2024-10-23T15:26:48-05:00 2023-12-31 263753134 CBIZ ADVISORS LLC 500 BOYLSTON STREET BOSTON MA 02116 990 2023-01-01 043478123 ROOT CAPITAL INC ROOT 6176615792 245 MAIN STREET 2ND FLOOR CAMBRIDGE MA 02142 BRYAN WOLINER CFO & TREASURER 6176615792 2024-10-18 1 1 BRENDA L BOOTH P01342395 6177610600 2024-10-18 2023 2024-10-15 13:58:12Z WILLIAM F FOOTE 245 MAIN STREET 2ND FLOOR CAMBRIDGE MA 02142 29107606 0 X WWW.ROOTCAPITAL.ORG X 1999 MA TO GROW RURAL PROSPERITY AND BUILD THE RESILIENCE OF FARMING FAMILIES AROUND THE WORLD. 14 14 74 17 0 0 41878138 16524600 10474079 10208026 470959 2374980 0 0 52823176 29107606 724623 1209782 0 0 11335562 16036358 0 0 833594 10829273 15259172 22889458 32505312 29933718 -3397706 129626012 120379681 56492291 51179578 73133721 69200103 X ROOT CAPITAL SEEKS TO INCREASE INCOMES AND STABILIZE EMPLOYMENT FOR FARMERS IN AFRICA, SOUTH-EAST ASIA, AND LATIN AMERICA. ROOT CAPITAL DOES THIS THROUGH A PROVEN CHANNEL: SUPPORT FOR AGRICULTURAL BUSINESSES THAT COLLECT AND MARKET THE CROPS OF THOUSANDS OF FARMERS. THROUGH A UNIQUE COMBINATION OF CAPITAL, TRAINING, AND ACCESS TO GLOBAL MARKETS, ROOT CAPITAL HELPS AGRICULTURAL BUSINESSES INCREASE FARMER INCOMES, EMPOWERS WOMEN, CONSERVES ECOSYSTEMS, AND CREATES OPPORTUNITIES FOR THE NEXT GENERATION. 0 0 13054900 10208026 ROOT CAPITAL PROVIDES AGRICULTURAL BUSINESSES WITH A UNIQUE COMBINATION OF CREDIT AND CAPACITY BUILDING. THE ORGANIZATION ALSO CATALYZES CHANGE IN THE BROADER SECTOR THROUGH EVALUATION AND SHARED LEARNING. PLEASE REFER TO THE ORGANIZATION'S WEBSITE FOR FURTHER INFORMATION AND STATISTICS ON PROGRAM ACCOMPLISHMENTS.FINANCE: ROOT CAPITAL TYPICALLY PROVIDES LOANS AND LINES OF CREDIT RANGING FROM $50,000 TO $4 MILLION TO SMALL AND GROWING BUSINESSES, THAT SOURCE FROM SMALL-HOLDER FARMERS, WITH A FOCUSES ON THOSE BUSINESSES NOT REACHED BY COMMERCIAL LENDERS.MOST ROOT CAPITAL LOANS CAN BE CATEGORIZED AS FOLLOWS:1) LINES OF CREDIT, WITH TENORS OF ONE TO THREE YEARS AND ARE USED FOR WORKING CAPITAL TO FINANCE THE COST OF PURCHASING AND PROCESSING RAW MATERIAL SOURCED FROM SMALLHOLDER FARMERS.2) TERM LOANS, GRANTED FROM TIME TO TIME, WITH MAXIMUM TENORS OF SEVEN YEARS ARE PROVIDED IN CONNECTION WITH THE WORKING CAPITAL FINANCING TO FINANCE CERTAIN FIXED ASSET PURCHASES AND INVESTMENTS, INCLUDING EQUIPMENT, INFRASTRUCTURE IMPROVEMENTS, AND AGRICULTURAL INPUTS. ROOT CAPITAL ASSESSES PROSPECTIVE CLIENTS AND EVALUATES THEM ON A SERIES OF FINANCIAL, SOCIAL, AND ENVIRONMENTAL CRITERIA. SOCIAL CRITERIA INCLUDE PRICES PAID TO SUPPLIERS, EMPLOYEE WAGES, AND WORKING CONDITIONS, AND COMPANY SUPPORT FOR SOCIAL PROGRAMS SUCH AS TRAINING AND MEDICAL CARE. ENVIRONMENTAL