MBA Course Director of Social Finance and Impact Investing, taught at the Schulich School of Business, York University.

Narinder Dhami

Narinder Dhami

Managing Partner

Narinder Dhami, a Canada Top 40 Under 40 2019 honouree, is a leader in social finance. She has worked across sectors and silos, bringing depth, perspective, and rigour to her work in North America and the Global South. 

Across the last decade, Narinder designed and scaled two social ventures: as the Managing Director she built LEAP | Pecaut Centre for Social Impact, an innovator in venture philanthropy, and as the founding Executive Director of she designed and scaled Rise Asset Development. Her work spans to the Global South where she helped grow the Première Agence de Microfinance across Burkina Faso, Cote d’Ivoire, Mali and worked on the portfolio team with Acumen in Ghana and Nigeria. 

Narinder has been recognized as a BMW Foundation Responsible Leader.  She is a lecturer at Ryerson University and Narinder co-created the first course in microfinance and impact investing at the University of Toronto. Narinder currently serves on the board of Acumen Canada and The Circle.


Raised Of $14,999,999.98 Goal

Days Remaining 102
Hours 07
Mins 25
Limited Partnerships (LP) Offer. Structure
10% Valuation
10 Years Term

*Capital raised figures include amounts raised both on and off platform. Amounts raised off platform or committed have not been independently verified by SVX.