Mercy For Animals

According to the Mercy For Animals audit of December 31, 2021 (Note 1, Organization and Nature of Activities):

"In order to spread the Organization's mission domestically and globally, the Organization assisted in the establishment of the affiliated nonprofit organizations in Canada, Brazil, Asia, Latin America and India. All affiliated organizations maintain separate Boards of Directors; however, some Board membership and senior management are common to some of the affiliates. All affiliates operate as separate and independent entities to undertake activities that may or may not be consistent with all requirements of the Section 501(c)(3) of the Internal Revenue Code governing certain tax-exempt entities. While the Organization made grants to the affiliates totaling $2,336,424 in 2021, the Organization does not enjoy the rights of ownership of the assets and revenues of the affiliates, nor is it subject to their liabilities. The Organization does not hold a majority interest ownership interest in its affiliates nor does the Organization have control of a majority of the Board appointments of the affiliated group. Accordingly, the [audited] financial statements of the affiliates have not been consolidated with those of the Organization."

[Note: The $2,336,424 in grants made to the affiliates, noted above, represents approximately 25% of Mercy For Animals' total cash spending on program services in 2021.]

According to the Mercy For Animals (MFA) audit of December 31, 2021 (Note 2 re: In-Kind Contributions), MFA reports receiving in-kind contributions in 2021 on which it placed a total value of $137,670, of which $113,379 consisted of donated legal services.

[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 Mercy For Animals audit of December 31, 2021 (Note 12, Paycheck Protection Program):

"On April 6, 2020, the Organization secured a loan from a bank of approximately $875,000 through the U.S. Small Business Administration's paycheck protection program. The loan had an interest rate of 1% and was originally scheduled to mature on April 6, 2022. A portion or all of the loan may be forgiven in accordance with the provisions of the paycheck protection program."

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"On July 12, 2021, the Organization was notified that the U.S. Small Business Administration had approved their forgiveness application. The loan forgiveness is recognized under forgiveness of PPP loan in the accompanying [audited] statement of activities."

According to the Mercy For Animals audit of December 31, 2021 (Note 8, Concentrations): "During the year ended December 31, 2021, 1 donor accounted for approximately 18% of contributions and grant revenues..."

According to the Mercy For Animals audit of December 31, 2021 (Note 13, COVID-19):

"The COVID-19 pandemic developed rapidly in 2020 and its effects were far reaching. Measures taken by the United States government to contain the virus and assist impacted businesses have affected economic activity and the Organization's operations. Equity markets have experienced significant volatility and while markets typically recover, there is significant uncertainty regarding the duration and breadth of business disruptions related to COVID-19, as well as its impact on the US and international economies. While it is reasonably possible that this matter will negatively impact the Organization, the financial impact cannot be reasonably determined at this time."