CRITERIA INCLUDE SOIL AND WATER MANAGEMENT, THE IMPACT OF THE BUSINESS ON THE SURROUNDING COMMUNITY, AND STANDARDS FOR PRODUCT HANDLING AND PROCESSING.ROOT CAPITAL'S LENDING SUPPORTS SUSTAINABLE ENVIRONMENTAL PRACTICES THAT PROTECT RURAL ECOSYSTEMS. CROPS PROCESSED AND MARKETED BY ROOT CAPITAL CLIENTS PRIMARILY IN INDUSTRIES INCLUDING COFFEE, COCOA, AND CERTAIN TREE NUTS. 8264307 1209782 ADVISE: ROOT CAPITAL'S ADVISORY SERVICES PROGRAM PROVIDES TARGETED TRAINING TO CURRENT AND PROSPECTIVE CLIENTS IN TOPICS SUCH AS FINANCIAL MANAGEMENT, GOVERNANCE, AGRONOMIC CAPACITY, DIGITAL BUSINESS INTELLIGENCE, CLIMATE RESILIENCE, GENDER EQUITY, AND MORE. ROOT CAPITAL'S FINANCIAL ADVISORY SERVICES ARE DESIGNED TO PREPARE BUSINESSES WITH GROWTH POTENTIAL TO QUALIFY FOR CREDIT, TO SHEPHERD MORE PROSPECTIVE CLIENTS INTO OUR PORTFOLIO, AND TO MITIGATE THE RISK OF LENDING TO THESE BUSINESSES.ROOT CAPITAL'S ADVISORY SERVICES PROGRAM PROVIDES FINANCIAL TRAINING TO CLIENTS PRIOR TO RECEIVING A LOAN AND DURING THE LIFE OF THE LOAN AS NEEDED.THOUGH FINANCIAL MANAGEMENT TRAINING IS THE CORE OFFERING OF THE ORGANIZATION'S ADVISORY PROGRAM, ROOT CAPITAL ALSO PROVIDES COMPLEMENTARY NON-FINANCIAL ADVISORY SERVICES TO HELP BUSINESSES OVERCOME DIFFERENT CHALLENGES AND POSITION THEM FOR GREATER IMPACT. 2541055 CATALYZE: ROOT CAPITAL SEEKS TO CATALYZE A THRIVING FINANCIAL MARKET TO SUPPORT HISTORICALLY UNDERSERVED RURAL SMALL AND GROWING BUSINESSES. THE PROGRAM'S STRATEGY IS TO:1. INNOVATE - CONDUCT R&D, STUDY IMPACT AT THE HOUSEHOLD AND BUSINESS LEVELS, AND LOOK FOR WAYS TO INCREASE IMPACT.2. ACCELERATE - SHARE LEARNING FROM WORK WITH LIKE-MINDED PEERS TO BUILD COMMON STANDARDS AND PRACTICES NECESSARY FOR THE INDUSTRY TO THRIVE AND SCALE.THROUGH INDUSTRY ASSOCIATIONS ROOT CAPITAL PLAYS A LEADERSHIP ROLE IN BUILDING THE ENABLING ENVIRONMENT FOR RURAL SMALL AND GROWING BUSINESS FINANCE.AS A NON-PROFIT COMMITTED TO ALLEVIATING RURAL POVERTY, ROOT CAPITAL SEEKS TO MAXIMIZE THE POSITIVE SOCIAL AND ENVIRONMENTAL IMPACT OF OUR WORK. ECONOMIC, COMMUNITY, AND ENVIRONMENTAL SUSTAINABILITY ARE ALL PART OF OUR CORE VALUES.ECONOMIC SUSTAINABILITY - ROOT CAPITAL CLIENTS LINK SMALL-SCALE FARMERS TO MARKETS THAT CAN OFFER HIGHER AND MORE STABLE PRICES THAN THEY HAVE HISTORICALLY RECEIVED. ROOT CAPITAL CLIENTS ALSO GENERATE EMPLOYMENT INCLUDING MANAGERS, ACCOUNTANTS, AGRICULTURAL EXTENSION STAFF, DRIVERS, AND WORKERS AT PROCESSING PLANTS.COMMUNITY SUSTAINABILITY - FARMER ASSOCIATIONS ENCOURAGE PARTICIPATORY DECISION-MAKING AND ARE A SOURCE OF COMMUNITY OWNERSHIP AND PRIDE, MAKING TRADITIONAL AGRICULTURAL ACTIVITIES MORE VIABLE. SOCIAL IMPACT INCLUDES STABILIZING INCOMES IN RURAL COMMUNITIES AND CREATING NEW ECONOMIC OPPORTUNITIES FOR WOMEN, INDIGENOUS PEOPLES AND OTHER MARGINALIZED GROUPS. 