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					Endeavor Global, Inc.
Financial Report

December 31, 2009
Contents


Independent Auditor’s Report              1

Financial Statements:

  Statements of Financial Position        2

  Statements of Activities                3

  Statements of Functional Expenses    4-5

  Statements of Cash Flows                6

  Notes to Financial Statements       7 - 14
Independent Auditor’s Report


To the Board of Directors
Endeavor Global, Inc.
New York, New York


We have audited the accompanying statements of financial position of Endeavor Global, Inc. (“Endeavor”) as of
December 31, 2009 and 2008, and the related statements of activities, functional expenses and cash flows for the years
then ended. These financial statements are the responsibility of Endeavor's management. Our responsibility is to
express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted in the United States of America.
Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the
amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall financial statement presentation. We
believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of
Endeavor as of December 31, 2009 and 2008, and the changes in its net assets and its cash flows for the years then ended
in conformity with accounting principles generally accepted in the United States of America.




New York, New York
July 6, 2010




McGladrey & Pullen, LLP is a member firm of RSM International –
an affiliation of separate and independent legal entities.        1
Endeavor Global, Inc.

Statements of Financial Position
December 31, 2009 and 2008

                                                                   2009             2008

ASSETS

Cash and Cash Equivalents                                     $    9,495,007   $    4,212,122

Investments (Note 3)                                                  3,625         4,001,239

Contributions Receivable                                             96,051          130,172

Grants Receivable (Note 12)                                        1,462,246        1,840,176

Prepaid Expenses and Other Assets                                   117,205          241,741

Property and Equipment - net (Note 4)                               257,965          317,408

          Total assets                                        $ 11,432,099     $ 10,742,858

LIABILITIES AND NET ASSETS

Liabilities:
   Accounts payable and other accrued liabilities             $     184,197    $     230,740
   Due to affiliated entities (Note 13)                             216,694                -
   Deferred rent and capital lease obligations (Note 5)              49,940           64,359

          Total liabilities                                         450,831          295,099

Net Assets:
  Unrestricted                                                     9,539,272        8,552,818
  Temporarily restricted (Note 8)                                  1,416,996        1,869,941
  Permanently restricted (Note 9)                                     25,000           25,000

          Total net assets                                        10,981,268       10,447,759

          Total liabilities and net assets                    $ 11,432,099     $ 10,742,858

See Notes to Financial Statements.




                                                          2
Endeavor Global, Inc.

Statements of Activities
Years Ended December 31, 2009 and 2008
                                                                               2009                                                             2008
                                                              Temporarily          Permanently                                 Temporarily             Permanently
                                               Unrestricted    Restricted           Restricted      Total       Unrestricted    Restricted              Restricted      Total
Support and Revenue:
  Contributions                                $ 2,776,165    $           -        $        -    $ 2,776,165    $ 3,019,334    $           -           $        -    $ 3,019,334
  Grants (Note 12)                               2,761,742          560,000                 -      3,321,742      6,744,972        2,029,021                    -      8,773,993

                                                 5,537,907          560,000                 -       6,097,907     9,764,306        2,029,021                    -      11,793,327
Less Discount for the Time Value of Money                -                -                 -               -             -           26,426                    -          26,426

Total Revenue, net of discount                   5,537,907          560,000                 -       6,097,907     9,764,306        2,002,595                    -      11,766,901
  Net realized and unrealized gain (loss)
   on investments                                      101                 -                -            101         (1,008)              -                     -         (1,008)
  Interest and other income                         61,135                 -                -         61,135        233,061              15                     -        233,076
  In-kind services and goods (Note 7)              153,148                 -                -        153,148        169,991               -                     -        169,991

                                                 5,752,291           560,000                -       6,312,291    10,166,350        2,002,610                    -      12,168,960
Net Assets Released From Restrictions            1,012,945        (1,012,945)               -               -       258,150         (258,150)                   -               -

        Total support and revenue                6,765,236         (452,945)                -       6,312,291    10,424,500        1,744,460                    -      12,168,960

