Pathways for Little Feet

Nonprofit profile at a glance

EIN
261073326
IRS 990 coverage
2010–2024
Forms available
Form 990 2024
Location
Houston, TX, USA
Phone
2817207000
Rating
76
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Emergency Assistance

Reported finances

Revenue
$889,506
Expenses
$807,030
Assets
$1,973,103
Liabilities
$22,643

Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.

Leadership & pay

10 people listed

Executive titles in this filing

  • ERIC FRIDGE (EXECUTIVE DIRECTOR)
  • THOMAS ZENNER (EXECUTIVE DIRECTOR)

Highest reported compensation

  • ERIC FRIDGE (EXECUTIVE DIRECTOR): $115,886 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Our mission is to reduce financial barriers to adoption and foster care through financial assistance and ongoing family support. Pathways provides interest free loans with tailored payment plans so families can move forward with their adoption process. Pathways also assists with ongoing support resources such as counseling referrals and assistance with the cost of counseling and adoption or foster-related conferences and retreats.

What it reported doing in 2024

Pathways offers adoption assistance to reduce adoption expenses. Since 2008 Pathways has granted $4.2 million in loans facilitating over 750 childrens adoptions. The Perpetual Family Fund Loan Program provides interest-free loans to adoptive families. Repaid loans are earmarked for new adoption loans. In 2024 Pathways issued 42 new loans totaling $425,750. As families repay the loans program expenses exclude the initial loan amounts considered assets. Besides loans Pathways offers adoption grants to aid families unable to meet adoption costs. In 2024 $75,281 in grants supported 22 families. Although interest-free accounting rules necessitate recording imputed interest revenue based on prevailing market rates affecting the total loan value discount. In 2024 imputed interest amounted to $27,809.

Operating model

Revenue model
Donor-supported. 98% of the money available for current operations came from contributions and gifts.
Distribution model
Hybrid. The nonprofit split its reported program spending across 61% for direct work, and 39% for grants.
  • Includes noncash contributions: Reported contributions include donated property or goods.

The verdict

SUPPORTED - The filed numbers largely add up and most voting board members are independent. A relatively small share of available resources goes toward mission work and fundraising costs are high for each dollar raised.

Rating breakdown

  • Financial Efficiency: 54
  • Transparency & Controls: 94
  • Accountability: 90
  • Sustainability: 60
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 55.6%; rating input score 56
  • Program expense ratio: 60.1%; rating input score 60
  • Fundraising efficiency: $7.1 raised per $1 spent on fundraising; rating input score 27; 27th percentile among comparable filings

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 63rd percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: 100%; rating input score 100; 76th percentile among comparable filings
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 63rd percentile among comparable filings
  • Governance controls: 6 of 8 controls in place; rating input score 75
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 9.3%; rating input score 60; 60th percentile among comparable filings
  • Total-asset coverage ratio: 2.44; rating input score 70; 70th percentile among comparable filings
  • Liabilities to assets ratio: 0.01; rating input score 68; 68th percentile among comparable filings
  • Officer compensation ratio: 14.4%; rating input score 24; 24th percentile among comparable filings

Growth

  • Program expense growth: 7.8% per year; rating input score 100; 55th percentile among comparable filings
  • Revenue growth: 3.9% per year; rating input score 100; 36th percentile among comparable filings
  • Asset growth: 5.7% per year; rating input score 100; 42nd percentile among comparable filings

Details

  • Where the money goes: 55.6% of revenue deployed · 60.1% of spending went to programs
  • Governance: 9 of 9 board members independent · 6 of 8 filing controls reported
  • Programs: 3 filed program accomplishments · $485K in reported program spending
  • Leadership: top reported pay $116K · 10 people listed
  • Consistency: 47 of 47 current checks pass
  • Schedules: 7 filed schedules · includes major donors and grants
  • Filing history: 13 filing years from 2010 to 2024
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • Related organizations: Filed and resolved organization relationships.
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • Review — Financial Efficiency: Mission deployment rate scored 56/100.
  • High — Financial Efficiency: Fundraising efficiency scored 27/100.
  • Review — Accountability: Governance controls: 2 of 8 not reported.
  • High — Sustainability: Officer compensation ratio scored 24/100.