<?xml version="1.0"?>
<edgarSubmission>

    <schemaVersion>X0708</schemaVersion>

    <submissionType>D</submissionType>

    <testOrLive>LIVE</testOrLive>

    <primaryIssuer>
        <cik>0001968763</cik>
        <entityName>Baird Principal Group Partners Fund III, LP</entityName>
        <issuerAddress>
            <street1>777 E. WISCONSIN AVE</street1>
            <city>MILWAUKEE</city>
            <stateOrCountry>WI</stateOrCountry>
            <stateOrCountryDescription>WISCONSIN</stateOrCountryDescription>
            <zipCode>53202</zipCode>
        </issuerAddress>
        <issuerPhoneNumber>414-765-3500</issuerPhoneNumber>
        <jurisdictionOfInc>DELAWARE</jurisdictionOfInc>
        <issuerPreviousNameList>
            <value>None</value>
        </issuerPreviousNameList>
        <edgarPreviousNameList>
            <value>None</value>
        </edgarPreviousNameList>
        <entityType>Limited Partnership</entityType>
        <yearOfInc>
            <withinFiveYears>true</withinFiveYears>
            <value>2023</value>
        </yearOfInc>
    </primaryIssuer>

    <relatedPersonsList>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Gordon</firstName>
                <middleName>G.</middleName>
                <lastName>Pan</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>227 W. Monroe Street</street1>
                <street2>Suite 2200</street2>
                <city>Chicago</city>
                <stateOrCountry>IL</stateOrCountry>
                <stateOrCountryDescription>ILLINOIS</stateOrCountryDescription>
                <zipCode>60606</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Steve</firstName>
                <middleName>G</middleName>
                <lastName>Booth</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>777 E. Wisconsin Avenue</street1>
                <city>Milwaukee</city>
                <stateOrCountry>WI</stateOrCountry>
                <stateOrCountryDescription>WISCONSIN</stateOrCountryDescription>
                <zipCode>53202</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Terry</firstName>
                <middleName>P.</middleName>
                <lastName>Maxwell</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>777 E. Wisconsin Avenue</street1>
                <city>Milwaukee</city>
                <stateOrCountry>WI</stateOrCountry>
                <stateOrCountryDescription>WISCONSIN</stateOrCountryDescription>
                <zipCode>53202</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Angela</firstName>
                <middleName>M.</middleName>
                <lastName>Palmer</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>777 E. Wisconsin Avenue</street1>
                <city>Milwaukee</city>
                <stateOrCountry>WI</stateOrCountry>
                <stateOrCountryDescription>WISCONSIN</stateOrCountryDescription>
                <zipCode>53202</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>John</firstName>
                <middleName>J.</middleName>
                <lastName>Neis</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>One Sarasota Tower</street1>
                <street2>Two North Tamiami Trail, Suite 1200</street2>
                <city>Sarasota</city>
                <stateOrCountry>FL</stateOrCountry>
                <stateOrCountryDescription>FLORIDA</stateOrCountryDescription>
                <zipCode>34236</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
                <relationship>Promoter</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Nick</firstName>
                <middleName>C.</middleName>
                <lastName>Pruhs</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>777 E. Wisconsin Avenue</street1>
                <city>Milwaukee</city>
                <stateOrCountry>WI</stateOrCountry>
                <stateOrCountryDescription>WISCONSIN</stateOrCountryDescription>
                <zipCode>53202</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
    </relatedPersonsList>

    <offeringData>
        <industryGroup>
            <industryGroupType>Pooled Investment Fund</industryGroupType>
            <investmentFundInfo>
                <investmentFundType>Private Equity Fund</investmentFundType>
                <is40Act>false</is40Act>
            </investmentFundInfo>
        </industryGroup>
        <issuerSize>
            <revenueRange>Decline to Disclose</revenueRange>
        </issuerSize>
        <federalExemptionsExclusions>
            <item>06b</item>
        </federalExemptionsExclusions>
        <typeOfFiling>
            <newOrAmendment>
                <isAmendment>false</isAmendment>
            </newOrAmendment>
            <dateOfFirstSale>
                <yetToOccur>true</yetToOccur>
            </dateOfFirstSale>
        </typeOfFiling>
        <durationOfOffering>
            <moreThanOneYear>false</moreThanOneYear>
        </durationOfOffering>
        <typesOfSecuritiesOffered>
            <isEquityType>true</isEquityType>
            <isPooledInvestmentFundType>true</isPooledInvestmentFundType>
        </typesOfSecuritiesOffered>
        <businessCombinationTransaction>
            <isBusinessCombinationTransaction>false</isBusinessCombinationTransaction>
            <clarificationOfResponse></clarificationOfResponse>
        </businessCombinationTransaction>
        <minimumInvestmentAccepted>0</minimumInvestmentAccepted>
        <salesCompensationList></salesCompensationList>
        <offeringSalesAmounts>
            <totalOfferingAmount>75000000</totalOfferingAmount>
            <totalAmountSold>0</totalAmountSold>
            <totalRemaining>75000000</totalRemaining>
            <clarificationOfResponse>The General Partner reserves the right to offer a greater or lessor amount of limited partner interests.</clarificationOfResponse>
        </offeringSalesAmounts>
        <investors>
            <hasNonAccreditedInvestors>false</hasNonAccreditedInvestors>
            <totalNumberAlreadyInvested>0</totalNumberAlreadyInvested>
        </investors>
        <salesCommissionsFindersFees>
            <salesCommissions>
                <dollarAmount>0</dollarAmount>
            </salesCommissions>
            <findersFees>
                <dollarAmount>0</dollarAmount>
            </findersFees>
            <clarificationOfResponse></clarificationOfResponse>
        </salesCommissionsFindersFees>
        <useOfProceeds>
            <grossProceedsUsed>
                <dollarAmount>0</dollarAmount>
                <isEstimate>true</isEstimate>
            </grossProceedsUsed>
            <clarificationOfResponse>The General Partner is entitled to a carried interest and a management fee.  The carried interest and management fee are fully discussed in the Issuer's confidential offering materials.</clarificationOfResponse>
        </useOfProceeds>
        <signatureBlock>
            <authorizedRepresentative>false</authorizedRepresentative>
            <signature>
                <issuerName>Baird Principal Group Partners Fund III, LP</issuerName>
                <signatureName>/s/Nick Pruhs</signatureName>
                <nameOfSigner>Nick Pruhs</nameOfSigner>
                <signatureTitle>Secretary of the General Partner of the Issuer</signatureTitle>
                <signatureDate>2023-05-26</signatureDate>
            </signature>
        </signatureBlock>
    </offeringData>
</edgarSubmission>
