2000 – Firelight’s Endowment
The initial funding of the Firelight endowment took place at the end of 1999, and with additional funds in 2000, totaled US$12.7 million. Further funding from our founders took place in 2002.

In late 2000, Northern Trust Bank was selected to manage the foundation’s investments. Their team of analysts has created an actively managed diversified portfolio of securities that is appropriate to our tax-exempt status. Unlike many private foundations, Firelight does not have a concentrated position in any single security, creating much lower volatility in the endowment, and thus a relatively predictable level of grantmaking.

In FY 2000, we made two grants to U.S.-based charities. Our greatest expenditure in FY 2000 was the payment of the federal excise tax on our original endowment.

2001 – Firelight’s First African Grants
Firelight’s first full year of grantmaking benefited from low overhead, utilizing a small office space and primarily volunteer labor. This allowed us to make a sizable number of grants without endangering the endowment. By mid-year, Firelight decided to hire a director.

In FY 2001, Firelight awarded 47 grants in 9 African countries and the United States for a total of $636,302.

2002 – Fewer Dollars, Smaller Grants
2002 was not a kind year for investors, although Firelight was able to weather this period relatively well due to the decision to hold a significant amount of the endowment in cash during the initial fall in the markets. The value of our portfolio significantly rebounded in 2003, as the financial details later in this report demonstrate. As the success of our community-based approach to funding became apparent, we hired two program staff and began targeted fundraising activities to expand our grantmaking capacity.

In FY 2002, Firelight awarded 46 grants in 8 African countries and the United States for a total of $449,269.

2003 – Individual and Foundation Contributions
From its inception, Firelight has been fortunate to receive unsolicited donations from generous donors. We’ve also worked hard to develop partnerships with other private foundations that share our philosophy. These contributions and a series of very successful fundraising events in FY 2003 helped increase our grantmaking budget. As our entire overhead (as well as a portion of our grantmaking) is paid from our endowment, we are able to apply 100% of external funds to grants, making Firelight very attractive to donors.

In FY 2003, Firelight awarded 78 grants in 12 African countries and the United States totaling $720,800.

2004 – Future Developments
Firelight expects to award approximately $1 million in grants in FY 2004. This will be possible due to private donor and foundation contributions made after the close of the FY 2003 grant cycle as well as the returning health of our endowment. Fundraising activities should further increase our grantmaking abilities.

Please note that all of the foundation’s audited financial statements are available to the public.