2018-05-14T13:22:11-05:00 2017-06-30 390974031 WEGNER CPAS LLP 400 N WASHINGTON ST ALEXANDRIA VA 223142366 990 2016-07-01 262108051 GRASSROOTS BUSINESS PARTNERS INC GRAS 2025186865 1875 K ST NW NO 412 WASHINGTON DC 200061238 JAIME RAMIREZ COO/CIO 2025186865 2018-05-14 1 GLENN MILLER CPA P00086726 7035190990 2016 2022-09-23 18:48:47Z X GRASSROOTS BUSINESS FUND JAIME RAMIREZ 1875 K ST NW NO 412 WASHINGTON DC 200061238 1878747 0 X WWW.GBFUND.ORG X 2007 DE OUR MISSION IS TO GROW VIABLE, SUSTAINABLE AND INCLUSIVE BUSINESSES THAT GENERATE EARNINGS OR COST SAVINGS FOR PEOPLE IN AFRICA, ASIA AND LATIN AMERICA. 8 6 10 6 0 0 4845 130861 1474174 1722265 4054 3668 279379 1441 1762452 1858235 217883 167542 0 0 1852836 1543905 0 0 360334 1302777 1172266 3373496 2883713 -1611044 -1025478 3141263 2079100 318899 347232 2822364 1731868 OUR MISSION IS TO GROW VIABLE, SUSTAINABLE AND INCLUSIVE BUSINESSES THAT GENERATE EARNINGS OR COST SAVINGS FOR PEOPLE IN AFRICA, ASIA AND LATIN AMERICA. 0 0 1275230 1400045 GRASSROOTS BUSINESS FUND (GBF) WORKS WITH HIGH IMPACT BUSINESSES THAT ARE TYPICALLY SMALL OR MIDSIZED BY INTERNATIONAL STANDARDS BUT ECONOMICALLY ENGAGE LARGE NUMBERS OF THE POOR. GBF MANAGES AN INVESTMENT FUND, GRASSROOTS BUSINESS INVESTORS FUND I, LP (GBI-I). GBI-I MAKES EQUITY, QUASI-EQUITY, AND DEBT INVESTMENTS WHICH ALLOW IT TO SHARE THE BUSINESSES' RISKS AND RETURNS WHILE PROVIDING A FORM OF CAPITAL SUITABLE FOR LONG-TERM, WEALTH CREATING BUSINESSES. GBI-I TARGET INVESTMENT SIZE IS CURRENTLY BETWEEN $750,000 AND $2,500,000 AND HAS AN AVERAGE INVESTMENT HORIZON OF 5-7 YEARS. THE CURRENT PORTFOLIO COMPANIES (20 COMPANIES) HAVE DIRECTLY CREATED WEALTH FOR OVER 42,000 FARMERS, 54,000 ARTISANS, AND COST SAVINGS FOR 2.8 MILLION PEOPLE AND AN ADDITIONAL 11.2 MILLION FAMILY MEMBERS. 298448 167542 322220 GBF'S CAPACITY BUILDING PROGRAMS ARE A COMBINATION OF BUSINESS ADVISORY SERVICES (BAS) FUNDED THROUGH GRANTS AND HANDS-ON MANAGEMENT SUPPORT FROM GBF STAFF AND ITS PARTNERS. THESE CAPACITY BUILDING PROGRAMS INCLUDE IMPROVEMENTS TO GOVERNANCE, GENERAL MANAGEMENT, REPORTING, MANAGEMENT INFORMATION SYSTEMS, AND BUSINESS/FINANCIAL PLANNING. THESE PROGRAMS ARE DELIVERED BY EXPERIENCED EXTERNAL CONSULTANTS, GBF STAFF, AND THROUGH OUR PARTNERSHIPS WITH OTHER LOCAL BUSINESSES. GBF'S BAS FALLS INTO SIX MAIN CATEGORIES: FINANCIAL MANAGEMENT, OPERATIONS, CORPORATE GOVERNANCE AND HUMAN CAPACITY, STRATEGY, LEGAL AND REGULATORY, AND ENVIRONMENTAL AND SOCIAL. OVER THE PAST EIGHT YEARS GBF HAS DISBURSED OVER $6.83 MILLION IN BAS TO MORE THEN 79 COMPANIES WHO HAVE SUPPORTED MORE THAN 3 MILLION PEOPLE. 