Quick charity verification for Louisiana Real Estate Foundation (EIN: 203951303)
Verdict: Louisiana Real Estate Foundation shows mixed signals
55/100Mission Score
$253KRevenue
$20.6MAssets
4Red Flags
3Strengths
Red Flags
Consistent and significant operating deficits (e.g., $491,964 deficit in 2023).
Steady decline in total assets over the past decade (from $26.7M in 2014 to $21.2M in 2023).
Revenue has significantly decreased over time (from $878,244 in 2014 to $288,093 in 2023).
High expense levels relative to revenue, indicating an unsustainable financial model.
Strengths
No reported officer compensation, indicating efficient executive overhead.
Consistent filing of IRS Form 990s, demonstrating transparency in reporting.
Maintains a substantial asset base (over $20 million), providing a financial cushion despite operating losses.
Spending Breakdown
How Louisiana Real Estate Foundation allocates its funds across programs, administration, and fundraising.
70%
Program Spending
Below average — room for improvement
20%
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 Louisiana Real Estate Foundation
Is Louisiana Real Estate Foundation a legitimate charity?
Based on AI analysis of IRS 990 filings, Louisiana Real Estate Foundation (EIN: 203951303) shows mixed signals. Mission Score: 55/100. 4 red flags identified, 3 strengths noted.
Is Louisiana Real Estate Foundation a good charity to donate to?
Louisiana Real Estate Foundation has a Mission Score of 55/100. Revenue: $253K. Assets: $20.6M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Louisiana Real Estate Foundation?
The Employer Identification Number (EIN) for Louisiana Real Estate Foundation is 203951303. 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 Louisiana Real Estate Foundation spend its money?
Louisiana Real Estate Foundation allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Louisiana Real Estate Foundation's tax-exempt status?
You can verify Louisiana Real Estate Foundation's tax-exempt status using EIN 203951303 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 Louisiana Real Estate Foundation exhibits a concerning trend of declining revenue and consistent operating deficits over the past decade. In 2023, the organization reported revenue of $288,093 against expenses of $780,057, resulting in a significant deficit of $491,964. This pattern is not isolated, as expenses have consistently outpaced revenue in all reported periods, leading to a steady decrease in total assets from $26,735,735 in 2014 to $21,267,280 in 2023. While the organization maintains substantial assets, the continuous erosion of its financial base due to operating losses raises questions about its long-term sustainability if current trends persist.
The foundation's financial health is further complicated by its NTEE code (T20), which typically indicates a grantmaking or scholarship-focused entity. Without a detailed breakdown of program service expenses versus administrative and fundraising costs, it's challenging to fully assess spending efficiency. However, the consistent and significant operating losses suggest that the current revenue model is insufficient to cover its operational footprint. The absence of reported officer compensation indicates a potential strength in minimizing executive overhead, but this alone does not offset the broader financial challenges.
Transparency appears to be adequate in terms of filing IRS Form 990s consistently. However, a deeper understanding of how the substantial assets are being utilized and the specific nature of its program activities would enhance transparency. The consistent decline in assets, despite no reported officer compensation, points to a need for a strategic review of its financial model and expenditure structure to ensure the foundation can continue to fulfill its mission effectively.