Expenses:
  Programs:
     Search and Selection                          841,238                 -                -        841,238        832,789                -                    -        832,789
     eMBA Program                                  481,460                 -                -        481,460        398,620                -                    -        398,620
     Entrepreneur Services                         831,809                 -                -        831,809        613,899                -                    -        613,899
     Endeavor Net                                  321,239                 -                -        321,239        527,549                -                    -        527,549
     Affiliate Operations                          854,205                 -                -        854,205        149,150                -                    -        149,150
     Center for High Impact Entrepreneurship       198,281                 -                -        198,281        361,479                -                    -        361,479
     New Country Expansion                         661,141                 -                -        661,141        582,087                -                    -        582,087
     Philanthropic Networks                        604,796                 -                -        604,796        517,103                -                    -        517,103

        Total program expenses                   4,794,169                 -                -       4,794,169     3,982,676                -                    -       3,982,676
                                                                                                                          -                                                     -
Management and General                             345,351                 -                -        345,351        200,074                -                    -         200,074
Fund-Raising and Development                       639,262                 -                -        639,262        515,449                -                    -         515,449

        Total expenses                           5,778,782                 -                -       5,778,782     4,698,199                -                    -       4,698,199

        Change in net assets                       986,454         (452,945)                -        533,509      5,726,301        1,744,460                    -       7,470,761
Net Assets, beginning of year                    8,552,818        1,869,941            25,000      10,447,759     2,826,517         125,481                25,000       2,976,998

        Net assets, end of year                $ 9,539,272    $ 1,416,996          $   25,000    $ 10,981,268   $ 8,552,818    $ 1,869,941             $   25,000    $ 10,447,759

See Notes to Financial Statements.
                                                                                        3
Endeavor Global, Inc.


Statement of Functional Expenses
Year Ended December 31, 2009



                                                                                         Program
                                                                                                         Center for      New
                                     Search and    eMBA       Entrepreneur   Endeavor       Affiliate   High-Impact     Country       Philanthropic     Total       Management    Fund-Raising and
                                      Selection   Program       Services       Net         Operations Entrepreneurship Expansion       Networks       Programs      and General     Development         Total

Salaries and wages               $ 395,491        $ 311,741   $   316,854    $ 196,977      $ 228,739   $       126,537   $ 355,276   $   294,825     $ 2,226,440   $ 117,828     $       289,702    $ 2,633,970
Events and activities              105,346           13,627       304,356            -         38,540                 -      54,438       116,226         632,533      96,218             157,711        886,462
Grants awarded                      41,750                -             -            -        350,000                 -      50,000             -         441,750      42,000                   -        483,750
Employee benefits                   36,859           22,297        29,531       18,358         21,318            11,793      33,111        27,477         200,744      10,981              27,000        238,725
Rent, occupancy and utilities       31,601           19,116        25,317       15,739         18,277            10,111      28,387        23,557         172,105       9,415              23,148        204,668
Printing and publications           36,137           15,611        20,676       12,854         14,926             8,257      23,183        19,238         150,882       7,689              18,904        177,475
Professional fees                   19,587           11,849        24,645       22,336         30,119             6,267      17,595        16,652         149,050       5,836              17,407        172,293
Payroll taxes                       24,162           14,616        19,358       12,034         13,975             7,731      21,705        18,012         131,593       7,199              17,699        156,491
Stipends                            64,090           20,450             -            -         42,479                 -           -             -         127,019      22,500                   -        149,519
Depreciation and amortization       21,410           12,952        17,153       10,663         12,383             6,850      19,233        15,961         116,605       6,379              15,684        138,668
In-kind expenses                    11,044            6,681        30,848        5,501          6,388             3,534       9,921        23,043          96,960       3,290              22,900        123,150
Contractor fees                      7,564            4,575         6,060        3,767         50,342             2,420       6,794        15,367          96,889       2,253              15,269        114,411
Information technology              13,100            7,924        10,495        6,525          7,577             4,191      11,768         9,766          71,346       3,903               9,599         84,848
Marketing and education             10,853            6,565         8,695        5,405          6,277             3,472       9,749         8,090          59,106       3,233               7,950         70,289
Postage and shipping                 5,085            3,076         4,074        2,533          2,941             1,627       4,568         3,791          27,695       1,515               3,725         32,935
Telephone                            4,953            2,996         3,968        2,467          2,864             1,585       4,449         3,692          26,974       1,476               3,628         32,078
Other expenses                       4,021            2,433         3,222        2,003          2,326             1,287       3,612         2,998          21,902       1,198               2,942         26,042
Equipment rental and maintenance     2,941            1,779         2,356        1,465          1,701               941       2,642         2,192          16,017         876               2,154         19,047
Supplies                             2,887            1,746         2,313        1,438          1,670               924       2,593         2,152          15,723         860               2,114         18,697
Office expense                       2,357            1,426         1,888        1,174          1,363               754       2,117         1,757          12,836         702               1,726         15,264