277452 GBF IS HEAVILY INVOLVED IN BUILDING THE FIELD AROUND IMPACT INVESTING BY WORKING CLOSELY WITH PARTNER ORGANIZATIONS, PILOTING NEW INITIATIVES, AND CONTRIBUTING LESSONS LEARNED TO A BROAD AUDIENCE. AS PART OF PARTNERSHIP BUILDING, GBF IS A MEMBER OF NUMEROUS WORKING GROUPS INCLUDING THOSE AROUND IMPACT ASSESSMENT, THE DEVELOPMENT OF IMPACT FUNDS, AND CAREERS IN IMPACT INVESTING. AS THE ORGANIZATION GROWS A CONTINUED EFFORT TOWARDS EXTERNAL DISSEMINATION OF INFORMATION ON THE SUCCESSES AND LESSONS LEARNED RELATING TO IMPACT INVESTING WILL BE CRITICAL FOR OUR ADVANCING OF THE FIELD. 1851130 1 1 0 0 0 0 0 0 0 0 1 0 0 1 1 0 0 1 0 1 1 1 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 1 0 0 1 9 0 10 1 0 1 IN KE PE 0 0 0 0 0 0 0 0 X 8 6 1 0 0 0 0 0 1 1 0 0 0 1 1 1 1 1 1 1 1 0 DC X JAIME RAMIREZ 2025186865 1875 K ST NW STE 412 WASHINGTON DC 200061238 HAROLD ROSEN CHIEF EXECUTIVE OFFICER 40.00 X X 199868 0 9913 JAIME RAMIREZ COO/CIO 40.00 X X 156511 0 9995 ANDREW ADELSON CHAIRMAN OF THE BOARD 1.00 X X 0 0 0 HOLLY WISE DIRECTOR 1.00 X 0 0 0 ZOE DEAN-SMITH DIRECTOR 1.00 X 0 0 0 MWAGHAZI MWACHOFI DIRECTOR 1.00 X 0 0 0 GUILLERMO FERREYROS DIRECTOR 1.00 X 0 0 0 MARY HOUGHTON DIRECTOR 1.00 X 0 0 0 NATALIA BARANTSEVA REGIONAL DIRECTOR 40.00 X 129581 0 7500 LILIAN MRAMBA REGIONAL DIRECTOR 40.00 X 135149 0 13507 621109 0 40915 4 0 1 0 GRANT THORNTON LLP 1000 WILSON BLVD STE 1400 ARLINGTON VA 222093904 ACCOUNTING SERVICES 179707 1 130861 360 130861 INVESMENT MANAGEMENT 523920 1399887 1399887 MANAGEMENT FEES 541611 270569 270569 CONSULTING SERVICES 541611 51651 51651 PROGRAM-RELATED INTERE 900099 158 158 1722265 3668 3668 21953 20512 1441 1441 1441 1858235 1722265 0 5109 85700 85700 81842 81842 386747 192435 60234 134078 993737 725801 201717 66219 25669 18410 7259 71261 52276 18700 285 66491 44623 16354 5514 153372 76539 12712 64121 312022 89330 222692 223055 166382 41459 15214 40841 27332 7751 5758 20187 13511 3830 2846 186863 145558 14957 26348 91891 54972 24541 12378 27177 9054 4687 13436 20263 13558 3847 2858 32602 21817 6188 4597 FEES AND PERMITS 19062 9114 8028 1920 REPRESENTATION EXPENSES 11790 7173 3158 1459 DUES AND SUBSCRIPTIONS 5602 3749 1063 790 27539 11954 13072 2513 2883713 1851130 