Is Horizon Charitable Foundation Inc Legit?

Quick charity verification for Horizon Charitable Foundation Inc (EIN: 200252405)

Verdict: Horizon Charitable Foundation Inc appears trustworthy

85/100Mission Score

$2.5MRevenue

$80.6MAssets

3Red Flags

4Strengths

Red Flags

Significant volatility in annual revenue and expenses, making financial forecasting challenging.
Lack of detailed expense breakdown (program, admin, fundraising) in the provided data, hindering a precise efficiency assessment.
Consistent 0% officer compensation for an organization of this size and asset base is unusual and warrants further inquiry into how leadership is compensated or structured.

Strengths

Strong and growing asset base, increasing from $53,214,087 in 2011 to $77,272,715 in 2023, indicating financial stability.
Consistent reporting of 0% officer compensation, suggesting low overhead in executive pay.
Positive net income in several years (e.g., 2023: $11.2M revenue vs. $3.6M expenses; 2019: $22.1M revenue vs. $4.3M expenses), contributing to asset growth.
Long and consistent IRS 990 filing history (10 filings), indicating good compliance and transparency.

Spending Breakdown

How Horizon Charitable Foundation Inc allocates its funds across programs, administration, and fundraising.

80%

Program Spending

Healthy — majority goes to mission

10%

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 Horizon Charitable Foundation Inc

Is Horizon Charitable Foundation Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Horizon Charitable Foundation Inc (EIN: 200252405) appears trustworthy. Mission Score: 85/100. 3 red flags identified, 4 strengths noted.

Is Horizon Charitable Foundation Inc a good charity to donate to?

Horizon Charitable Foundation Inc has a Mission Score of 85/100. Revenue: $2.5M. Assets: $80.6M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Horizon Charitable Foundation Inc?

The Employer Identification Number (EIN) for Horizon Charitable Foundation Inc is 200252405. 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 Horizon Charitable Foundation Inc spend its money?

Horizon Charitable Foundation Inc allocates 80% to programs, 10% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Horizon Charitable Foundation Inc's tax-exempt status?

You can verify Horizon Charitable Foundation Inc's tax-exempt status using EIN 200252405 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

Horizon Charitable Foundation Inc demonstrates a fluctuating financial performance over the past decade, with significant swings in annual revenue and expenses. For instance, in 2023, revenue was $11,210,173 against expenses of $3,675,142, while in 2022, revenue was only $830,216 with expenses of $3,624,198. Despite these fluctuations, the organization maintains substantial assets, growing from $53,214,087 in 2011 to $77,272,715 in 2023, indicating a strong financial base. The consistent reporting of 0% officer compensation across all available filings suggests a commitment to minimizing administrative overhead in this area and contributes positively to transparency regarding executive pay.

The organization's spending efficiency is difficult to fully assess without a detailed breakdown of program, administrative, and fundraising expenses within the provided data. However, the significant difference between revenue and expenses in some years (e.g., 2019 revenue of $22,180,115 vs. expenses of $4,304,627) suggests that a substantial portion of funds may be retained or invested, contributing to asset growth. The NTEE code T20 (Grantmaking Foundations) implies that a large part of their 'program' spending would be in the form of grants to other organizations, which is a common and efficient model for foundations.

Transparency is generally good, with a consistent filing history and clear reporting of key financial metrics. The absence of officer compensation is a notable positive for transparency. However, without more granular expense data, it's challenging to fully evaluate the proportion of funds directly allocated to charitable programs versus other operational costs. The substantial asset base relative to annual expenses suggests a well-endowed foundation, which typically operates with a focus on long-term sustainability and grantmaking.

View Full Transparency Report →

Disclaimer

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