Quick charity verification for Llangollen Hope House (EIN: 205896098)
Verdict: Llangollen Hope House has notable concerns
35/100Mission Score
$41KRevenue
$512KAssets
4Red Flags
1Strengths
Red Flags
Consistent operating deficits (e.g., $41,012 revenue vs. $68,212 expenses in 2023)
Liabilities consistently exceed assets (e.g., $740,682 liabilities vs. $512,044 assets in 2023)
Declining asset base over the past decade (from $645,649 in 2014 to $512,044 in 2023)
Revenue has decreased over the past decade (from $56,670 in 2014 to $41,012 in 2023)
Strengths
0% officer compensation reported across all available filings, indicating no executive pay burden.
Spending Breakdown
How Llangollen Hope House 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 Llangollen Hope House
Is Llangollen Hope House a legitimate charity?
Based on AI analysis of IRS 990 filings, Llangollen Hope House (EIN: 205896098) has notable concerns. Mission Score: 35/100. 4 red flags identified, 1 strength noted.
Is Llangollen Hope House a good charity to donate to?
Llangollen Hope House has a Mission Score of 35/100. Revenue: $41K. Assets: $512K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Llangollen Hope House?
The Employer Identification Number (EIN) for Llangollen Hope House is 205896098. 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 Llangollen Hope House spend its money?
Llangollen Hope House allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Llangollen Hope House's tax-exempt status?
You can verify Llangollen Hope House's tax-exempt status using EIN 205896098 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
Llangollen Hope House exhibits concerning financial trends, with expenses consistently exceeding revenue over the past decade. In 2023, the organization reported revenue of $41,012 against expenses of $68,212, indicating a significant operating deficit. This pattern of spending more than it earns is a long-standing issue, as seen in previous years (e.g., 2022 revenue of $62,917 vs. expenses of $74,681). The organization's liabilities have also consistently outweighed its assets, reaching $740,682 in liabilities against $512,044 in assets in 2023, suggesting potential solvency challenges. While the organization reports 0% officer compensation, which is a positive for transparency regarding executive pay, the overall financial health appears precarious due to persistent deficits and a negative net asset position. Without a detailed breakdown of expenses, it's difficult to assess spending efficiency, but the consistent operating losses are a major concern.