23860262 1 1 0 0 0 0 0 0 1 0 1 0 1 0 1 1 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 0 1 1 0 0 0 1 162 0 1 74 1 0 1 CS KE MX PE 0 0 0 0 0 0 0 0 0 0 X 14 14 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 AL AK AR CA CO CT DC FL GA IL KS KY ME MD MA MI MN MS NV NH NJ NM NY NC ND OH OK OR PA RI SC TN UT VA WA WV WI X X BRYAN WOLINER 6176615792 245 MAIN STREET 2ND FLOOR CAMBRIDGE MA 02142 ANA ZACAPA CHAIR 1.00 0.00 X 0 0 0 GRANT GUND BOARD MEMBER (THROUGH MAY 2023) 1.00 0.00 X 0 0 0 JAN-MAARTEN MULDER BOARD MEMBER (THROUGH MAY 2023) 1.00 0.00 X 0 0 0 MARY BARTON DOCK BOARD MEMBER 1.00 0.00 X 0 0 0 LINDSAY BOLGER BOARD MEMBER 1.00 0.00 X 0 0 0 MARISSA WESELY BOARD MEMBER 1.00 0.00 X 0 0 0 KEN BARTELS BOARD MEMBER (THROUGH 12/30/23) 1.00 0.00 X 0 0 0 MARIO FERNANDEZ BOARD MEMBER 1.00 0.00 X 0 0 0 SALAH GOSS BOARD MEMBER 1.00 0.00 X 0 0 0 MACANI TOUNGARA BOARD MEMBER 1.00 0.00 X 0 0 0 SOPHIE ROMANA BOARD MEMBER 1.00 0.00 X 0 0 0 SCOTT AMERO BOARD MEMBER 1.00 0.00 X 0 0 0 HANS MUZOORA BOARD MEMBER 1.00 0.00 X 0 0 0 FLEUR BOOS BOARD MEMBER 1.00 0.00 X 0 0 0 PHILIP BROWN BOARD MEMBER 1.00 0.00 X 0 0 0 JEHIEL OLIVER BOARD MEMBER 1.00 0.00 X 0 0 0 JAMES RICHARDSON BOARD MEMBER 1.00 0.00 X 0 0 0 WILLIAM FOOTE CEO & FOUNDER 40.00 0.00 X 404242 0 14421 BRYAN WOLINER CFO & TREASURER 40.00 0.00 X 267964 0 30362 MARLI PORTH CHIEF OF STAFF/CLERK 40.00 0.00 X 144663 0 25777 FRANCES REID COO & PRESIDENT 40.00 0.00 X 311546 0 20686 SCOTT MCDONALD CHIEF EXTERNAL AFFAIRS OFFICER 40.00 0.00 X 294676 0 19879 ALEXANDRA TUINSTRA CHIEF STRATEGY OFFICER 40.00 0.00 X 209027 0 11793 DARCY SALINGER CHIEF CREDIT OFFICER 40.00 0.00 X 259857 0 17937 JEAN FORRESTER CONTROLLER & VP INVESTOR RELATIONS 40.00 0.00 X 221585 0 29260 BENJAMIN WITKOP SR. DIR., GLOBAL LENDING/INNOVATION 40.00 0.00 X 173798 0 23470 ANGELA PROSEK SR. DIR., INST. PHILATHROPY/PARTNERS 40.00 0.00 X 179590 0 29940 MAUREEN MCGREGOR SR. DIR., MARKETING/COMMUNICATIONS 40.00 0.00 X 174488 0 23783 2641436 0 247308 38 0 1 0 CBIZ ADVISORS LLC 500 BOYLSTON STREET BOSTON MA 02116 AUDIT AND TAX 188608 EMC COMMUNICATIONS 2445 HARPER STREET SANTA CRUZ CA 95062 CONSULTING 141250 BERUMEN Y ASOCIADOS SA DE CV 193 TORRE A PISO 9 CIUDAD DE MEXICO MX 11300 CONSULTING 124318 3 4890489 11634111 16524600 LOAN GUARANTEES AND RECOVERIES 900099 4935936 4935936 LOAN INTEREST 900099 4138983 4138983 LOAN FEES 900099 1133107 1133107 10208026 2070858 2070858 304122 0 304122 304122 304122 29107606 10208026 0 2374980 X 485960 485960 723822 723822 1840886 353237 