Unusually low liabilities in earlier years ($0 from 2017-2019) followed by a sudden increase to $10,823 in 2023, warranting further investigation into their nature.
Consistent 0% officer compensation for an organization with nearly $9.5 million in revenue is highly unusual and could indicate compensation is reported in other categories or that the leadership is entirely volunteer, which might raise questions about sustainability or reporting practices.
Strengths
Consistent and significant revenue growth, from $3.05M in 2014 to $9.47M in 2023.
Strong program spending ratio, estimated at 88% of total expenses, indicating efficient use of funds for its mission.
Healthy asset growth, from $506,877 in 2014 to $7,755,630 in 2023, providing financial stability.
No reported officer compensation, suggesting a highly lean or volunteer-led executive structure.
Positive net income (Revenue > Expenses) in most reported years, contributing to asset accumulation.
Spending Breakdown
How Explore Freedom Services Inc allocates its funds across programs, administration, and fundraising.
88%
Program Spending
Healthy — majority goes to mission
7%
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 Explore Freedom Services Inc
Is Explore Freedom Services Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Explore Freedom Services Inc (EIN: 20772791) appears trustworthy. Mission Score: 92/100. 2 red flags identified, 5 strengths noted.
Is Explore Freedom Services Inc a good charity to donate to?
Explore Freedom Services Inc has a Mission Score of 92/100. Revenue: $9.5M. Assets: $8.9M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Explore Freedom Services Inc?
The Employer Identification Number (EIN) for Explore Freedom Services Inc is 20772791. 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 Explore Freedom Services Inc spend its money?
Explore Freedom Services Inc allocates 88% to programs, 7% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Explore Freedom Services Inc's tax-exempt status?
You can verify Explore Freedom Services Inc's tax-exempt status using EIN 20772791 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
Explore Freedom Services Inc demonstrates consistent financial growth over the past decade, with revenue increasing from $3,053,511 in 2014 to $9,476,350 in 2023. The organization consistently spends a high proportion of its expenses on program services, indicating a strong focus on its mission. For instance, in 2023, with total expenses of $8,243,473, a significant majority was directed towards programs, reflecting efficient use of funds.
The organization's assets have also grown steadily, reaching $7,755,630 in 2023, which provides a solid financial foundation. However, a notable increase in liabilities, from $0 in 2019 to $10,823 in 2023, warrants closer examination, although the current amount is relatively small compared to assets and revenue. The consistent reporting of 0% officer compensation across all filings suggests a volunteer-led or very lean executive structure, which can be a positive indicator of resource allocation.
Overall, Explore Freedom Services Inc appears to be a financially healthy and efficient organization with a strong commitment to its programmatic goals. The consistent growth in revenue and assets, coupled with a high program spending ratio and no reported officer compensation, points to a well-managed and transparent operation. Further detail on the nature of the liabilities would enhance a complete understanding.