    Total expenses                   $ 841,238    $ 481,460   $   831,809    $ 321,239      $ 854,205   $       198,281   $ 661,141   $   604,796     $ 4,794,169   $ 345,351     $       639,262    $ 5,778,782


See Notes to Financial Statements.




                                                                                                            4
Endeavor Global, Inc.


Statement of Functional Expenses
Year Ended December 31, 2008



                                                                                     Program
                                                                                                                     New
                                     Search and    eMBA       Entrepreneur   Endeavor     Affiliate    Affiliate    Country    Philanthropic      Total      Management    Fund-Raising and
                                      Selection   Program       Services       Net        Services    Operations   Expansion    Networks        Programs     and General     Development         Total

Salaries and wages               $ 269,382        $ 226,047   $   183,597    $ 161,935   $ 78,969     $ 104,313    $ 236,856   $   211,976     $ 1,473,075   $   70,709    $      207,664     $ 1,751,448
Events and activities              178,062           13,291       130,296        1,643      1,676        11,994       41,073        78,641         456,676       68,032            84,856         609,564
Grants awarded                      59,500                -       134,750            -          -       100,000       50,000             -         344,250            -                 -         344,250
Professional fees                   52,897            6,728         9,269      113,632      3,987        59,953       20,350        10,702         277,518        3,570            10,484         291,572
In-kind expenses                         -           40,190             -      111,390          -             -       40,190        32,716         224,486            -            32,715         257,201
Contractor fees                     57,076           15,867        21,861       25,932      9,403        12,421       28,203        35,130         205,893        8,419            34,804         249,116
Rent, occupancy and utilities       35,342           17,483        24,087       21,245     10,360        13,685       31,074        27,810         181,086        9,277            27,244         217,607
Printing and publications           38,848           16,559        22,815       20,123      9,813        12,962       29,433        26,341         176,894        8,787            25,805         211,486
Employee benefits                   27,788           13,746        18,939       16,704      8,146        10,760       24,433        21,866         142,382        7,294            21,422         171,098
Depreciation and amortization       18,899           10,435        14,376       12,689      6,190         8,172       18,556        16,607         105,924        5,542            16,266         127,732
Payroll taxes                       16,440            8,133        11,205        9,883      4,819         6,366       14,455        12,937          84,238        4,315            12,674         101,227
Information technology              15,489            7,662        10,556        9,311      4,540         5,998       13,618        12,188          79,362        4,066            11,940          95,368
Marketing and education             14,106            6,978         9,614        8,479      4,135         5,462       12,403        11,100          72,277        3,703            10,874          86,854
Other expenses                       8,417            3,075        10,237        3,737      1,822         2,407        5,579         4,892          40,166        1,624             4,792          46,582
Office                               6,343            3,138         4,323        3,813      1,859         2,456        5,577         4,991          32,500        1,665             4,890          39,055
Postage and shipping                 4,457            2,205         3,038        2,679      1,307         1,726        3,919         3,507          22,838        1,170             3,436          27,444
Stipends                            22,500            3,500             -            -          -             -            -             -          26,000            -                 -          26,000
Equipment rental and maintenance     3,083            1,525         2,101        1,853        904         1,194        2,710         2,426          15,796          809             2,376          18,981
Telephone                            2,529            1,251         1,724        1,521        742           979        2,224         1,990          12,960          664             1,950          15,574
Supplies                             1,631              807         1,111          980        478           631        1,434         1,283           8,355          428             1,257          10,040

    Total expenses                   $ 832,789    $ 398,620   $   613,899    $ 527,549   $ 149,150    $ 361,479    $ 582,087   $   517,103     $ 3,982,676   $ 200,074     $      515,449     $ 4,698,199


See Notes to Financial Statements.




