Pay-for-Success Financing: An Overview

What is pay for success, who uses it, and how? How many pay-for-success deals have been negotiated or are in the works? Some people consider this form of investment in the charitable sector promising, but it remains untested on a broad basis. So why hasn’t it caught on faster?

Panelists:

Connie Malloy, program director, James Irvine Foundation, who oversees the foundation’s Pay for Success Initiative, a partnership with the Nonprofit Finance Fund to test a new approach to paying for social services, with the goal of improving results while reducing costs.

Eileen Neely, director of Capital Innovation, Living Cities, who leads the study of pay-for-success financing models at Living Cities, which promotes joint efforts by philanthropy and financial institutions to improve the lives of low-income people and the cities in which they live.

George Overholser, CEO and co-founder, Third Sector Capital Partners, a frequent speaker and writer on the topic of finance innovation in the nonprofit sector.

Justin Milner, managing director, Pay For Success Initiative, Urban Institute, who focuses on the intersection of research, policy, and practice in seeking evidence-based programs to improve the lives of children and their families.

Host: Alex Daniels, staff writer, The Chronicle of Philanthropy
Alex Daniels covers foundations and public policy for The Chronicle of Philanthropy. He previously covered Capitol Hill for the Arkansas Democrat-Gazette.

This is the first of three videos on pay-for-success financing. Check back to find new videos in the coming weeks.