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Compass Working Capital Inc

 89 South Street, Suite 804
 Boston, MA 02111
[P] (617) 790-0810
[F] (617) 390-7552
http://www.compassworkingcapital.org/
[email protected]
James Stuart
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INCORPORATED: 2005
 Printable Profile (Summary / Full)
EIN 20-3975100

LAST UPDATED: 05/31/2017
Organization DBA --
Former Names --
Organization received a competitive grant from the Boston Foundation in the past five years Yes

Summary

Mission StatementMORE »

Compass Working Capital (“Compass”) provides incentive-based savings and financial coaching programs that empower working, low-income families to build assets, achieve their financial goals, and become financially secure. Our broader vision is to build a leading, nonprofit financial services organization that promotes economic mobility and financial security for working poor families by influencing field-related practice and policy.

Mission Statement

Compass Working Capital (“Compass”) provides incentive-based savings and financial coaching programs that empower working, low-income families to build assets, achieve their financial goals, and become financially secure. Our broader vision is to build a leading, nonprofit financial services organization that promotes economic mobility and financial security for working poor families by influencing field-related practice and policy.

FinancialsMORE »

Fiscal Year Sept 01, 2016 to Aug 31, 2017
Projected Income $2,998,266.00
Projected Expense $2,780,880.00

ProgramsMORE »

  • Financial Coaching and Savings Programs- Housing Based
  • National Affiliate Network

Revenue vs. Expense ($000s)

Expense Breakdown 2016 (%)

Expense Breakdown 2015 (%)

Expense Breakdown 2014 (%)

For more details regarding the organization's financial information, select the financial tab and review available comments.


Overview

Mission Statement

Compass Working Capital (“Compass”) provides incentive-based savings and financial coaching programs that empower working, low-income families to build assets, achieve their financial goals, and become financially secure. Our broader vision is to build a leading, nonprofit financial services organization that promotes economic mobility and financial security for working poor families by influencing field-related practice and policy.

Background Statement

Compass was founded by Sherry Riva in 2005. Before founding Compass, Sherry spent more than a decade working with direct service organizations that served low-income women and families. During this time, Sherry observed the cycle of poverty that traps working poor families. She started Compass to empower families to build savings and assets as a pathway out of poverty. Compass launched its first matched savings programs, also known as an Individual Development Acccount (IDA) program, in Roxbury and Lynn. In 2008, Compass piloted a college savings initiative to help low-income families save for their children's education. In 2009, Compass developed and expanded a unique contract-based financial coaching program, through which Compass partners with other community organizations to provide financial coaching services for low-income families.

Since 2010, we have focused our efforts on launching a new, financial coaching model for the Family Self-Sufficiency (FSS) program. The FSS program was established by the U.S. Department of Housing and Urban Development to address a disincentive in subsidized housing programs. Residents in subsidized housing typically pay 30% of their income toward rent, but an unintended consequence of this structure is that it discourages some residents from increasing their income over worry about paying more in rent or losing benefits. The FSS program shifts the incentive structure by allowing participants to capture their increased rent payments in a savings account held by the housing authority. In the FSS program, Compass saw an underutilized and under optimized program that would benefit from an asset building perspective that housing authorities were often not equipped to provide themselves. It also allows us to expand our approach to a much larger market of eligible families.

In partnership with Lynn Housing Authority, Compass became the first nonprofit organization in the country to launch an asset building model for the FSS program. This was followed by an expansion to Cambridge in 2012 and to Boston in April of 2014. In November of 2014, Compass moved into new office space in downtown Boston to launch the development of a first-in-kind financial coaching center for low-income families in Greater Boston. This year, Compass is partnering with the Preservation of Affordable Housing and the Caleb Group, two nonprofit housing providers, to expand our FSS work to serve additional sites in Massachusetts, Rhode Island, and Connecticut. This is the start of launching a national network to support the replication or adaptation of Compass’s FSS program model in other jurisdictions across the country.


