The bond would be in place as a level of security for investors…kind of like insurance but not insurance. So should something happen adversely and the investor, let’s say, does not get a return on what he invested per your agreement, the bond could then come into play for the investor.
So basically it can be looked upon as guaranteeing a loan. Another way it could come into play is if you are seeking investors to build a cultivation facility or dispensary, you could require a payment and performance bond for the contractor building the facility. This would help make sure that the GC performs the duties per the construction contract and pays his vedors and/or subcontractors for their work.
There are more ways a bond can come into play in all sorts of situations so I would need to know more from you to better give you an idea of how it can help.