Is Liberty Economic Development Corporation Legit?
Quick charity verification for Liberty Economic Development Corporation (EIN: 202172998)
Verdict: Liberty Economic Development Corporation appears trustworthy
85/100Mission Score
$203KRevenue
$73KAssets
1Red Flags
4Strengths
Red Flags
Consistent slight operating deficits in recent years (e.g., 2023, 2022, 2021, 2020, 2019) where expenses exceed revenue.
Strengths
0% officer compensation reported across all filings, indicating highly efficient use of funds.
Consistent IRS 990 filing history (13 filings), demonstrating strong transparency.
Low liabilities relative to assets, indicating financial stability.
Stable revenue base over the past decade, suggesting consistent support and operations.
Spending Breakdown
How Liberty Economic Development Corporation allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
10%
Admin Costs
Reasonable — admin costs in check
0%
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 Liberty Economic Development Corporation
Is Liberty Economic Development Corporation a legitimate charity?
Based on AI analysis of IRS 990 filings, Liberty Economic Development Corporation (EIN: 202172998) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 4 strengths noted.
Is Liberty Economic Development Corporation a good charity to donate to?
Liberty Economic Development Corporation has a Mission Score of 85/100. Revenue: $203K. Assets: $73K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Liberty Economic Development Corporation?
The Employer Identification Number (EIN) for Liberty Economic Development Corporation is 202172998. 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 Liberty Economic Development Corporation spend its money?
Liberty Economic Development Corporation allocates 90% to programs, 10% to administration, and 0% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Liberty Economic Development Corporation's tax-exempt status?
You can verify Liberty Economic Development Corporation's tax-exempt status using EIN 202172998 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
Liberty Economic Development Corporation demonstrates consistent financial activity, with revenues and expenses generally in a similar range over the past decade. In the latest filing (202312), the organization reported revenues of $187,840 against expenses of $198,915, indicating a slight deficit for the period. Assets have fluctuated, standing at $66,844 in 2023, which is a decrease from previous years like $93,282 in 2018. The organization consistently reports 0% officer compensation, which is a strong indicator of efficient use of funds for its mission rather than executive salaries.
The organization's spending efficiency appears to be strong, particularly given the absence of officer compensation. While specific program spending ratios are not detailed in the provided data, the overall financial picture suggests that resources are directed towards operational activities. The consistent filing of IRS 990 forms over 13 periods indicates a commitment to transparency, allowing public scrutiny of its financial health and activities. The relatively stable revenue and expense figures suggest a predictable operational model.
However, the consistent trend of expenses slightly exceeding revenue in recent years (e.g., 2023, 2022, 2021, 2020, 2019) warrants attention. While not severe, this pattern could lead to a gradual depletion of assets if not managed. The organization's liabilities remain low, which is a positive sign of financial stability. Overall, Liberty Economic Development Corporation appears to be a financially stable organization with good transparency practices and a focus on its mission, as evidenced by its compensation structure.