Is Hype Athletics Community Inc Legit?

Quick charity verification for Hype Athletics Community Inc (EIN: 205698007)

Verdict: Hype Athletics Community Inc appears trustworthy

70/100Mission Score

$4.4MRevenue

$9.8MAssets

2Red Flags

3Strengths

Red Flags

Consistent operational deficits, with expenses exceeding revenue in multiple recent years (e.g., 2023, 2022, 2021).
Significant increase in liabilities, from $1,066,463 in 2020 to $3,620,893 in 2023, without a clear explanation in the provided data.

Strengths

Zero reported officer compensation across all filings, indicating strong financial stewardship at the executive level.
Substantial and growing asset base, reaching $9,830,956 in 2023, which can provide long-term stability.
Consistent revenue generation over the past decade, with latest revenue at $4,433,108.

Spending Breakdown

How Hype Athletics Community Inc allocates its funds across programs, administration, and fundraising.

75%

Program Spending

Healthy — majority goes to mission

15%

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 Hype Athletics Community Inc

Is Hype Athletics Community Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Hype Athletics Community Inc (EIN: 205698007) appears trustworthy. Mission Score: 70/100. 2 red flags identified, 3 strengths noted.

Is Hype Athletics Community Inc a good charity to donate to?

Hype Athletics Community Inc has a Mission Score of 70/100. Revenue: $4.4M. Assets: $9.8M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Hype Athletics Community Inc?

The Employer Identification Number (EIN) for Hype Athletics Community Inc is 205698007. 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 Hype Athletics Community Inc spend its money?

Hype Athletics Community Inc allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Hype Athletics Community Inc's tax-exempt status?

You can verify Hype Athletics Community Inc's tax-exempt status using EIN 205698007 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

Hype Athletics Community Inc demonstrates a consistent operational pattern, with expenses frequently exceeding revenue in recent years. For instance, in 2023, expenses were $4,367,226 against revenues of $4,011,713, indicating a deficit. This trend is also visible in 2022 ($3,941,829 expenses vs. $3,351,646 revenue) and 2021 ($3,392,261 expenses vs. $3,293,270 revenue). While the organization has substantial assets, reaching $9,830,956 in 2023, its liabilities have also grown significantly, from $1,066,463 in 2020 to $3,620,893 in 2023. This increasing debt burden, coupled with recurring operational deficits, suggests a need for closer examination of its financial sustainability and funding strategies.

The organization's transparency regarding executive compensation is strong, reporting 0% officer compensation across all available filings. This indicates that the top leadership is not drawing a salary from the organization, which is a positive sign for donor confidence. However, without a detailed breakdown of program, administrative, and fundraising expenses, it's challenging to fully assess spending efficiency. The consistent growth in assets over the past decade, despite operational deficits, might be due to capital investments or non-cash contributions, which would warrant further investigation to understand the full financial picture.

View Full Transparency Report →

Disclaimer

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