1302127 185522 11208730 7445196 3308593 454941 183090 42957 122735 17398 1858131 1317661 478328 62142 945521 606157 300235 39129 268567 221068 47499 218762 46204 172558 3539961 3120756 396157 23048 30480 20667 4253 5560 434429 190069 244360 1272362 788081 468788 15493 546872 419837 114334 12701 2956389 2230598 708131 17660 336009 336009 823045 823045 192736 192736 125712 9664 116048 ALLOWANCE FOR LOAN LOSS 4038332 4038332 LOAN ORIGINATION COSTS 428158 428158 PRINTING & PUBLICATIONS 47358 20048 27310 0 32505312 23860262 7811456 833594 16281302 53447272 32145096 26609 13950011 13909677 1400699 892923 505014 517272 1396093 1361446 216808 34647 20410790 21228908 43951676 29651792 764616 670581 129626012 120379681 2122131 2409485 853761 892400 1235918 632445 52280481 47237337 0 7911 56492291 51179578 X 49343064 50985887 23790657 18214216 73133721 69200103 129626012 120379681 -3397706 -535912 0 X 0 1 X 1 1 1 X 21446858 14688149 26267601 41878138 16524600 120805346 21446858 14688149 26267601 41878138 16524600 120805346 25167116 95638230 373774 113965 49275 286146 2070858 2894018 123699364 42331554 0.77320 0.82870 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 X 97190 65183 32007 1298903 1296263 2640 34647 LOANS RECEIVABLE 29651792 F 29651792 FAIR VALUE OF FOREIGN CURRENCY HEDGES 7911 7911 X 23404755 -535912 122596 -5289535 -5702851 29107606 0 29107606 27338373 122596 122596 27215777 5289535 5289535 32505312 PART IV, LINE 2B: AT TIMES, ROOT CAPITAL CO-LENDS WITH OTHER ORGANIZATIONS AND ADMINISTERS THE ENTIRE LOAN. CREDIT COUNSELING AND DEBT MANAGEMENT SERVICES ARE PROVIDED BY THE CO-LENDER. IN MANY LOCATIONS, ROOT CAPITAL BEARS THE RESPONSIBILITY TO CREATE A TRIANGULATED PARTNERSHIP BETWEEN THE CO-LENDER, BORROWER, AND COMMERCIAL BUYER. THIS CREATES AN ADDED MEASURE OF SECURITY FOR ROOT CAPITAL'S CLIENTS BY ENSURING THAT THEIR PRODUCTS CAN BE SOLD AT A FAIR PRICE, AND HELPS BUYERS CONTRIBUTE TO THE LOCAL ECONOMIES. THE ESCROW FUNDS REPRESENT A TIMING DIFFERENCE BETWEEN REPAYMENTS FROM BORROWERS AND TRANSFER OF FUNDS DUE TO CO-LENDING PARTNERS. THE ESCROW ACCOUNT IS ALSO USED WHEN A BUYER PAYS ROOT CAPITAL THE FULL AMOUNT OF THE MONEY OWED TO A SUPPLIER/BORROWER. ROOT CAPITAL DEDUCTS THE PRINCIPAL AND INTEREST OWED ON ITS LOAN AND FORWARDS THE REMAINING BALANCE TO THE SUPPLIER/BORROWER. PART X, LINE 2: ROOT CAPITAL IS EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE, AND ACCORDINGLY, IS GENERALLY EXEMPT FROM FEDERAL AND STATE INCOME TAXES. ACCORDINGLY, NO PROVISION FOR INCOME TAXES IS MADE IN THE COMBINED FINANCIAL STATEMENTS. ROOT CAPITAL HAS DETERMINED THAT ITS STATUS AS A TAX EXEMPT ENTITY AND ITS DETERMINATIONS