672249 360334 1020367 1490641 1399245 496489 372927 10607 64404 76305 21937 139321 119884 50051 19437 88199 109754 3141263 2079100 318899 339957 0 7275 318899 347232 X 676318 464537 2146046 1267331 2822364 1731868 3141263 2079100 X -1025478 -58029 -6989 X 0 1 X 1 0 X 1027167 999387 1017136 4845 130861 3179396 1027167 999387 1017136 4845 130861 3179396 938794 2240602 1526 1696 2524 4054 25621 35421 3214817 8071953 0.69700 0.62540 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1425 48 1377 80553 75948 4605 57343 43888 13455 19437 DUE FROM GRASSROOTS BUSINESS INVESTORS 73242 SECURITY DEPOSITS 35142 DEFERRED INCOME TAXES 1370 109754 SECURITY DEPOSITS 7275 7275 1 SOUTH AMERICA 1 7 PROGRAM SERVICES PROGRAM ADVISORY SERVICES 721962 EAST ASIA AND THE PACIFIC 0 0 PROGRAM SERVICES PROGRAM ADVISORY SERVICES 19915 SUB-SAHARAN AFRICA 1 9 PROGRAM SERVICES PROGRAM ADVISORY SERVICES 531826 SOUTH ASIA 1 9 PROGRAM SERVICES PROGRAM ADVISORY SERVICES 323209 CENTRAL AMERICA AND THE CARIBBEAN 1 0 PROGRAM SERVICES PROGRAM ADVISORY SERVICES 4089 SOUTH ASIA 0 0 INVESTMENTS 230594 SUB-SAHARAN AFRICA 0 0 INVESTMENTS 216820 SOUTH AMERICA 0 0 INVESTMENTS 356020 SOUTH AMERICA 0 0 GRANTMAKING 13000 EAST ASIA AND THE PACIFIC 0 0 GRANTMAKING 11594 SUB-SAHARAN AFRICA 0 0 GRANTMAKING 4000 SOUTH ASIA 0 0 GRANTMAKING 53248 4 25 0 0 4 25 2404435 81842 2486277 EAST ASIA AND THE PACIFIC TECHNICAL ASSISTANCE 11594 WIRE TRANSFER SOUTH ASIA TECHNICAL ASSISTANCE 33248 WIRE TRANSFER CENTRAL AMERICA AND THE CARIBBEAN TECHNICAL ASSISTANCE 13000 WIRE TRANSFER SOUTH ASIA TECHNICAL ASSISTANCE 20000 WIRE TRANSFER 4 1 0 1 0 1 0 PART I, LINE 2: USE OF FUNDS REPORTS ARE OBTAINED QUARTERLY AND THE AUDITED FINANCIALS OF THE RECIPIENT ORGANIZATIONS ARE REVIEWED ANNUALLY. THE ORGANIZATION WORKS CLOSELY WITH ITS HIGH IMPACT BUSINESSES ABROAD TO CREATE CUSTOMIZED TECHNICAL ASSISTANCE PROGRAMS BASED ON THE NEEDS OF THE BUSINESS. IN ADDITION TO REQUIRING EACH GRANTEE TO SUBMIT QUARTERLY REPORTS ON THE USE OF FUNDS, FINANCIAL STATUS, AND ACHIEVEMENTS AS A RESULT OF THE GRANT, THE ORGANIZATION MEETS REGULARLY WITH THE BUSINESS TO FOSTER A WORKING RELATIONSHIP THAT ALLOWS FOR CONSTANT UPDATES AND OPEN COMMUNICATION ABOUT THE GRANT USE AND FUTURE PARTNERSHIPS. PART I, LINE 3: THE ORGANIZATION USES THE ACCRUAL METHOD OF ACCOUNTING TO ACCOUNT FOR EXPENDITURES IN THE LISTED REGIONS. 