Past Annual Reports: 2011 2010 2009
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FROM THE CEO

Dear Friends,

In 2012, our steadfast focus was on making gains toward our near-term goal to achieve proof of concept of the Nuru Model. We wanted to build on the R&D of the previous years when we invested time researching best practices and testing various prototypes to tighten our model up and build a more efficient organization. I am proud to say that we are making great progress toward this end.

Our 2012 metrics showed us the tremendous impact the Nuru Model is having in Kenya: Nuru members experienced an average maize yield increase of 123%; our members repaid 96.8% of agriculture loans and 100% of cash loans distributed through our Community Economic Development Program. These achievements, along with the training offered by our Healthcare and Education Programs, are giving families the option to make meaningful choices to improve their lives in a sustainable way.

One of the things that impressed me most about Nuru’s growth this past year is the organization’s growing independence from me. Founder’s syndrome is a disease that kills many promising new companies before they can reach a catalytic growth phase, and we never want to fall into this trap. I am so humbled by the people and systems that we as a team have put in place to become a more sustainable organization.

2012 was an important year for transparency, accountability, iteration, and growth. We had third-party investors take a close look at the Nuru Model to identify weak areas so we can innovate to produce greater levels of impact and sustainability. Dalberg Strategic Advisory Firm conducted a robust, high level strategic review of the Nuru Model and organization as commissioned by key Nuru investors. Lessons learned from these strategic reviews are currently being incorporated into the Model to drive greater efficacy of our programs and greater efficiency in the organization.

Thank you for making 2012 a year of significant advancement in the global fight against extreme poverty. I look forward now to fighting next to you as we step into 2013 together.

Stay in the fight,

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Jake Harriman Chief Executive Officer
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“Thank you for making 2012
a year of significant advancement
in the global fight against extreme poverty.”
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Nuru international is ending extreme poverty in remote, rural areas.

View all of Nuru’s videos at nuruinternational.org/video

THE NURU MODEL

Nuru currently works in East Africa training local leaders to solve problems in their communities related to four areas of need: hunger; inability to cope with economic shocks; preventable disease and death; and lack of quality education for children.

Nuru concurrently recruits successful local business people to start profitable businesses to fund its poverty-fighting work. Nuru’s vision is to create a world where people living in extreme poverty can make meaningful choices to improve their lives in a sustainable way.

PROOF OF CONCEPT

Nuru seeks to prove that its successful impact can continue to scale without dependence on external staff and resources. We believe in the power of true local ownership in optimizing design, innovation, and sustainability in fighting poverty.

This means that in order to fully prove that the Nuru Model works, the international staff must exit the project. In order to do that, we need to have clearly defined exit criteria enabling us to know when we have achieved success—criteria showing that we have created a completely self-sustaining entity that is improving the lives of families in the project area. In 2012, the M&E Team was able to refine what those exit criteria look like so that we can now clearly describe what the successful end state looks like for Nuru Kenya that will facilitate exit.

Another pillar of proof of concept is successfully implementing the Nuru Model in a second country to show that the Nuru Model is not just a Kenya success phenomenon. In 2012, we were able to overcome significant obstacles to establish Nuru Ethiopia, a registered, international NGO in Ethiopia. We conducted a rigorous situational analysis, hired a senior Ethiopian management team, established an administrative and logistics infrastructure for the project and began construction of the Foundation Team compound there. Nuru Ethiopia program training will commence in March 2013 with the insertion of the Scout Team.

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FROM THE CFO

Dear Supporters,

2012 marked the beginning of my time with Nuru, and while I’ve only been on board a few months, this amazing adventure filled with growth, and yes, challenges, is one that I’m extraordinarily lucky to be a part of.

As we prepared to expand to Ethiopia, we spent considerable time and resources tightening our finance and accounting processes and policies in Kenya and the US so that we could replicate these systems in Ethiopia. We created and implemented financial policy manuals for both Kenya and the US and completed our audits for both countries seamlessly. (Our audits and Form 990s are always available to the public on our website.) We are proud of the accounting rigor we have in place and will continue to strive for financial excellence in 2013, focusing on budget processes and reporting. As always, we are committed to financial accountability and transparency.

In Kenya, we invested heavily in our Social Enterprises (formerly IGA) program, the foundation of our financial sustainability model. Nuru Kenya was able to achieve a sustainability ratio (Social Enterprises revenue/total Nuru Kenya expenses) of 60%. This was in large part due to the success of our Agribusiness unit, which includes maize trade and maize loans. By hiring a Social Enterprise Business Consultant as well as MBA interns and research assistants, we have laid the groundwork to expand our dairy and consumer products businesses in 2013.

