Quick charity verification for Hancock Point Village Improvement (EIN: 16020645)
Verdict: Hancock Point Village Improvement appears trustworthy
90/100Mission Score
$132KRevenue
$418KAssets
0Red Flags
5Strengths
No red flags identified.
Strengths
Consistent asset growth: Assets increased from $279,912 in 2019 to $390,428 in 2023, demonstrating strong financial management.
Zero liabilities: The organization consistently reports $0 in liabilities, indicating excellent fiscal responsibility and low financial risk.
No officer compensation: 0% officer compensation across all filings suggests a highly efficient, volunteer-driven leadership model.
Stable and growing revenue: Revenue has shown a positive trend, from $106,071 in 2019 to $137,397 in 2023, ensuring sustainability.
Positive net income: In most recent years (e.g., 2023 revenue $137,397 vs. expenses $90,119), the organization has generated a surplus, contributing to asset growth.
Spending Breakdown
How Hancock Point Village Improvement 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 Hancock Point Village Improvement
Is Hancock Point Village Improvement a legitimate charity?
Based on AI analysis of IRS 990 filings, Hancock Point Village Improvement (EIN: 16020645) appears trustworthy. Mission Score: 90/100. 0 red flags identified, 5 strengths noted.
Is Hancock Point Village Improvement a good charity to donate to?
Hancock Point Village Improvement has a Mission Score of 90/100. Revenue: $132K. Assets: $418K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Hancock Point Village Improvement?
The Employer Identification Number (EIN) for Hancock Point Village Improvement is 16020645. 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 Hancock Point Village Improvement spend its money?
Hancock Point Village Improvement allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Hancock Point Village Improvement's tax-exempt status?
You can verify Hancock Point Village Improvement's tax-exempt status using EIN 16020645 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
Hancock Point Village Improvement demonstrates consistent financial health with a growing asset base and stable revenue. Over the past five years, assets have increased from $279,912 in 2019 to $390,428 in 2023, indicating sound financial management and accumulation of resources. The organization consistently operates with zero liabilities, which is a strong indicator of fiscal responsibility and low financial risk. While specific program spending details are not provided in the summary data, the absence of officer compensation suggests that resources are likely directed towards the organization's mission rather than executive salaries.
The organization's spending efficiency appears reasonable, with expenses generally below or close to revenue, allowing for asset growth. For instance, in 2023, revenue was $137,397 against expenses of $90,119, resulting in a surplus. The lack of officer compensation also points to a lean operational structure, which can contribute to higher spending efficiency. However, without a detailed breakdown of expenses into program, administrative, and fundraising categories, a precise assessment of spending efficiency is challenging.
Transparency is generally good given the consistent filing of IRS Form 990s. The absence of officer compensation is a positive transparency indicator, as it shows that the organization is not allocating funds to executive salaries. To further enhance transparency, a more detailed public breakdown of how expenses are categorized (program, administrative, fundraising) would be beneficial for donors and stakeholders.