Global Fund for Women

CharityWatch's rating of The Global Fund for Women (GFFW) also includes the financial activity of the entities consolidated in the GFFW audit for the fiscal year ended June 30, 2021, including Global Fund for Women UK, which "is intended to operate as the sister charity of the Organization," according to Note 1 of the GFFW fiscal 2021 consolidated audit. All significant intercompany balances and transactions have been eliminated in the audit consolidation.

According to The Global Fund for Women consolidated audit of June 30, 2021 (Note 15, Related-Party Transactions):

"During the years ended June 30, 2021 and 2020, the Organization paid grants to organizations of which board members are either presidents or the executive directors. Members of the board who are either the president or the executive director of a grantee organization recuse themselves when the board decides whether to approve these grants. The Organization awarded two such grants totaling $97,192 and one such grant totaling $50,000 during the years ended June 30, 2021 and 2020, respectively."

According to The Global Fund for Women consolidated audit of June 30, 2021 (Note 6, PPP Loan):

"On April 22, 2020, the Organization received loan proceeds in the amount of $977,350 under the Paycheck Protection Program (PPP). The PPP, established as part of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), provides for loans to qualifying businesses for amounts up to 2.5 times of the average monthly payroll expenses of the qualifying business. The loans and accrued interest are forgivable after twenty-four weeks as long as the borrower uses the loan proceeds for eligible purposes, including payroll, benefits, rent and utilities, and maintains its payroll levels. The amount of loan forgiveness will be reduced if the borrower terminates employees or reduces salaries during the twenty-four-week period. The unforgiven portion of the PPP loan is payable over two years at an interest rate of 1%, with a deferral of payments for the first 16 months according to latest PPP guidelines. During 2021, the Organization received full forgiveness on their PPP loan from the Small Business Administration. The loan forgiveness totaling $977,350 is included in total support and revenues on the [audited] consolidated statement of activities."

According to The Global Fund for Women consolidated audit of June 30, 2021 (Note 9, Concentrations of Credit Risk):

"The Organization maintains its cash balances at various financial institutions and brokerage firms. The Federal Deposit Insurance Corporation (FDIC) insures account balances up to $250,000.

"The Organization has identified its financial instruments that are potentially subject to credit risk. These financial instruments consist principally of bank deposits and investments in fixed income securities and community investment promissory notes. For bank deposits, the amounts in excess of federal insurance at June 30, 2021 and 2020, were approximately $30,616,000 and $24,019,000, respectively. The Organization also holds various debt and equity investments, which may at times exceed the Securities Investor Protection Corporation (SIPC) insurance threshold. The Organization closely monitors these balances and has not experienced credit losses."

According to The Global Fund for Women consolidated audit of June 30, 2021 (Note 7, Commitments and Contingencies, Contingencies):

"The novel coronavirus (COVID-19) outbreak in the world is unprecedented. It has had a significant impact on the economy and businesses, and the future impact is unknown. The Organization has been operating in a virtual and remote environment before the outbreak. Technological infrastructure has been strong and has provided many alternative accesses for everyone. The Organization has taken advantage of programs like the PPP loan program to support operations during the pandemic and did not experience significant financial challenges in fiscal year 2021. While we believe the outbreak disruption is temporary, there is considerable uncertainty around its duration. The impact on the Organization's future financial position and operating results could have a material impact to its liquidity should the pandemic continue indefinitely."