2013-11-13T09:46:27-06:00 2012-12-31 COHNREZNICK LLP 500 EAST PRATT STREET SUITE 200 BALTIMORE MD 212023100 990 2012-01-01 593814814 SEEDCO FINANCIAL SERVICES INC % EDWIN HONG SEED 2124730255 915 BROADWAY 18TH FLOOR Suite NEW YORK NY 10010 EDWIN HONG 2122041392 2013-11-12 true PHILIP H CORNBLATT CPA 4107834900 2012 2016-03-07 17:11:31Z EDWIN HONG COO 915 BROADWAY 18TH FLOOR NEW YORK NY 10010 8907638 false X WWW.trufund.ORG X 2005 NY TO PROVIDE AFFORDABLE FINANCING AND TECHNICAL ASSISTANCE TO NON-PROFIT ORGANIZATIONS, SMALL BUSINESSES, AND DEVELOPERS OF AFFORDABLE HOUSING AND COMMERCIAL PROJECTS IN ECONOMICALLY DISTRESSED COMMUNITIES. 5 5 57 0 4473400 4463716 4052962 4412287 29695 13305 179 18330 8556236 8907638 501943 375379 0 0 3517501 3980557 0 0 255839 9988153 8657379 14007597 13013315 -5451361 -4105677 65357066 51863474 52533451 43145536 12823615 8717938 X SEEDCO FINANCIAL SERVICES, INC. (SEEDCO FINANCIAL)IS A NATIONAL, NON-PROFIT COMMUNITY DEVELOPMENT FINANCIAL INSTITUTION (CDFI) THAT CREATES ECONOMIC OPPORTUNITIES FOR JOB SEEKERS, WORKERS, AND SMALL BUSINESSES. SEEDCO FINANCIAL'S MISSION IS TO PROVIDE AFFORDABLE FINANCIAL AND TECHNICAL ASSISTANCE TO NON-PROFIT ORGANIZATIONS, SMALL BUSINESSES, AND DEVELOPERS OF AFFORDABLE HOUSING AND COMMERCIAL PROJECTS IN ECONOMICALLY DISTRESSED COMMUNITIES. SEEDCO FINANCIAL'S FINANCING PROGRAMS ARE DESIGNED TO FILL CAPITAL AND CAPACITY GAPS WITHIN LOCAL MARKETS. SEEDCO FINANCIAL IS HEADQUARTERED IN NEW YORK CITY WITH REGIONAL FIELD OFFICES IN ALABAMA AND LOUISIANA. false false 12057410 375379 4412287 Seedco Financial provides financing to enable businesses, nonprofits or developers to proceed with their business or real estate projects to the extent such financing benefits low Income Communities, low wage workers or fulfills a charitable purpose. It also offers an affordable source of working capital for organizations seeking to expand, re-locate, or restructure. Borrowers are typically considered to be "high risk" by traditional underwriting standards. However, Seedco Financial offsets a portion of the heightened risk by connecting borrowers to technical assistance, which IS provided either directly by Seedco Financial or through a network of community partners frequently, funds from government agencies and private sources offset potential loan losses associated with our highest-risk lending activities. Seedco Financial provides financing and business services to small businesses that cannot access affordable financing through traditional sources. Our small business borrowers come from a range of sectors and have used loans for working capital, purchasing Inventory and equipment; Improving leased or owned space, and other approved activities that help sustain and expand their businesses. The loan fund seeks to support businesses In underserved communities and businesses owned by underrepresented or disadvantaged groups such as women and minorities. Seedco Financial provides financing and business services to non profits that cannot access affordable financing through traditional sources Our nonprofit borrowers typically come from the human/social service and arts/culture sectors and have used loans for working capital, facilities development and other approved activities that help sustain and expand their operations. The loan fund seeks to support nonprofit organizations that provide