Is Local Development Corporation Of Crown Heights Inc Legit?

Quick charity verification for Local Development Corporation Of Crown Heights Inc (EIN: 112890302)

Verdict: Local Development Corporation Of Crown Heights Inc appears trustworthy

75/100Mission Score
$18.4MRevenue
$12.6MAssets
3Red Flags
3Strengths

Red Flags

Strengths

Spending Breakdown

How Local Development Corporation Of Crown Heights 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 Local Development Corporation Of Crown Heights Inc

Is Local Development Corporation Of Crown Heights Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Local Development Corporation Of Crown Heights Inc (EIN: 112890302) appears trustworthy. Mission Score: 75/100. 3 red flags identified, 3 strengths noted.

Is Local Development Corporation Of Crown Heights Inc a good charity to donate to?

Local Development Corporation Of Crown Heights Inc has a Mission Score of 75/100. Revenue: $18.4M. Assets: $12.6M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Local Development Corporation Of Crown Heights Inc?

The Employer Identification Number (EIN) for Local Development Corporation Of Crown Heights Inc is 112890302. 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 Local Development Corporation Of Crown Heights Inc spend its money?

Local Development Corporation Of Crown Heights Inc allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Local Development Corporation Of Crown Heights Inc's tax-exempt status?

You can verify Local Development Corporation Of Crown Heights Inc's tax-exempt status using EIN 112890302 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 Local Development Corporation Of Crown Heights Inc. demonstrates a mixed financial picture. While the organization has shown significant growth in assets, reaching $12,934,174 in 2023, its recent financial performance indicates a spending deficit. In 2023, expenses of $1,470,419 exceeded revenue of $1,226,111, resulting in a net loss for the year. This trend of expenses exceeding revenue was also observed in 2016, 2015, and 2014, with a particularly large deficit in 2014 where expenses were more than double revenue. The organization's liabilities have also seen a substantial increase, jumping from $334,616 in 2022 to $3,266,471 in 2023, which warrants closer examination. Regarding spending efficiency, without a detailed breakdown of program, administrative, and fundraising expenses, it's challenging to fully assess. However, the consistent reporting of 0% officer compensation across all available filings suggests a commitment to minimizing executive overhead, which is a positive indicator for donor confidence. The organization's NTEE code S200 (Community Development Corporations) implies a focus on local community programs, which aligns with its mission. The significant increase in assets over the years, from $906,841 in 2017 to over $12 million in 2023, suggests successful asset accumulation, though the recent increase in liabilities needs to be monitored. Transparency is generally good given the consistent filing history and the clear reporting of 0% officer compensation. However, the lack of detailed functional expense breakdowns in the provided data limits a complete assessment of spending efficiency. Further scrutiny of the nature of the increased liabilities in 2023 would be beneficial for a comprehensive understanding of its financial health.

View Full Transparency Report →

Disclaimer

AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.

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