Quick charity verification for Backbeat Foundation Inc (EIN: 204703474)
Verdict: Backbeat Foundation Inc appears trustworthy
85/100Mission Score
$50KRevenue
$12KAssets
2Red Flags
3Strengths
Red Flags
Consistent operating deficits in recent years (e.g., 2023 expenses $41,728 vs revenue $25,242)
Significant fluctuation in annual revenue and assets, indicating financial instability.
Strengths
Zero officer compensation reported across all filings, indicating high efficiency in executive pay.
Consistently reports zero liabilities, suggesting sound financial management regarding debt.
Strong commitment to program spending, as implied by the lack of executive compensation and low administrative overhead.
Spending Breakdown
How Backbeat Foundation Inc allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
5%
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 Backbeat Foundation Inc
Is Backbeat Foundation Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Backbeat Foundation Inc (EIN: 204703474) appears trustworthy. Mission Score: 85/100. 2 red flags identified, 3 strengths noted.
Is Backbeat Foundation Inc a good charity to donate to?
Backbeat Foundation Inc has a Mission Score of 85/100. Revenue: $50K. Assets: $12K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Backbeat Foundation Inc?
The Employer Identification Number (EIN) for Backbeat Foundation Inc is 204703474. 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 Backbeat Foundation Inc spend its money?
Backbeat Foundation Inc allocates 90% to programs, 5% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Backbeat Foundation Inc's tax-exempt status?
You can verify Backbeat Foundation Inc's tax-exempt status using EIN 204703474 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
Backbeat Foundation Inc. demonstrates a fluctuating financial history, with recent years showing expenses exceeding revenue. In 2023, expenses were $41,728 against revenues of $25,242, and in 2022, expenses were $88,660 against revenues of $59,313. This trend of operating at a deficit could raise concerns about long-term sustainability if not addressed. However, the organization consistently reports zero liabilities and zero officer compensation, which are positive indicators of financial prudence and a commitment to directing funds towards its mission rather than administrative overhead or executive pay. The asset base has also fluctuated significantly, from a high of $67,163 in 2021 to $21,330 in 2023, suggesting an inconsistent financial footing. The lack of reported officer compensation also points to a high degree of transparency regarding executive pay.