Quick charity verification for Direct Steps Foundation Inc (EIN: 204183908)
Verdict: Direct Steps Foundation Inc has notable concerns
20/100Mission Score
$195KRevenue
$10KAssets
3Red Flags
2Strengths
Red Flags
Prolonged period of zero revenue and expenses (2017-2020), indicating dormancy.
Minimal assets ($1-$38 in recent years) suggesting lack of financial capacity.
Unclear current operational status and future plans given inactivity.
Strengths
Consistent filing of IRS 990 forms, demonstrating basic compliance.
No reported officer compensation across all filings, indicating unpaid leadership.
Spending Breakdown
How Direct Steps Foundation Inc allocates its funds across programs, administration, and fundraising.
0%
Program Spending
Concerning — less than half to programs
0%
Admin Costs
Reasonable — admin costs in check
0%
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 Direct Steps Foundation Inc
Is Direct Steps Foundation Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Direct Steps Foundation Inc (EIN: 204183908) has notable concerns. Mission Score: 20/100. 3 red flags identified, 2 strengths noted.
Is Direct Steps Foundation Inc a good charity to donate to?
Direct Steps Foundation Inc has a Mission Score of 20/100. Revenue: $195K. Assets: $10K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Direct Steps Foundation Inc?
The Employer Identification Number (EIN) for Direct Steps Foundation Inc is 204183908. 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 Direct Steps Foundation Inc spend its money?
Direct Steps Foundation Inc allocates 0% to programs, 0% to administration, and 0% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Direct Steps Foundation Inc's tax-exempt status?
You can verify Direct Steps Foundation Inc's tax-exempt status using EIN 204183908 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
Direct Steps Foundation Inc appears to be a very small, largely inactive organization based on its recent IRS 990 filings. For the periods 2017-2020, the organization reported zero revenue and zero expenses, with minimal assets (ranging from $1 to $38). This suggests a significant dormancy or extremely limited operations in recent years. While the organization had some activity between 2013 and 2016, with revenues peaking at $75,142 in 2013, its current financial state indicates a lack of significant programmatic or fundraising activity.
The financial data provided does not allow for a detailed analysis of spending efficiency or transparency beyond the observation of its current inactivity. With no reported expenses in recent years, there's no basis to assess program spending ratios or administrative overhead. The consistent reporting of zero officer compensation across all filings suggests that any leadership is unpaid, which is a positive for donor funds if the organization were active. However, the prolonged period of inactivity raises questions about its current operational status and future viability.
Given the lack of recent financial activity, assessing transparency is challenging. The organization has consistently filed its 990s, which is a basic level of compliance. However, without active programs or significant financial transactions, there's little to scrutinize in terms of financial disclosures beyond the fact of its dormancy.