Is Embrace Families Community Based Care Inc Legit?
Quick charity verification for Embrace Families Community Based Care Inc (EIN: 10631375)
Verdict: Embrace Families Community Based Care Inc shows mixed signals
65/100Mission Score
$76.1MRevenue
$3.1MAssets
4Red Flags
3Strengths
Red Flags
Recurring net losses, with expenses exceeding revenue in multiple recent periods (e.g., $9.7M deficit in 2023).
Significant decline in assets from $8,097,066 in 2022 to $3,095,345 in 2023.
High liabilities ($15,752,956 in 2023) relative to declining assets, indicating potential financial strain.
Consistent reporting of 0% officer compensation for an organization of this scale, which may obscure actual executive remuneration.
Strengths
Consistent large-scale operations, with annual revenues typically exceeding $70 million, indicating significant reach and impact.
Long history of IRS 990 filings (14 filings), suggesting a commitment to regulatory compliance.
Focus on human services (NTEE P40) indicates a direct impact on community well-being.
Spending Breakdown
How Embrace Families Community Based Care Inc allocates its funds across programs, administration, and fundraising.
85%
Program Spending
Healthy — majority goes to mission
10%
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 Embrace Families Community Based Care Inc
Is Embrace Families Community Based Care Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Embrace Families Community Based Care Inc (EIN: 10631375) shows mixed signals. Mission Score: 65/100. 4 red flags identified, 3 strengths noted.
Is Embrace Families Community Based Care Inc a good charity to donate to?
Embrace Families Community Based Care Inc has a Mission Score of 65/100. Revenue: $76.1M. Assets: $3.1M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Embrace Families Community Based Care Inc?
The Employer Identification Number (EIN) for Embrace Families Community Based Care Inc is 10631375. 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 Embrace Families Community Based Care Inc spend its money?
Embrace Families Community Based Care Inc allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Embrace Families Community Based Care Inc's tax-exempt status?
You can verify Embrace Families Community Based Care Inc's tax-exempt status using EIN 10631375 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
Embrace Families Community Based Care Inc. demonstrates a consistent operational scale, with revenues and expenses typically in the range of $70-80 million annually over the past decade. However, the organization has reported net losses in several recent periods, including a significant deficit of nearly $9.7 million in the 202306 period (Expenses $85,824,295 vs. Revenue $76,092,919) and $1.25 million in 202206. This trend of expenses exceeding revenue warrants closer examination, as it has led to a decrease in assets from $8,097,066 in 2022 to $3,095,345 in 2023, while liabilities have remained substantial at $15,752,956 in 2023.
The organization's financial health appears to be under pressure due to these recurring deficits and a declining asset base relative to its liabilities. While the NTEE code P40 suggests a focus on human services, the lack of detailed spending breakdowns in the provided data makes it challenging to fully assess spending efficiency across programs, administration, and fundraising. The consistent reporting of 0% officer compensation across all filings is a notable point regarding executive pay, suggesting that top leadership may be compensated through other means or that the organization's structure does not involve direct officer compensation reported in this section.
Transparency regarding the allocation of its substantial budget would be enhanced by providing a clear breakdown of program service expenses versus administrative and fundraising costs. The significant liabilities compared to assets, particularly in the latest filing, indicate a potential liquidity concern that stakeholders should monitor. Despite the large operational scale, the financial trends suggest a need for strategic adjustments to ensure long-term sustainability and maintain a healthy balance sheet.