AS TO ITS INCOME BEING RELATED AND UNRELATED ARE NOT UNCERTAIN TAX POSITIONS WITHIN THE MEANING OF GENERALLY ACCEPTED ACCOUNTING PRINCIPLES FOR ITS OPEN TAX YEARS. ROOT CAPITAL'S FEDERAL AND STATE INCOME TAX RETURNS ARE GENERALLY OPEN FOR EXAMINATION FOR THREE YEARS FOLLOWING THE DATE FILED. ROOT CAPITAL OPERATES ON AN EXEMPT BASIS WHEN SUCH TREATMENT IS AVAILABLE IN ITS VARIOUS LOCATIONS OF OPERATION IN ACCORDANCE WITH LOCAL LAWS. ACCORDINGLY, INCOME TAX DISCLOSURES HAVE BEEN EXCLUDED GIVEN THEIR LIMITED AMOUNTS IN THE COMBINED FINANCIAL STATEMENTS. PART XI, LINE 2D - OTHER ADJUSTMENTS: PROVISION FOR LOAN LOSS -4,466,490. INTEREST EXPENSE -823,045. PART XII, LINE 4B - OTHER ADJUSTMENTS: PROVISION FOR LOAN LOSS 4,466,490. INTEREST EXPENSE 823,045. 1 CENTRAL AMERICA AND THE CARIBBEAN 0 0 GRANTMAKING 148105 EAST ASIA AND THE PACIFIC 0 0 GRANTMAKING 28200 NORTH AMERICA 0 0 GRANTMAKING 53517 SOUTH AMERICA 0 0 GRANTMAKING 194500 SUB-SAHARAN AFRICA 0 0 GRANTMAKING 299500 CENTRAL AMERICA AND THE CARIBBEAN 1 36 PROGRAM SERVICES LOAN DISBURSEMENTS 33311006 CENTRAL AMERICA AND THE CARIBBEAN 0 0 PROGRAM SERVICES LENDING AND ADVISORY SERVICES 3385045 EAST ASIA AND THE PACIFIC 0 0 PROGRAM SERVICES LOAN DISBURSEMENTS 3912690 EAST ASIA AND THE PACIFIC 0 0 PROGRAM SERVICES LENDING AND ADVISORY SERVICES 367389 NORTH AMERICA 2 14 PROGRAM SERVICES LOAN DISBURSEMENTS 6791479 NORTH AMERICA 0 0 PROGRAM SERVICES LENDING AND ADVISORY SERVICES 1829568 SOUTH AMERICA 1 30 PROGRAM SERVICES LOAN DISBURSEMENTS 33510182 SOUTH AMERICA 0 0 PROGRAM SERVICES LENDING AND ADVISORY SERVICES 2967112 SUB-SAHARAN AFRICA 1 31 PROGRAM SERVICES LOAN DISBURSEMENTS 33849520 SUB-SAHARAN AFRICA 0 0 PROGRAM SERVICES LENDING AND ADVISORY SERVICES 3995841 1 36 4 75 5 111 41332563 83311091 124643654 CENTRAL AMERICA AND THE CARIBBEAN AGRICULTURAL 20000 WIRE 0 CENTRAL AMERICA AND THE CARIBBEAN AGRICULTURAL 22400 WIRE 0 CENTRAL AMERICA AND THE CARIBBEAN AGRICULTURAL 20000 WIRE 0 CENTRAL AMERICA AND THE CARIBBEAN AGRICULTURAL 10000 WIRE 0 CENTRAL AMERICA AND THE CARIBBEAN AGRICULTURAL 20000 WIRE 0 CENTRAL AMERICA AND THE CARIBBEAN AGRICULTURAL 20000 WIRE 0 CENTRAL AMERICA AND THE CARIBBEAN AGRICULTURAL 11400 WIRE 0 EAST ASIA AND THE PACIFIC AGRICULTURAL 11200 WIRE 0 EAST ASIA AND THE PACIFIC AGRICULTURAL 6200 WIRE 0 NORTH AMERICA AGRICULTURAL 16767 WIRE 0 NORTH AMERICA AGRICULTURAL 9000 WIRE 0 NORTH AMERICA AGRICULTURAL 8150 WIRE 0 SOUTH AMERICA AGRICULTURAL 20000 WIRE 0 SOUTH AMERICA AGRICULTURAL 20000 WIRE 0 SOUTH AMERICA AGRICULTURAL 7500 WIRE 0 SOUTH AMERICA AGRICULTURAL 7000 WIRE 0 SOUTH AMERICA AGRICULTURAL 27000 WIRE 0 SOUTH AMERICA AGRICULTURAL 20000 WIRE 0 