|CharityWatch's rating of Aid for Starving Children (ASC) also includes the financial activities of Gebende Hande (Giving Hands), which are consolidated in the ASC audited financial statements for the fiscal year ended April 30, 2018.
According to the ASC consolidated audit of April 30, 2018 (Note A, Nature of Activities):
"Gebende Hande (Giving Hands), a German nonprofit organization, 'GH,' is organized in Bonn, Germany and operates as a nonprofit limited liability company (gGmbH). ASC was the single member shareholder of GH until a 20% non-controlling interest was sold to another German non-profit on January 1, 2013 (See Note L [cited below]). ... The purpose of GH is to provide aid for poor and suffering people all over the world...
"GH was established in 1996. Per an agreement, ASC gave 100,000 Deutsch Marks in capital to be the single member shareholder of GH. At the time of inception, ASC gave GH two contributions to establish the capital of GH. The [audited] consolidated financial statements include the accounts for ASC and GH... For consolidation purposes, the equity of GH was eliminated against the ASC's investment in GH."
Also according to the ASC fiscal 2018 consolidated audit (Note L, Demerger of Hilfe Weltweit):
"On January 1, 2013, for consideration of 13,000 [Euros], Hilfe Weltweit (HWW), a German NGO, entered into an agreement granting HWW a 20% share of the capital of GH. HWW ceased operations and all existing cash, assets and related liabilities were transferred to GH..."
|According to the Aid for Starving Children consolidated audit of April 30, 2018 (Note K, Related Party Transactions):
"For the years ended April 30, 2018 and 2017, the Organization paid a total of $30,000 for consultation and guidance fees to its elected Chairman of the Board of Directors."
According to the Aid for Starving Children (ASC) tax filing for the fiscal year-ended April 30, 2018, ASC reports for Business Transactions Involving Interested Persons, a transaction in the amount of $30,000 paid to Monte Wilson, Board Chairman, described as: "Professional fees paid to Chairman for services" (IRS Form 990, Schedule L, Parts IV & V).
|According to the Aid for Starving Children consolidated audit of April 30, 2018 (Note P, Risk and Uncertainties):
"The Attorney General in the State of California opened an audit into the Organization's charitable practices. Information has been requested and provided from January 1, 2011 through July 2017. No assessment has been made for a probable claim. Management believes it is probable that no claim will be asserted and that the outcome will be favorable."
|According to the Aid for Starving Children consolidated audit of April 30, 2018 (Note I, Gifts-In-Kind), the Organization received and distributed gifts-in-kind in fiscal 2018 on which it placed a total value of $20,118,240. Of this amount, $20,008,611 consisted of donated medicines.
[Note: CharityWatch generally excludes the value of in-kind (non-cash) donations of goods and services from its calculations of Program % and Cost to Raise $100. More information on how grades are calculated and the treatment of in-kind donations can be found on the Our Process page.]
|According to the Aid for Starving Children consolidated audit of April 30, 2018 (Note J, Commitments):
"The Organization has two consulting contracts, for consulting and guidance on the Organization's public relations-publicity campaigns. The monthly expense in relation to these contracts is approximately $6,900. Total consulting and administrative expenses for the years ended April 30, 2018 and 2017 were $81,658 and $86,227, respectively." The future minimum contract payments are reported as being $39,600 for the fiscal year ended April 30, 2019.