GuideStar Impact Call

Y e a r E n d R e s u l t s R e p o r t i n g

A look at 2014 and preview of 2015

Live Tweeting: #GSImpactCall

AGENDA

Theory of change

Programmatic results

Financial results

Lessons learned

2015 goals

Q&A

Jacob C. Harold

James Lum

#GSImpactCall

Mizmun Kusairi

Please suggest questions throughout the

conversation.

We’ll answer as many as we can.

Next Impact Call:

Monday, May 11, 2 pm ET

http://npo.gs/impactcall6

AGENDA

Theory of change

Programmatic results

Financial results

Lessons learned

2015 goals

Q&A

#GSImpactCall

DATA

DISTRIBUTION

DATA

COLLECTIONDATA INNOVATION

GuideStar’s Theory of Change

QuantityMORE GIVING

QualitySMARTER GIVING

EfficiencyLESS WASTE

EffectivenessHIGH

PERFORMANCE

IMPACT

Donors Nonprofits

Trust in

nonprofit

sector

Donor

decisions

influenced by

data

Supportive

policy

environment

Simplified

fundraising

systems

Greater

collaboration

Fast learning

among

nonprofits

Broad and deep

information on nonprofitsNew mechanisms for

feedback and learning

Interconnected data

systems

1 2 3

Data Collection

#GSImpactCall

1B R O A D A N D D E E P I N F O R M AT I O N O N N O N P R O F I T S

s

Data DistributionI N T E R C O N N E C T E D D ATA S Y S T E M S

2

Data InnovationN E W M E C H A N I S M S F O R F E E D B A C K A N D L E A R N I N G

3

Strengthened GuideStar

AGENDA

Theory of change

Programmatic results

Financial results

Lessons learned

2015 goals

Q&A

#GSImpactCall

1. No longer including "in progress" forms in this measure.

HISTORIC HISTORIC CURRENT GROWTH GROWTH

Description Q4 2013A Q3 2014A Q4 2014A QoQ YoY

GuideStar Exchange

Participants1 36,110 39,771 41,053 3.2% 13.7%

Gold 2,047 4,403 5,122 16.3% 150.2%

Silver 22,319 22,287 22,103 -0.8% -1.0%

Bronze 11,744 13,081 13,828 5.7% 17.7%

1 Data Collection

1. Unique Users – Total number of unique visitors to www.guidestar.org during the specified

quarter. This does not include Hosted Solutions traffic.

2. Data channels include customers of the following products: DonorEdge, Hosted Solution,

GPP, and API customers

HISTORIC HISTORIC CURRENT GROWTH GROWTH

Description Q4 2013A Q3 2014A Q4 2014A QoQ YoY

Unique Users 1 1,746,658 1,801,350 1,859,475 3.2% 6.0%

GuideStar Data

Channels2 NA 155 184 18.7% NA

2 Data Distribution

AGENDA

Theory of change

Programmatic results

Financial results

Lessons learned

2015 goals

Q&A

#GSImpactCall

Disclaimers

• Numbers are preliminary and unaudited

• Safe Harbor disclosure:

Historical results are not necessarily indicative of future

results. All forward looking statements contain known

and unknown risks that may result in future results that

are materially different from historical results.

16#GSImpactCal

l

2014 Top-Line Performance

17total unrestricted revenue

$11,261k

$11,876k

$11,188k$10,808k

$11,158k

$10,231k

$10,657k

$11,225k

$8,000k

$9,000k

$10,000k

$11,000k

$12,000k

Unrestricted Revenue Operating Expenses

2011

2012

2013

2014

2014 Bottom-Line Performance

($762k)

($615k)

$219k

$380k

$847k$926k

($893k)

($568k)

($1,000k)

($500k)

$k

$500k

$1,000k

$1,500k

Cash Flow GAAP Oper Income

2011

2012

2013

2014

Weak Year End Balance Sheet

$1,410k

($1,048k)

$1,629k

($668k)

$2,476k

$258k

$1,585k

($309k)

($2,000k)

($1,000k)

$k

$1,000k

$2,000k

$3,000k

Cash Unrestricted Net Assets

2011

2012

2013

2014

2015 Financial Outlook

Revenue +20%• Strong support in Transformational Capital campaign

• Q4 signs of growth in Product Sales

• Revamped Membership already attracting growth

Expenses +12.5%• Run-rates leveling off

• FY Expenses ~$1.4M more than PY

Cash Flow and Operating Income• ~$500k cash flow and operating income

• Strengthen balance sheet

• Reflects investment phase

AGENDA

Theory of change

Programmatic results

Financial results

Lessons learned

2015 goals

Q&A

#GSImpactCall

22

AGENDA

Theory of change

Programmatic results

Financial results

Lessons learned

2015 goals

Q&A

#GSImpactCall

2015 Goals

Enhance quality of GuideStar products

Expand data collection

Deepen engagement with stakeholders

Secure financial strength to fuel

innovation and growth

Foster a data-driven learning culture

A N N U A L O R G A N I Z AT I O N A L O B J E C T I V E S

#GSImpactCall

AGENDA

Theory of change

Programmatic results

Financial results

Lessons learned

2015 goals

Q&A

#GSImpactCall

T H A N K Y O U !

Questions?