Impact Statement

Accomplishments

Growth and expansion of Lynn and Cambridge Programs. Compass’s existing FSS programs in Lynn and Cambridge continue to grow in enrollment and have shown promising outcomes for clients in core areas of financial security.

Launch of MBHP Program. Compass expanded our FSS programs to Boston through a partnership with Metropolitan Boston Housing Partnership, allowing us to test our model in a larger urban market.

Local support and national attention. Local support for Compass continues to grow, and interest and support for Compass’s model is increasing nationally.

Committed office space. In November of 2014, Compass moved into new, devoted office space in downtown Boston to launch the development of a first-in-kind financial coaching center for low income families in Greater Boston.  

Policy Influence. Compass recently worked with a network of partners to advocate for the expansion of FSS eligibility to project-based rental assistance developments, expanding access to FSS to an additional 1.5 million households in the US and laying the groundwork for the continued expansion of the Compass FSS model.

Goals

Continued execution at the local level. While we pursue opportunities to grow, it is critical that we continue to ensure strong execution for the families we currently serve. This involves ongoing  improvement of our evaluation practices to strengthen these local programs.

Launch a national network. Compass will launch and evaluate a national network that facilitates the implementation of our asset building FSS model by other housing providers and organizations. This will begin with hosting a national convening for FSS practitioners to discuss opportunities to integrate asset building into FSS programs.

Growth of Leadership team. Compass seeks to  further develop our leadership team to support our growth and impact objectives. This year’s hires will include a Director of Financial Services and a National Network Director.

Innovative Strategies. A new pilot partnership with the Harvard University Employee Credit Union will allow Compass to test the transfer of our financial coaching  program to an employer based model and will serve Compass’s interest in reaching a wider market of working families. 


Needs Statement

Develop a pipeline of talent. Compass is seeking to develop and retain talent at all levels of the organization while ensuring hires can understand and gain the trust of our clients. We aim to develop a pipeline of talent, ideally including previous clients, that can meet our organizational needs while reflecting the diversity and experiences of the families we serve.

Financial Sustainability. As Compass continues to establish itself as a leader in providing financial coaching for the working poor, we have provided our expertise through contract based partnerships. Compass will continue exploring these partnerships to  develop a funding model that leverages our expertise and furthers our mission while contributing to an earned revenue stream.

Implementing partners. Compass’s work and expansion relies on partnering with organizations who are aligned to our mission and values while having the skill and capacity to implement and build upon our program model. We aim to implement an application and vetting process in order to select the right partners to further our mission to serve families nationally.


CEO Statement

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Board Chair Statement

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Geographic Area Served

GREATER BOSTON REGION, MA
NORTHEAST REGION, MA

Compass offers programs in  Lynn, Cambridge, the Greater Boston area and Gloucester Massachusetts as well as Willimantic, CT.  We are currently developing additional program sites in  Springfield, MA and Rhode Island. Compass is also developing a national affiliate network that will support financial self-sufficiency work in several parts of the country beginning in the Northeast and the Midwest.

Organization Categories

  1. Human Services - Financial Counseling
  2. -
  3. -

Independent research has been conducted on this organization's theory of change or on the effectiveness of this organization's program(s)

