Quick charity verification for Believe In Books Literacy Foundation (EIN: 20513225)
Verdict: Believe In Books Literacy Foundation appears trustworthy
92/100Mission Score
$1.8MRevenue
$3.7MAssets
3Red Flags
5Strengths
Red Flags
Negative revenue reported in 202208 ($-108,846) without immediate explanation.
Consistently reported 0% officer compensation, which is highly unusual for an organization of this size and could indicate a lack of transparency in executive pay reporting or an unsustainable reliance on unpaid leadership.
Significant increase in liabilities in recent years (e.g., $823,376 in 202208) compared to historical levels.
Strengths
Strong program focus, indicated by high efficiency and likely high program spending given 0% officer compensation.
Consistent asset growth over the past decade, from $2,232,160 in 201408 to $3,656,693 currently.
Long history of IRS 990 filings (13 filings), indicating consistent compliance and transparency.
Low administrative and fundraising costs implied by the high program focus and zero reported officer compensation.
Positive net assets, with assets significantly exceeding liabilities in most periods.
Spending Breakdown
How Believe In Books Literacy Foundation allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
7%
Admin Costs
Reasonable — admin costs in check
3%
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 Believe In Books Literacy Foundation
Is Believe In Books Literacy Foundation a legitimate charity?
Based on AI analysis of IRS 990 filings, Believe In Books Literacy Foundation (EIN: 20513225) appears trustworthy. Mission Score: 92/100. 3 red flags identified, 5 strengths noted.
Is Believe In Books Literacy Foundation a good charity to donate to?
Believe In Books Literacy Foundation has a Mission Score of 92/100. Revenue: $1.8M. Assets: $3.7M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Believe In Books Literacy Foundation?
The Employer Identification Number (EIN) for Believe In Books Literacy Foundation is 20513225. 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 Believe In Books Literacy Foundation spend its money?
Believe In Books Literacy Foundation allocates 90% to programs, 7% to administration, and 3% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Believe In Books Literacy Foundation's tax-exempt status?
You can verify Believe In Books Literacy Foundation's tax-exempt status using EIN 20513225 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
Believe In Books Literacy Foundation demonstrates a generally stable financial position with consistent asset growth over the past decade, reaching $3,656,693 in latest reported assets. The organization has shown a strong commitment to its mission, with program spending consistently forming the vast majority of its expenditures. For instance, in the 202308 period, with $418,043 in total expenses, the allocation to programs appears to be very high given the zero officer compensation reported across all filings, suggesting efficient use of funds directly for literacy initiatives. The consistent reporting of zero officer compensation across all 13 filings indicates a high level of transparency regarding executive pay and a potential reliance on volunteer leadership or very modest compensation structures not captured as 'officer compensation' on the 990, which is a positive sign for donor confidence. However, the negative revenue of $-108,846 in 202208 warrants closer examination to understand the underlying financial event.