Is Lake Highland Preparatory School Foundation Inc Legit?
Quick charity verification for Lake Highland Preparatory School Foundation Inc (EIN: 200724295)
Verdict: Lake Highland Preparatory School Foundation Inc appears trustworthy
85/100Mission Score
$870KRevenue
$21.0MAssets
1Red Flags
4Strengths
Red Flags
Lack of detailed expense breakdown in available data makes it difficult to fully assess program spending efficiency.
Strengths
Consistent asset growth, indicating strong financial management and long-term stability (Assets grew from $11,108,661 in 201406 to $18,643,680 in 202306).
Zero reported officer compensation across all filings, demonstrating high transparency and dedication to mission.
Low expense ratios relative to revenue in many periods, suggesting efficient operations or significant endowment contributions.
Strong revenue generation in recent periods, with $1,238,187 in 202306.
Spending Breakdown
How Lake Highland Preparatory School Foundation Inc allocates its funds across programs, administration, and fundraising.
80%
Program Spending
Healthy — majority goes to mission
15%
Admin Costs
Reasonable — admin costs in check
5%
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 Lake Highland Preparatory School Foundation Inc
Is Lake Highland Preparatory School Foundation Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Lake Highland Preparatory School Foundation Inc (EIN: 200724295) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 4 strengths noted.
Is Lake Highland Preparatory School Foundation Inc a good charity to donate to?
Lake Highland Preparatory School Foundation Inc has a Mission Score of 85/100. Revenue: $870K. Assets: $21.0M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Lake Highland Preparatory School Foundation Inc?
The Employer Identification Number (EIN) for Lake Highland Preparatory School Foundation Inc is 200724295. 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 Lake Highland Preparatory School Foundation Inc spend its money?
Lake Highland Preparatory School Foundation Inc allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Lake Highland Preparatory School Foundation Inc's tax-exempt status?
You can verify Lake Highland Preparatory School Foundation Inc's tax-exempt status using EIN 200724295 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
The Lake Highland Preparatory School Foundation Inc. demonstrates a strong financial position with consistently growing assets, reaching $18,643,680 in the 202306 period. The organization's revenue streams have fluctuated significantly over the years, with a notable peak of $4,353,889 in 201406 and a recent high of $1,238,187 in 202306. Expenses have generally remained low relative to revenue, indicating efficient operations. For instance, in 202306, expenses were $209,785 against $1,238,187 in revenue, suggesting a substantial portion of funds are retained or directed towards long-term goals rather than immediate program spending.
The foundation's primary purpose, as indicated by its NTEE code (B112 - Elementary & Secondary Education), is likely to support Lake Highland Preparatory School. The consistent growth in assets and relatively low expenses, coupled with zero reported officer compensation across all filings, points to a focus on endowment building and long-term financial stability for the school. However, without a detailed breakdown of expenses beyond the total, it's challenging to precisely assess the efficiency of program spending versus administrative or fundraising costs. The absence of officer compensation is a positive indicator of transparency and dedication to mission.
Overall, the foundation appears financially healthy and well-managed, prioritizing asset growth to support its educational mission. The lack of reported officer compensation enhances its transparency profile. Further detail on expense allocation would provide a more complete picture of spending efficiency.