Third Sector Capital Partners

Third Sector Capital Partners is a nonprofit organization with offices in Boston and San Francisco whose mission is to accelerate America’s transition to a performance-driven social sector. As America’s leading practitioner in the emerging fields of Pay for Success (PFS) and Social Innovation Finance (SIF) [including Social Impact Bonds], Third Sector works with governments, nonprofit service providers, funders, and project intermediaries to bring powerful and innovative public private partnerships to bear on many of our nation’s most pressing social issues.

Third Sector has been selected as the intermediary for two PFS projects in Massachusetts, and is also advising Cuyahoga County, OH and Santa Clara County, CA on PFS. The $37 million Massachusetts Juvenile Justice PFS Pilot will be the largest and most rigorous PFS project in the world when it is launched later this year. Third Sectors’ work has been published in or cited by the Economist, New York Times, Wall Street Journal and Federal Reserve Bank of San Francisco and employees have presented at the White House, Harvard Business School, and international events like the Social Capital Markets Conference (SOCAP).

Our services include:

• Transaction Advisory Services, including procurement technical assistance, program feasibility, provider assessment, risk evaluation, economic modeling and partnership formation. The goal of our transaction advisory services is to work with government, providers, and investors to assess the feasibility of PFS pilots and procurements around the country.
• Deal Construction and Financial Arranging, including financial structuring, multi-party contract formation, fundraising/capital arrangement and vetting of partnership stakeholders. The goal of our deal construction work is to help our clients create strong, lasting collaborations that benefit all stakeholders in a “win-win” partnership.
• Post-Closing Intermediary Services, including project management, fiscal agency, investor relations and evaluation support. The goals of our post-closing intermediary services are to follow and support the successful implementation of SIF contracts.
• Education and Advocacy Services, to advance the development of a performance-driven social sector. The goals of our education and advocacy services are to share insights learned, to broaden understanding of SIF and to move the nonprofit and government sectors toward higher levels of performance.