Is Alliance Charter Academy Legit?

Quick charity verification for Alliance Charter Academy (EIN: 205866897)

Verdict: Alliance Charter Academy shows mixed signals

65/100Mission Score
$3.9MRevenue
$3.4MAssets
3Red Flags
3Strengths

Red Flags

Strengths

Spending Breakdown

How Alliance Charter Academy allocates its funds across programs, administration, and fundraising.

85%
Program Spending
Healthy — majority goes to mission
10%
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 Alliance Charter Academy

Is Alliance Charter Academy a legitimate charity?

Based on AI analysis of IRS 990 filings, Alliance Charter Academy (EIN: 205866897) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 3 strengths noted.

Is Alliance Charter Academy a good charity to donate to?

Alliance Charter Academy has a Mission Score of 65/100. Revenue: $3.9M. Assets: $3.4M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Alliance Charter Academy?

The Employer Identification Number (EIN) for Alliance Charter Academy is 205866897. 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 Alliance Charter Academy spend its money?

Alliance Charter Academy allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Alliance Charter Academy's tax-exempt status?

You can verify Alliance Charter Academy's tax-exempt status using EIN 205866897 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

Alliance Charter Academy demonstrates consistent operational activity with revenues and expenses generally in line with each other over the past decade. In the latest filing (202306), the organization reported revenues of $3,968,159 against expenses of $3,874,543, indicating a slight surplus. However, a notable concern is the organization's liabilities consistently exceeding its assets. For instance, in 202306, assets were $3,361,178 while liabilities stood at $3,774,245, suggesting a reliance on debt or short-term funding. This trend has been present in most recent years, with liabilities significantly higher than assets, which could pose long-term financial stability risks. The organization's transparency appears strong regarding executive compensation, as officer compensation has been reported as 0% across all available filings. This indicates that the highest-ranking individuals are not receiving direct compensation, which is unusual for an organization of this size and could imply compensation is structured differently or through a related entity, or that leadership is entirely volunteer-based. Further investigation would be needed to understand the full compensation structure for key personnel. The consistent filing of IRS Form 990s over 12 periods demonstrates a commitment to regulatory compliance and public disclosure. While the organization maintains a relatively stable revenue stream, the persistent asset-to-liability imbalance warrants attention. The NTEE code B29 suggests it is a K-12 school, and charter schools often have unique funding and operational structures. The consistent reporting of 0% officer compensation, while seemingly positive for transparency, could also mask how leadership is compensated if they are employees rather than officers, or if compensation is paid through a management company. Overall, the organization appears to be managing its day-to-day operations effectively, but its balance sheet shows a structural weakness with liabilities consistently outweighing assets.

View Full Transparency Report →

Disclaimer

AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.

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