                                                                                                       5
Endeavor Global, Inc.

Statements of Cash Flows
Years Ended December 31, 2009 and 2008

                                                                                   2009             2008

Cash Flows From Operating Activities:
  Change in net assets                                                        $    533,509     $ 7,470,761
  Adjustments to reconcile change in net assets to net cash
  provided by operating activities:
    Depreciation and amortization                                                  138,668           127,732
    Deferred rent                                                                   (6,708)            5,139
    Unrealized gain on investments                                                  (3,625)           (2,967)
    Loss on disposal of property and equipment                                           -            37,644
    Donated items                                                                  (29,998)          (84,000)
    Net (gain) on sale of donated items (auction)                                        -           (47,365)
    Increase and decrease in assets and liabilities:
      Decrease (increase) in contributions receivable                               34,121                (39)
      Decrease (increase) in grants receivable                                     377,930         (1,682,693)
      Decrease in prepaid expenses and other assets                                124,536             62,787
      (Decrease) increase in accounts payable and other accrued liabilities        (46,543)            42,817

              Net cash provided by operating activities                           1,121,890        5,929,816

Cash Flows From Investing Activities:
  Purchase of property and equipment                                                (49,227)         (227,708)
  Proceeds from sale of donated items (auction)                                           -           131,365
  Purchase of investments                                                                 -        (3,998,272)
  Proceeds from sale/maturity of investments                                      4,001,239                 -

              Net cash provided by (used in) investing activities                 3,952,012        (4,094,615)

Cash Flows Used In Financing Activities:
  Proceeds received on behalf of affiliated entities                               216,694                  -
  Payment of capital lease obligations                                              (7,711)            (4,718)

              Net cash provided by (used in) financing activities                  208,983             (4,718)

              Net increase in cash and cash equivalents                           5,282,885        1,830,483

Cash and Cash Equivalents:
  Beginning                                                                       4,212,122        2,381,639

  Ending                                                                      $ 9,495,007      $ 4,212,122

Supplemental Disclosures:
  Noncash contribution of in-kind services and goods                          $    153,148     $     169,991

  Property acquired through capital lease arrangements                        $           -    $      15,675

See Notes to Financial Statements.


                                                           6
Endeavor Global, Inc.

Notes to Financial Statements

Note 1.       Organization and Nature of Activities

Endeavor Global, Inc. (“Endeavor”) is a not-for-profit organization pioneering a new model for economic development in
emerging markets.

Endeavor believes that high-impact entrepreneurs hold the key to sustained economic growth in emerging markets. They
are the ambitious entrepreneurs who run innovative, high-growth businesses that create jobs, opportunity and wealth in
their communities. They dream of becoming the next Silicon Valley success story but, having launched in emerging
economies, face considerable barriers to growth: few role models, a lack of trust, a limited pool of quality management, an
inability to access smart capital, and insufficient contacts.

Endeavor, a non-profit, identifies these entrepreneurs and then helps them unleash their potential by providing the soft
power of the private sector: networks, mentorship, strategic advice, talent, skills, and inspiration. These tools enable High-
Impact Entrepreneurs to scale their businesses, building a vibrant, investment-friendly private sector and a robust middle
class.

Search and Selection: Working with a network of local business leaders, Endeavor indentifies and screens thousands of
entrepreneur candidates running high-growth businesses. Several times each year, an international selection panel of
experienced business people gathers to elect a new class of Endeavor Entrepreneurs - those individuals who
demonstrate fulfillment of a specific set of values and conditions that match the organization’s expectations and goals.

eMBA Program: Endeavor recruits MBA students from top U.S. and international business schools to spend 10-12 weeks
on-site with Endeavor Entrepreneurs. eMBAs address critical issues and produce concrete deliverables, including honed
business plans, strategic analyses of growth options, fund-raising plans, etc. Endeavor’s educational programs also
include participation of Endeavor Entrepreneurs in Global e-Lab programs.

