Is Ech Housing Inc Legit?

Quick charity verification for Ech Housing Inc (EIN: 161362897)

Verdict: Ech Housing Inc shows mixed signals

60/100Mission Score

$4.9MRevenue

$12.2MAssets

4Red Flags

3Strengths

Red Flags

Consistent operating deficits: Expenses have exceeded revenue in multiple recent years (e.g., $5.67M expenses vs. $4.49M revenue in 2023).
Liabilities exceeding assets: In 2023, liabilities ($13,645,240) surpassed assets ($12,721,301), indicating potential insolvency.
Significant fluctuation in assets and liabilities over time, suggesting potential instability or major capital projects without clear financial backing.
Lack of detailed expense breakdown (program, admin, fundraising) in the provided data, hindering a full assessment of spending efficiency.

Strengths

Zero officer compensation reported across all filings, indicating a strong commitment to directing funds to the mission.
Significant asset base ($12,236,706 latest reported), though currently outweighed by liabilities.
Long filing history (13 filings), suggesting established operations.

Spending Breakdown

How Ech Housing 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 Ech Housing Inc

Is Ech Housing Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Ech Housing Inc (EIN: 161362897) shows mixed signals. Mission Score: 60/100. 4 red flags identified, 3 strengths noted.

Is Ech Housing Inc a good charity to donate to?

Ech Housing Inc has a Mission Score of 60/100. Revenue: $4.9M. Assets: $12.2M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Ech Housing Inc?

The Employer Identification Number (EIN) for Ech Housing Inc is 161362897. 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 Ech Housing Inc spend its money?

Ech Housing Inc allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Ech Housing Inc's tax-exempt status?

You can verify Ech Housing Inc's tax-exempt status using EIN 161362897 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

Ech Housing Inc. demonstrates a concerning trend of operating deficits in recent years, with expenses consistently exceeding revenue. For example, in 2023, expenses were $5,666,560 against revenues of $4,492,612, and in 2022, expenses were $4,972,147 against revenues of $4,231,285. This sustained deficit spending, while potentially tied to specific program delivery or capital investments, raises questions about long-term financial sustainability. The organization's assets have fluctuated significantly, peaking at $13,581,449 in 2021 before declining to $12,721,301 in 2023, while liabilities have generally increased, reaching $13,645,240 in 2023, exceeding assets. This indicates a potentially precarious financial position where liabilities outweigh assets.

Despite these financial challenges, the organization reports 0% officer compensation across all available filings, which is a strong indicator of financial transparency and a commitment to directing funds towards its mission rather than executive salaries. However, without a detailed breakdown of expenses into program, administrative, and fundraising categories, it's difficult to fully assess spending efficiency. The consistent operational losses suggest that the organization may be struggling to cover its costs through its current revenue streams, which could impact its ability to sustain its programs in the future. Further details on the nature of these expenses would be crucial for a complete understanding of its financial health.

View Full Transparency Report →

Disclaimer

AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.