2013-08-14T17:31:52-07:00 2012-12-31 990 2012-01-01 133836581 SHARED INTEREST INC SHAR 2123378547 121 West 27th Street Suite 805 New York NY 100016207 Donna Katzin 6464420182 2013-08-14 2012 2016-02-25 16:41:14Z Donna Katzin 121 West 27th Street Suite 805 New York NY 10001 2296468 0 X www.sharedinterest.org X 1995 DE To promote the equitable development of post-Apartheid South Africa and neighboring countries by guaranteeing bank loans to low-income borrowers so that they may support their families, build or expand their dwellings or start businesses which in turn generate employment for others in their communities. 25 24 5 9 0 0 1405844 1535141 246943 248092 33236 57679 0 0 1686023 1840912 176667 230000 0 0 378057 513584 45000 42500 200685 646387 553101 1246111 1339185 439912 501727 14134000 17330985 12232116 14790856 1901884 2540129 The Organization seeks to promote social reconstruction in South Africa and neighboring countries by facilitating access to credit for low-income borrowers through the provision of loan guarantees to mainstream banks and other financial institutions. As these lenders have historically been reluctant to extend credit to a sector of the population they consider un-bankable, the majority of Southern African citizens, absent the guarantees, would continue to be economically marginalized. 0 0 1082898 230000 248092 During the 2012 tax year, the organization had outstanding as many as 6 agreements guaranteeing commercial loans to emerging small businesses and microfinance intermediary organizations in South Africa and neighboring Swaziland. Five of this number supported enterprises in South Africa, our principal focus of activity. The aggregate exposure involved in the guarantees totaled approximately $1,928,000 in the year, a year in which local lending institutions continued to exhibit a great reluctance to make credit available to people of color, the vast majority of the region's citizens, while maintaining (with some justification) the profit margins of such lending are too thin relative to the perceived risk. Nonetheless, the credit facilities arranged by Shared Interest in the US, because they were limited to no more than 75% of the exposure, did unlock total lending of sums in excess of the stated amount by virtue of the risk-sharing agreed in the contracts between local institutions and the Organization working through its local partner, the Thembani International Guarantee Fund. Additionally, the guarantee program, implemented by means of the proven trans-border mechanism of standby bank letters of credit, continued to give confidence to institutions in South Africa other than traditional banks, such as quasi-governmental funding agencies and union pension funds, to put capital at risk in the sphere of small business finance and lending to economically-disenfranchised individuals. Collateralizing the letters of credit, were the US-based investments of the Organization, derived from loans and donations by American individuals and institutions whose willingness to risk capital for a charitable purpose has worked significantly to mitigate the economic marginalization of a class people once dismissed as utterly unbankable. Cumulatively, since the inception of Shared Interest, more than 2,000,000 low-income persons have benefited from the Organization's guarantees. 0 0 0 1082898 1 1 0 0 0 0 0 0 0 0 1 0 1 0 1 0 1 0 0 0 1 1 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 1 113 0 1 5 1 0 0 0 0 0 1 1 0 0 0 1 1 0 X 25 24 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 NY PA X X Donna Katzin 2123378547 121 West 27th Street Suite 805 New York NY 100016207 Linnie McLean 2 0 X X 0 0 0 Ann Burroughs 1.5 0 X X 0 0 0 Jehiel Oliver 2 0 X X 0 0 0 Darchelle Garner 1 0.5 X X 0 0 0 Adrienne Bailey 1 0 X 0 0 0 Edward J Bergman 0.5 0 X 0 0 0 Lauretta Bruno 1 0 X 0 0 0 Iva E Carruthers 0.5 0 X 0 0 0 Jennifer Davis 1.00 0.5 X 0 0 0 Mark Halvorson 0.5 0 X 0 0 0 Marc Herson 0.5 0 X 0 0 0 Sarah Leshner 1 0 X 0 0 0 Harold T Lewis 1 0 X 0 0 0 Ricardo Millett 1 0 X 0 0 0 Mangedwa Nyathi 0.5 0 X 0 0 0 Matthew Patsky 1.00 0 X 0 0 0 Susan Plimpton 1 0 X 0 0 0 Joshua Posner 0.5 0 X 0 0 0 Ron Shiffman 1 0 X 0 0 0 Sheila Sisulu 0.5 0 X 0 0 0 Timothy Smith 2.00 0 X 0 0 0 Richard Tolliver 0.5 0 X 0 0 0 David Wildman 0.5 0 X 0 0 0 Joshua Woodward 0.5 0 X 0 0 0 Evans Maphenduka 50 1.00 X X 0 110000 0 Donna Katzin 53.00 2 X 100000 0 22495 100000 110000 22495 0 0 0 0 0 16 0 210519 0 0 1324606 62640 1535141 Interest on Program Related Investments 523000 241912 241912 0 0 Book Sales 511130 6180 6180 0 0 0 0 0 0 248092 55828 0 0 55828 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 252701 93819 245251 99418 7450 -5599 1851 0 0 1851 110887 210519 110887 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1840912 248092 0 57679 230000 230000 0 0 122496 110246 6125 6125 0 0 0 0 311757 230496 23568 57693 0 0 0 0 46181 34144 3491 8546 33150 24509 2506 6135 0 0 0 0 371 0 371 