<SUBMISSION>
<ACCESSION-NUMBER>0001373148-06-000001
<TYPE>3
<PUBLIC-DOCUMENT-COUNT>1
<PERIOD>20060817
<FILING-DATE>20060818
<DATE-OF-FILING-DATE-CHANGE>20060818
<ISSUER>
<COMPANY-DATA>
<CONFORMED-NAME>RENAISSANCE CAPITAL GROWTH & INCOME FUND III INC
<CIK>0000919567
<IRS-NUMBER>752533518
<STATE-OF-INCORPORATION>TX
<FISCAL-YEAR-END>1231
</COMPANY-DATA>
<BUSINESS-ADDRESS>
<STREET1>8080 N CENTRAL EXPRWY
<STREET2>STE 210 LB59
<CITY>DALLAS
<STATE>TX
<ZIP>75206
<PHONE>2148918294
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>8080 N CENTRAL EXPWY., SUITE 210 LB 59
<CITY>DALLAS
<STATE>TX
<ZIP>75206
</MAIL-ADDRESS>
</ISSUER>
<REPORTING-OWNER>
<OWNER-DATA>
<CONFORMED-NAME>Stephens Zed Eric
<CIK>0001373148
</OWNER-DATA>
<FILING-VALUES>
<FORM-TYPE>3
<ACT>34
<FILE-NUMBER>033-75758
<FILM-NUMBER>061042745
</FILING-VALUES>
<BUSINESS-ADDRESS>
<PHONE>214-891-8294
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>RENN CAPITAL GROUP, INC.
<STREET2>8080 N. CENTRAL EXPRESSWAY, SUITE 210
<CITY>DALLAS
<STATE>TX
<ZIP>75206
</MAIL-ADDRESS>
</REPORTING-OWNER>
<DOCUMENT>
<TYPE>3
<SEQUENCE>1
<FILENAME>primary_doc.xml
<DESCRIPTION>PRIMARY DOCUMENT
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

    <documentType>3</documentType>

    <periodOfReport>2006-08-17</periodOfReport>

    <noSecuritiesOwned>1</noSecuritiesOwned>

    <issuer>
        <issuerCik>0000919567</issuerCik>
        <issuerName>RENAISSANCE CAPITAL GROWTH &amp; INCOME FUND III INC</issuerName>
        <issuerTradingSymbol>RENN</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001373148</rptOwnerCik>
            <rptOwnerName>Stephens Zed Eric</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>RENN CAPITAL GROUP, INC.</rptOwnerStreet1>
            <rptOwnerStreet2>8080 N. CENTRAL EXPRESSWAY, SUITE 210</rptOwnerStreet2>
            <rptOwnerCity>DALLAS</rptOwnerCity>
            <rptOwnerState>TX</rptOwnerState>
            <rptOwnerZipCode>75206</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>0</isDirector>
            <isOfficer>1</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
            <officerTitle>Vice President</officerTitle>
        </reportingOwnerRelationship>
    </reportingOwner>

    <ownerSignature>
        <signatureName>Zed Eric Stephens</signatureName>
        <signatureDate>2006-08-18</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SUBMISSION>