supportive services to underserved citizens and communities and those that contribute to the cultural Vibrancy of the communities we serve. Seedco Financial provides financing and business services to real estate developers, nonprofit community-based lending organizations and human services nonprofit organizations that are working to encourage economic development Investment In low-Income communities nationwide. Our real estate Borrowers have used loans and New Markets Tax Credits for a range of projects including large-scale job development projects, small business development projects In low Income communities to aid low wage workers or prevent community deterioration, capacity-building of minority-serving Institutions and community facilities, anchor real estate projects that act as catalysts for community development In low- to moderate-Income neighborhoods, acquisition, rehabilitation, or new construction of commercial, residential, or mixed use projects, and affordable multi-family and special needs housing. The loan fund seeks to support Investments that generate Significant community Impacts In the form of new or retained jobs, community services or Increased economic opportunity. 12057410 true true false true false false false true false true false false true true true false true false false false false false false false false false true true true false false false false false false false false false false false false false true true false false false true 43 0 true 57 true false false false false false false false false false false X 5 5 false false true false true true true true true false false true true true true true true true true false CO NY X EDWIN HONG 2122041392 915 BROADWAY 18TH FLOOR NEW YORK NY 10010 X MAURICE L COLEMAN 1.0 1.0 X X 0 0 RITA CARRILLO 1.0 1.0 X X 0 0 DOUGLAS JACKSON 1.0 1.0 X 0 0 CHERI MORIAL AUSBERRY 1.0 1.0 X 0 0 CHARLOTTE LEE 1.0 1.0 X 0 0 JAMES BASON 40.0 5.0 X X 242267 0 12208 CATHerine SLOSS JONES 2.0 1.0 X 0 0 EDWIN HONG 40.0 5.0 X 209731 0 DEMETRIC DUCKETT 40.0 1.0 X 132459 0 5034 ANDRE SUITE 40.0 1.0 X 167414 0 6394 AISHA BENSON 40.0 1.0 X 125459 0 5287 KEVIN BUHSE 40.0 5.0 X 118444 0 8159 ANU GUPTA 40.0 1.0 X 111117 0 2200 ANNE BUSH 40.0 5.0 X 190332 0 1903 BARBARA DWYER GUNN 5.0 35.0 X 0 307127 22500 1297223 307127 63685 8 true true false ARENT FOX LLP PO BOX 644672 PITTSBURGH PA 15264 STRATEGIC PLANNING 429137 COHNREZNICK LLP 500 EAST PRATT STREET SUITE 200 BALTIMORE MD 21202 ACCOUNTING SERVICES 188773 ENGEL HAIRSTON JOHANSON PC 109 NORTH 20TH STREET 4TH FLOOR BIRMINGHAM AL 35202 pROFESSIONAL 123129 JH COHN LLP 1212 AVENUE OF THE AMERICAS NEW YORK NY 10036 ACCOUNTING SERVICES 190406 REZNICK GROUP PC 7501 WISCONSIN AVENUE BETHESDA MD 20814 ACCOUNTING SERVICES 120575 5 2344034 2119682 4463716 LOAN INTEREST INCOME 900099 2797564 2797564 NMTC INCOME FROM PARTNERSHIP 900099 1614723 1614723 4412287 13305 13305 0 0 0 0 0 0 0 0 0 MISCELLANEOUS 900099 18330 18330 18330 8907638 4430617 13305 369379 369379 6000 6000 0 0 0 0 0 0 3329856 2940844 202892 186120 0 650701 592949 24128 33624 0 0 455881 428624 27190 67 347242 204523 142719 0 84064 7009 77055 0 0 683262 659731 17977 5554 9757 8807 878 72 0 0 0 549669 520696 710 28263 140919 136649 3111 1159 0 15088 13504 1314 270 1175726 1175726 0 0 1041620 947874 93746 0 14229 0 14229 0 20809 20809 RECRUITMENT & TEMP PERSONNEL 47728 43472 4256 0 SUPPLIES 