Entrepreneur Services: Once selected, Endeavor provides high-impact entrepreneurs customized services to meet their
specific challenges. Endeavor’s services include connecting Endeavor Entrepreneurs with local and global mentors,
managerial talent from blue-chip companies and top business schools, access to difficult-to-penetrate networks and
several new targeted services for companies seeking venture capital/private equity and/or companies in later growth
stages. At the same time, Endeavor has built a peer network of entrepreneurs who provide a strong, supportive
community to face any challenge. At the end of 2009, Endeavor supported 476 entrepreneurs from 11 countries.

Endeavor Net: Endeavor codifies and transfers the information, best practices, and lessons learned that it has gathered
through its proprietary Intranet and, where appropriate, through its Website, www.endeavor.org. Endeavor is in the
process of developing a social networking site that will connect entrepreneurs, board members, staff, volunteers and
network members around the world.

Affiliate Operations: Endeavor supports both new and existing offices through several departments, including Affiliate
Operations. Staff in this department provides infrastructure, best practices and Information Technology training to new
offices and high-level consulting services to established offices that have reached key inflection points.

Center for High-Impact Entrepreneurship: Launched in 2009, the Endeavor Center for High-Impact Entrepreneurship
("C-HIE") is Endeavor’s think tank and research arm. By analyzing a unique set of data, C-HIE seeks to establish
Endeavor as the global source of thought leadership for entrepreneurship in emerging countries and to improve the
selection of and services provided to entrepreneurs at a local and global level.




                                                              7
Endeavor Global, Inc.

Notes to Financial Statements

Note 1.       Organization and Nature of Activities (Continued)

New Country Expansion: Endeavor believes that building strong local offices is the best way to ensure scalable and long-
term success. This model places co-ownership of the Endeavor brand and lead responsibility for program execution on
the local or affiliate office. Moreover, a local presence enables the organization to raise funds from local country
benefactors and local sources to sustain local operations. Until the point at which an affiliate office is legalized as a
separate, independent entity and has established board of directors, Endeavor Global incurs all start-up and development
costs. In 2009, Endeavor explored launching new operations in Peru, the Philippines, Kenya and Vietnam.

Philanthropic Networks: Endeavor provides opportunities for both staff members and key Endeavor Entrepreneurs to
discuss with world-class philanthropists and socially responsible corporate leaders ways to give back to the community on
a personal and professional level. Endeavor encourages all of its donors not just to contribute financially, but also to
donate their time to mentoring entrepreneurs and to pushing forward the cause of economic development in emerging
markets. Each November, Endeavor hosts a Gala Event to highlight the social and philanthropic contributions of its
entrepreneurs and network members. Endeavor Entrepreneurs are also spearheading the launch of affiliate-office
endowments and/or local-country entrepreneur give-back programs to help build self-sustaining Endeavor operations for
future generations of entrepreneurs.

Note 2.      Summary of Significant Accounting Policies

The Financial Accounting Standards Board (the “FASB”) Accounting Standards Codification (the "Codification") became
effective July 1, 2009, at which point all then-existing non-SEC accounting and reporting standards have been
superseded. As a result of the adoption of the Codification, Endeavor changed the way it references accounting principles
generally accepted in the United States of America throughout the notes to the financial statements. This standard did not
have an impact on the financial statements.

Basis of Accounting: The financial statements of Endeavor have been prepared on the accrual basis of accounting in
conformity with accounting principles generally accepted in the United States of America for not-for-profit organizations,
which also requires Endeavor to report information regarding its financial position and activities according to three classes
of net assets: unrestricted, temporarily restricted and permanently restricted.

Grants and contributions received are recorded as unrestricted, temporarily restricted, or permanently restricted support,
depending on the existence or absence of donor restrictions.

All donor-restricted support is reported as an increase in temporarily or permanently restricted net assets, depending on
the nature of the restriction. When a restriction expires (that is, when a stipulated time restriction ends or purpose
restriction is accomplished), temporarily restricted net assets are reclassified to unrestricted net assets and reported in
the statement of activities as net assets released from restrictions.

