Nonprofit Investor Q3 2012 Research Overview

Published November 12, 2012

Q3 2012 Research Overview Cause Nonprofit PageArts 1Youth Arts Education Urban Arts Partnership 1

Community 2Community Youth Red Sox Foundation 2

Education 3Youth Education Project GRAD Houston 3Global Education Room to Read 4

Global Development 5Agriculture One Acre Fund 5Microfinance Accion USA 6

Health 7Patient / Family Support

CaringBridge 7

Vision VisionSpring 8

Job Training 9Job Training JobTrain 9

Cause Nonprofit PageLeadership and Development 10International Ashoka 10Women Vital Voices Global

Partnership 11

International Endeavor Global 12Youth All Stars Project 13Youth Hugh O’Brian Youth

Leadership14

Military / Veterans 15Veterans Advocacy Iraq and Afghanistan

Veterans of America15

Military Familiesand Veterans

National Military Family Association

16

Military Familiesand Veterans

Operation Homefront 17

Veterans Services Swords to Plowshares 18

Technology 19Technology Access One Economy 19

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Background. Urban Arts Partnership operates and provides arts instruction in a variety of interdisciplinary arts programs that include in-school classroom integration, after-school programs, professional development, summer programs, arts festivals and special projects. The organization targets schools with a high percentage of students from low-income families located primarily in New York City and the surrounding area. NPI Assessment. Urban Arts Partnership has developed a strong portfolio of arts-based programs and has demonstrated a proven track record of advancing students’ intellectual, social and artistic development. NPI would recommend volunteering and / or further considering a donation.

Urban Arts Partnership http://urbanarts.org/ Headquarters: New York, NY FY 2011 Revenue: $3.9MM Nonprofit Investor Rating: BUY Read the full report: NPI Evaluation of Urban Arts Partnership

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Background. The Red Sox Foundation (“RSF” or the “Foundation”), the official team charity of the Boston Red Sox, focuses in serving the health, education, recreation and social service needs of children, families in need, and wounded veterans across New England. RSF accomplishes this through partnerships with local communities, active involvement from Red Sox players, and strong dedication from the team’s ownership group led by Principal Owner John Henry, Chairman Tom Werner and President/CEO Larry Lucchino. NPI Assessment. The Red Sox Foundation does an excellent job of leveraging its assets, including cash and ticket donations, autographs, player appearances, while keeping costs low, which has resulted in $52 million of donations over the past 10 years. The key areas of caution are the current lack of transparency by RSF and increasing employee costs.

Red Sox Foundation http://redsoxfoundation.org/ Headquarters: Boston, MA FY 2010 Revenue: $6.6MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of Red Sox Foundation

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Background. Project GRAD Houston (“GRAD”) is an education reform model at work in five feeder patterns (Davis, Sam Houston, Reagan, Wheatley and Yates) within Houston Independent School District (“HISD”), serving 64 schools and over 44,000 economically disadvantaged children – 23% of the school district's total school population and approximately 24% of its total at-risk population. NPI Assessment. Project GRAD has a longstanding history with HISD, providing programs such as scholarship, mentoring, and education. While a small sample of results provided by GRAD indicates increased graduation rates and decreased dropout rates, lack of broader disclosures of results and lack of detail regarding program services provided by GRAD limit the ability to draw a causal link between programs provided and results achieved.

Project GRAD Houston http://projectgradhouston.org/ Headquarters: Houston, TX FY 2010 Revenue: $5.5MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of Project GRAD Houston

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Background. Room to Read (“RTR”) is a global organization working in nine countries across Asia and Africa helping millions of children in the developing world gain access to quality educational opportunities. RTR has built an effective, entrepreneurial and passionate global team, a strong and diverse donor base and a foundation of scalable programming. NPI Assessment. RTR is a results-oriented organization and has affected lives of 6MM+ children worldwide. The organization works in collaboration with local communities, partner organization and governments to build a skilled workforce sustainable for the long-run. Using Salesforce.com Foundation, it constantly monitors and evaluates projects, identifies strengths and weaknesses and facilitates dialogue with stakeholders. Its push to carry scale and efficient operating models internationally has proven to be successful over time.

Room to Read http://roomtoread.org/ Headquarters: San Francisco, CA FY 2011 Revenue: $39.4MM Nonprofit Investor Rating: BUY Read the full report: NPI Evaluation of Room to Read

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Background. One Acre Fund, (“OAF”), was founded to address the crisis of hunger in Africa. OAF concentrates on serving small-scale farmers in Africa by providing them with the comprehensive “market bundle” program so that farmers can lift themselves out of poverty and can send their children to school. NPI Assessment. One Acre Fund continues to meet or exceed defined program metrics in their mission to eliminate poverty in Africa through thoughtful business practices and operational efficiency. Because OAF's program metrics and financial statements are not entirely explained by public documentation, NPI recommends that OAF either publish more detailed explanations of survey methods and financial statements or provide access to OAF staff.

