CAP en Español
Small CAP Banner

What’s the Buzz About?

  • print icon
  • SHARE:
  • Facebook icon
  • Twitter icon
  • Share on Google+
  • Email icon

Social Impact Bonds are the #1 philanthropy buzzword of 2011 according to the Chronicle of Philanthropy. So what’s all the fuss about? And how can the concept help the nonprofit sector?

In essence, Social Impact Bonds are an arrangement between government and an outside organization in which the government defines one or more outcomes and promises to pay a sum of money if they are achieved. The government commits to cooperate with the outside organization’s efforts to achieve the outcome, and also promises to leave it free to devise and implement its strategy.

Outcomes that might be suitable for Social Impact Bonds would include reducing re-offending, helping the unemployed secure work, helping children transition from foster care into adoption, or reducing drug dependency. In short, SIBs are potentially applicable to a large number of areas where nonprofits already work.

So what’s in it for nonprofits?

Read more here.

This article was originally published in Independent Sector.

To speak with our experts on this topic, please contact:

Print: Liz Bartolomeo (poverty, health care)
202.481.8151 or

Print: Tom Caiazza (foreign policy, energy and environment, LGBT issues, gun-violence prevention)
202.481.7141 or

Print: Allison Preiss (economy, education)
202.478.6331 or

Print: Tanya Arditi (immigration, Progress 2050, race issues, demographics, criminal justice, Legal Progress)
202.741.6258 or

Print: Chelsea Kiene (women's issues,, faith)
202.478.5328 or

Print: Beatriz Lopez (Center for American Progress Action Fund)
202.741.6255 or

Spanish-language and ethnic media: Rafael Medina
202.478.5313 or

TV: Rachel Rosen
202.483.2675 or

Radio: Sally Tucker
202.481.8103 or


This is part of a special series: Social Impact Bonds

For more from this series, click here