#GSImpactCall

Additional Information

Next Impact Call:

May 11, 2 pm ET: http://npo.gs/impactcall6

Our impact:

GuideStar’s impact page: www.guidestar.org/impact

Impact Calls:

Q&A and archive: http://npo.gs/webinararchivesgs

#GSImpactCall

APPENDIX

GuideStar by the Numbers2 0 1 4 D ATA , C A L C U L AT E D J A N U A R Y 2 0 1 5

2.5B PIECES OF DATA: Includes 8.2 million image files

2.4M ORGANIZATIONS: Includes 1.7 million 501 (c)(3)s

87,000+ SOCIAL MEDIA FOLLOWERS

~7.2M UNIQUE USERS: Use GuideStar data every year

6.6M+ UNIQUE USERS: To GuideStar.org every year

12M+ VISITS: On guidestar.org every year

115 FOUNDATIONS MEMBERS

73 STAFF: One of the most robust business development teams in the sector

37,500 CONVERSATIONS WITH NONPROFITS: Every year

GuideStar by the Numbers2 0 1 4 D ATA , C A L C U L AT E D J A N U A R Y 2 0 1 5

~959,000 EMAIL LIST: May be strongest broadcast mechanism to the sector

160 ORGANIZATIONS: Who use GuideStar’s data on their own platforms

107,463 NONPROFITS: That have taken the time to directly give us additional data

26M API HITS

7,000 MEDIA PLACEMENTS: Earned every year, reaching more than 32 million people

213K NEW REGISTRANTS

544K ACTIVE REGISTERED USERS IN 2014

~1M ACTIVE REGISTERED USERS SINCE 2012

9,422 PRODUCT TRANSACTIONS IN 2014

99.94% OF USERS ACCESS GUIDESTAR’S DATA FOR FREE

2015 Annual Organizational OKRs

For internal monitoring, learning, and decision-making.

Now an aligned excerpt of “top 10” annual OKR metrics to track

Organizational Dashboard

CURRENT

Q4 2013A Q3 2014A Q4 2014A Q4 2014E

Monthly

Trend Accountable Comments

ENHANCE quality of GuideStar products

New Registrants 46,223 56,940 56,820 50,000 (0.2%) 22.9% VP Products

Renewal Rate

Direct Sales (annual) 77.5% 86.4% 87.9% 72.0% 1.7% 13.4% VP Ops

E-Commerce (monthly) 67.2% 76.3% 74.2% 85% (2.8%) 10.4% VP Products

E-Commerce (annual) 75.4% 76.1% 74.6% 85% (2.0%) (1.1%) VP Products

Membership (annual) 87.1% 92.3% 92.0% 95% (0.3%) 5.6% CFO

GuideStar Exchange Participants 36,110 39,771 41,053 50,302 3.2% 13.7% VP Products We were unable to roll-out our new user interface designs

for GX as planned, and it will be a focus in Q1.

GuideStar Platform Partners NA 155 184 NA 18.7% NA VP Products

DEEPEN engagement with stakeholders

Community Platform Participants 1 NA NA NA NA VP Products New metric - % of registered Jive users actively participating

SECURE financial strength to fuel innovation and growth

Pipeline (next quarter)

Direct Sales NA $1,562k $1,464k $1,515k (6.3%) NA VP Ops Still working on a better way to manage transactional

opportunities and identify larger opportunities

Membership NA $276k $296k $216k 7.0% NA CFO

Unrestricted Grants 2NA NA NA NA NA NA CFO To be discussed at the board meeting

Revenue

Direct Sales $1,234k $1,126k $1,328k $1,209k 18.0% 7.6% VP Ops

E-Commerce $656k $734k $726k $626k (1.1%) 10.6% VP Products

Membership $180k $182k $255k $300k 39.7% 41.4% CFO 10% increase in full-year revenue. Q4 variance due to

combination of both earlier payments and additional

renewals expected Q1 2015.

Unrestricted Grants $526k $0k $833k $1,200k NA 58.4% CFO Grants process longer than expected

Monthly Recurring Revenue 3

NA NA NA NA NA NA

VP Products New metric - Total revenue received from recurring

subscriptions

Months of Cash 2.6x 1.4x 1.4x 2.6x 0.0% (46.2%) CFO To be discussed at the board meeting

FOSTER a data-driven learning culture

Staff Satisfaction (eNPS) NA 0.0% 11.0% 40.0% NA NA VP Ops Morale fell 12% from 1st survey and overall participation

down 14% In 2015, we are experimenting with survey

design, timing and feedback to staff to increase both

participation and the eNPS.

Notes

1. The Jive community platform is slated to be launched in Q1/Q2. Only then will we be able to measure participation. Exceeding or within 5% of target

2. Unrestricted Grants pipeline will be added in Q1 when process is entered into CRM Between 5% and 10% of target

3. Monthly Recurring Revenue will be measured beginning in Q1 Greater than 10% off target

This was expected as we were focused on other activities.

We are focusing on this number in 2015.

HISTORIC TARGET Growth

vs. Last Qtr

(QoQ)

Growth

vs. Last

Year (YoY)

Impact Dashboard provides external stakeholder communication on

our progress on our defined theory of change

Coming soon - enhanced Impact Dashboard

• Represents our logic

model –GuideStar’s

activities and outcomes

• Proxy measures include:

• Widely available info:

# data partners, #

API hits

• Standardization: GX

and Simplify rate of

adoption

• Feedback loops:

Great Nonprofits-like,

Philanthropedia

• Also include external

sector measures from

$4G (% research comps),

Giving USA (annual

giving $)