We continued to be honored by the generous support of our donors which enabled us to move closer to proof of concept by laying the groundwork for Ethiopia, continuing to scale in Kenya, growing our Social Enterprises business, and investing in our most important asset, our people. While our cost base increased in 2012, we spent every dollar wisely and positioned ourselves well for scaling and sustainability.

I look forward to continuing to share our story with you. Thank you for joining us in the fight to end extreme poverty.

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Nisha Chakravarty Chief Financial Officer
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“As always, we are committed to financial accountability & transparency.”
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IMPACT IN NURU KENYA

Agriculture Overcoming hunger

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Increased yields for 2,783 farmers producing
an approximate total of 43,744 bags (90 kg) or 3,937
metric tonnes of maize.

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New farmers averaged 12.9 bags (each weighing 90 kg) per acre in 2012 long rains season compared to 5.8 bags per acre in 2011 long rains season.

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On average, farmers new to Nuru in the 2012 long rains season experienced a 123% yield increase
in comparison with 2011 long rains yields.

Non-Nuru Farmer Gross Income Nuru Farmer Potential Gross Income

Developed a model to determine that with a 123% yield increase for 2012, Nuru farmers have the potential to increase their gross income by 135% (revenue minus cost of farm inputs) compared to the income of non-Nuru farmers, on average per acre of maize farmed.

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Initiated 2013 long rains season through farmer recruitment events and farm inputs distribution, putting the Agriculture Program on track to meet the milestone of distributing agricultural loans to 4,500 farmers during
2013 long rains.

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By December 31, 2012, achieved a
96.80% agriculture loan repayment.

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IMPACT IN NURU KENYA

Community Economic Development Coping with economic shocks successfully

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59.5% of 1,491 Community Economic Development (CED) members regularly participated in savings programs (qualified as attending 75% of the meetings and saving 75% of the time).

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Data collected indicates that CED members are saving money during the harvest seasons of Q1 & Q3, and withdrawing from savings during lean (hunger) seasons of Q2 & Q4 to cope with shocks.

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2,738,130 Ksh | $32,213.29 USD
Total amount loaned

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100% repayment
achieved for all 2012 CED loans.

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Conducted a short qualitative survey among CED members to determine their preparedness levels to shocks;
100% reported that they would use their Nuru savings to cope if a blight like Maize
Lethal Necrosis Disease (MLND) hit their farm/maize.

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IMPACT IN NURU KENYA

Healthcare Averting preventable disease & death

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Launched new Kikundi (unit of Field Officers), training
12 new Field Officers
(FOs) in the Kehancha Division to cover four additional sub-locations (Ihore-Tisinye, Ihore–Nguku, Nyamaranya and Nyamotambe).

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Nuru Kenya Healthcare Training Manager facilitated a 13-day participatory training series for 18 FOs, covering topics related to specific diseases and health complications, behavior change, communication and sales.

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Healthcare team developed and implemented the
HC monitoring system to track Field Officer performance and community health trends.

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1,496 households in Isebania and Kehancha Divisions received monthly visits from Nuru Healthcare FOs who used Tailored Interpersonal Communications to teach ten healthy behaviors.

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Our newly developed Social Marketing (SM) Team launched their first campaign for the NuChoo which features a concrete slab latrine that is affordable, durable and safer than currently used structures; the launch coincided with maize sales and a total of 26 latrines were sold.

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The Healthcare Team conducted Barrier Analysis
for Antenatal Clinic
(ANC) Visits for use in
2013 SM campaign.

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IMPACT IN NURU KENYA

Education Offering access to quality education for children

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Conducted Education Outreach Program for 3,806 students in 9 schools throughout Isebania division bi-weekly for grades Pre-Unit through Standard 7
throughout 2012.

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Completed baseline and follow-up data collection in 9 primary schools in Isebania Division using the Uwezo tool to measure Standard 2 level literacy among 100% of students in Standard 2-7 classes.

Standard 2 levels Nuru School students

Concluded work at our test school, PAG Primary, because students consistently exceeded Standard 2 levels; our observations and assessments confirmed that schools in more central town settings have higher achievement levels, have better resources and do not fit within our target population.

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Mid-year, the Learning Center welcomed its largest student population to date, registering over 700 students using newly implemented student attendance and tracking systems; however, a change to the Kenyan school schedule has resulted in us discontinuing
the Learning Center program and focusing on the
Outreach Program.