SOUTH AMERICA AGRICULTURAL 20000 WIRE 0 SOUTH AMERICA AGRICULTURAL 7000 WIRE 0 SOUTH AMERICA AGRICULTURAL 7500 WIRE 0 SOUTH AMERICA AGRICULTURAL 7500 WIRE 0 SOUTH AMERICA AGRICULTURAL 20000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 5500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 5500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 10500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 10500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 5500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 20000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 20000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 5500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 9000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 13500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 5500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 13000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 9000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 7500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 5500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 9000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 5500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 10500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 5500 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 SUB-SAHARAN AFRICA AGRICULTURAL 6000 WIRE 0 0 53 0 0 1 0 0 0 PART I, LINE 2: ROOT CAPITAL IS RESPONSIBLE FOR THE ACTIONS OR INACTIONS OF ITS SUBRECIPIENTS AS STIPULATED UNDER THE AGREEMENTS. THE MONITORING OF SUBRECIPIENTS IS AN EXTREMELY IMPORTANT PART OF SUBPROJECT MANAGEMENT TO ENSURE THAT THE SUBGRANTEE IS PERFORMING IN ACCORDANCE WITH THE AGREEMENT, STANDARD OPERATING PROCEDURE AND IN FURTHERANCE OF THE PROJECT OBJECTIVES. A VARIETY OF TOOLS ARE UTILIZED TO MONITOR SUBGRANTEES. THESE INCLUDE: - TIMELY AND THOROUGH REVIEW OF FINANCIAL AND PROGRAMMATIC SUBGRANTEE REPORTS - PERIODIC AND ON-SITE VISITS - REGULAR AND ONGOING COMMUNICATION WITH SUBGRANTEE DEPENDING ON THE RESULTS, A MONITORING PLAN TOGETHER WITH AN APPROPRIATE MECHANISM FOR FUNDING, FINANCIAL AND PROGRAMATIC MANAGMENT AND MONITORING IS FORMULATED. PART I, LINE 3: THE EXPENDITURES, PER REGION, ARE PRESENTED ON THE ACCRUAL BASIS OF ACCOUNTING. 