MiracleFeet

CharityWatch's rating of MiracleFeet also includes the financial activities of MiracleFeet UK, which are consolidated in the MiracleFeet audited financial statements for the fiscal year ended June 30, 2021. MiracleFeet UK is a charitable organization incorporated in the United Kingdom; "MiracleFeet exercises significant influence and control over MiracleFeet UK," according to Note 1 of the MiracleFeet fiscal 2021 consolidated audit.  All intercompany transactions have been eliminated in the audit consolidation.

According to the MiracleFeet consolidated audit of June 30, 2021 (Note 7, In-Kind Contributions), MiracleFeet received in-kind contributed goods and services in fiscal 2021 on which it placed a total value of $130,416.

[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 MiracleFeet consolidated audit of June 30, 2021 (Note 5, PPP Loans):

"On April 21, 2020, MiracleFeet entered into a two-year promissory note agreement in the amount of $214,585 with a 1% fixed interest rate under the Paycheck Protection Program (PPP). Under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the promissory note may be forgiven by the Small Business Administration in whole or in part if the proceeds are used for covered expenses and certain other requirements related to wage rates and maintenance of full-time equivalents are met.

"MiracleFeet applied for forgiveness on March 24, 2021, and received forgiveness of $214,585 in principal and $1,969 in interest from the Small Business Administration on April 15, 2021. The amount of loan forgiveness is included in Government grants in the accompanying [audited] Consolidated Statement of Activities and Change in Net Assets.

"On March 30, 2021, MiracleFeet entered into a five-year promissory note agreement in the amount of $289,582 with a 1% fixed interest rate under the Paycheck Protection Program (PPP). The promissory note calls for monthly principal and interest payments amortized over the term of the promissory note, unless otherwise forgiven. Under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the promissory note may be forgiven by the Small Business Administration in whole or in part. MiracleFeet intends to apply for forgiveness after completing the 24 week period.

"If forgiveness is granted, MiracleFeet will record Government grant revenue during the period that forgiveness was approved. Management expects forgiveness to be granted prior to June 30, 2022, accordingly, the loan liability has been presented as a current liability in the accompanying [audited] Consolidated Statement of Financial Position."

According to the MiracleFeet consolidated audit of June 30, 2021 (Note 1 re: Risks and uncertainties):

"On March 11, 2020, the World Health Organization (WHO) declared the Coronavirus disease (COVID-19) a global pandemic. As a result of the spread of COVID-19, economic uncertainties have arisen. Potential negative financial or operational impacts from COVID-19 are unknown at this time."