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Hired and trained additional staff to fill gaps, including a Training Manager in preparation to scale to three
new schools
in January 2013; our staff solidified relationships with Mabera school heads and Ministry of Education officials to establish our outreach schedule and ensure smooth operations in January 2013.

Researched frequency and duration issues associated with intervention; prepared to test increased frequency of Outreach Program in Mabera beginning January 2013 (1 hour per week/grade/school as
compared with current Outreach Program of 1 hour bi-weekly/grade/school in Isebania) and to measure
3 comparison schools in Mabera that will not be
receiving Outreach.

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Financials
US Financial Information
Public Support and Revenues
Grants and Donations 3,093,410
In-Kind Donations 226,572
Special Events (Net of Direct Benefits to Donors of $0) 3,233
Interest 1,401
Realized Gain on Investment 44
Sales (Net of Cost of Sales of $3,569) (295)
Total Public Support and Revenues 3,324,365
FUNCTIONAL EXPENSES AND LOSSES
Program Services
International Development 2,281,423
Awareness 691,480
Total Program Services 2,972,903
Management and General 714,621
Fundraising 193,199
Total Functional Expenses 3,880,723
Unrealized Loss on Investments 1,228
Loss on Disposition of Fixed Assets 3,530
Total Functional Expenses and Losses 3,885,481
Net Assets
Change in Net Assets (561,116)
Net Assets, Beginning of Year 1,877,367
Net Assets, End of Year 1,316,251
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Prepared by Elizabeth Atherton.
*All Figures in U.S. Dollars

Nuru International is a 501(c)(3) non-profit, public benefit charity and meets all 20 Better Business Bureau Charity Standards. Nuru has been awarded the Independent Charities Seal of Excellence for certifying, documenting and demonstrating that we meet the highest standards of public accountability, program effectiveness and cost effectiveness. “Nuru” is a Kiswahili word meaning light.

Kenya Financial Information
Public Support and Revenues
Donations & Grants 884,464
Program Revenue 501,324
Exchange Gains 4,877
Total Revenue 1,390,665
EXPENSE SUMMARY
Program Services
Healthcare Program 39,753
Education Program 31,816
Community Economic Dev 23,982
Agriculture Program 112,558
Leadership 18,809
Monitoring & Evaluation 27,724
IGA 94,293
IGA - Cost of Goods Sold 562,219
Total Program Expenses 911,153
Management and Administrative 185,824
Total Functional Expenses 1,096,977
ASSETS
Cash 188,927
Program Loans Receivable 93,309
Program Inventories 448,855
Total Current Assets 731,092
Fixed Assets 538,435
Other Long Term Assets 16,208
Total Assets 1,285,735
LIABILITIES AND EQUITY
Current Liabilities 28,511
Total Net Assets (Unrestricted) 1,257,223
Total Liabilities and Net Assets 1,285,735
Change in Net Assets 293,688
Beginning Net Assets 963,536
Ending Net Assets 1,257,223
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Audited by: Obwanga and Associates, Certified Public Accountants (CPAK).
*All Figures in U.S. Dollars

