Is Honor Bound Foundation Inc Legit? —…

Red Flags

Consistent and significant operating deficits for multiple years (e.g., $160,508 revenue vs. $480,467 expenses in 2023).
Dramatic decline in annual revenue from $9.5 million in 2016 to $160,508 in 2023.
Substantial decrease in total assets from $3.47 million in 2018 to $532,151 in 2023, indicating asset depletion.
Expenses consistently exceeding revenue, raising concerns about financial sustainability.

Spending Breakdown

How Honor Bound Foundation 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 Honor Bound Foundation Inc

Is Honor Bound Foundation Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Honor Bound Foundation Inc (EIN: 133102064) shows mixed signals. Mission Score: 45/100. 4 red flags identified, 2 strengths noted.

Is Honor Bound Foundation Inc a good charity to donate to?

Honor Bound Foundation Inc has a Mission Score of 45/100. Revenue: $140K. Assets: $14K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Honor Bound Foundation Inc?

The Employer Identification Number (EIN) for Honor Bound Foundation Inc is 133102064. 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 Honor Bound Foundation Inc spend its money?

Honor Bound Foundation Inc allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Honor Bound Foundation Inc's tax-exempt status?

You can verify Honor Bound Foundation Inc's tax-exempt status using EIN 133102064 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

Honor Bound Foundation Inc. exhibits a concerning trend of declining revenue and increasing deficits over the past several years. In 2023, the organization reported revenue of $160,508 against expenses of $480,467, resulting in a significant operating deficit. This continues a pattern seen in 2022 (revenue $380,111, expenses $655,911) and 2021 (revenue $304,563, expenses $624,688). The organization's assets have also seen a substantial decrease from a peak of $3,471,347 in 2018 to $532,151 in 2023, indicating a depletion of reserves.

The financial health appears to be deteriorating, with expenses consistently outstripping revenue. While the provided data does not detail the breakdown of program, administrative, and fundraising expenses, the overall financial trajectory suggests potential sustainability issues. The consistent reporting of 0% officer compensation across all filings is a positive indicator of executive compensation transparency and potentially lower administrative overhead in that specific area, though a full breakdown of other administrative costs would be necessary for a complete assessment of spending efficiency.

Given the significant and sustained operating deficits, the organization's long-term financial viability is questionable without a substantial change in its revenue generation or expense management strategies. The sharp decline in revenue from a high of $9,519,712 in 2016 to $160,508 in 2023 is particularly alarming and warrants further investigation into the causes and the organization's plans to address this trend.

Is Honor Bound Foundation Inc Legit?

Verdict: Honor Bound Foundation Inc shows mixed signals