103481 68890 34591 0 BOARD EXPENSES 595 595 0 0 BANK CHARGES 11667 10602 1065 0 3955642 3900727 54205 710 13013315 12057410 700066 255839 0 0 25122593 16608375 2041316 1249205 0 0 0 0 0 0 37512459 33425770 0 0 0 0 69544 67048 16725 2496 289630 0 0 0 0 0 0 0 374343 577628 65357066 51863474 366700 948134 0 0 29244 29244 0 0 0 0 0 0 52057082 42162091 0 0 80425 6067 52533451 43145536 X 9679294 4391021 3144321 4326917 0 0 12823615 8717938 65357066 51863474 -4105677 X false true X true true true X 8153940 11422999 8170416 4473400 4463716 36684471 0 0 8153940 11422999 8170416 4473400 4463716 36684471 0 36684471 522546 122251 43805 29695 13305 731602 0 114316 101450 474491 179 18330 708766 38124839 10642552 0.96222 0.89307 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED false false false false false false false false true 84064 84064 false SCHEDULE C, LOBBYING ACTIVITIES PART II - B, LINE I SEEDCO FINANCIAL SERVICES DOES NOT UNDERTAKE ANY ACTIVE LOBBYING ACTIVITIES, HOWEVER, IT DOES PAY A CONSULTING FIRM TO UNDERTAKE LOBBYING INITIATIVES ON ITS BEHALF. FOR THE YEAR ENDING DECEMBER 31, 2012, SEEDCO FINANCIAL SERVICES PAID ARENT FOX, LLP $84,064 TO LOBBY ON BEHALF OF SEEDCO FINANCIAL SERVICES ON ISSUES PERTINENT TO ITS TAX EXEMPT MISSIONS. ON FORM 990, PART VII, SEEDCO FINANCIAL SERVICES DISCLOSES THAT IT PAID ARENT FOX, LLP $429,137 IN FEES FOR THE YEAR ENDED DECEMBER 31, 2012. IN ADDITION TO THE DISCLOSED LOBBYING ACTIVITIES, ARENT FOX, LLP ALSO UNDERTAKES STRATEGIC PLANNING AND GOVERNMENTAL AFFAIRS ACTIVITIES (THAT DO NOT CONSTITUTE LOBBYING). false false 10492 10280 212 59053 56769 2284 2496 0 REFUNDABLE CONTRACT ADVANCES 7288 SMALL BUSINESS ADMIN -1221 6067 X fin 48 part iv, line 11f SFS has applied for and received a determination letter from the Internal Revenue Service (IRS) to be treated as a tax exempt entity pursuant to Section 501(c)(3) of the Internal Revenue Code and did not have any unrelated business income for the years ended December 31, 2012 and 2011. Due to its tax exempt status, SFS is not subject to income taxes. SFS is required to file and does file tax returns with the IRS and other taxing authorities. Income tax returns filed by SFS are subject to examination by the Internal Revenue Service for a period of three years. While no income tax returns are currently being examined by the Internal Revenue Service tax years since 2009 remain open. FASB ASC 740, Income Taxes, prescribes a threshold for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Only tax positions meeting the more-likely-than-not recognition threshold at the effective date may be recognized or continue to be recognized upon adoption of this interpretation. ASC 740 also provides guidance on accounting for derecognition, interest and penalties, and classification and disclosure of matters related to uncertainty in income taxes. taxes. true UP DESIGN LLC 8 SOUTH FULLERTION AVENUE MONTCLAIR NJ 07042 223705476 44400 Pass-through grant to subsidize costs of services to local small businesses KBL LLP 110 WALL STREET NEW YORK NY 10005 030525474 19000 Pass-through grant to subsidize costs of services to local small businesses FDG CREATIVE 1212 MOUNT VERNON STREET ORLANDO FL 32803 010638455 38088 Pass-through grant to subsidize costs of services to local small businesses ABARFR BUSINESS ADVISORY SERVICES 1375 BROADWAY 17TH FLOOR NEW YORK NY 10018 130436940 