1 NOVICA FOUNDATION 3250 OCEAN PARK BLVD SANTA MONICA CA 90405 263393242 501(C)(3) 85700 TECHNICAL ASSISTANCE 1 0 PART I, LINE 2: USE OF FUNDS REPORTS ARE OBTAINED QUARTERLY AND ANNUALLY A COPY OF THE AUDITED FINANCIALS OF THE RECIPIENT ORGANIZATION ARE REVIEWED. GBF WORKS CLOSELY WITH CAPACITY BUILDING PARTNERS TO CREATE CUSTOMIZED PLANS FOR ITS HIGH IMPACT BUSINESSES ABROAD. IN ADDITION TO REQUIRING QUARTERLY REPORTS ON USE OF FUNDS AND ACHIEVEMENTS OF THE ORGANIZATION, GBF MEETS REGULARLY WITH THE ORGANIZATION TO FOSTER A WORKING RELATIONSHIP WHICH ALLOWS FOR CONSTANT UPDATES AND OPEN COMMUNICATION ABOUT THE GRANT USE. X X X 0 0 1 0 1 0 0 0 0 HAROLD ROSEN CHIEF EXECUTIVE OFFICER 198255 0 0 0 1613 0 9913 0 0 0 209781 0 0 0 JAIME RAMIREZ COO/CIO 156357 0 0 0 154 0 7818 0 2177 0 166506 0 0 0 PART I, LINE 4C IN AN EFFORT TO ATTRACT AND RETAIN HIGHLY-QUALIFIED STAFF AND INCENTIVIZE HIGH PERFORMANCE OF THE FUND THE ORGANIZATION CREATED A STAFF INCENTIVE PLAN WHEREIN CERTAIN MEMBERS OF THE MANAGEMENT TEAM CAN RECEIVE A PERCENTAGE OF THE ORGANIZATION'S ALLOTED DISTRIBUTION PAID FROM A RELATED PARTNERSHIP. THE PLAN IS STRUCTURED WITH A VESTING SCHEDULE AND THE PAYOUT IS CONTINGENT ON THE SUCCESS OF THE RELATED PARTNERSHIP'S FUTURE EARNINGS. THE AMOUNT PAYABLE TO THE MANAGEMENT TEAM IS NOT CURRENTLY FIXED AND DETERMINABLE AND IS NOT REPORTED ON SCHEDULE J AS COMPENSATION TO THE RECIPIENT. PART I, LINE 5 SEE DESCRIPTION FOR SCHEDULE J, PART I, LINE 4C. FORM 990, PART I, LINE 1 GRASSROOTS BUSINESS FUND (GBF), A BRAND OF ENTITIES, DELIVERS A DISTINCTIVE BLEND OF INVESTMENT CAPITAL AND BUSINESS ADVISORY SERVICES THROUGH TWO MAIN VEHICLES WORKING TOGETHER: A PRIVATE INVESTMENT FUND AND A NON-PROFIT ORGANIZATION. THROUGH THE FUND, GRASSROOTS BUSINESS INVESTORS I, LP (GBI-I), GBF MAKES EQUITY, MEZZANINE EQUITY, MEZZANINE DEBT, AND STRAIGHT DEBT INVESTMENTS. THESE CUSTOMIZED INVESTMENT STRUCTURES ENSURE THAT GBF'S INVESTMENT PERFORMANCE ALIGNS WITH THE BUSINESSES' PERFORMANCE. THE FUND DELIVERS A FORM OF CAPITAL SUITABLE FOR LONG-TERM INVESTMENT IN BUSINESSES SERVICING LOW INCOME COMMUNITIES. IN TANDEM, THE NON-PROFIT ORGANIZATION, GRASSROOTS BUSINESS PARTNERS, INC. (GBP), PROVIDES BUSINESS ADVISORY SERVICES TO CLIENTS IN THE FUND. GBF'S STAFF, EXPERT CONSULTANTS, AND LOCAL SERVICE PROVIDERS FOCUS ON ENHANCING FINANCIAL AND STRATEGIC PLANNING, CORPORATE GOVERNANCE, HUMAN RESOURCE MANAGEMENT, MARKETING, SUPPLY CHAIN MANAGEMENT, AND MANAGEMENT