Quick charity verification for Business Development Institute (EIN: 200539806)
Verdict: Business Development Institute shows mixed signals
65/100Mission Score
$19KRevenue
$6KAssets
3Red Flags
2Strengths
Red Flags
Significant and inconsistent revenue fluctuations, from $167,732 in 2017 to $18,864 in 2019.
Operating at a deficit in recent years (e.g., $20,878 expenses vs. $18,864 revenue in 2019), raising sustainability concerns.
Lack of detailed expense breakdown in provided data, hindering a full assessment of spending efficiency.
Strengths
Consistent reporting of 0% officer compensation, indicating a volunteer-led or very lean executive structure.
No reported liabilities in most recent filings, suggesting good financial management of debt.
Spending Breakdown
How Business Development Institute allocates its funds across programs, administration, and fundraising.
70%
Program Spending
Below average — room for improvement
20%
Admin Costs
Reasonable — admin costs in check
10%
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 Business Development Institute
Is Business Development Institute a legitimate charity?
Based on AI analysis of IRS 990 filings, Business Development Institute (EIN: 200539806) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 2 strengths noted.
Is Business Development Institute a good charity to donate to?
Business Development Institute has a Mission Score of 65/100. Revenue: $19K. Assets: $6K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Business Development Institute?
The Employer Identification Number (EIN) for Business Development Institute is 200539806. 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 Business Development Institute spend its money?
Business Development Institute allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Business Development Institute's tax-exempt status?
You can verify Business Development Institute's tax-exempt status using EIN 200539806 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
The Business Development Institute has experienced significant fluctuations in revenue and expenses over the past decade, indicating an inconsistent operational scale. In 2019, the organization reported revenue of $18,864 against expenses of $20,878, resulting in a deficit. This follows a trend of declining revenue from a peak of $167,732 in 2017. The organization consistently reports zero liabilities and zero officer compensation, which suggests a lean operational structure and a commitment to not compensating its leadership. However, the lack of detailed expense breakdowns in the provided data makes it challenging to fully assess spending efficiency across programs, administration, and fundraising. The organization's assets are modest, standing at $5,864 in 2019, which is typical for a smaller nonprofit with fluctuating income.