Donor-imposed restrictions that are met in the current period are classified as unrestricted grants and contributions in the
statement of activities.

Accounting Estimates: The preparation of financial statements in conformity with accounting principles generally accepted
in the United States of America requires management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements
and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those
estimates.




                                                             8
Endeavor Global, Inc.

Notes to Financial Statements

Note 2.       Summary of Significant Accounting Policies (Continued)

Cash and Cash Equivalents: Endeavor considers all highly liquid financial instruments purchased with maturity of three
months or less to be cash equivalents. Cash equivalents are recorded at cost, which approximates fair value.

Property and Equipment: Property and equipment are stated at cost at date of acquisition or fair market value at date of
donation. Betterments, improvements and major repairs are capitalized. Maintenance and minor repairs of property are
expensed as incurred.

Depreciation and amortization are recognized on a straight-line basis over the estimated useful lives of the respective
assets:

                                                                  Useful Lives
                                                                    (Years)

Leasehold improvements                                                3-7
Furniture and fixtures                                                 7
Computer equipment                                                     3
Other equipment                                                        5
Software                                                               3

Prepaid Expenses and Other Assets: Prepaid expenses and other assets are comprised of security and other deposits,
insurance premiums, prepaid IT services, amounts due from (to) Endeavor affiliates and other prepaid expenses.

Contributions: Contributions, including unconditional promises to give, are recognized as revenues in the period received.
Conditional promises to give are not recognized until they become unconditional, at the time when the conditions on
which they depend are substantially met. Contributions of assets other than cash are recorded at their estimated fair
value.

Contributions received with donor-imposed restrictions that are met in the same year as received are reported as
unrestricted revenues.

Gifts of Long-Lived Assets: It is Endeavor’s policy to report as unrestricted gifts any long-lived assets donated without
restrictions stipulated by the donor.

Functional Allocation of Expenses: The costs of providing the various programs and other activities have been
summarized on a functional basis in the statement of activities. Accordingly, certain costs have been allocated among the
programs and supporting services benefited.

Income Taxes: On January 1, 2009, Endeavor adopted the accounting standard on accounting for uncertainty in income
taxes ("ASC 740," formerly "FASB Interpretation No. 48"), which addresses the determination of whether tax benefits
claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under this guidance,
Endeavor may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position
will be sustained on examination by taxing authorities, based on the technical merits of the position. The tax benefits
recognized in the financial statements from such a position are measured based on the largest benefit that has a greater
than 50% likelihood of being realized upon ultimate settlement. The guidance on accounting for uncertainty in income
taxes also addresses derecognition, classification, interest and penalties on income taxes, and accounting in interim
periods.

                                                              9
Endeavor Global, Inc.

Notes to Financial Statements

Note 2.       Summary of Significant Accounting Policies (Continued)

Management evaluated Endeavor’s tax positions for all open tax years and has concluded that Endeavor had taken no
uncertain tax positions that require adjustment to the financial statements to comply with the provisions of this guidance.
With few exceptions, Endeavor is no longer subject to income tax examinations by U.S. federal, state or local tax
authorities for years before 2006, which is the standard statute of limitations look-back period.

Subsequent Events: Endeavor evaluated subsequent events occurring after the date of the financial statements to
consider whether or not the impact of such events needs to be reflected or disclosed in the financial statements. Such
evaluation was performed through July 6, 2010 the date the financial statements were available to be issued.

Note 3.       Investments

Endeavor reports its investments under ASC 820 (formerly "SFAS No. 157"), Fair Value Measurements. ASC 820 defines
fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurement.
ASC 820 also emphasizes that fair value is a market-based measurement, not an entity-specific measurement, and sets
out a fair value hierarchy with the highest priority being quoted prices in active markets. Under ASC 820, fair value
measurements are disclosed by level within that hierarchy.

Endeavor determines the fair values of its investments based on the fair value hierarchy established in ASC 820, which
requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring
fair value. The standard describes three levels of inputs that may be used to measure fair value, which are as follows:

          Level 1: Quoted prices in active markets for identical assets or liabilities. Level 1 investments are traded in an
                   active exchange market.

