Is Capital Roots Inc Legit?

Quick charity verification for Capital Roots Inc (EIN: 141596291)

Verdict: Capital Roots Inc appears trustworthy

90/100Mission Score
$3.2MRevenue
$12.0MAssets
1Red Flags
5Strengths

Red Flags

Strengths

Spending Breakdown

How Capital Roots Inc allocates its funds across programs, administration, and fundraising.

80%
Program Spending
Healthy — majority goes to mission
10%
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 Capital Roots Inc

Is Capital Roots Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Capital Roots Inc (EIN: 141596291) appears trustworthy. Mission Score: 90/100. 1 red flag identified, 5 strengths noted.

Is Capital Roots Inc a good charity to donate to?

Capital Roots Inc has a Mission Score of 90/100. Revenue: $3.2M. Assets: $12.0M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Capital Roots Inc?

The Employer Identification Number (EIN) for Capital Roots Inc is 141596291. 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 Capital Roots Inc spend its money?

Capital Roots Inc allocates 80% to programs, 10% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Capital Roots Inc's tax-exempt status?

You can verify Capital Roots Inc's tax-exempt status using EIN 141596291 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

Capital Roots Inc demonstrates a generally healthy financial position with consistent revenue growth and increasing assets over the past decade. In the latest filing (202312), the organization reported revenues of $3,349,920 against expenses of $2,676,119, indicating a surplus that contributes to asset growth. Total assets have significantly increased from $3,824,615 in 2014 to $12,773,421 in 2023, suggesting strong financial management and potentially successful capital campaigns or investment strategies. The organization's liabilities have also increased, reaching $5,846,371 in 2023, which warrants monitoring but does not appear to be disproportionate to its asset base. The spending efficiency appears robust, with expenses consistently lower than revenues, allowing for reinvestment and asset accumulation. The absence of reported officer compensation across all filings is a notable aspect of their financial transparency, indicating that top leadership may be compensated through other means or that the organization operates with a volunteer executive structure, which is highly efficient. This practice, if sustained, contributes positively to the organization's ability to direct more funds towards its mission. Overall, Capital Roots Inc exhibits strong financial health, efficient spending patterns given the consistent surpluses, and a high degree of transparency regarding executive compensation. The substantial growth in assets and consistent revenue generation position the organization well for continued program delivery and expansion.

View Full Transparency Report →

Disclaimer

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

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