Quick charity verification for Center Preschool Inc (EIN: 202938972)
Verdict: Center Preschool Inc shows mixed signals
65/100Mission Score
$184KRevenue
$0Assets
3Red Flags
3Strengths
Red Flags
Significant deficit in the latest filing period (202406) where expenses ($380,194) more than doubled revenue ($184,473).
Zero assets reported in the latest filing (202406), indicating a precarious financial position.
Highly volatile financial performance, with assets fluctuating from $200,153 in 202306 to $0 in 202406.
Strengths
Consistent reporting of 0% officer compensation across all filings, indicating strong commitment to mission-focused spending.
Long filing history (14 filings), suggesting a commitment to transparency and compliance.
Demonstrated ability to generate over $300,000 in revenue in previous years (e.g., $406,319 in 202306), indicating past operational capacity.
Spending Breakdown
How Center Preschool 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
5%
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 Center Preschool Inc
Is Center Preschool Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Center Preschool Inc (EIN: 202938972) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 3 strengths noted.
Is Center Preschool Inc a good charity to donate to?
Center Preschool Inc has a Mission Score of 65/100. Revenue: $184K. Assets: $0. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Center Preschool Inc?
The Employer Identification Number (EIN) for Center Preschool Inc is 202938972. 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 Center Preschool Inc spend its money?
Center Preschool Inc allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Center Preschool Inc's tax-exempt status?
You can verify Center Preschool Inc's tax-exempt status using EIN 202938972 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
Center Preschool Inc. demonstrates a fluctuating financial picture based on its recent IRS 990 filings. In the latest period (202406), the organization reported a significant deficit, with expenses of $380,194 far exceeding revenue of $184,473, resulting in zero assets. This contrasts sharply with the prior period (202306) where revenue of $406,319 outpaced expenses of $350,793, leading to $200,153 in assets. The organization's asset base has shown considerable variability, from $0 in 2024 to over $200,000 in 2023, indicating potential instability or significant operational changes.
The consistent reporting of 0% officer compensation across all available filings suggests a commitment to directing funds towards its mission rather than executive salaries, which is a positive indicator for efficiency. However, the dramatic drop in revenue and the substantial deficit in the most recent filing raise concerns about the sustainability of its operations. Without a detailed breakdown of expenses, it's challenging to fully assess spending efficiency, but the overall financial health appears to be under stress in the latest reporting period.
Transparency is generally good given the consistent filing history, but the lack of assets and the large deficit in the most recent period warrant closer scrutiny. The organization's ability to manage its finances effectively will be critical for its long-term viability, especially given the recent financial downturn. Further investigation into the cause of the 2024 deficit would be beneficial for a complete understanding.