Quick charity verification for Colors Of The World Inc (EIN: 10848553)
Verdict: Colors Of The World Inc appears trustworthy
85/100Mission Score
$87KRevenue
$34KAssets
0Red Flags
5Strengths
No red flags identified.
Strengths
Consistent revenue generation: Reported $55,489 in 202405 and $70,148 in 202305.
Positive asset growth: Assets increased from $19,701 in 202305 to $29,241 in 202405, and currently $33,732.
Zero liabilities: Reported $0 liabilities in both 202305 and 202405, indicating strong financial health.
No reported officer compensation: 0% officer compensation in both periods suggests resources are directed to mission.
Operating with a surplus: Expenses ($45,948 in 202405) are consistently lower than revenue ($55,489 in 202405).
Spending Breakdown
How Colors Of The World Inc allocates its funds across programs, administration, and fundraising.
75%
Program Spending
Healthy — majority goes to mission
15%
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 Colors Of The World Inc
Is Colors Of The World Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Colors Of The World Inc (EIN: 10848553) appears trustworthy. Mission Score: 85/100. 0 red flags identified, 5 strengths noted.
Is Colors Of The World Inc a good charity to donate to?
Colors Of The World Inc has a Mission Score of 85/100. Revenue: $87K. Assets: $34K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Colors Of The World Inc?
The Employer Identification Number (EIN) for Colors Of The World Inc is 10848553. 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 Colors Of The World Inc spend its money?
Colors Of The World Inc allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Colors Of The World Inc's tax-exempt status?
You can verify Colors Of The World Inc's tax-exempt status using EIN 10848553 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
Colors Of The World Inc appears to be in a stable financial position, demonstrating consistent revenue generation and asset growth over the past two reported periods. In the 202405 period, the organization reported revenue of $55,489 against expenses of $45,948, indicating a surplus. This positive trend is further supported by an increase in assets from $19,701 in 202305 to $29,241 in 202405, and currently standing at $33,732. The organization also reports zero liabilities in both periods, which is a strong indicator of financial health and low risk.
The organization's spending efficiency cannot be fully assessed without a detailed breakdown of expenses into program, administrative, and fundraising categories, which is not provided in the summary data. However, the consistent surplus suggests responsible management of funds relative to their operational scale. The absence of reported officer compensation in both periods indicates that executive leadership is either unpaid or compensated through other means not captured in this specific metric, which can be a positive sign for donor confidence regarding resource allocation directly to mission-related activities. Transparency is good given the availability of two years of 990 data.