105000 Pass-through grant to subsidize costs of services to local small businesses BUREAU BLANK 273 GRAND STREET 6TH FLOOR NEW YORK NY 10002 201057120 9000 Pass-through grant to subsidize costs of services to local small businesses THE MICHAELSON LAW FIRM 11 BROADWAY SUITE 615 NEW YORK NY 10004 272654282 8900 Pass-through grant to subsidize costs of services to local small businesses WISS AND COMPANY LLP 14 PENN PLAZA SUITE 300 NEW YORK NY 10122 221732349 18000 Pass-through grant to subsidize costs of services to local small businesses YES CFO LLC 197 Beaumonte Way Bridgewater NJ 08807 323673208 29870 Pass-through grant to subsidize costs of services to local small businesses WEB DEVELOPERS OF NEW YORK 130 OVERLOOK AVENUE NO4E HACKENSACK NJ 07601 383596411 7350 Pass-through grant to subsidize costs of services to local small businesses CPR & Partners 2122 magazine Street 2nd Fl New Orleans LA 70130 263958415 6925 Pass-through grant to subsidize costs of services to local small businesses Spears Consulting 132 N Cortez Street Suite A New Orleans LA 70119 262982546 18950 Pass-through grant to subsidize costs of services to local small businesses Myron I Blumenfeld & Associates 500 East 77th Street Suite 2324 New York NY 10162 058281099 5850 Pass-through grant to subsidize costs of services to local small businesses Randy Joy & Co LLC 441 West End Avenue 15C new york NY 10024 270712764 8000 Pass-through grant to subsidize costs of services to local small businesses The Berman Group 380 Lexington Avenue Suite 2112 New York NY 10168 203927792 35500 Pass-through grant to subsidize costs of services to local small businesses Alison Anthoine 1 6000 cash Assistance MONITORING PART 1, LINE 2 SFS employs the below procedures to select professional services vendors to provide customized technical assistance services to its small business clients. We maintain networks of pre-qualified vendors in New York and Louisiana. These vendors are selected through an open and competitive selection process which entails three steps. Step #1, SFS issues a Request for Qualifications (RFQ) calling for applications from qualified vendors to join its vendor nework. RFQs are circulated through small business associations and vendors are typically given three weeks to submit a written response. Step #2, all applicants are given a fair and thorough review by a panel comprised of SFS staff. Applications are evaluated based on relevant experience and expertise, quality of services and competitive rates for services. The panel is responsible for selecting shortlisted applicants for final interviews. Step #3, all shortlisted applicants are interviewed by the SFS selection panel. Applicants are required to submit three references. The committee is responsible for verifying the business references. Finally, candidates who meet all of the selection criteria are admitted into the vendor network. SFS monitors the performance of vendors by clearly outlining the program deliverables, milestones, and payment schedule in a tri-party agreement that is executed between SFS, the small business clients, and the professional services vendors. We divide each project into three phases with a staggered payment model to ensure accountability and compliance from vendors. In addition, at the conclusion of each phase, our small business clients and the vendors are required to complete