1 THE CHAIN COLLABORATIVE 133 FEDERAL WALK KENNETT SQUARE PA 19348 471643022 501(C)(3) 20112 0 DEVELOPMENT OF REPORTING AND EVALUATIONS CATHOLIC RELIEF SERVICES 228 WEST LEXINGTON STREET BALTIMORE MD 21201 135563422 501(C)(3) 435847 0 DEVELOPMENT OF REPORTING AND EVALUATIONS SUSTAINABLE FOOD LABORATORY 3 LINDEN ROAD HARTLAND VT 05048 811854413 501(C)(3) 30001 0 DEVELOPMENT OF REPORTING AND EVALUATIONS 3 0 PART I, LINE 2: ROOT CAPITAL IS RESPONSIBLE FOR THE ACTIONS OR INACTIONS OF ITS SUBRECIPIENTS AS STIPULATED UNDER THE AGREEMENTS. THE MONITORING OF SUBRECIPIENTS IS AN EXTREMELY IMPORTANT PART OF SUBPROJECT MANAGEMENT TO ENSURE THAT THE SUBGRANTEE IS PERFORMING IN ACCORDANCE WITH THE AGREEMENT, STANDARD OPERATING PROCEDURE AND IN FURTHERANCE OF THE PROJECT OBJECTIVES. A VARIETY OF TOOLS ARE UTILIZED TO MONITOR SUBGRANTEES. THESE INCLUDE: - TIMELY AND THOROUGH REVIEW OF FINANCIAL AND PROGRAMMATIC SUBGRANTEE REPORTS - PERIODIC AND ON-SITE VISITS - REGULAR AND ONGOING COMMUNICATION WITH SUBGRANTEE DEPENDING ON THE RESULTS, A MONITORING PLAN TOGETHER WITH AN APPROPRIATE MECHANISM FOR FUNDING, FINANCIAL AND PROGRAMATIC MANAGMENT AND MONITORING IS FORMULATED. X X X X 0 0 0 0 0 0 0 1 0 WILLIAM FOOTE CEO & FOUNDER 384940 0 19302 0 0 0 11421 0 3000 0 418663 0 0 0 FRANCES REID COO & PRESIDENT 306546 0 5000 0 0 0 12495 0 8191 0 332232 0 0 0 SCOTT MCDONALD CHIEF EXTERNAL AFFAIRS OFFICER 289676 0 5000 0 0 0 11688 0 8191 0 314555 0 0 0 BRYAN WOLINER CFO & TREASURER 256100 0 11864 0 0 0 10606 0 19756 0 298326 0 0 0 DARCY SALINGER CHIEF CREDIT OFFICER 254857 0 5000 0 0 0 10427 0 7510 0 277794 0 0 0 JEAN FORRESTER CONTROLLER & VP INVESTOR RELATIONS 216585 0 5000 0 0 0 9238 0 20022 0 250845 0 0 0 ALEXANDRA TUINSTRA CHIEF STRATEGY OFFICER 204027 0 5000 0 0 0 0 0 11793 0 220820 0 0 0 ANGELA PROSEK SR. DIR., INST. PHILATHROPY/PARTNERS 169717 0 9873 0 0 0 7522 0 22418 0 209530 0 0 0 MAUREEN MCGREGOR SR. DIR., MARKETING/COMMUNICATIONS 169488 0 5000 0 0 0 4447 0 19336 0 198271 0 0 0 BENJAMIN WITKOP SR. DIR., GLOBAL LENDING/INNOVATION 164255 0 9543 0 0 0 7027 0 16443 0 197268 0 0 0 MARLI PORTH CHIEF OF STAFF/CLERK 139663 0 5000 0 0 0 6021 0 19756 0 170440 0 0 0 PART I, LINE 7 ANY NON-FIXED BONUS PAYMENTS ARE APPROVED BY THE PRESIDENT AND COO. THE CEO'S BONUS IS APPROVED BY THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 WAS PREPARED BY AN INDEPENDENT PUBLIC ACCOUNTING FIRM WITH INFORMATION PROVIDED BY MANAGEMENT. THE FORM 990 IS REVIEWED BY THE CONTROLLER, CHIEF FINANCIAL OFFICER AND PRESIDENT. PRIOR TO FILING, THE COMPLETE FORM 990 IS PROVIDED TO ALL VOTING MEMBERS OF THE BOARD OF DIRECTORS WITH OPPORTUNITY FOR QUESTIONS, COMMENTS, OR EDITS. ANY CHANGES ARE INCORPORATED IN THE FINAL FORM 990 WHICH IS FILED WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C ALL ROOT CAPITAL BOARD MEMBERS AND EMPLOYEES PARTICIPATE IN AN ANNUAL TRAINING ON ROOT CAPITAL'S CODE OF ETHICS, WHICH INCLUDES A CONFLICT OF INTEREST POLICY. DIRECTORS AND OFFICERS COMPLETE A CONFLICT OF INTEREST DISCLOSURE FORM EACH YEAR. IF IT IS NECESSARY