Skills Fund Acquired by Goal Structured Solutions
Leading quality assurance and student financing platform for coding bootcamps sold to outcomes-based student lender managing $26 billion in assets.
Tuesday June 4, 2019 | AUSTIN, TX
Skills Fund LLC, the largest quality assurance and student financing platform for coding bootcamps and tech skill training schools, announced today its acquisition by Goal Structured Solutions, a leader and innovator in outcomes-based education finance.
“We created Skills Fund four years ago with a simple premise: don’t finance students to go to crappy schools. We’ve delivered on that promise by underwriting the quality of education to ensure programs genuinely deliver career outcomes worth a student’s time and money,” said Rick O’Donnell, Founder & CEO of Skills Fund. “Furthermore, student demand for lenders who focus on real outcomes is off the charts. By teaming up with Goal, we will have additional resources to serve even more students at a broader array of programs that deliver great outcomes.”
Partnering with more than 70 schools and 400 programs, Skills Fund is the top lender for programs in software development, web development, data science, and cybersecurity. Goal is the largest third-party provider of student loan services and currently manages a portfolio of over $26 billion. The company has a deep history of involvement with innovative student lending and is a leader in the emerging field of income share agreements and outcome-based loans for students.
“This transaction is an exciting opportunity to continue expanding our commitment to outcomes-based lending. Higher education is moving away from encouraging students (and their parents) from taking out student loans for an education that doesn’t pay off. Skills Fund is at the forefront of fixing the misalignments among accreditors, lenders, and schools regarding what is best for the student. With Skills Fund now a part of the Goal family of companies, we further strengthen our efforts as the leader of outcomes-based student lending,” said Ken Ruggiero, Chairman and CEO of Goal.
The terms of the completed all-cash transaction were not disclosed, except that Skills Fund will operate as a wholly-owned subsidiary of Goal, with the Skills Fund team continuing to be based out of Austin, TX, and led by Mr. O’Donnell and co-founder Joseph Kozusko.
Skills Fund is a student financing platform that facilitates the growth of high-quality, innovative higher education providers. How? First, we ensure that coding, data science, cybersecurity, and other accelerated learning programs meet our quality standards, including strong graduate employment outcomes. Second, programs that meet those standards obtain access to competitive financing products for their students.
Skills Fund is combining the functions of lender and quality assurance entity to align all financial incentives around student success.
Goal is a consumer finance company that uses data analytics and technology to deliver strategic solutions for asset management, lending, and investments.
Goal is a thought partner that’s vested in the success of our clients, including investors, insurance companies, originators, banks, hedge funds, and colleges and universities, among others. We build our business on establishing lasting relationships, and our clients trust us to thoughtfully guide their investment decisions, service their loan portfolios, manage their returns and asset performance, and always act in their best interest.
Led by an executive team with decades of experience in consumer loans, Goal manages over $26B in consumer assets, and has invested over $240M of its own capital in over 50 performing and nonperforming loan portfolios.