Results-Based Financing

Module 4:
IS RBF A FIT FOR YOUR ORGANIZATION?

As you learned in this module, RBF is not suitable for all types of social impact work. Also, different types of
RBF contracts are best suited for different levels of evidence, risk, and goals. Follow the steps below to reflect
on whether RBF is a good fit for your organization.

Step 1: Articulate your results. At the start of this course, you identified measureable outcomes for
your work. In many cases, you may have identified more than one outcome. First, identify which
outcomes you think a funder would pay for.

Step 2: Build a value proposition. Explain the benefits of using a results-based approach versus a
traditional, activity-based approach to funding your project. What are the benefits to your
organization? What are the benefits to the funder, if any? Reflect on the four drivers of impact
introduced in the podcast.
 Results-Based Financing

Step 3: Evaluate suitability of RBF models. Consider the goals, context, cost-effectiveness,
and evidence-base of your work.
§ First, is your work well-suited for an RBF contract?
§ If not, why not?
§ If you think so, explain whether a performance-based contract or an impact bond would be
a more appropriate model for your work and why.