United States of America

Last updated 12 May 2020, by Impactyield.

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Founded in 2000, HCAP Partners LLC (HCAP, formerly Huntington Capital) is a private equity firm focused on the lower middle market generating top quartile returns while facilitating positive impact on underserved businesses, their employees and their communities through active portfolio engagement. These results are evident in our financial performance and impact metrics.

HCAP provides capital to “underserved” businesses that tend to employ low-to-moderate income and ethnic minority employees, are located in LMI zones, and/or are owned and operated by ethnic minorities. The Fund primarily provides growth capital, structured as Mezzanine Debt and/or Structured Equity. Members of the General Partner have successfully completed 57 investments over the past 10+ years across three funds: HCAP, L.P. (vintage 2001), HCAP Fund II, L.P. (vintage 2008) and HCAP Fund III, L.P. (vintage 2013).

Financial description

The principle objective of The Fund is to generate above average returns for our investors by providing the investment capital and resources to help our portfolio companies maximize their performance and enterprise value and facilitating a positive impact within the underserved businesses and communities in which we invest.
As of June 30, 2015, $27.6M or 30.7% of committed LP capital has been called for HCAP Fund III. Gross IRR on portfolio investments, excluding fees, expenses and carried interest, is 15.3% since inception with a 1.12x investment multiple. Due to the early stage of this fund net IRR calculations are not yet meaningful and we continue to report the Fund’s return on a gross basis.
The investments will generally be structured as mezzanine capital, typically as loans in the $2-9 million range. The Fund also provides growth capital in the form of preferred stock. Funds are typically used for growth oriented working capital, recapitalization, acquisition or for capital investment.

10 years

of track record


the year funded

100,000,000 USD


Asset manager

HCAP Partners


Headquarters location:

Other funds managed by this asset manager: HCAP Fund II, L.P.

SDG goals

SDG targets

Equal rights to ownership basic services technology and economic resources

Full employment and decent work with equal pay

Increase access to financial services and markets

Key performance indicators

Fund overview

Asset manager: HCAP Partners

Product track record: Fund has 10 years of track record

Target IRR: 15%

Committed Capital: 91,700,000 USD (US Dollar)

Target return category: Risk-adjusted market-rate of return

Fund domicile:

Product status:

Style/Stage: ,

Inception year: 2013

Vintage year: 2013

Target region: , , ,

Target close date: n.a.

Product term: 10 year term

Assets under management: 100,000,000 USD (US Dollar)

Investment size: Min: 2,000,000; Max: 9,000,000; Avg: 4,000,000

Co-investment policy: ,

Currency of investments:

Currency for fund / product figures:

Fund investments to date: 12

Fund investments to date exited or repaid: 3

Management fee: 2%

Carried interest: 20%

Hurdle rate: 8.0%%

GIIN Investors' Council Investment: Yes

Limited Partners / Investors: FB Heron Foundation(represented by Cambridge Associates), Citi Community Capital,INVESCO (on behalf of CalSTRS),Hamilton Lane, HSBC, Hollencrest, Morgan Stanley, Northwest Area Foundation

Limited Partner / Investor Type: Endowments/Foundations, Family Office, Pension Funds, Other Institutional Investors, Retail Investors


E-mail: n.a.

Website: http://www.hcapllc.com

Phone number: 858-259-7654

If you wish to have your details removed from this database please email gdpr@impactyield.com

Bhairvee Shavdia

Impact Associate

Tim Bubnack

Managing Partner

Impact Performance


Impact thesis

HCAP provides capital to “underserved” businesses that tend to employ low-to-moderate income and ethnic minority employees, are located in LMI zones and/or are owned and operated by ethnic minorities.
As a GIIRS rated fund and an ImpactAssets 50 fund for two years running, we are setting standards as an impact investor aiming to create high quality jobs through active portfolio engagement. Our focus on operational impact revolves around two broad impact themes: economic opportunity and health & wellness. We are committed to working with our portfolio companies to drive a shift from simply impact reporting to intentional impact. By intentional impact, we mean, our goal is to work with company leadership to develop a plan for long-term, sustainable improvements in the areas of financial results and work/life quality.

Impact Management


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