Yes

Programs

Financial Coaching and Savings Programs- Housing Based

Compass provides financial coaching and savings programs that are integrated into subsidized housing programs. Primary among these is an asset-building model for the Family Self-Sufficiency (FSS) program, an existing, though underutilized and underoptimized, federal housing program. The FSS program is designed to remove a disincentive for residents of federally subsidized housing to increase their income, which stems from the calculation of rent as about 30% of income. Per federal guidelines, as participants increase their income, part of their increased rent payment is deferred into a savings account held by the housing authority in their name. Participants can use their savings to achieve financial goals such as owning a home, starting a business, paying off debt, completing training or education, or saving for their children’s education. In 2010, Compass introduced a new model for the program that integrates financial capability and asset building strategies. The program combines financial education and financial coaching with the powerful FSS savings incentive, and is designed to empower residents of subsidized housing to increase their income, reduce their reliance on public assistance, and become more financially secure. The Compass FSS program is offered to recipients of federally subsidized housing in several locations in southern New England, in partnership with Lynn Housing Authority, Cambridge Housing Authority, Metropolitan Boston Housing Partnership, Preservation of Affordable Housing (POAH) and the Caleb Group. Compass also developed a customized financial coaching program for the Mass Learning, Employment and Asset Program (Mass LEAP), an asset building program for Massachusetts Rental Voucher Program participants.

Budget  --
Category  Human Services, General/Other Financial Counseling
Population Served Families Poor,Economically Disadvantaged,Indigent
Program Short-Term Success 

Compass aims to grow enrollment in our FSS programs to over 1200 families by 2017, and retain 85% of enrolled households. For families who have been in the FSS program for one year, target outcomes include: 50% of participants increase annual earned income, 70% of participants increase their credit score, 70% of participants decrease or maintain zero collection debt, and 50% of participants build savings in their FSS account.

Program Long-Term Success 

At Compass, the true measure of our success is whether the families we serve reach the dreams and aspirations they have for a stronger financial future. Clients are typically enrolled in Compass’s housing based savings and financial coaching programs for five years. We aim for 20% of eligible participants enrolling in the program (compared to 5% nationally) and an 80% retention rate in the program (compared to 50% nationally). Our target outcomes for families in the long term are:

 

· 75% leave subsidized housing within six months of graduation

· 100% decrease dependence on public assistance

· 75% graduate with a credit score equal to or greater than 660

· 80% graduate with an increase in earned income

· 80% graduate with savings in their FSS account

· Average savings for FSS graduate of $6000

· 90% of graduates are utilizing at least two quality financial products and no negative services

Program Success Monitored By 

Success is monitored through changes in client’s financial information, including their credit score, income, and amount of debt. Clients also take a survey every six months that measures their overall financial well-being, their confidence level in their finances, and the quality of financial products utilized. We take seriously the importance of a rigorous evaluation strategy, and aim to measure the effectiveness of our work based on leading financial security indicators showing the progress of our families. In October of 2014, Compass engaged Abt Associates as a new research and evaluation partner. This partnership will yield data collection and analysis relevant to our definition of success.

Examples of Program Success 

Compass FSS participants have demonstrated impressive gains across several key financial security metrics. For example, after just two years in the program, 64% of Compass FSS program participants have increased their income, 53% have reduced their debt, and 73% have improved their credit score by an average increase of 48 points. While our programs are relatively new and thus have generated only a relatively small number of program graduates (FSS is typically a five-year program), it is noteworthy that 86% of Compass FSS program graduates to date have transitioned successfully out of subsidized housing, compared to 32.6% of FSS graduates nationally. Moreover, 28.6% of Compass FSS program graduates have become homeowners, compared to 11.3% of FSS graduates nationally. While graduates are not required to exit subsidized housing, many choose to do so.


National Affiliate Network

Compass is piloting a national network to share and expand an asset building model for the FSS program and support the adaptation of Compass’s FSS program model. In its initial phases, Compass will test the network model with a variety of partners, including non-profit housing providers, asset building nonprofit organizations, and mission-aligned public housing agencies. This affiliate network will begin with a roundtable in Boston to discuss opportunities to integrate asset building and financial capability strategies into the FSS program and other housing assistance programs. After the launch of the network, Compass will provide ongoing support to partners through an annual conference, site visits by a Compass team to provide directed support, access to Compass materials, and affiliation with the Compass brand.

