Is African Alliance Of Rhode Island Legit?…

Quick charity verification for African Alliance Of Rhode Island (EIN: 201688094)

Strengths

Consistent revenue growth, from $114,660 in 2019 to $398,212 in 2023.
0% officer compensation reported across all filings, indicating volunteer leadership.
Strong asset growth, from $37,826 in 2019 to $378,991 in 2023.
Expenses consistently below revenue, leading to healthy surpluses and asset accumulation.
Clear alignment between NTEE code (P84 - African Cultural & Ethnic Awareness) and organizational name/mission.

Spending Breakdown

How African Alliance Of Rhode Island allocates its funds across programs, administration, and fundraising.

90%

Program Spending

Healthy — majority goes to mission

Admin Costs

Reasonable — admin costs in check

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 African Alliance Of Rhode Island

Is African Alliance Of Rhode Island a legitimate charity?

Based on AI analysis of IRS 990 filings, African Alliance Of Rhode Island (EIN: 201688094) appears trustworthy. Mission Score: 92/100. 0 red flags identified, 5 strengths noted.

Is African Alliance Of Rhode Island a good charity to donate to?

African Alliance Of Rhode Island has a Mission Score of 92/100. Revenue: $677K. Assets: $674K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for African Alliance Of Rhode Island?

The Employer Identification Number (EIN) for African Alliance Of Rhode Island is 201688094. 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 African Alliance Of Rhode Island spend its money?

African Alliance Of Rhode Island allocates 90% to programs, 7% to administration, and 3% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify African Alliance Of Rhode Island's tax-exempt status?

You can verify African Alliance Of Rhode Island's tax-exempt status using EIN 201688094 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

The African Alliance Of Rhode Island demonstrates a positive trend in financial growth and program focus. Over the past five years, the organization has significantly increased its revenue from $114,660 in 2019 to $398,212 in 2023, indicating growing support and capacity. Their asset base has also expanded substantially, from $37,826 in 2019 to $378,991 in 2023, suggesting sound financial management and accumulation of resources. The organization consistently reports 0% officer compensation, which is a strong indicator of volunteer leadership and a commitment to directing funds towards its mission.

Spending efficiency appears robust, with expenses generally well below revenue, allowing for asset growth. For instance, in 2023, expenses were $238,602 against revenues of $398,212, resulting in a surplus. This consistent surplus generation contributes to their increasing asset base. The absence of reported officer compensation enhances their spending efficiency by minimizing administrative overhead related to executive salaries. The organization's NTEE code P84 (African Cultural & Ethnic Awareness) aligns with its name, suggesting a clear programmatic focus.

Transparency is high given the consistent filing of IRS Form 990s and the detailed financial information provided. The lack of officer compensation is a key transparency point, showing that leadership is not drawing salaries from the organization. The consistent growth in revenue and assets, coupled with efficient spending and no executive compensation, paints a picture of a financially healthy and mission-driven organization.

Is African Alliance Of Rhode Island Legit?

Verdict: African Alliance Of Rhode Island appears trustworthy