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Donor Recognition
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DONORS WITH GIFTS $5000+
  • Aaron Fu
  • Alan Waxman
  • Alex and Polly Ryerson
  • Beachwood Community Fund
  • Bryan Kidd
  • David and Lavila Nancarrow
  • Erol Foundation
  • Gary and Michelle Dillabough
  • Goldman Sachs Gives: Gene Sykes
  • Goldman Sachs Gives: Joe Gleberman
  • Grousbeck Family Foundation
  • Harold Hirsch Scholarship Fund
  • Hoku Foundation
  • Jasmine Social Investments
  • Jim Ellis
  • JoeBen Bevirt and Jenny Barchas
  • John and Melissa Hancox
  • Johnson Charitable Gift Fund
  • Kate and Bill Duhamel
  • Kathleen Bonasso
  • Keith Watts
  • Margueritte Bassali
  • Marie Halley and Antoine Haddad
  • Mulago Foundation
  • No Fluff Just Stuff Software Symposium Series Tour
  • Paul and Heather Haaga
  • Peery Foundation
  • Pershing Square Foundation
  • Robert S. Limited Charitable Fund
  • Robertson Foundation
  • Ruth Dhanaraj
  • San Francisco Foundation
  • Sevenly
  • Stanford University’s Center on Philanthropy
  • and Civil Society
  • Stephen and Amanda Houghton
  • The Craig and Susan McCaw Foundation
  • The Grace and Mercy Foundation, Inc
  • The Taweel Family Fund
  • Todd and Tanya Mace
  • Anonymous (4)
MONTHLY DONORS
  • Aaron and Josalyn Mann
  • Abby Hills
  • Adam and Juliana Riley
  • Adam and Lauren Faul
  • Adam Fleming
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  • Andew Dawn
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  • Andrew Lurker
  • Andy and Jenn Cogar
  • Anna Siverd
  • Bart and Liz Peintner
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  • Ben and Lorrie Young
  • Ben Oakes
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  • Benjamin Kelm
  • Bill and Jean Ghera
  • Billy and Jamie Williams
  • Bradley Prugh
  • Brandon Wong
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  • Brian and Megan Shope
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  • Brook Changala
  • Brooke Summers
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  • Glenn Schatz
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  • Greg Hunter
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  • Gregory Carter
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  • Harry Soza
  • Harvest Christian Church
  • Henry Webster-Mellon
  • Holly Martin
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  • Jake Harriman
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  • Jeffrey and Sarah Dodson
  • Jennifer Schaap
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  • JJ Ethridge
  • Joe Goodwin
  • Joe Griffith
  • Joel Morrison
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  • Justin Thompson
  • Katherine Charles
  • Kati Bailey
  • Katie Keil
  • Kayla Show
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  • Kenji Gjovig
  • Kent and Sarah McBride
  • Kiersten Regelin
  • Kim Raymond
  • Kimberley Kates
  • Kirk and Allison Copen
  • Kurt Scherer
  • Kyle Hency
  • Larry and Linda Snyder
  • Lars Simonsen and Suzi Oud
  • LCDR Michael Files
  • Leslie Morley
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  • Lori Hermann
  • Lucia Tedesco
  • Luke and Diane Harriman
  • Luke Semple
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  • Maggie Hensle
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  • Vitali Dorosh
  • Vivian Lu
  • Wes and Jenna Mace
  • Will Kerr
  • Will Winfrey
  • Zack Arnold
  • Anonymous (9)
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NURU International Leadership
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Nuru International Strategic Leadership Team Jake Harriman, Chief Executive Officer

Jake graduated with distinction from the U.S. Naval Academy and served seven and a half years as an Infantry and Special Operations Platoon Commander in the Marine Corps. He led four operational deployments and was awarded the Bronze Star for actions in combat. From his experiences, Jake came to believe that the “War on Terror” won’t be won on the battlefield alone: the contributing causes of terrorism – disenfranchisement, lack of education, and extreme poverty – must also be eradicated. Jake left his military career and enrolled at the Stanford Graduate School of Business to build an organization focused on tackling extreme poverty.

Nisha Chakravarty, Chief Financial Officer

Nisha earned a B.A./B.S. at the Wharton School and an M.A. in Quantitative Methods in Social Sciences at Columbia University. She led shared service strategy in Vice President roles at Lehman Brothers in India and Goldman Sachs in New York and served as Chief Financial and Operating Officer for KIPP LA.

Charles Molloy, Chief Development Officer

Charles has over 30 years of success as a fundraising executive. He has served on the senior management teams at CARE International and MAP International and lead development teams at Bread for the World, American Humane and Rockefeller University.

Aerie Changala, Director of International Operations

Aerie earned his BA in International Affairs from John Cabot University (Rome, Italy) and his MA in International Conflict Analysis from the University of Kent (Canterbury, UK). He speaks seven languages and served as a Peace Corps Volunteer in Burkina Faso before joining Nuru in 2008 as Team Leader and CED Program Manager for Nuru Kenya.

Gabrielle Blocher, Director of Monitoring and Evaluation

Gaby earned her MBA from Columbia Business School and her BS in Oceanography from the U.S. Naval Academy. She served as a logistics officer and an officer recruiter for the U.S. Marines for five years and worked as a management consultant for Booz and Company. She has led Nuru’s M&E Team since January 2009.

Karina Sobieski, Director of HR and Administration

Karina earned her Master’s Degree in Psychology from the Warsaw School of Social Psychology in Poland. Formerly, Karina managed the recruiting activities at McKinsey & Company Poland and developed and managed the recruitment process for Citigold Wealth Management Division in Poland.

Board of Directors
  • John Hancox, Board Chairman
  • Don Faul
  • Andy Cogar
  • Trey Dunham
  • Kim Keating
  • Jake Harriman
Board of Advisors
  • Irv Grousbeck
  • Peter Wagner
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