Is Berean Childrens Home Inc Legit?

Quick charity verification for Berean Childrens Home Inc (EIN: 200269990)

Verdict: Berean Childrens Home Inc appears trustworthy

75/100Mission Score

$848KRevenue

$2.4MAssets

2Red Flags

3Strengths

Red Flags

Consistent deficit spending in recent years (e.g., 2023 expenses $747,631 vs. revenue $609,713)
Significant year-over-year revenue volatility, making financial planning potentially challenging

Strengths

No reported officer compensation, indicating efficient use of funds for mission-related activities
Maintains a substantial asset base (over $2.3 million in recent years) providing financial stability
Consistent filing of IRS Form 990s, demonstrating transparency

Spending Breakdown

How Berean Childrens Home 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

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 Berean Childrens Home Inc

Is Berean Childrens Home Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Berean Childrens Home Inc (EIN: 200269990) appears trustworthy. Mission Score: 75/100. 2 red flags identified, 3 strengths noted.

Is Berean Childrens Home Inc a good charity to donate to?

Berean Childrens Home Inc has a Mission Score of 75/100. Revenue: $848K. Assets: $2.4M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Berean Childrens Home Inc?

The Employer Identification Number (EIN) for Berean Childrens Home Inc is 200269990. 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 Berean Childrens Home Inc spend its money?

Berean Childrens Home Inc allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Berean Childrens Home Inc's tax-exempt status?

You can verify Berean Childrens Home Inc's tax-exempt status using EIN 200269990 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

Berean Childrens Home Inc. demonstrates a consistent commitment to its mission of providing residential care, as evidenced by its NTEE code P70. The organization's financial health shows some volatility in revenue, with a significant spike in 2019 ($1,569,247) compared to more recent years (e.g., $609,713 in 2023). Despite this, its assets have remained relatively stable, hovering around $2.4 million to $2.7 million in recent periods, indicating a solid asset base. However, the organization has consistently reported expenses exceeding revenue in recent years (e.g., 2023: Revenue $609,713, Expenses $747,631; 2022: Revenue $587,275, Expenses $752,017), which could lead to long-term sustainability concerns if not addressed.

Spending efficiency is difficult to fully assess without a detailed breakdown of program, administrative, and fundraising expenses, which is not provided in the summary data. However, the consistent deficit spending suggests that the organization is utilizing its resources, potentially drawing down reserves or relying on prior year surpluses. The absence of reported officer compensation across all filings is a notable aspect of its financial structure, suggesting that leadership may be volunteer-based or compensated through other means not categorized as officer compensation, which can be a positive indicator for resource allocation directly to programs.

Transparency appears to be strong in terms of public filing of IRS Form 990s, with 13 filings available. The consistent reporting of zero officer compensation is a transparent disclosure. To further enhance transparency, a more detailed breakdown of functional expenses (program, administrative, fundraising) would allow for a clearer understanding of how funds are allocated and the organization's operational efficiency.

View Full Transparency Report →

Disclaimer

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