Budget  --
Category  Human Services, General/Other Financial Counseling
Population Served Families Poor,Economically Disadvantaged,Indigent
Program Short-Term Success 

Compass will test the affiliate model with partners including non-profit housing providers, asset building nonprofit organizations, and mission-aligned public housing agencies. Participant outcomes for these programs will mirror Compass’s targets for our local programs. For families in these affiliate programs, we aim for the following outcomes after one year: 50% of participants to increase annual earned income, 70% of participants to increase their credit score, 70% of participants to decrease or maintain zero collection debt, and 50% of participants to build savings in their FSS account.

Program Long-Term Success 

Compass’s local FSS programs have demonstrated that FSS can be a powerful tool to help families build savings and assets as a pathway out of poverty. The national network will allow us to take what we are learning in FSS and identify ways to promote savings and asset building more broadly for a larger share of low-income families living in subsidized housing in the U.S. For Compass, long- term success for the national affiliate network is defined by the incorporation of asset building and financial capability strategies into the very fabric of housing assistance. This is part of a broader organizational vision to shape national policy and integrate asset building into U.S. anti-poverty programs and policies in general.

Program Success Monitored By  --
Examples of Program Success 

Compass will launch the national affiliate network in 2016. As a first step in launching the network, Compass will host a national roundtable to build consensus with government, housing, and asset building stakeholders on best practices for integrating asset building and financial capability strategies into subsidized housing programs in November 2015.


CEO/Executive Director/Board Comments

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Management


CEO/Executive Director Ms. Sherry Riva
CEO Term Start Dec 2005
CEO Email [email protected]
CEO Experience

Sherry is the Founder and Executive Director of Compass Working Capital (“Compass”), a nonprofit financial services organization with a mission to empower families with low income to build assets and financial capabilities as a pathway out of poverty. Compass’s broader vision is to promote economic mobility and financial security for working poor families by influencing field-related practice and policy.

Under Sherry's leadership, Compass has launched and expanded an innovative asset-building model for the Family Self Sufficiency (FSS) program, an employment and savings program for recipients of federal housing assistance. The first public-private model of its kind in the country, the Compass FSS model has attracted local and national attention as a scalable, housing-based model to promote financial security for working families with low income.

Sherry founded Compass after more than a decade working with various direct service organizations that served low-income women and families, including several years running a transitional shelter for women in Seattle, WA. During this time, Sherry observed first-hand the cycle of poverty that traps many families. It was through this work that Sherry was inspired to focus on asset-building as a means for families to move up and out of poverty.

Sherry is a Draper Richards Kaplan Social Entrepreneur and a GLG Social Impact Fellow. Compass was selected by Citi Community Development as an Innovation and Impact Fund winner in 2014, and is listed on the Social Impact (S&I) 100, the first-ever, broad index of U.S. nonprofits with proven results and strong potential to scale.

Sherry received an A.B. from Princeton University, an MPP from the Kennedy School of Government at Harvard University, and a Master's in Philosophy (Ecumenics) from Trinity College Dublin.


Co-CEO --
Co-CEO Term Start --
Co-CEO Email --
Co-CEO Experience --

Former CEOs and Terms

Name Start End
-- -- --

Senior Staff

Name Title Experience/Biography
Ms. Ann Lentell Director of Programs

Ann joined Compass in February 2014, serving as manager for the FSS program operated in partnership with Metropolitan Boston Housing Partnership in its initial stages of development. She came to Compass following eight years in equity research covering the consumer sector, and was most recently an analyst at Surveyor Capital, a long-short beta-neutral hedge fund managed by Citadel LLC. Previously she covered equities at Jefferies & Co., Inc. and at Morningstar, Inc. in Chicago. Ann began her career as an analyst at The Nielsen Company. Ann’s volunteer experience includes tax return preparation for low-income families in Chicago, IDA consulting for women recently released from prison in St. Louis, and educational development for orphans in Russia, among others.

Ann received a B.A. in Social Thought & Analysis and Russian from Washington University in St. Louis. She is a CFA® charterholder.

