Quick charity verification for Carpenters Square Inc (EIN: 202457794)
Verdict: Carpenters Square Inc has notable concerns
30/100Mission Score
$88KRevenue
$17KAssets
4Red Flags
2Strengths
Red Flags
Expenses ($950,107) significantly exceeded revenue ($87,561) in the latest filing (202012).
Assets drastically declined from $1,547,824 in 201912 to $17,017 in 202012.
Liabilities ($32,585) exceed current assets ($17,017) in the latest period, indicating potential insolvency.
Unsustainable financial model based on the latest reported figures.
Strengths
Consistent reporting of 0% officer compensation across all filings, indicating volunteer leadership.
Historically maintained significant assets prior to the 202012 period.
Spending Breakdown
How Carpenters Square 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 Carpenters Square Inc
Is Carpenters Square Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Carpenters Square Inc (EIN: 202457794) has notable concerns. Mission Score: 30/100. 4 red flags identified, 2 strengths noted.
Is Carpenters Square Inc a good charity to donate to?
Carpenters Square Inc has a Mission Score of 30/100. Revenue: $88K. Assets: $17K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Carpenters Square Inc?
The Employer Identification Number (EIN) for Carpenters Square Inc is 202457794. 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 Carpenters Square Inc spend its money?
Carpenters Square Inc allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Carpenters Square Inc's tax-exempt status?
You can verify Carpenters Square Inc's tax-exempt status using EIN 202457794 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
Carpenters Square Inc. exhibits concerning financial trends based on its recent IRS 990 filings. In the latest reported period (202012), the organization reported revenue of $87,561 against expenses of $950,107, indicating a significant deficit and an unsustainable spending pattern. This is a sharp decline from previous years where revenue generally exceeded or was closer to expenses. The organization's assets have also drastically decreased from a peak of $1,639,926 in 201812 to $17,017 in 202012, while liabilities remain substantial at $32,585 in the latest period, exceeding current assets. This suggests potential solvency issues and a need for immediate financial restructuring.
The spending efficiency is highly questionable given the latest filing's expense-to-revenue ratio. While specific program, administrative, and fundraising expense breakdowns are not provided in the summary data, the overall financial picture points to severe operational challenges. The lack of officer compensation reported across all filings could be a positive sign of volunteer leadership, but it doesn't offset the broader financial instability. Transparency appears adequate in terms of filing history, but the underlying financial health raises significant concerns about the organization's long-term viability and impact.