INFORMATION SYSTEMS. ADDITIONALLY GBP, MANAGES THE INVESTMENT FUND, AND LOOKS FOR WAYS TO FURTHER THE FIELD FOR IMPACT INVESTING THROUGH KNOWLEDGE SHARING AND PLATFORM DEVELOPMENT. FORM 990, PART VI, SECTION A, LINE 2 THE FOLLOWING DIRECTORS OF THE ORGANIZATION ARE ALSO INVESTORS IN A RELATED PARTNERSHIP, GRASSROOTS BUSINESS INVESTORS I, LP: ANDREW ADELSON, HAROLD ROSEN, AND MWAGHAZI MWACHOFI. EACH OF THESE DIRECTORS CONTRIBUTED CAPITAL TO THE PARTNERSHIP AND RECEIVED A CORRESPONDING INVESTMENT INTEREST IN THE PARTNERSHIP. NONE OF THE INVESTORS HAVE A VOTING INTEREST IN NOR DO THEY RECEIVE COMPENSATION FROM GRASSROOTS BUSINESS INVESTORS I, LP. FORM 990, PART VI, SECTION A, LINE 7B IN ADDITION TO THE MEMBERS OF THE ORGANIZATION'S GOVERNING BODY, THERE IS A FUND ADVISORY COMMITTEE (FAC) THAT GOVERNS THE MANAGEMENT OF GRASSROOTS BUSINESS INVESTORS FUND I, LP'S FUNDS. THE FAC IS COMPRISED OF SOME LARGE INVESTORS IN THE FUND. THERE IS ALSO AN INVESTMENT COMMITTEE THAT VOTES ON WHICH HIGH IMPACT BUSINESSES WILL RECEIVE FUNDING. THIS COMMITTEE MUST CONTAIN A MEMBER OF THE ORGANIZATION'S GOVERNING BODY WHO HAS VETO RIGHTS. FORM 990, PART VI, SECTION A, LINE 8B THE ORGANIZATION DOES NOT HAVE ANY COMMITTEES WITH AUTHORITY TO ACT ON BEHALF OF THE GOVERNING BODY. FORM 990, PART VI, SECTION B, LINE 11B THE PREPARED FORM 990 IS SUBMITTED TO THE MEMBERS OF THE GOVERNING BODY FOR REVIEW AND APPROVAL BEFORE THE RETURN IS FILED WITH THE IRS. AT THE REQUEST OF THE GOVERNING BODY, A REPRESENTATIVE OF THE INDEPENDENT ACCOUNTING FIRM MAY ATTEND A MEETING OF THE GOVERNING BODY TO ANSWER QUESTIONS RELATED TO THE FINANCIAL CONDITION OF THE ORGANIZATION. FORM 990, PART VI, SECTION B, LINE 12C THE ORGANIZATION CURRENTLY HAS A CONFLICT OF INTEREST POLICY THAT COVERS ALL EMPLOYEES AND THE MEMBERS OF THE GOVERNING BODY. THE ORGANIZATION'S CONFLICT OF INTEREST POLICY WAS REVIEWED AND APPROVED BY THE MEMBERS OF THE GOVERNING BODY. THE ORGANIZATION REQUIRES EACH MEMBER OF THE GOVERNING BODY TO SIGN A CONFLICT OF INTEREST DISCLOSURE FORM ON AN ANNUAL BASIS. THE FORM REQUIRES THAT ANY CURRENT OR POTENTIAL CONFLICTS OF INTEREST BE DISCLOSED. SHOULD A POTENTIAL NEW CONFLICT BE DISCLOSED, IT IS REVIEWED AT EITHER THE GOVERNING BODY OR SENIOR MANAGEMENT LEVEL TO DETERMINE WHETHER IT IS AN ACTUAL CONFLICT. IF IT IS DEEMED A CONFLICT OF INTEREST, THE EMPLOYEE OR DIRECTOR IS EXCLUDED FROM ANY DECISION-MAKING MEETINGS AND