0 12000 6000 6000 0 0 0 0 0 42500 42500 0 0 0 0 31967 27302 1425 3240 48016 16786 0 31230 19884 11704 4958 3222 7898 5839 597 1462 0 0 0 0 59080 43681 4466 10933 14683 12394 0 2289 0 0 0 0 17307 17307 0 0 241912 241912 0 0 0 0 0 0 6150 4547 465 1138 1826 1350 138 338 Printing & Publications 38028 21706 0 16322 Telephone & Postage 22537 14561 1489 6487 Bank Facility Fees 20000 20000 0 0 Membership & Registration Fees 10487 8390 0 2097 955 24 3 928 1339185 1082898 55602 200685 X 0 0 0 0 0 0 625988 1877549 618340 683956 0 0 0 0 0 0 0 0 0 0 32303 54009 60470 43040 13013 17430 855856 830103 0 0 11761002 13554666 227498 313272 14134000 17330985 158388 302119 0 0 0 0 0 0 0 0 0 0 0 0 12015627 14431018 58101 57719 12232116 14790856 X 1452592 1972207 449292 567922 0 0 1901884 2540129 14134000 17330985 501727 136518 0 0 0 0 X 0 1 X 1 0 X 1079521 884957 1222318 1405844 1535141 6127781 0 0 0 0 0 0 0 0 0 0 0 0 1079521 884957 1222318 1405844 1535141 6127781 675031 5452750 95918 40364 43315 36740 55828 272165 0 0 0 0 0 0 0 0 0 0 0 6399946 1300987 0.85200 0.85558 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 7000 6183 817 0 53470 36857 16613 0 0 0 0 17430 Securities held as collateral 13554666 F 13554666 0 Accrued Interest Payable 57719 57719 1855306 136518 202494 0 0 339012 1516294 241912 82706 324618 1840912 1217061 202494 0 0 0 202494 1014567 241912 82706 324618 1339185 SchD_P11_S00_L04b Schedule D, Part XI, Line 4b All event expense, not just the direct benefit to contributors, is netted on the audited financial statements against the associated revenue. SchD_P12_S00_L04b Schedule D, Part XII, Line 4b All event expense, not just the direct benefit provided to contributors, is netted on the audited financial statements against the associated revenue. 1 Sub-Saharan Africa 0 0 Grantmaking 230000 Sub-Saharan Africa 0 0 Program Services Educational field visits to guarantee beneficiaries 46461 Sub-Saharan Africa 0 0 Conducting Board Meetings 8524 0 0 284985 Sub-Saharan Africa General support 230000 wire transfer 0 1 0 0 0 0 0 0 0 SchF_P01_S00_L02 Schedule F, Part I, Line 2 The Organization requires quarterly and annual financial statements and periodic narrative reports of program accomplishments from grantees. Additionally, the Executive Director makes field visits at least once annually, but more often twice a year. If an independent audit was conducted of any grantee, a copy is required to be furnished to us. In the case of the Thembani International Guarantee Fund, a related entity organized under South African law as an "association not for gain," the Organization has seats on its Board of Directors and these US members attend the annual meeting in their capacities as Directors. Other contact is regular and sustained and conducted by mail, telephone and email, most notably by members of the Credit Committee of the filing organization's Board of Directors, the members of which regularly carry out due diligence in terms of beneficiaries proposed for loan guarantees and exercise their power to approve or disapprove support for credit applications of emerging businesses and microfinance intermediaries lodged with mainstream lending institutions in the Southern African region. X X X X X X 1 Compass Events LLC 444 Brickell Avenue Suite 51-347 Miami FL 33131 Management of fundraising event and solicitation of prospective donor attendees. 1 273135 42500 230635 273135 42500 230635 NY PA Dinner 273135 208709 64426 0 0 0 58926 5500 0 Field Trip 48271 1810 46461 0 0 0 0 0 46461 0 321406 210519 110887 0 0 0 58926 5500 46461 110887 0 SchG_P01_S00_L02b Schedule G, Part I, Line 2b Relative to custody of funds, the fundraising firm had custody of some of the funds, but not control over use thereof. For purposes of tracking pledge fulfillment only, the firm received some of the dinner-related payments in the form of check at the firm's address. All checks, however, were made payable to Shared Interest and forwarded to the Organization by overnight courier at least weekly. At no time, did the fundraiser have authority to make deposits or otherwise cash the funds. SchG_P01_S00_L02bv Schedule G, Part I, Line 2b(v) The Organization paid all fees of the fundraiser directly from its own bank account. There was never any offset or retention of monies the fundraiser received in fulfillment of pledges. In addition to the professional fee reported here, the Organization reimbursed the fundraiser in the amount of $292.43 for certain categories of expenses pre-agreed in the contract. Expenses stipulated were telephone, overnight courier, and in-house printing and transportation costs. X 3 62640 FMV (mean) 0 0 1 0 SchM_P01_S00_L09 Schedule M, Part I, Line 9 Organization received gifts in 2012 from three individuals in the form of publicly-traded equity securities. The total amount disclosed was determined by reference to the mean value of the securities as reported by the exchanges on which they traded on the