          Level 2:   Observable inputs other than Level 1 prices, such as quoted prices for similar assets, quoted prices in
                     markets that are not active, or other inputs that are observable or can be corroborated by observable
                     market data for substantially the full term of the assets. Level 2 assets include investments that are
                     not actively traded, whose value is determined by management based on the values of the underlying
                     assets of Endeavor.

          Level 3:   Unobservable inputs that are supported by little or no market activity and that are significant to the fair
                     value of the assets. Level 3 assets include investments whose value is determined using pricing
                     models, discounted cash flow methodologies or similar techniques, as well as instruments for which
                     the determination of fair value requires significant management judgment or estimation.




                                                              10
Endeavor Global, Inc.

Notes to Financial Statements

Note 3.       Investments (Continued)

The following table summarizes investments measured at fair value on a recurring basis as of December 31, 2009 and
2008, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value:

                                                                         Fair Value Measurements Using
                                                          Quoted Prices in           Significant        Significant
                                                          Active Markets for      Other Observable     Unobservable
                                                           Identical Assets            Inputs             Inputs
            Description                   Total                (Level 1)              (Level 2)          (Level 3)

Corporate Equities (2009)            $        3,625       $          3,625       $               -     $            -

U.S. Treasury Bills (2008)           $    4,001,239       $               -      $      4,001,239      $            -

Note 4.       Property and Equipment

As of December 31, 2009 and 2008, property and equipment consists of the following:

                                                              2009               2008

Software                                                  $   512,926         $ 481,424
Leasehold improvements                                        154,160           143,819
Furniture and fixtures                                        113,556           108,997
Computer equipment                                             97,656            94,831
Other equipment                                                91,325            61,327

                                                               969,623          890,398
Less accumulated depreciation and amortization                (711,658)        (572,990)

    Total                                                 $   257,965         $ 317,408

Note 5.       Commitments

On August 1, 2004, Endeavor entered into a 10-year operating lease for office space scheduled to end July 31, 2014. In
January 2008, Endeavor and the landlord mutually agreed to terminate this lease at no cost to Endeavor. On
January 31, 2008, Endeavor entered into a 4-year operating lease for new office space, ending February 28, 2012. In
addition to base rent, this lease includes monthly electric charges of approximately $1,300.




                                                         11
Endeavor Global, Inc.

Notes to Financial Statements

Note 5.      Commitments (Continued)

Future minimum rental payments required under this operating lease as of December 31, 2009 are as follows:

Year ending December 31,

          2010                                                  $ 218,000
          2011                                                    225,000
          2012                                                     38,000

                                                                $ 481,000

Included in deferred rent and capital lease obligations in the statement of financial position is deferred rent payable of
$30,810 and $37,518, which represents the difference between the cumulative amounts recorded for rent expense on a
straight-line basis over the term of the lease, as compared to the cumulative required amounts paid under the lease as of
December 31, 2009 and 2008, respectively. Rent expense for the office space for the years ended December 31, 2009
and 2008 was approximately $205,000 and $218,000, respectively.

In addition, Endeavor has two capital lease obligations for office equipment with lease terms of 60 and 63 months. These
leases commenced in August 2007 and December 2008, respectively. At December 31, 2009, future lease payments
aggregated approximately $23,000 and are payable through November 2013.

Note 6.      Concentration of Credit Risk

Endeavor maintains its cash and cash equivalents in a number of bank accounts. The cash in these accounts from time
to time exceeds the Federal Deposit Insurance Corporation coverage and subjects Endeavor to concentration risk.
However, Endeavor monitors this risk on a regular basis.