a standardized feedback form indicating their consent to move forward with the project before the vendors receive the payment for the subsequent phase. These steps help us to ensure compliance from vendors with performance metrics identified in the contracts and to minimize the risk of potential issues arising after the start of the project. false false false false false false false true false BARBARA DWYER GUNN 0 296125 11002 22500 0 329627 EDWIN HONG 190331 0 19400 209731 0 ANNE BUSH 170646 0 19400 286 1903 192235 0 ANDRE SUITE 155428 0 11500 486 6394 173808 0 JAMES BASON 228048 0 12000 2219 12208 254475 0 NON-FIXED PAYMENTS FORM 990 SCHEDULE J, PART, LINE 7 Seedco Financial Services paid bonuses to individuals reported on Form 990 Part VII (and Schedule J, Part II, Column (B(ii))) for the year ending December 31, 2012. These bonuses are being reported on Form 990, Part VII Column (F) (and Schedule J, Column (c)). The accrued bonuses were paid in calendar year 2012. All bonuses issued are approved by the full Board of Directors and documented in the appropriate board committee MINUTES. CORPORATE MEMBER PART VI, LINE 6 & line 4 SEEDCO FINANCIAL SERVICES HAD ONE SOLE CORPORATE MEMBER, ITS PARENT ORGANIZATION, STRUCTURED EMPLOYMENT ECONOMIC DEVELOPMENT CORPORATION. THE RELATIONSHIP BETWEEN THE TWO ORGANIZATIONS WAS MEMORIALIZED IN SEEDCO FINANCIAL SERVICES BYLAWS. The organization has separated from its prior sole member and as of the end of the year is no longer affiliated with STRUCTURED EMPLOYMENT ECONOMIC DEVELOPMENT CORPORATION. The corporate governing documents have been changed to reflect this separation. PARENT CORPORATION PART VI, LINE 7 SEEDCO FINANCIAL SERVICES' PARENT ORGANIZATION, SEEDCO, HAd CERTAIN RESERVED POWERS ENUMERATED IN SEEDCO FINANCIAL SERVICES' BYLAWS, SEEDCO HAD THE AUTHORITY TO APPOINT ALL NON EX-OFFICIo VOTING MEMBERS OF THE BOARD OF DIRECTORS AND MAY APPROVE ALL CHANGES TO THE ORGANIZATION'S BYLAWS. ADDITIONALLY, BY AGREEMENT THE PARENT HAd GUARANTEED CERTAIN CREDIT OBLIGATIONS OF SEEDCO FINANCIAL SERVICES, AND RETAINed THE RIGHT TO APPROVE THE ORGANIZATION'S ANNUAL BUDGET. As of year end this relationship along with the rights of SEEDCO have been removed. 990 REVIEW PART VI, LINE 11 A COPY OF THE FORM 990 WAS SHARED WITH ALL MEMBERS OF THE BOARD OF DIRECTORS IN DRAFT FORM VIA ELECTRONIC MAIL. ONCE THE BOARD APPROVED THE FORM 990, IT WAS ELECTRONICALLY FILED WITH THE INTERNAL REVENUE SERVICE. CONFLICT OF INTEREST POLICY PART VI, LINE 12C SEEDCO FINANCIAL SERVICES OPERATES UNDER its documented CONFLICT OF INTEREST POLICY. THE GENERAL COUNSEL SERVES AS AN ADVISOR TO DIRECTORS REGARDING POTENTIAL CONFLICTS, BOTH DURING THE ANNUAL RECERTIFICATION PROCESS AND AS THEY ARISE. AS NECESSARY, THE GENERAL COUNSEL BRINGS MATTERS PERTAINING TO OFFICERS AND DIRECTORS TO THE PRESIDENT FOR DISCUSSION WITH THE BOARD AND ADVISES WHEN DIRECTORS MUST REMOVE THEMSELVES FROM VOTING ON ORGANIZATION MATTERS. SALARY STRUCTURE PART VI, LINE 15 For all employees of the organization except the president, SFs has a salary structure that consists of job grades with a minimum, Midpoint, and Maximum. This structure provides competitiveness with the external market through comparison with relevant Market information. An independent consultant used surveys published by Abbot, Langer and Associates and PRM Consulting Group to benchmark