Quick charity verification for Ad Chi Sigma Inc (EIN: 203065698)
Verdict: Ad Chi Sigma Inc appears trustworthy
85/100Mission Score
$60KRevenue
$487KAssets
1Red Flags
5Strengths
Red Flags
Expenses exceeded revenue in multiple recent years (e.g., 2023: $70,795 expenses vs. $60,079 revenue; 2021: $64,712 expenses vs. $53,862 revenue), indicating reliance on reserves or temporary deficits.
Strengths
Consistently reports zero liabilities, demonstrating excellent financial health and no debt.
Maintains a strong asset base (e.g., $487,460 in 2023) significantly higher than annual revenue, providing a robust financial cushion.
100% volunteer leadership with 0% officer compensation reported across all filings, maximizing resources for mission-related activities.
Consistent filing of IRS Form 990s over 13 periods, indicating strong transparency and compliance.
Long operational history with consistent financial reporting since at least 2014.
Spending Breakdown
How Ad Chi Sigma Inc allocates its funds across programs, administration, and fundraising.
80%
Program Spending
Healthy — majority goes to mission
15%
Admin Costs
Reasonable — admin costs in check
5%
Fundraising
Within typical range
How to read this: Well-run charities typically spend 75% or more on programs, keep admin under 25%, and fundraising under 15%. A high program ratio means more of every dollar goes directly to the mission.
How to Interpret This Report
What Red Flags Mean
Red flags are potential warning signs identified by AI analysis of IRS 990 filings. They may indicate issues like declining revenue, high executive pay relative to program spending, lack of transparency, or governance concerns. A single red flag does not necessarily mean an organization is untrustworthy, but multiple flags warrant further investigation before donating.
What Mission Score Measures
The Mission Score (0-100) evaluates how effectively a nonprofit fulfills its stated purpose. It combines multiple factors: program spending efficiency (how much goes to programs vs. overhead), financial health and sustainability, governance quality, transparency in reporting, and consistency of operations over time. A score of 70+ indicates strong alignment with the organization’s mission.
Using This Data for Donation Decisions
Use this report as one input in your decision. Look at the overall Mission Score for a quick assessment, review red flags and strengths for specific concerns, check the spending breakdown to see where money goes, and compare executive compensation to the organization’s size. Consider viewing the full transparency report for deeper analysis, and always verify tax-exempt status with the IRS before making large donations.
Frequently Asked Questions about Ad Chi Sigma Inc
Is Ad Chi Sigma Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Ad Chi Sigma Inc (EIN: 203065698) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 5 strengths noted.
Is Ad Chi Sigma Inc a good charity to donate to?
Ad Chi Sigma Inc has a Mission Score of 85/100. Revenue: $60K. Assets: $487K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Ad Chi Sigma Inc?
The Employer Identification Number (EIN) for Ad Chi Sigma Inc is 203065698. This is the unique tax ID assigned by the IRS.
What is a Mission Score?
The Mission Score is a 0-100 rating that measures how effectively a nonprofit fulfills its stated mission. It factors in program spending efficiency, financial transparency, governance practices, and outcome reporting. Scores above 70 indicate strong mission alignment, 40-69 suggest mixed performance, and below 40 signals potential concerns.
How does Ad Chi Sigma Inc spend its money?
Ad Chi Sigma Inc allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Ad Chi Sigma Inc's tax-exempt status?
You can verify Ad Chi Sigma Inc's tax-exempt status using EIN 203065698 on the IRS Tax Exempt Organization Search (TEOS) at apps.irs.gov/app/eos. You can also request copies of their Form 990 directly from the organization, as they are required by law to provide them upon request.
AI Transparency Report
Ad Chi Sigma Inc. demonstrates consistent financial stability with a healthy asset base relative to its annual revenue. Over the past decade, the organization has maintained assets significantly higher than its yearly income, reaching $487,460 in 2023 against $60,079 in revenue. This indicates a strong financial cushion and prudent management of resources. The organization consistently reports zero liabilities, which is a significant strength, suggesting excellent fiscal responsibility and no reliance on debt.
Spending efficiency appears to be a mixed bag. While the organization has periods where expenses are well below revenue (e.g., 2018 with $84,994 revenue and $44,762 expenses), there are also years where expenses exceed revenue, such as 2023 ($60,079 revenue vs. $70,795 expenses) and 2021 ($53,862 revenue vs. $64,712 expenses). This fluctuation suggests that while the organization generally operates within its means, it occasionally draws on reserves or experiences temporary deficits. The consistent reporting of 0% officer compensation across all filings indicates a volunteer-driven leadership, which contributes to lower administrative costs and higher potential for program spending.
Transparency is high given the consistent filing of IRS Form 990s over 13 periods and the clear reporting of financial metrics. The absence of officer compensation simplifies the financial structure and enhances trust. However, without a detailed breakdown of expenses beyond the summary data provided, it's challenging to precisely assess the proportion of spending dedicated directly to programs versus administrative or fundraising activities. The overall picture is one of a financially sound, volunteer-led organization with a strong balance sheet.