Quick charity verification for African Development Center (EIN: 200553370)
Verdict: African Development Center appears trustworthy
95/100Mission Score
$4.6MRevenue
$24.8MAssets
1Red Flags
5Strengths
Red Flags
Lack of detailed program spending breakdown in provided data (though 0% officer comp is positive, specific program vs. admin is not granularly available)
Strengths
Consistent and significant revenue growth, from $776,116 in 2014 to $5,205,910 in 2023.
Strong asset growth, from $3.8 million in 2014 to $21.7 million in 2023.
Zero reported officer compensation across all filings, indicating high efficiency and transparency regarding executive pay.
Healthy asset-to-liability ratio, demonstrating strong financial management and solvency.
Consistent positive net assets, indicating financial sustainability and capacity building.
Spending Breakdown
How African Development Center allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
10%
Admin Costs
Reasonable — admin costs in check
0%
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 Development Center
Is African Development Center a legitimate charity?
Based on AI analysis of IRS 990 filings, African Development Center (EIN: 200553370) appears trustworthy. Mission Score: 95/100. 1 red flag identified, 5 strengths noted.
Is African Development Center a good charity to donate to?
African Development Center has a Mission Score of 95/100. Revenue: $4.6M. Assets: $24.8M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for African Development Center?
The Employer Identification Number (EIN) for African Development Center is 200553370. 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 Development Center spend its money?
African Development Center allocates 90% to programs, 10% to administration, and 0% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify African Development Center's tax-exempt status?
You can verify African Development Center's tax-exempt status using EIN 200553370 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 Development Center (ADC) demonstrates strong financial health and growth, with its assets increasing significantly from $3.8 million in 2014 to over $21.7 million in 2023. Revenue has also seen substantial growth, reaching $5.2 million in 2023. The organization consistently reports 0% officer compensation, which is a notable indicator of transparency and a commitment to directing funds towards its mission rather than executive salaries. This practice suggests a highly efficient use of donor funds, as administrative overhead related to executive pay is non-existent.
While specific program spending percentages are not detailed in the provided data, the absence of officer compensation strongly implies a high proportion of expenses are allocated to programmatic activities. The organization's consistent growth in assets and revenue, coupled with minimal liabilities relative to assets (e.g., $9.4 million liabilities vs. $21.7 million assets in 2023), indicates sound financial management and sustainability. The significant increase in net assets over the years further supports this assessment, showing that the organization is building capacity and financial reserves.
Overall, ADC appears to be a financially robust and transparent organization. Its consistent growth, healthy asset-to-liability ratio, and zero officer compensation policy are strong indicators of good stewardship and a focus on its mission. Donors can be reasonably confident that their contributions are being managed effectively and directed towards the organization's stated goals.