Quick charity verification for Dover Day Care Learning Center Inc (EIN: 20303815)
Verdict: Dover Day Care Learning Center Inc shows mixed signals
60/100Mission Score
$351KRevenue
$430KAssets
3Red Flags
2Strengths
Red Flags
Significant and consistent decline in revenue over recent years (from $854,080 in 2017 to $351,010 in 2020).
Consistent operating deficits, with expenses exceeding revenue in most recent periods (e.g., $370,705 expenses vs. $351,010 revenue in 2020).
High liabilities ($425,115) nearly matching total assets ($430,401) in the latest filing, indicating potential financial instability.
Strengths
Zero officer compensation reported across all nine filings, indicating efficient use of funds for programmatic purposes rather than executive salaries.
Long filing history (9 filings), suggesting a consistent operational presence.
Spending Breakdown
How Dover Day Care Learning Center 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 Dover Day Care Learning Center Inc
Is Dover Day Care Learning Center Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Dover Day Care Learning Center Inc (EIN: 20303815) shows mixed signals. Mission Score: 60/100. 3 red flags identified, 2 strengths noted.
Is Dover Day Care Learning Center Inc a good charity to donate to?
Dover Day Care Learning Center Inc has a Mission Score of 60/100. Revenue: $351K. Assets: $430K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Dover Day Care Learning Center Inc?
The Employer Identification Number (EIN) for Dover Day Care Learning Center Inc is 20303815. 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 Dover Day Care Learning Center Inc spend its money?
Dover Day Care Learning Center Inc allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Dover Day Care Learning Center Inc's tax-exempt status?
You can verify Dover Day Care Learning Center Inc's tax-exempt status using EIN 20303815 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
Dover Day Care Learning Center Inc has experienced a significant decline in revenue and expenses over the past few years, with revenue dropping from $854,080 in 2017 to $351,010 in 2020. This trend suggests a potential scaling back of operations or a change in funding streams. The organization has consistently reported expenses exceeding revenue in most recent periods, notably in 2019 where expenses were $636,442 against revenues of $352,273, indicating a reliance on reserves or other funding to cover operational costs. While the organization's assets have remained relatively stable, the liabilities have shown some fluctuation, with a notable increase in 2020 to $425,115, nearly matching its assets of $430,401, which raises concerns about its financial stability.
The organization's financial health appears to be under pressure due to the declining revenue and consistent operating deficits. The high liabilities relative to assets in the latest filing period (2020) suggest a precarious financial position. Without detailed expense breakdowns, it's challenging to fully assess spending efficiency, but the consistent deficit spending is a concern. The consistent reporting of 0% officer compensation across all filings indicates a commitment to directing funds towards the organization's mission rather than executive salaries, which is a positive sign for transparency and resource allocation.
Overall, while the lack of officer compensation is a positive indicator of resource allocation, the significant decline in revenue and the increasing liabilities relative to assets point to a challenging financial outlook for Dover Day Care Learning Center Inc. Further investigation into the reasons for revenue decline and the nature of the liabilities would be necessary for a complete understanding of its long-term sustainability.