ECDC ENTERPRISE DEVELOPMENT GROUP

ANNUAL REPORT

2016

2015

Serving as a bridge

toward self-sufficiency for refugees, immigrants and low-income people in the Washington, D.C.

metropolitan area by providing business and used car loans,

small business assistance, asset-building services, and tax filing assistance.

FINANCIAL REPORTS Statement of Financial Position

September 30, 2015 and 2016

Statement of Activities

September 30, 2015 and 2016

These financial reports have been taken from EDG’s Audited Financial Statements. A complete copy of the

Statements is available on request.

——————————————————————————- E D G

901 S. Highland Street Arlington, VA 22204

Phone: (703) 685-0510 l Fax (703) 685-4200 edgloan@entdevgroup.org l www.entdevgroup.org

Assets 2015 2016

Cash and Cash Equivalents $ 6,942,809 $8,247,786 Microloan Notes Receivable-Net of allowance for loan losses 3,179,861 $3,481,996 Other asserts 320,046 493,619

Total assets $10,442,716 $12,223,401

TOTAL ASSETS Liabilities & Net Assets

Total Current Liabilities $ 1,238,563 $1,128,421 Non-current Liabilities 3,990,240 5,532,001 Total Liabilities 5,228,803 6,660,422 Total Net Assets 5,213,913 5,562,979

Total Liabilities & Net Assets $10,442,716 $12,2234,401

Income 2015 2016

Total Public Support and Revenue $ 1,391,795 $1,354,908 $1,354,908 Expenses

Programs: Microenterprise Development Services $ 648,491 766,418 Total Program Services 648,491 766,418 General Admninistrative 351,589 239,424

Total Program Expanses 1,000,080 1,005,842

Changes in Net Assets 391,715 349,066

Net Assets at beginning of year $ 4,892,198 $5,213,913

Net Assets at End of Year $ 5,213,871 $5,562,979

Board of Directors

TSEHAYE TEFERRA, PH.D., CHAIR FREDERICK L. SCHULTZ, VICE CHAIR

ALLENE WRIGHT, SECRETARY/TREASURER Gebre-Selassie Gebre-Mariam

Henok Tesfaye

Staff

Tsehaye Teferra, Ph.D., President Fikru Abebe, Managing Director Haddish Welday, Finance Manager Fesseha Beyene, Portfolio Manager Roman Corpuz, Clinic Director-Tax Program/Senior Loan Officer Eric

Loewe, Loan Manager Nebi Teferra, Program /HR Associate Cheryl de Pace Assistant Loan Officer (Baltimore) Elsa Desta, Account Assistant

Kidan Fekadeamlak, Assistant Loan Officer

FUNDING SOURCES

FEDERAL GOVERNMENT

Department of Health and Human Services (ORR) Department of the Treasury Small Business Administration

STATE AND LOCAL GOVERNMENTS

Commonwealth of Virginia Department of Housing and Community Development Arlington County Fairfax County CCFP

City of Alexandria Montgomery County

BANKS, FOUNDATIONS, CORPORATIONS

Capital One Foundation E*Trade HSBC Bank USA Wells Fargo TD Bank PNC Intuit Financial Freedom Foundation

Virginia Community Action Partnership Anonymous Foundation

Partners

Arlington Department of Libraries Arlington Employment Center Arlington Department of Community Planning, Housing and Development Arlington De-partment of Human Services Arlington Economic Development/BizLaunch

Association for Enterprise Opportunity Business Development Assistance Group CASA of Virginia Catholic Charities Center for Multicultural Hu-man Services Diversity New Comers Community Services Center D.C. Refugee Center ECDC African Community Center Empowered Women In-

ternational Hopkins House Just Neighbors Lutheran Social Services Montgomery County Department of Economic Development Montgomery Col-

lege Refugee Center Northern Virginia Family Service Rappahannock Good-will Industries SkillSource Group Virginia Community Economic Network

Washington Area Community Investment Fund...and many others.

Thank you!

901 S. HIGHLAND STREET

ARLINGTON, VA 22204

Phone: (703) 685-0510 Fax (703) 685-4200

3411 BANK ST.,

BALTIMORE, MD 21224

Phone: (410)-545-6510 Fax (410)-545-6518 Ext 24399

edgloan@entdevgroup.org www.entdevgroup.org

About EDG EDG is a 501(c)(3) non-profit organization

dedicated to helping refugees, immigrants and low-income people access needed financing to start or ex-pand small businesses, acquire assets, develop money

management skills and achieve economic independ-ence. Emerging from a microenterprise development

program established in 1992 by the Ethiopian Community Development Council, EDG became a subsidiary of ECDC in 2001, expanding programs and services and

enlisting a growing community of cooperating partners, funders and other supporters.

