Quick charity verification for Darby Foundation (EIN: 136212178)
Verdict: Darby Foundation shows mixed signals
60/100Mission Score
$318KRevenue
$1.9MAssets
3Red Flags
3Strengths
Red Flags
Consistent spending exceeding revenue in multiple years (e.g., 2023, 2021, 2020, 2019), leading to asset depletion.
Significant decline in total assets from $5.7 million in 2014 to $1.7 million in 2023.
Lack of NTEE code, making it difficult to understand the organization's specific mission and program area.
Strengths
Zero officer compensation reported across all filings, indicating efficient use of funds for executive salaries.
Minimal liabilities consistently reported, suggesting strong financial control over debt.
Significant asset base, even after depletion, provides a buffer for future operations or distributions.
Spending Breakdown
How Darby Foundation 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 Darby Foundation
Is Darby Foundation a legitimate charity?
Based on AI analysis of IRS 990 filings, Darby Foundation (EIN: 136212178) shows mixed signals. Mission Score: 60/100. 3 red flags identified, 3 strengths noted.
Is Darby Foundation a good charity to donate to?
Darby Foundation has a Mission Score of 60/100. Revenue: $318K. Assets: $1.9M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Darby Foundation?
The Employer Identification Number (EIN) for Darby Foundation is 136212178. 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 Darby Foundation spend its money?
Darby Foundation allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Darby Foundation's tax-exempt status?
You can verify Darby Foundation's tax-exempt status using EIN 136212178 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
The Darby Foundation exhibits inconsistent financial activity, with significant fluctuations in revenue and expenses over the past decade. While the organization consistently reports minimal liabilities and zero officer compensation, which are positive indicators of financial prudence and transparency, its operational efficiency is questionable. In 2023, the foundation reported revenue of only $13,688 against expenses of $301,144, indicating a substantial deficit. This trend of expenses far exceeding revenue is common in several recent years (e.g., 2021, 2020, 2019), suggesting reliance on prior year assets or investment income not fully captured in 'revenue' or a deliberate strategy of spending down assets. The foundation's assets have also seen a considerable decline from a high of $5,786,332 in 2014 to $1,700,555 in 2023, which aligns with periods of high expenses relative to revenue. The lack of NTEE code information makes it difficult to assess program focus without further details.
The foundation's transparency is commendable regarding executive compensation, consistently reporting 0% for officers. However, the wide swings in financial figures and the consistent spending down of assets raise questions about long-term sustainability and the specific nature of its programmatic activities. Without a clear breakdown of expenses into program, administrative, and fundraising categories, it's challenging to fully assess spending efficiency. The foundation's financial health appears to be in a state of asset depletion, with expenses frequently outstripping revenue, suggesting a potential strategy of distributing its endowment or a need for significant revenue generation to sustain operations at current spending levels.
Given the available data, the Darby Foundation appears to be a grant-making or asset-distributing entity rather than an operational charity with ongoing program service expenses. The consistent 'Liabilities=$1' across all filings is unusual and might indicate a specific accounting practice or a very lean operational structure. The absence of officer compensation is a strong positive for transparency and resource allocation, assuming the foundation's mission is being effectively pursued.