day the securities were received in the organization's accounts. F990_P06_S0B_L11b Form 990, Part VI, Section B, Line 11b Once a tentative Form 990 is prepared the Organization forwards an electronic copy to each of the 9 members of the Executive Committee of the Board of Directors. Accompanying the draft form is a narrative which includes highlights of any changes in the Form from the prior year version (What's New). Convening by conference call, the Executive Committee reviews the draft paying particular attention to governance issues and financial issues to the extent they have bearing on the preservation of the Organization's tax exempt status. Once the Committee is satisfied their input is reflected in the draft Form, a copy of the 990, and all of its schedules, is forwarded to each member of the full Board with instructions that, should they have comments, they need respond as soon as possible so that the final document is filed timely. F990_P06_S0B_L12c Form 990, Part VI, Section B, Line 12c Every year, before its November annual meeting, Shared Interest distributes a conflict of interest form to each member of the Board and requires that each Board member complete and return it prior to the conclusion of the meeting. The form seeks disclosure of any conflict of interest in the context of IRS guidance to the form 990 and its Glossary defining key terms. F990_P06_S0B_L15 Form 990, Part VI, Section B, Line 15 Shared Interest's Board members, with the exception of one who is also CEO of a related organization, serve voluntarily and receive no compensation save for reasonable reimbursement of expenses related to their work as Board members. Every two years, the Board's Personnel Committee reviews existing salary ranges for ALL of Shared Interest's employees and sets those ranges anew based on comparability studies and data from like organizations in the New York City area. After determining the ranges, the Committee makes recommendations for adoption by the full Board and sees to it that salaries of all hires fall within policy parameters. Should a Board member apply for compensation that could possibly be interpreted as presenting a conflict of interest, the Board refers to its written policy document and proceeds to address the issue in the manner prescribed. After disclosure of the financial interest and all material facts, and after any discussion with the interested party, s/he must leave the Board of Directors or Committee meeting while the determination of a conflict of interest is discussed and voted upon. Only disinterested members may vote on a conflict of interest issue. In the event the transaction or arrangement is deemed actually to present a conflict between the interest of one of its members and those of the Organization, the Chairperson of the Board or Committee shall, if appropriate, appoint a disinterested person or committee to investigate alternatives to the proposed transaction or arrangement. After exercising reasonable due diligence in this regard, the Board of Directors or any committee shall determine whether the Organization can obtain with reasonable efforts a more advantageous transaction or arrangement from a person or entity that would not give rise to a conflict. If a more advantageous transaction or arrangement is not reasonably possible under circumstances not producing a conflict of interest, the Board or any committee shall determine by majority vote of disinterested directors whether the transaction or arrangement is in the Organization's best interest, for its own benefit, and whether it is fair and reasonable and at arm's length. In conformity with the aforesaid determination, it shall make its decision as to whether to enter into the transaction or arrangement. F990_P06_S0C_L19 Form 990, Part VI, Section C, Line 19 All of Shared Interest's governing documents, the conflict of interest policy and financial documents are available to the public at no charge for photocopying or printing. While we have not yet had anyone ask to inspect our documents in the office, we would be pleased to make these available on our premises at a mutually convenient time. We have had inquiries about our Form 990. For those who find it more convenient, Shared Interest refers them to Guidestar or the website of NYS Attorney General, which also provides links to other websites where the Form 990 is available. Finally, now that we have the completed 990 in PDF format, we are happy to send it to anyone requesting an electronic copy. Shared Interest also makes its annual report, which contains its most recent audited financials, available on its own website (and also mails and emails copies to all supporters for whom it has either street or electronic addresses). Thembani International Guarantee Fund Burnett Street Hatfield Plaza Pretoria Gauteng SF Loan Guarantee evaluation SF 501(c)(3) Shared Interest Inc 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0