Certified by the U.S. Department of the Treasury as a Community Development

Financial Institution, EDG now serves clients through-out the Washington, D.C.,/Baltimore area, from Balti-

more down to Spotsylvania.

Small Business

Loans

For entrepreneurs seeking to start, sustain or expand a business, we offer microfinance loans of up to $50,000, using lending criteria that most banks are either unable or unwilling to consider. In fiscal year 20156 we made 114 loans for $2.54 million.

Vehicle Loans

Designed to help people who need reliable transportation to get to jobs or school, we provide used car loans of up to $8,000. In fiscal year 2016 we made 24loans for $150,284.

Tax Program

To help low-income clients acquire a home, start a business or improve their education, we offered IDAs through support from the Virginia IDA program. EDG helped 13 clients to purchase assets worth $532,000, which includes home, tuition, etc.

Our free tax assistance program helps low-income clients and small business owners prepare their taxes. In fiscal year 2016, we helped 1212 people receive $1.988 million in refunds and $129,995 in Earned Income Tax Credits. In addition, we helped people apply for ITIN numbers and referred people with tax problems to pro-bono legal assistance.

CLIENT PROFILE: VPTS Trucking

CLIENT PROFILE: Meaza Ethiopian Restaurant

Individual Development

Accounts

In an industry dominated by male figures such as trucking ,it was a breath of fresh air when Cintya Pinto came into EDG’s doors. Three years ago, Cintya didn’t know what to do to support her family. As an immigrant and single mom with children to support on her own, she took a leap of faith and learned how to drive a dump truck, got her com-mercial license, and started driving dump trucks for an excavating firm. Little did she know that driving will not only support her family, but also pave the way for her owning a business and starting her own company: VPTS Trucking. Cintya came to EDG because she saw that there was so much demand for truck drivers. There were times that she would be using her own network of truck drivers she meets in the field, to satisfy a contract won by her employ-er. Cintya realized that if she has her own dump truck, she can make so much money, so she came to EDG to borrow a loan to purchase a 2007 Ken-ilworth Truck. As of writing, she was able to purchase her third truck and hire her own drivers and win sub-contracts from the government and state.

Osvin came to EDG first in 2015 looking for a $15,000 loan to start ‘We Build Food Trucks’ - a small company making and renovating food trucks. But his credentials at that time would not support an approval of the loan. So EDG took a chance and decided to give him a third of the amount he needs, a step loan of 5,000 , which allowed him to purchase a portable generator, which he can use in any worksite. Because EDG reports his repayment to the credit bureaus, he was able to improve his credit from 604 to 624 in 9 months. EDG contacted him after a few months to see if he is interested to borrow another $1,500, to help him with his expenses. Since his loans in 2015 and 2016, he was able to renovate 20 food trucks and slowly grow his business. He has now served as EDG’s “go-to” person whenever a client would like to purchase, renovate or construct a food truck.

CLIENT PROFILE: We Build Food Trucks

Ethiopian owner Meaza Zemedu’s ‘Meaza Restaurant, Cafe and Gourmet Grocery Store ‘has been featured in such press outlets as the Washingtonian and the Wash-ington Post. Meaza was born of humble roots. Meaza Zemedu started her business by supplying

local Ethiopian stores with her home-baked injera bread, a crepe-like staple of Ethiopian cuisine. Demand for the tangy bread grew, allowing her to open her majes-tic restaurant, which welcomes guests to dine on traditional Ethio-pian fare. Many of Meaza’s dishes are flavored with purified, spiced Ethiopian butter, from the ‘ye beg kikil’—lamb stew in spicy sauce—to the ‘kitfo’—ground beef traditionally served raw or rare and mixed with cardamom and a ‘mitmita’ spice blend. The chefs still bake Zemedu’s injera from teff grain as an ubiquitous side and utensil alongside the fare. EDG is proud to have support-ed Meaza in its expansion phase in 2016 and 2017. Meaza’s complex Ethiopian spice blends enchant guests through-