Quick charity verification for Heartworks Inc (EIN: 205555551)
Verdict: Heartworks Inc shows mixed signals
65/100Mission Score
$380KRevenue
$206KAssets
3Red Flags
3Strengths
Red Flags
Expenses exceeded revenue in multiple recent years (2023, 2022, 2020, 2019), indicating operational deficits.
Assets have declined significantly from $294,526 in 2021 to $149,578 in 2023, reducing financial reserves.
Significant year-over-year fluctuations in expenses, such as the jump from $389,152 in 2021 to $541,133 in 2022, without clear explanation.
Strengths
Consistent filing of IRS Form 990s for 13 periods, demonstrating transparency.
Reported 0% officer compensation across all filings, suggesting efficient use of donor funds for leadership costs.
Long operational history (at least since 2014) indicates established presence and experience.
Spending Breakdown
How Heartworks Inc allocates its funds across programs, administration, and fundraising.
70%
Program Spending
Below average — room for improvement
20%
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 Heartworks Inc
Is Heartworks Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Heartworks Inc (EIN: 205555551) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 3 strengths noted.
Is Heartworks Inc a good charity to donate to?
Heartworks Inc has a Mission Score of 65/100. Revenue: $380K. Assets: $206K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Heartworks Inc?
The Employer Identification Number (EIN) for Heartworks Inc is 205555551. 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 Heartworks Inc spend its money?
Heartworks Inc allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Heartworks Inc's tax-exempt status?
You can verify Heartworks Inc's tax-exempt status using EIN 205555551 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
Heartworks Inc. demonstrates a consistent operational history with revenues generally ranging between $300,000 and $500,000 over the past decade. While the organization has experienced fluctuations in its financial performance, with expenses exceeding revenue in several recent years (e.g., 2023, 2022, 2020, 2019), its asset base has remained relatively stable, indicating some financial resilience. The most recent filing shows a deficit of $29,816 (Expenses $340,481 vs. Revenue $310,665) and a decrease in assets from $166,798 to $149,578, which warrants attention.
The organization's transparency is bolstered by its consistent filing of IRS Form 990s, with 13 filings available. A significant positive indicator is the reported 0% officer compensation across all available filings, suggesting that leadership is either volunteer-based or compensated through other means not classified as officer compensation, which can be a sign of efficient resource allocation. However, without a detailed breakdown of expenses, it's challenging to fully assess spending efficiency beyond the high-level revenue and expense figures.
Overall, Heartworks Inc. appears to be a small to medium-sized nonprofit with a long operational history. While recent deficits and declining assets are a concern, the lack of officer compensation is a strong positive for resource allocation. Further analysis would require a detailed breakdown of program, administrative, and fundraising expenses to fully evaluate spending efficiency and program focus.