Quick charity verification for Arkbuilders Inc (EIN: 205441535)
Verdict: Arkbuilders Inc shows mixed signals
65/100Mission Score
$466KRevenue
$39KAssets
3Red Flags
3Strengths
Red Flags
Operating deficit in the most recent fiscal period (202312: Expenses $413,255 > Revenue $405,000)
Significant decline in assets from $121,299 in 2022 to $57,132 in 2023
Lack of detailed expense breakdown (program, admin, fundraising) in provided data to fully assess efficiency.
Strengths
Consistent revenue growth over the past three years (from $127,023 in 2020 to $405,000 in 2023)
0% officer compensation reported, indicating a volunteer-led or highly efficient executive structure
Low to zero reported liabilities in recent filings, suggesting good debt management.
Spending Breakdown
How Arkbuilders 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 Arkbuilders Inc
Is Arkbuilders Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Arkbuilders Inc (EIN: 205441535) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 3 strengths noted.
Is Arkbuilders Inc a good charity to donate to?
Arkbuilders Inc has a Mission Score of 65/100. Revenue: $466K. Assets: $39K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Arkbuilders Inc?
The Employer Identification Number (EIN) for Arkbuilders Inc is 205441535. 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 Arkbuilders Inc spend its money?
Arkbuilders Inc allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Arkbuilders Inc's tax-exempt status?
You can verify Arkbuilders Inc's tax-exempt status using EIN 205441535 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
Arkbuilders Inc demonstrates a concerning trend in its financial health, with expenses exceeding revenue in its most recent filing period (202312), resulting in a deficit of $8,255. While the organization has shown significant revenue growth from $127,023 in 2020 to $405,000 in 2023, this growth has not been consistently managed, as evidenced by the recent operating loss. The organization's assets have also seen a substantial decline from $121,299 in 2022 to $57,132 in 2023, indicating potential liquidity challenges or significant asset utilization without corresponding revenue generation. The consistent reporting of 0% officer compensation across all filings suggests a volunteer-led or very lean executive structure, which can be a positive for program efficiency if other operational costs are well-managed.
Regarding spending efficiency, without a detailed breakdown of program, administrative, and fundraising expenses, it's difficult to fully assess. However, the recent operating deficit raises questions about the sustainability of current spending levels relative to revenue. The organization has consistently reported zero liabilities in its most recent filing, which is a positive indicator of financial stability in that regard. The lack of reported officer compensation also contributes positively to potential spending efficiency, as a significant portion of funds is not allocated to executive salaries.
Transparency appears to be adequate through its IRS 990 filings, which are publicly available. However, the absence of detailed expense breakdowns within the provided data limits a deeper analysis of how funds are specifically allocated across programs, administration, and fundraising. Further transparency on these specific expenditure categories would enhance the ability to evaluate the organization's commitment to its mission and efficient use of donor funds.