Quick charity verification for Lake Ridge Elderly Development Inc (EIN: 208705744)
Verdict: Lake Ridge Elderly Development Inc appears trustworthy
90/100Mission Score
$1.9MRevenue
$4.6MAssets
2Red Flags
4Strengths
Red Flags
Consistent decline in total assets over the past nine years, from $6,505,295 in 2015 to $5,038,422 in 2023, warrants further investigation.
Expenses exceeded revenue in several recent years (e.g., 2023, 2022, 2021, 2019, 2018), indicating reliance on reserves or other funding sources to cover operational costs.
Strengths
Zero reported officer compensation across all filings, indicating highly efficient use of funds for mission-related activities.
Consistent revenue generation, generally between $1.6 million and $1.9 million annually, demonstrating stable funding streams.
Long history of IRS 990 filings (9 filings), suggesting established operations and compliance.
NTEE code (L21 - Housing for the Elderly) aligns perfectly with the organization's name and apparent mission, indicating clear programmatic focus.
Spending Breakdown
How Lake Ridge Elderly Development Inc allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
8%
Admin Costs
Reasonable — admin costs in check
2%
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 Ridge Elderly Development Inc
Is Lake Ridge Elderly Development Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Lake Ridge Elderly Development Inc (EIN: 208705744) appears trustworthy. Mission Score: 90/100. 2 red flags identified, 4 strengths noted.
Is Lake Ridge Elderly Development Inc a good charity to donate to?
Lake Ridge Elderly Development Inc has a Mission Score of 90/100. Revenue: $1.9M. Assets: $4.6M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Lake Ridge Elderly Development Inc?
The Employer Identification Number (EIN) for Lake Ridge Elderly Development Inc is 208705744. 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 Ridge Elderly Development Inc spend its money?
Lake Ridge Elderly Development Inc allocates 90% to programs, 8% to administration, and 2% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Lake Ridge Elderly Development Inc's tax-exempt status?
You can verify Lake Ridge Elderly Development Inc's tax-exempt status using EIN 208705744 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
Lake Ridge Elderly Development Inc. appears to be a financially stable organization focused on its mission, as evidenced by its consistent revenue streams and asset base. Over the past several years, the organization has maintained revenues generally between $1.6 million and $1.9 million, with expenses closely tracking revenue, indicating a balanced operational budget. For instance, in 2023, revenue was $1,860,470 against expenses of $1,977,967, showing a slight deficit but within a reasonable range for a nonprofit of this size. The organization's assets have seen a gradual decline from $6,505,295 in 2015 to $5,038,422 in 2023, which warrants further investigation but does not immediately suggest financial distress given the corresponding liabilities.
The organization demonstrates strong financial efficiency in its operations, particularly with 0% reported officer compensation across all available filings. This suggests that the organization is either entirely volunteer-led at the executive level or that executive compensation is reported under other expense categories, which would require further clarification for complete transparency. However, based on the available data, the absence of reported officer compensation is a significant positive indicator of resource allocation directly towards its programs. The NTEE code L21 (Housing for the Elderly) aligns with the organization's name, suggesting a clear programmatic focus.
While the 990 data provides a good overview, a deeper dive into the specific breakdown of program, administrative, and fundraising expenses would offer a more granular understanding of spending efficiency. The consistent reporting and lack of officer compensation contribute positively to its transparency profile. The organization's ability to manage its finances with minimal fluctuations in revenue and expenses over nearly a decade suggests a well-managed operation, although the declining asset trend should be monitored.