Note 7.      In-Kind Services and Goods

In-kind services are recognized as revenues and expenses on the statement of activities at the estimated fair value at the
date the services were donated. In-kind goods are recognized as revenue in the statements of activities at their
estimated fair value at the date the goods were donated and are expensed over the estimated useful lives. Endeavor
received the following in-kind services and goods in 2009 and 2008:

                                                                    2009                2008

Legal services for country expansion program                    $     71,531        $    80,380
Property and equipment                                                29,998                  -
Entertainment for gala                                                29,619             65,431
Office space                                                          22,000                  -
Technology support for global programs                                     -             87,210
Public relations support                                                   -             24,180

                                                                $   153,148         $   257,201




                                                           12
Endeavor Global, Inc.

Notes to Financial Statements

Note 8.      Temporarily Restricted Net Assets

Temporarily restricted net assets are available for the following purposes as of December 31:

                                                                    2009                2008

Latin America                                                   $   681,997         $   889,771
Time restricted                                                     555,249             650,420
Search and Selection Program                                        150,000             300,000
South Africa, Egypt, Turkey                                          29,750              29,750

                                                                $ 1,416,996         $ 1,869,941

Net assets released from restrictions during the years ended December 31, 2009 and 2008 were released from restriction
by incurring expenses satisfying the restricted purposes or by the occurrence of other events, as follows:

                                                                    2009                2008

Time restricted                                                 $   320,171         $    48,650
Latin America                                                       207,774                   -
South Africa, Egypt, Turkey                                         200,000              59,500
Search and Selection Program                                        150,000             150,000
Fund-raising, marketing, and research                                75,000                   -
Fellowships                                                          60,000                   -

                                                                $ 1,012,945         $   258,150

Note 9.      Permanently Restricted Net Assets

Permanently restricted net assets represent contributions received in prior years for the establishment of an endowment
for Endeavor’s Global Initiative Fund.

Note 10.     Line of Credit

Endeavor maintains a $250,000 business line of credit (the “Line”) with its lender. Borrowings under these arrangements
are for general operating needs of Endeavor. Interest charge on the unpaid principle balance on the Line is at prime plus
.25%, with monthly repayments equal to the greater of $250, or the aggregate sum of accrued interest plus 1/60th of the
unpaid principle balance immediately following the Final Availability Date until the outstanding balance is paid in full.
There is no maturity date for the Line, and the Line remains open until terminated by either Endeavor or the lender. There
was no outstanding balance on the Line at December 31, 2009 and 2008.




                                                           13
Endeavor Global, Inc.

Notes to Financial Statements

Note 11.     Retirement Plan

Endeavor maintains a SIMPLE IRA Plan (the “Plan”). All contributions made to the Plan are fully vested when made.
Individuals become eligible to enroll on the first of any month that follows their date of hire, provided they have then
attained age 21. Endeavor makes matching contributions equal to salary reductions elected by the participant, up to
$10,500 or 3% of the participant’s annual salary, whichever is lower. Endeavor paid matching contributions totaling
$45,304 and $36,107 during 2009 and 2008, respectively.

Note 12.     Major Contributors

During fiscal 2009, Endeavor received a contribution from one donor totaling approximately $2,499,000, which represents
40% of total support and revenue. The majority of this contribution is attributable to the conditional award received in
2008 that is noted below.

During fiscal 2008, Endeavor received grant commitments from four donors totaling approximately $8,313,000, which
represented 68% of total support and revenue. Included in grants receivable on the statement of financial position are
grants receivable attributable to these four donors for approximately $1,763,000 as of December 31, 2008. As of
December 31, 2009, the remaining aggregate balance for these four donors was approximately $1,132,000.

During fiscal 2008, one of the above mentioned donors contributed $6,000,000 to Endeavor, with an additional conditional
award of $4,000,000, which has not been reflected in the accompanying statement of activities. This grant contains a 1:1
match requirement. The matching funds requirement is determined by Endeavor’s total revenue and support excluding
the donor’s award in excess of revenue thresholds stipulated in the grant agreement. Matching amounts will be paid in
subsequent fiscal periods each year upon receipt of audited financial statements, and the matching amount will be
calculated based upon the audited revenue for the previous year. The grant was made to support Endeavor’s accelerated
expansion plans.

Note 13.     Related Party Transactions

Endeavor received contributions of approximately $509,000 and $530,000 from its board members during 2009 and 2008,
respectively.

During fiscal 2009, Endeavor received contributions of approximately $217,000 from donors on behalf of its affiliated
entities.




                                                          14

				
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