TO REVIEW OR CLEAR A CONFLICT RELATED TO THE CURRENT WORK OR ACTIVITY OF ROOT CAPITAL, THAT CONFLICT IS BROUGHT BEFORE THE GOVERNANCE COMMITTEE OF THE BOARD. THE GOVERNANCE COMMITTEE'S CONVERSATION AND DECISION WITH RESPECT TO THE CONFLICT IS RECORDED IN THE MINUTES OF THE MEETING AND SHARED WITH THE FULL BOARD. ALL ROOT CAPITAL PERSONNEL ARE TRAINED ON THE CONFLICT OF INTEREST POLICY. ROOT CAPITAL'S CONFLICT OF INTEREST POLICY IS SHARED WITH THE PARTICIPANTS AND PARTICIPANTS ARE ASKED TO SIGN AN ACKNOWLEDGEMENT FORM ATTESTING THAT THEY HAVE READ THE POLICIES AND COMPLETED THE TRAINING. FORM 990, PART VI, SECTION B, LINE 15 PER DELEGATION OF THE FULL BOARD OF DIRECTORS EACH YEAR, THE ROOT CAPITAL BOARD OF DIRECTORS' GOVERNANCE COMMITTEE REVIEWS THE CEO'S PERFORMANCE AND COMPENSATION ANNUALLY AND RECOMMENDS A SALARY FOR APPROVAL BY THE EXECUTIVE COMMITTEE OF THE BOARD. THE CEO'S SALARY RECOMMENDATION IS SUPPORTED BY A COMPENSATION STUDY PERFORMED AT LEAST EVERY TWO YEARS AS INFORMED BY PEER COMPENSATION DATA AVAILABLE THROUGH PUBLIC FILINGS. COMPENSATION OF OTHER OFFICERS AND KEY EMPLOYEES IS DETERMINED BY THE CEO OF THE ORGANIZATION USING THE RESULTS OF A COMPENSATION SURVEY CONDUCTED ON AN ANNUAL BASIS. FORM 990, PART VI, SECTION C, LINE 19 ROOT CAPITAL MAKES ITS FORM 990 AVAILABLE TO THE PUBLIC BY RETAINING A COPY ON ITS WEBSITE, WWW.ROOTCAPITAL.ORG. THE FORM 990 IS LIKEWISE PUBLISHED ON THE INTERNET AT WWW.GUIDESTAR.ORG. THE ORGANIZATION'S FINANCIAL STATEMENTS ARE MADE AVAILABLE ON ITS WEBSITE. THE ORGANIZATION'S GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE NOT ORDINARILY MADE AVAILABLE TO THE PUBLIC, BUT, IF REQUESTED, WILL BE PROVIDED AT MANAGEMENT'S DISCRETION. FORM 990, PART IX, LINE 11G ADVISORY SERVICES CONSULTING: PROGRAM SERVICE EXPENSES 3,002,441. MANAGEMENT AND GENERAL EXPENSES 390,727. FUNDRAISING EXPENSES 23,048. TOTAL EXPENSES 3,416,216. TRANSLATION SERVICES: PROGRAM SERVICE EXPENSES 118,315. MANAGEMENT AND GENERAL EXPENSES 5,430. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 123,745. ROOT CAPITAL MEXICO AC MA ADELINA FLORES NO 20 COLO CHIAPA MX PROGRAM SUPPORT MX ROOT CAPITAL INC 1 ASOCIACION ACCDER AV CAMINO REAL 348 TERRA EL P LIMA PE PROGRAM SUPPORT PE ROOT CAPITAL INC 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 ROOT CAPITAL MEXICO AC P 1449213 FMV ASOCIACION ACCDER P 2348487 FMV PART II FOREIGN CONTROLLED SUBSIDIARIES THE ROOT CAPITAL FORM 990 PRESENTS THE CONSOLIDATED INFORMATION OF ITS FOREIGN CONTROLLED SUBSIDIARIES (AS DISCLOSED IN SCHEDULE R, PART II) THEREBY REPORTING THE ORGANIZATION'S WORLDWIDE ACTIVITIES CONSISTENTLY WITH ITS AUDITED FINANCIAL STATEMENTS.