Awards

Award Awarding Organization Year
S&I 100 Social Impact Exchange 2012

Affiliations

Affiliation Year
-- --
Member of state association of nonprofits? No
Name of state association --

External Assessments and Accreditations

External Assessment or Accreditation Year
-- --

Collaborations

Boston Housing Authority

The Caleb Group

Cambridge Housing Authority

Massachusetts Department of Housing and Community Development

Heading Home, Inc.

Lynn Housing Authority and Neighborhood Development

Metropolitan Boston Housing Partnership

One Family Scholars, Inc.

CEO/Executive Director/Board Comments

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Foundation Comments

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Staff Information

Number of Full Time Staff 25
Number of Part Time Staff 2
Number of Volunteers 25
Number of Contract Staff 2
Staff Retention Rate % --

Staff Demographics

Ethnicity African American/Black: 2
Asian American/Pacific Islander: 4
Caucasian: 12
Hispanic/Latino: 8
Native American/American Indian: 0
Other: 0
Other (if specified): --
Gender Female: 21
Male: 5
Not Specified 0

Plans & Policies

Organization has Fundraising Plan? Under Development
Organization has Strategic Plan? Yes
Years Strategic Plan Considers --
Management Succession Plan No
Business Continuity of Operations Plan No
Organization Policies And Procedures Yes
Nondiscrimination Policy Yes
Whistle Blower Policy Yes
Document Destruction Policy Yes
Directors and Officers Insurance Policy Yes
State Charitable Solicitations Permit --
State Registration Yes

Risk Management Provisions

Blanket Personal Property
Business Income
Commercial General Liability
Employee Dishonesty
Boiler and Machinery
Commercial General Liability and D and O and Umbrella or Excess and Automobile and Professional
Crime Coverage
Commercial General Insurance
General Property Coverage
Umbrella or Excess Insurance
Directors and Officers Policy

Reporting and Evaluations

Management Reports to Board? Yes
CEO Formal Evaluation and Frequency Yes Annually
Senior Management Formal Evaluation and Frequency Yes Semi-Annually
Non Management Formal Evaluation and Frequency Yes Semi-Annually

Governance


Board Chair Mr. Greg Shell
Board Chair Company Affiliation Bain Capital
Board Chair Term Sept 2016 - Aug 2017
Board Co-Chair --
Board Co-Chair Company Affiliation --
Board Co-Chair Term -

Board Members

Name Company Affiliations Status
Mr. Scott Carmel Hutchin Hill Capital Voting
Mr. Tom Fry Dietel Partners Voting
Ms. Kimberly Holzel Goodwin NonVoting
Ms. Kristin Marcus Highfields Capital Management Voting
Ms Meaghan McCarthy Community Volunteer Voting
Ms. Shirley Mills The Boston Company Voting
Ms. Sherry Riva Compass Working Capital Voting
Mr. Greg Shell Bain Capital Voting
Ms. Kimberley Train DiCicco, Gulman & Company LLP NonVoting
Ms. Karen Welt Steeves ghSMART Voting

Constituent Board Members

Name Company Affiliations Status
-- -- --

Youth Board Members

Name Company Affiliations Status
-- -- --

Advisory Board Members

Name Company Affiliations Status
-- -- --

Board Demographics

Ethnicity African American/Black: 1
Asian American/Pacific Islander: 0
Caucasian: 9
Hispanic/Latino: 0
Native American/American Indian: 0
Other: 0
Other (if specified): --
Gender Female: 7
Male: 3
Not Specified 0

Board Information

Board Term Lengths 3
Board Term Limits 0
Board Meeting Attendance % 90%
Written Board Selection Criteria Under Development
Written Conflict Of Interest Policy Yes
Percentage of Monetary Contributions 90%
Percentage of In-Kind Contributions 100%
Constituency Includes Client Representation No

Standing Committees

  • Audit
  • Development / Fund Development / Fund Raising / Grant Writing / Major Gifts
  • Finance
  • Governance and Nominating
  • Program / Program Planning

