THE GIVE HOPE FOUNDATION Financial Statements December 31, 2014
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1 Financial Statements December 31, 2014
2 TABLE OF CONTENTS DECEMBER 31, 2014 INDEPENDENT AUDITORSʹ REPORT 1 FINANCIAL STATEMENTS Statement of Financial Position 3 Statement of Activities 4 Statement of Functional Expenses 5 Statement of Cash Flows 6 Notes to Financial Statements 7
3 INDEPENDENT AUDITORS REPORT To the Board of Directors of The Give Hope Foundation We have audited the accompanying financial statements of The Give Hope Foundation (a nonprofit organization), which comprise the statement of financial position as of December 31, 2014, and the related statements of activities, functional expenses, and cash flows for the year then ended, and the related notes to the financial statements. Management s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditors Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit 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 involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. 110 Country Estates Circle Suite 2 Reno NV Ph: Fax schettlermacy.com
4 We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of The Give Hope Foundation as of December 31, 2014, and the changes in its net assets and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America. Reno, Nevada March 19, 2015
5 STATEMENT OF FINANCIAL POSITION DECEMBER 31, 2014 ASSETS CURRENT ASSETS Cash and cash equivalents $ 90,784 Total assets $ 90,784 NET ASSETS NET ASSETS Unrestricted $ 90,784 Total net assets $ 90,784 See accompanying notes. 3
6 STATEMENT OF ACTIVITIES YEAR ENDED DECEMBER 31, 2014 SUPPORT AND REVENUE Contributions $ 11,715 Fundraising events, net 47,866 In kind contributions 18,600 Investment return 4 EXPENSES Program services 78,185 Program and production 54,801 Supporting services General and administrative 3,883 58,683 CHANGE IN UNRESTRICTED NET ASSETS 19,502 UNRESTRICTED NET ASSETS, BEGINNING OF YEAR 71,282 UNRESTRICTED NET ASSETS, END OF YEAR $ 90,784 See accompanying notes. 4
7 STATEMENT OF FUNCTIONAL EXPENSES YEAR ENDED DECEMBER 31, 2014 Program Management Total Services and General Expenses Bank fees $ $ 1,301 $ 1,301 Donations 50,984 50,984 Office expense 1,376 1,376 Marketing and development ,688 Postage and shipping Professional services 1,388 1,388 2,775 Supplies $ 54,801 $ 3,883 $ 58,683 See accompanying notes. 5
8 STATEMENT OF CASH FLOWS YEAR ENDED DECEMBER 31, 2014 CASH FLOWS FROM OPERATING ACTIVITIES Increase (decrease) in net assets $ 19,502 Net cash provided by operating activities 19,502 NET CHANGE IN CASH 19,502 CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR 71,282 CASH AND CASH EQUIVALENTS, END OF YEAR $ 90,784 See accompanying notes. 6
9 NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2014 NOTE 1 NATURE OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES Nature of Operations The Give Hope Foundation (the Organization) was established on March 4, 2005 under the laws of the State of Nevada. The Organization s major operation is to provide financial assistance to families that have children with catastrophic illnesses. The Organization qualifies as a tax exempt Not For Profit Organization under Section 501(c)(3) of the Internal Revenue Code for Nonprofit Charitable and Educational Organizations. The Organization s support comes primarily from individual contributions and fundraising events. Financial Statement Presentation In accordance with Financial Accounting Standards Board (FASB) ASC , the Organization is required to report information regarding its financial position and activities according to three classes of net assets: unrestricted net assets, temporarily restricted net assets, and permanently restricted net assets, based upon the existence or absence of donorimposed restrictions. Basis of Accounting The financial statements are presented using the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America. Cash and Cash Equivalents The Organization considers all highly liquid investments with a maturity of three months or less to be cash equivalents. Concentration of Credit Risk The Organization maintains cash and money market balances in financial institutions which may, at times, exceed federally insured limits. The Organization has not experienced any losses in these accounts and does not believe it is exposed to any significant custodial credit risk related to these accounts. As of December 31, 2014, there were no balances in excess of federally insured limits. 7
10 NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2014 Contributions Contributions of cash and other assets are reported as restricted support if they are received with donor stipulations that limit the use of the donated assets. When a donor 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. Contributions received with donor imposed restrictions that are met in the same year in which the contributions are received are classified as unrestricted contributions. Contributed Services, Materials and Facilities Contributions of noncash (in kind) assets are recorded at their fair values in the period received. Contributions of donated services that create or enhance nonfinancial assets or that require specialized skills, are provided by individuals possessing those skills, and would typically need to be purchased if not provided by donation, are recorded at their fair values in the period received. For the year ended December 31, 2014, the total fair value for services, materials and facilities contributed to the Organization was $18,600. Functional 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. Fundraising revenues include activities performed by the Organization to generate funds and or resources to support its programs and operations. Management has elected to net fundraising costs against revenues from fundraising activities. For the year ended December 31, 2014, fundraising expenses were $44,330. Estimates The preparation of the financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. 8
11 NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2014 Income Taxes The Organization is a non profit organization exempt from Federal income tax under Section 501(c)(3) of the Internal Revenue Code and is classified by the Internal Revenue Service as other than a private foundation. Accordingly, no provision for income taxes is included in the accompanying financial statements. For federal income tax purposes, the Organization s tax returns essentially remain open for possible examination for a period of three years after the respective filing deadlines of those returns. Management s Review Subsequent events have been evaluated through March 19, 2015, which is the date the financial statements were available to be issued. 9
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