One Acre Fund http://oneacrefund.org/ Headquarters: Highland Park, IL FY 2011 Revenue: $18.7MM Nonprofit Investor Rating: BUY Read the full report: NPI Evaluation of One Acre Fund

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Background. Accion USA helps low to moderate income (“LMI”) small-business owners build sustainable businesses and attain economic self-sufficiency through providing affordable microloans and free financial education services. NPI Assessment. Accion USA is a large, established organization with an active loan portfolio of over $6MM. Their activities have an evident impact on providing opportunities and alleviating poverty. However, the recent decrease in donations / grants is limiting their lending ability and is testing their capability to match revenue and expenses, to avoid loss.

Accion USA http://accionusa.org Headquarters: New York, NY FY 2011 Revenue: $6.2MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of Accion USA

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Background. CaringBridge is a social network, keeping families and loved ones connected through its free websites during any type of health event. NPI Assessment. Since 1997, CaringBridge’s program model and firm stance on privacy has been effectively addressing a sensitive need and has mainly been supported by its beneficiaries. CaringBridge continues to update its technology and evolve and increase awareness around its service offerings. The organization has the elements in place that should allow it to continue increasing the number of people it serves.

CaringBridge http://caringbridge.org/ Headquarters: Eagan, MN FY 2011 Revenue: $8.8MM Nonprofit Investor Rating: BUY Read the full report: NPI Evaluation of CaringBridge

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Background. VisionSpring, Inc.(“VisionSpring”), formed in October 2001, trains villagers in the developing world to conduct outreach & vision screenings and sell high-quality, low-cost eyeglasses in their communities. VisionSpring Vision Entrepreneurs sell reading glasses, sunglasses & eye drops and refer customers needing prescription glasses to optometrists or partner eye health institutions. NPI Assessment. VisionSpring has developed a unique way to address a critical social need. While VisionSpring’s impact on clients seems logical, NPI notes discrepancies regarding impact which should be corrected immediately. Also, VisionSpring’s corporate structure must be publicly documented to provide assurance that disclosed impact is exclusively attributable to the U.S. entity, Visionspring, Inc.

VisionSpring http://visionspring.org/ Headquarters: New York, NY FY 2010 Revenue: $1.3MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of VisionSpring

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Background. JobTrain provides low-income individuals in the Bay Area with classes, training, career counseling, and job placement services to prepare them for quality jobs and careers. NPI Assessment. JobTrain’s programs serve many people in the Bay Area, ranging from children to adults. The organization and its staff have years of experience, and its programs offer many an opportunity to acquire the skills necessary for quality jobs in today’s world. However, JobTrain’s lack of organizational and impact transparency makes it difficult to fully assess and leaves enough questions unanswered that we rate it a NEUTRAL until further information is made available.

JobTrain http://jobtrainworks.org/ Headquarters: Menlo Park, CA FY 2011 Revenue: $4.9MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of JobTrain

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Background. Ashoka identifies and develops the world’s leading social entrepreneurs to serve as catalysts for change by providing them with the financial support, technical guidance and robust network for collaboration. The organization focuses on developing effective models that advance the field of social entrepreneurship and inspire everyday citizens to become powerful changemakers. NPI Assessment. Since the Ashoka approach addresses pressing societal change on an individual, system and framework level, direct impact is difficult to measure. Though Ashoka has made significant contributions in building the citizen sector, additional impact metrics are needed to establish a clear understanding of program effectiveness.

Ashoka http://ashoka.org/ Headquarters: Arlington, VA FY 2011 Revenue: $55.9MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of Ashoka

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Background. Vital Voices Global Partnership (“VVGP”) was bred from Vital Voices Democracy Initiative, a U.S. government program led by then-First Lady Hillary Rodham Clinton and former Secretary of State Madeleine Albright. VVGP was created in 2000 to focus on human rights, economic empowerment and political participation by creating a platform to provide valuable skills and connections for women globally to make a transformative impact in their communities. NPI Assessment. VVGP has been able to successfully identify, train and empower women leaders and social entrepreneurs globally. Yet, securing a diversified donor base and stable/growing revenue stream along with allocating expenses for efficiency is an opportunity for improvement.

Vital Voices Global Partnership http://vitalvoices.org/ Headquarters: Washington, DC FY 2010 Revenue: $9.7MM Nonprofit Investor Rating: BUY Read the full report: NPI Evaluation of Vital Voices Global Partnership

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Background. The Endeavor Initiative, Inc. (“Endeavor Global”) and its international affiliates (together, “Endeavor”) help high-impact entrepreneurs unleash their potential by providing an unrivaled network of seasoned business leaders, who provide the key ingredients to entrepreneurial success. NPI Assessment. Endeavor Global has a strong track record of generating social impact and tracking the impact through innovative metrics. NPI rates Endeavor Global a BUY and encourages the organization to continue improving its disclosures.

Endeavor Global http://endeavor.org/ Headquarters: New York, NY FY 2010 Revenue: $8.6MM Nonprofit Investor Rating: BUY Read the full report: NPI Evaluation of Endeavor Global

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Background. The All Stars Project, Inc. (“ASP”) is a non-partisan organization dedicated to promoting development through the use of an innovative performance-based model. ASP creates privately funded, outside-of-school, educational, and performing-arts activities for tens of thousands of poor and minority young people. ASP actively promotes supplementary education and the performance-learning model in academic and civic arenas. NPI Assessment. ASP’s programs reach thousands of poor and minority young people every year helping them build the skills and confidence needed to succeed in academic and workplace settings. However, ASP’s inability to track and demonstrate a quantifiable impact, combined with unresolved historical controversy leaves enough questions unanswered that we rate it NEUTRAL until additional information is made available.

