Is Hope Center Legit?

Quick charity verification for Hope Center (EIN: 205896104)

Verdict: Hope Center appears trustworthy

85/100Mission Score

$200KRevenue

$292KAssets

2Red Flags

4Strengths

Red Flags

Operating deficits in multiple years (e.g., 2017: $199,895 revenue vs. $206,314 expenses; 2014: $132,633 revenue vs. $133,400 expenses; 2011: $109,556 revenue vs. $110,773 expenses).
Significant increase in liabilities from $0 in 2011 to $167,665 in 2017, which could impact long-term financial stability if not managed effectively.

Strengths

Consistent IRS 990 filing history over seven years, demonstrating transparency.
Zero reported officer compensation across all filings, indicating high potential for program spending efficiency.
Substantial asset growth from $9,626 in 2011 to $292,438 in 2017, showing effective asset management.
Consistent revenue generation over a decade, with latest revenue at $199,895.

Spending Breakdown

How Hope Center allocates its funds across programs, administration, and fundraising.

90%

Program Spending

Healthy — majority goes to mission

Admin Costs

Reasonable — admin costs in check

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 Hope Center

Is Hope Center a legitimate charity?

Based on AI analysis of IRS 990 filings, Hope Center (EIN: 205896104) appears trustworthy. Mission Score: 85/100. 2 red flags identified, 4 strengths noted.

Is Hope Center a good charity to donate to?

Hope Center has a Mission Score of 85/100. Revenue: $200K. Assets: $292K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Hope Center?

The Employer Identification Number (EIN) for Hope Center is 205896104. 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 Hope Center spend its money?

Hope Center allocates 90% to programs, 7% to administration, and 3% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Hope Center's tax-exempt status?

You can verify Hope Center's tax-exempt status using EIN 205896104 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

Hope Center demonstrates a consistent operational history with seven years of IRS 990 filings, indicating a commitment to transparency. The organization's latest filing shows revenue of $199,895 against expenses of $206,314, resulting in a slight deficit for the period. While this is a minor concern, it's important to note that the organization has experienced fluctuations, with a significant surplus in 2016 ($193,223 revenue vs. $121,902 expenses). The asset base has grown substantially from $9,626 in 2011 to $292,438 in 2017, suggesting effective asset management over the long term, although liabilities have also increased significantly from $0 to $167,665 over the same period. The absence of reported officer compensation across all filings suggests a volunteer-led or very lean administrative structure, which can contribute to higher program spending efficiency.

Spending efficiency appears to be strong, particularly given the zero reported officer compensation. This implies that a very high proportion of expenses are likely directed towards program services rather than administrative overhead or executive salaries. The organization's ability to maintain operations and grow its asset base over several years, despite occasional deficits, points to a resilient financial model. However, the increasing liabilities warrant monitoring to ensure long-term financial stability. Overall, Hope Center appears to be a financially stable organization with a strong focus on its mission, supported by its consistent filing history and efficient use of resources.

Transparency is further bolstered by the consistent filing of IRS 990 forms, providing a clear historical financial record. The lack of officer compensation is a notable positive, indicating that donor funds are not being used for executive salaries. While the specific breakdown of program, administrative, and fundraising expenses is not explicitly detailed in the provided data, the overall financial picture suggests a lean operation. The organization's growth in assets from $9,626 to $292,438 over six years, alongside managing liabilities, indicates a degree of financial sophistication and strategic planning.

View Full Transparency Report →

Disclaimer

AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.