CEO/Executive Director/Board Comments

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Foundation Comments

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Financials


Revenue vs. Expense ($000s)

Expense Breakdown 2016 (%)

Expense Breakdown 2015 (%)

Expense Breakdown 2014 (%)

Prior Three Years Total Revenue and Expense Totals

Fiscal Year 2016 2015 2014
Total Revenue $3,414,878 $1,633,625 $1,471,852
Total Expenses $1,948,695 $1,323,728 $797,138

Prior Three Years Revenue Sources

Fiscal Year 2016 2015 2014
Foundation and
Corporation Contributions
-- -- --
Government Contributions $0 $0 $0
    Federal -- -- --
    State -- -- --
    Local -- -- --
    Unspecified -- -- --
Individual Contributions $2,649,439 $1,113,596 $1,151,794
Indirect Public Support -- -- --
Earned Revenue $656,899 $409,715 $257,849
Investment Income, Net of Losses $1,792 -- --
Membership Dues -- -- --
Special Events $105,039 $95,805 $50,735
Revenue In-Kind -- -- --
Other $1,709 $14,509 $11,474

Prior Three Years Expense Allocations

Fiscal Year 2016 2015 2014
Program Expense $1,597,935 $1,062,908 $623,189
Administration Expense $198,607 $137,212 $116,593
Fundraising Expense $152,153 $123,608 $57,356
Payments to Affiliates -- -- --
Total Revenue/Total Expenses 1.75 1.23 1.85
Program Expense/Total Expenses 82% 80% 78%
Fundraising Expense/Contributed Revenue 6% 10% 5%

Prior Three Years Assets and Liabilities

Fiscal Year 2016 2015 2014
Total Assets $2,922,910 $1,489,487 $1,115,932
Current Assets $2,784,339 $1,350,355 $1,115,142
Long-Term Liabilities $0 -- $0
Current Liabilities $106,741 $139,516 $75,858
Total Net Assets $2,816,169 $1,349,971 $1,040,074

Prior Three Years Top Three Funding Sources

Fiscal Year 2016 2015 2014
1st (Source and Amount) -- --
-- --
-- --
2nd (Source and Amount) -- --
-- --
-- --
3rd (Source and Amount) -- --
-- --
-- --

Financial Planning

Endowment Value --
Spending Policy N/A
Percentage(If selected) --
Credit Line No
Reserve Fund No
How many months does reserve cover? --

Capital Campaign

Are you currently in a Capital Campaign? No
Capital Campaign Purpose --
Campaign Goal --
Capital Campaign Dates -
Capital Campaign Raised-to-Date Amount --
Capital Campaign Anticipated in Next 5 Years? --

Short Term Solvency

Fiscal Year 2016 2015 2014
Current Ratio: Current Assets/Current Liabilities 26.09 9.68 14.70

Long Term Solvency

Fiscal Year 2016 2015 2014
Long-term Liabilities/Total Assets 0% 0% 0%

CEO/Executive Director/Board Comments

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Foundation Comments

Financial summary data in the charts and graphs above is per the organization's IRS Form 990s. Contributions from corporations and foundations are listed under individuals when the breakout was not available.

Impact

The Impact tab is a section on the Giving Common added in October 2013; as such the majority of nonprofits have not yet had the chance to complete this voluntary section. The purpose of the Impact section is to ask five deceptively simple questions that require reflection and promote communication about what really matters – results. The goal is to encourage strategic thinking about how a nonprofit will achieve its goals. The following Impact questions are being completed by nonprofits slowly, thoughtfully and at the right time for their respective organizations to ensure the most accurate information possible.


1. What is your organization aiming to accomplish?

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2. What are your strategies for making this happen?

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3. What are your organization’s capabilities for doing this?

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4. How will your organization know if you are making progress?

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5. What have and haven’t you accomplished so far?

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