Quick charity verification for Cape Barnabas Inc (EIN: 141963255)
Verdict: Cape Barnabas Inc shows mixed signals
45/100Mission Score
$48KRevenue
$759KAssets
4Red Flags
2Strengths
Red Flags
Liabilities consistently exceed assets, indicating negative net assets, particularly $868,725 in liabilities against $832,290 in assets in 2023.
Dramatic increase in liabilities from $0 in 2021 to $868,725 in 2023 without clear explanation.
Expenses frequently outpace revenue, leading to net losses in multiple periods (e.g., 2020, 2019, 2017).
Overall financial instability and precarious long-term sustainability.
Strengths
No officer compensation reported, indicating a volunteer-driven leadership and potential for lower administrative costs.
Revenue has shown some growth over the past few years, from $18,076 in 2019 to $57,901 in 2023.
Spending Breakdown
How Cape Barnabas Inc 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 Cape Barnabas Inc
Is Cape Barnabas Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Cape Barnabas Inc (EIN: 141963255) shows mixed signals. Mission Score: 45/100. 4 red flags identified, 2 strengths noted.
Is Cape Barnabas Inc a good charity to donate to?
Cape Barnabas Inc has a Mission Score of 45/100. Revenue: $48K. Assets: $759K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Cape Barnabas Inc?
The Employer Identification Number (EIN) for Cape Barnabas Inc is 141963255. 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 Cape Barnabas Inc spend its money?
Cape Barnabas Inc allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Cape Barnabas Inc's tax-exempt status?
You can verify Cape Barnabas Inc's tax-exempt status using EIN 141963255 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
Cape Barnabas Inc. demonstrates a concerning financial trend with liabilities consistently exceeding assets in recent years, culminating in a significant deficit where liabilities were $868,725 against assets of $832,290 in 2023. While the organization has shown some revenue growth, with $57,901 in 2023 compared to $18,076 in 2019, its expenses have often outpaced revenue, leading to net losses in several periods, such as $46,042 in expenses against $26,000 in revenue in 2020. The lack of reported officer compensation across all filings suggests a volunteer-driven leadership, which can be a positive for efficiency, but the overall financial instability raises questions about long-term sustainability and operational effectiveness.
The organization's financial health appears precarious due to its persistent negative net assets. Despite this, the absence of officer compensation indicates a commitment to directing funds towards the mission rather than executive salaries. However, the consistent accumulation of liabilities, particularly the substantial increase from $0 in 2021 to $868,725 in 2023, is a significant red flag regarding financial management and transparency. Without a clear explanation for this dramatic shift in liabilities, it's difficult to fully assess the organization's financial stability and its ability to fulfill its mission effectively.