All Stars Project http://allstars.org/ Headquarters: New York, NY FY 2011 Revenue: $7.0MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of All Stars Project

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Background. Hugh O’Brian Youth Leadership (“HOBY”) programs provide youth selected by their schools opportunities to participate in unique leadership training, service-learning and motivation-building experiences. Additionally, HOBY provides volunteer opportunities for adults wishing to make a positive impact on the lives of adolescents. NPI Assessment. HOBY’s robust program offerings and large volunteer network provide many students with the opportunity to make a positive impact on their community. However, the organization lacks a publicly available feedback loop or study in order to gauge the effectiveness of programs. NPI would also like to see a more accountable management team to prevent lack of communication and delayed financial reports.

Hugh O’Brian Youth Leadership http://hoby.org/ Headquarters: Westlake Village, CA FY 2011 Revenue: $2.3MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of HOBY

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Background. Iraq and Afghanistan Veterans of America (“IAVA”) is the nation’s first and largest nonprofit organization for the newest generation of veterans from the Iraq and Afghanistan wars. By delivering impact in health, education, employment and community, IAVA is committed to building an empowered generation of veterans that will provide sustainable leadership for the United States. NPI Assessment. IAVA’s public reporting would benefit from clearer and more specific disclosures about the effectiveness of its outreaches and media and lobbying activities, especially as it has changed over time. However, the charity demonstrates strong growth, a solid vision for holistically interceding for veterans’ causes, and a proven ability to multiply its revenues through in-kind donations, making it a premier charity for advancing the veteran cause.

Iraq and Afghanistan Veterans of America http://iava.org/ Headquarters: New York, NY FY 2011 Revenue: $7.2MM Nonprofit Investor Rating: BUY Read the full report: NPI Evaluation of IAVA

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Background. The National Military Family Association (“NMFA”) represents officer and enlisted families of the Army, Navy, Air Force, Marine Corps, Coast Guard, National Oceanic and Atmospheric Administration, and Public Health Service. NMFA assists those seeking resources for: themselves and combat-weary service members returning home from war with fragile mental health, children separated from parents during deployments, spouses forging ahead with educations to build better lives for their families or to prepare for the unthinkable, widows seeking information about benefits available to them as they cope with their losses, and for proud parents of single service members. NPI Assessment. The NMFA offers an effective channel to assist military families. The organization has a long track record of success and effectively deploys its resources to create an outsized impact towards its goals.

National Military Family Association http://militaryfamily.org/ Headquarters: Alexandria, VA FY 2010 Revenue: $11.5MM Nonprofit Investor Rating: BUY Read the full report: NPI Evaluation of NMFA

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Background. Operation Homefront provides services to alleviate a military family’s or individual’s emergency financial burden, as well as counseling and recovery support. The target population is American military personnel and their families who have unmet needs due to financial hardship, death, injury, or physical or mental detriment as a result of service in Iraq or Afghanistan. NPI Assessment. Operation Homefront has developed a model which requires limited spending for fundraising and administrative functions, yet generates substantial contributions and support. However, Operation Homefront’s affiliate structure makes it challenging to evaluate the impact of the organization’s efforts and the costs associated with each program. The financial information would be better suited for evaluation by clearly breaking out each affiliate as well as highlighting the costs associated with each individual program.

Operation Homefront http://operationhomefront.net/ Headquarters: San Antonio, TX FY 2011 Revenue: $24.7MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of Operation Homefront

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Background. Swords to Plowshares (“Swords” or “STP”) provides care to more than 2,000 veterans annually in the San Francisco Bay Area by providing health and social services, supportive housing, employment and training, and legal assistance with veterans benefits. NPI Assessment. Swords has made great strides in providing a variety of services to reduce homelessness among veterans and has even engaged other community organizations with specialized expertise to help with their efforts. However, the organization has operated at a financial loss for 3 years and program expenses as a percent of total expenses have been declining each successive year.

Swords to Plowshares http://swords-to-plowshares.org/ Headquarters: San Francisco, CA FY 2011 Revenue: $8.0MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of Swords to Plowshares

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Background. One Economy Corporation ("One Economy"), founded in 2000 in Washington, DC, is a nonprofit organization that focuses on the use of technology, and the Internet in particular, to allow people who are disadvantaged to better their lives. NPI Assessment. One Economy’s services have impacted a number of people and have gained the support of players ranging from government to corporations. However, actual impact of the services is unclear, and expenditures consistently exceed revenues, throwing sustainability into doubt.

One Economy Corporation http://one-economy.org/ Headquarters: Washington, DC FY 2010 Revenue: $14.0MM Nonprofit Investor Rating: NEUTRAL Read the full report: NPI Evaluation of One Economy