Quick charity verification for Highlands Foundation Inc (EIN: 208036784)
Verdict: Highlands Foundation Inc appears trustworthy
75/100Mission Score
$687KRevenue
$5.5MAssets
3Red Flags
3Strengths
Red Flags
Highly volatile revenue and expense patterns, making financial planning and stability uncertain.
Significant and consistently high liabilities (e.g., over $3 million in recent years) relative to annual revenue, which could indicate financial risk.
Lack of detailed program spending breakdown in the provided data, making it difficult to assess program efficiency directly.
Strengths
Consistent reporting of 0% officer compensation, indicating a strong commitment to directing funds to the mission.
Significant growth in assets from $80,311 in 2019 to $5,507,024 currently, suggesting effective asset management or successful capital campaigns.
Positive net income in several years (e.g., 2023: Revenue $439,837 vs. Expenses $213,367), demonstrating an ability to operate within means.
Spending Breakdown
How Highlands Foundation 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 Highlands Foundation Inc
Is Highlands Foundation Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Highlands Foundation Inc (EIN: 208036784) appears trustworthy. Mission Score: 75/100. 3 red flags identified, 3 strengths noted.
Is Highlands Foundation Inc a good charity to donate to?
Highlands Foundation Inc has a Mission Score of 75/100. Revenue: $687K. Assets: $5.5M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Highlands Foundation Inc?
The Employer Identification Number (EIN) for Highlands Foundation Inc is 208036784. 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 Highlands Foundation Inc spend its money?
Highlands Foundation Inc allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Highlands Foundation Inc's tax-exempt status?
You can verify Highlands Foundation Inc's tax-exempt status using EIN 208036784 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
Highlands Foundation Inc. demonstrates inconsistent financial performance over the past several years, with significant fluctuations in both revenue and expenses. For instance, revenue ranged from a low of $63,111 in 2022 to a high of $1,933,295 in 2020. Similarly, expenses varied wildly, from $71,763 in 2019 to over $1 million in 2022. Despite these fluctuations, the organization has consistently reported zero officer compensation, which is a positive indicator of resource allocation directly to the mission rather than executive salaries. However, the substantial liabilities, often exceeding $3 million in recent years, warrant closer examination to understand their nature and impact on long-term financial stability. The organization's assets have grown significantly, from $80,311 in 2019 to over $5.5 million currently, suggesting effective asset management or significant capital injections, but the high liabilities remain a concern.