Is Laguntza Foundation Legit?

Red Flags

Consistent and significant operating deficits, with expenses far exceeding revenue in multiple recent years (e.g., 2023, 2022).
Significant draw-down of assets over recent years (from $2,244,108 in 2021 to $1,687,160 in 2023) to cover operational costs.
Lack of detailed expense breakdown (program, admin, fundraising) in the provided data, hindering assessment of spending efficiency.
No reported officer compensation despite substantial assets and expenses, which could indicate a lack of transparency or an unusual operational model.

Strengths

Maintains substantial assets ($1,687,160 in 2023), providing a buffer despite operating deficits.
Consistently low reported liabilities ($1 across most filings), indicating minimal debt burden.
Consistent filing history (10 filings), demonstrating adherence to IRS reporting requirements.
No reported officer compensation, which could indicate efficient use of funds if executive leadership is truly volunteer-based.

Spending Breakdown

How Laguntza Foundation 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 Laguntza Foundation

Is Laguntza Foundation a legitimate charity?

Based on AI analysis of IRS 990 filings, Laguntza Foundation (EIN: 208638559) shows mixed signals. Mission Score: 55/100. 4 red flags identified, 4 strengths noted.

Is Laguntza Foundation a good charity to donate to?

Laguntza Foundation has a Mission Score of 55/100. Revenue: $832K. Assets: $1.4M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Laguntza Foundation?

The Employer Identification Number (EIN) for Laguntza Foundation is 208638559. 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 Laguntza Foundation spend its money?

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

How can I verify Laguntza Foundation's tax-exempt status?

You can verify Laguntza Foundation's tax-exempt status using EIN 208638559 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

Laguntza Foundation exhibits a concerning financial trend with expenses consistently exceeding revenue in recent years, particularly in 2023 where expenses were $508,069 against revenue of $103,618, and in 2022 with $154,527 in expenses versus only $2,030 in revenue. This indicates a reliance on existing assets or prior period surpluses to cover operational costs, which is not sustainable long-term. While the organization maintains substantial assets, reported at $1,687,160 in 2023, the significant draw-down from assets (e.g., from $2,244,108 in 2021) suggests a depletion of reserves. The consistent reporting of minimal liabilities ($1 across most filings) is a positive indicator of financial solvency in terms of debt, but the overall financial health is challenged by the negative net income trends.

The organization's transparency is generally good, with 10 filings available, indicating consistent reporting. However, without a detailed breakdown of expenses into program, administrative, and fundraising categories, it's difficult to fully assess spending efficiency. The absence of reported officer compensation across all filings suggests either a volunteer-led executive team or compensation below reporting thresholds, which could be a positive for resource allocation if true, but also warrants further inquiry to ensure proper governance and accountability. The NTEE code T20 (Philanthropy, Voluntarism, and Grantmaking Foundations) suggests a focus on grantmaking, which typically involves distributing funds to other organizations rather than direct program delivery, making the expense-to-revenue ratio even more critical to understand in the context of their mission.

Verdict: Laguntza Foundation shows mixed signals