SFS's salaries, the average of nonprofit organizations of comparable size in the New York region is the market target for salary compensation. A pool for salary increases and bonuses for all staff is proposed in the organization's annual budget. This pool is subsequently reviewed and approved by the Board of Directors when it approves the organization's annual budget. The President reviewed and approved the salaries and bonuses of all staff of the organization as does the board Compensation for the President is determined by the Board of Directors based on its assessment of the company's overall performance and the President's performance against individual goals. FINANCIAL STATEMENTS PART VI, LINE 19 THE ORGANIZATION'S FORM 990 IS AVAILABLE UPON REQUEST AT ITS HEADQUARTERS AND CAN BE OBTAINED ONLINE ON WWW.GUIDESTAR.ORG. Notes Receivable 990, part x, line 7 IN RELATION TO THE PROGRAM SERVICES THAT SEEDCO FINANCIAL SERVICES OFFERS, THE NOTES RECEIVABLE AT DECEMBER 31, 2012 IS $33,425,770 NET OF DEFERRED LOAN ORIGINATION FEES OF $59,938. THIS INCLUDES 54 LOANS TO NON-PROFIT ORGANIZATIONS AND 374 LOANS TO SMALL BUSINESSES. NOTES AND LOANS RECEIVABLE BY GEOGRAPHICAL AREA CONSISTED OF THE FOLLOWING: LOANS LOAN LOSS LOANS RECEIVABLE RESERVE RECEIVABLE, NET ------------ ---------- ---------------- ALABAMA $3,575,741 $453,298 $3,122,443 LOUISIANA 5,649,728 641,653 5,008,075 COLORADO 829,313 119,566 709,747 TENNESSEE 186,119 108,824 81,295 NATIONAL 1,744,609 127,143 1,617,466 NEW YORK 25,270,323 2,685,524 22,584,799 SEEDCO 723,765 362,882 361,883 ------------ ---------- ---------------- TOTAL $37,979,598 $4,493,890 $33,485,708 OTHER EXPENSES FORM 990 PART IX DESCRIPTION:PAYROLL EXPENSE TOTAL EXPENSES:6896 PROGRAM SERVICES:MANAGEMENT AND GENERAL:6896 FUNDRAISING: OTHER EXPENSES FORM 990 PART IX DESCRIPTION:BAD DEBT EXPENSE TOTAL EXPENSES:2942362 PROGRAM SERVICES:2942362 MANAGEMENT AND GENERAL:FUNDRAISING: OTHER EXPENSES FORM 990 PART IX DESCRIPTION:MISCELLANEOUS TOTAL EXPENSES:197672 PROGRAM SERVICES:149653 MANAGEMENT AND GENERAL:47309 FUNDRAISING:710 OTHER EXPENSES FORM 990 PART IX DESCRIPTION:SEPARATION EXPENSE TOTAL EXPENSES:800000 PROGRAM SERVICES:800000 MANAGEMENT AND GENERAL:FUNDRAISING: OTHER EXPENSES FORM 990 PART IX DESCRIPTION:GRANTS REFUNDED TOTAL EXPENSES:8712 PROGRAM SERVICES:8712 MANAGEMENT AND GENERAL:FUNDRAISING: STRUCTURED EMPLOYMENT ECONOMIC DEV CORP 915 BROADWAY 17TH FLOOR NEW YORK NY 10010 132875743 WORKFORCE DEV NY 501(C)(3) 7 false NON-PROFIT ASSISTANT CORPORATION 915 BROADWAY 17TH FLOOR NEW YORK NY 10010 133952047 WORKFORCE DEV NY 501(C)(3) 9 false EMPOWERMENT REVINVESTMENT FUND LLC 915 BROADWAY NEW YORK NY 10010 043671771 FINANCING NY RELATED 1501021 1338111 false false 0.99000 false false true true false false false false false false false true false false false true true false STRUCTURED EMPLOYMENT ECONOMIC DEVELOPMENT C 24632 COST STRUCTURED EMPLOYMENT ECONOMIC DEVELOPMENT D 723765 COST STRUCTURED EMPLOYMENT ECONOMIC DEVELOPMENT M 1041620 COST STRUCTURED EMPLOYMENT ECONOMIC DEVELOPMENT r 800000 cost EMPOWERMENT REINVESTMENT FUND LLC Q 694261 COST Separation Agreement Schedule R, Part II Effective July 31, 2012, SFS and Seedco executed a definitive Separation Agreement, Servicing Agreement, Sublease and ancillary documents necessary to ensure the complete separation of affiliation and control between SFS and Seedco.