DECISIONS RELATING TO THE TRANSACTION. FORM 990, PART VI, SECTION B, LINE 15 THE MEMBERS OF THE GOVERNING BODY REVIEW AND APPROVE THE GENERAL STRUCTURE OF THE ORGANIZATION'S COMPENSATION AS WELL AS THE SPECIFIC COMPENSATION OF THE MANAGEMENT TEAM. THE GOVERNING BODY GOVERNS COMPENSATION AND BONUS ADMINISTRATION. THE GOVERNING BODY DECIDES THE GENERAL LEVEL OF COMPENSATION FOR ALL STAFF. STAFF IS COMPENSATED BASED ON INDUSTRY AVERAGES AND THEN COMPENSATION IS APPROVED BY MANAGEMENT. MANAGEMENT'S COMPENSATION IS EVALUATED ANNUALLY AND APPROVED BY THE GOVERNING BODY. THE MOST RECENT REVIEW OF MANAGEMENT COMPENSATION TOOK PLACE IN JUNE 2017, UTILIZING PERFORMANCE AS WELL AS COMPARABLE DATA TO DETERMINE THE FINAL LEVEL OF COMPENSATION FOR MANAGERS. ALL FULL TIME EMPLOYEES ARE ELIGIBLE FOR A BONUS EQUAL TO A MAXIMUM PERCENTAGE OF THEIR GROSS ANNUAL BASE SALARY AS DETERMINED IN THEIR WRITTEN EMPLOYMENT CONTRACT. THE MEMBERS OF THE GOVERNING BODY REVIEW THE OVERALL ALLOCATION OF BONUSES AND IN DETAIL DETERMINE AND APPROVE THE BONUSES FOR MANAGEMENT. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MADE ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. ADDITIONALLY, FINANCIAL STATEMENTS WERE PUBLISHED IN THE ANNUAL REPORT. FORM 990, PART XI, LINE 9: FOREIGN CURRENCY TRANSLATION LOSS -6,534. LOSS ON DISPOSAL OF FURNITURE AND EQUIPMENT -455. GBF GP I LLC 1209 N ORANGE ST WILMINGTON DE 198011120 453041117 HOLDING COMPANY DE -266124 0 GRASSROOTS BUSINESS PARTNERS INC GBI MASTER FUND I LP 1710 RHODE ISLAND AVE NW WASHINGTON DC 200363007 352426727 INVESTMENT DE N/A INVESTMENT 8915 0 0 0.00840 GRASSROOTS BUSINESS INVESTORS FUND I LP 190 ELGIN AVE GRAND CAYMAN CJ 453187922 INVESTMENT CJ GBF GP I LLC INVESTMENT -19908 0 0 1.00000 GRASSROOTS BUSINESS INVESTMENT ADVISORS PRIVATE LTD 6 BASANT LOK VASANT VIHAR FL 3 NEW DELHI IN INVESTMENT IN GBF GB I LLC C 36140 136268 0.99990 0 GRASSROOTS BUSINESS PARTNERS INC SURCUSAL PERU CALLE PASEO LA REPUBLICA 6010 LIMA PE INVESTMENT PE GBF GB I LLC C 304828 50708 1.00000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 1 1 0 GRASSROOTS BUSINESS INVESTORS FUND I LP N 482263 ACTUAL COST GRASSROOTS BUSINESS PARTNERS INC SURCUSAL PERU N 87562 FACE AMOUNT GRASSROOTS BUSINESS INVESTORS FUND I LP Q 298273 FACE AMOUNT GRASSROOTS BUSINESS INVESTMENT ADVISORS PRIVATE LTD R 230594 FACE AMOUNT GRASSROOTS BUSINESS PARTNERS INC SURCUSAL PERU R 356020 FACE AMOUNT