Is Marlborough Economic Development Corporation Legit?
Quick charity verification for Marlborough Economic Development Corporation (EIN: 204407846)
Verdict: Marlborough Economic Development Corporation appears trustworthy
90/100Mission Score
$1.4MRevenue
$1.8MAssets
1Red Flags
5Strengths
Red Flags
No officer compensation reported, which could indicate volunteer leadership but might also obscure compensation if structured differently.
Strengths
Consistent revenue exceeding expenses in recent years (e.g., 202406: Revenue=$1,040,121, Expenses=$1,002,816).
Significant reduction in liabilities from over $1.1 million (2020-2022) to $81,162 (202406).
Consistent reporting of 0% officer compensation, suggesting high efficiency or volunteer leadership.
Healthy asset base of $1,761,528, indicating financial stability.
Long history of IRS 990 filings (14 filings), demonstrating strong transparency.
Spending Breakdown
How Marlborough Economic Development Corporation allocates its funds across programs, administration, and fundraising.
85%
Program Spending
Healthy — majority goes to mission
10%
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 Marlborough Economic Development Corporation
Is Marlborough Economic Development Corporation a legitimate charity?
Based on AI analysis of IRS 990 filings, Marlborough Economic Development Corporation (EIN: 204407846) appears trustworthy. Mission Score: 90/100. 1 red flag identified, 5 strengths noted.
Is Marlborough Economic Development Corporation a good charity to donate to?
Marlborough Economic Development Corporation has a Mission Score of 90/100. Revenue: $1.4M. Assets: $1.8M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Marlborough Economic Development Corporation?
The Employer Identification Number (EIN) for Marlborough Economic Development Corporation is 204407846. 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 Marlborough Economic Development Corporation spend its money?
Marlborough Economic Development Corporation allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Marlborough Economic Development Corporation's tax-exempt status?
You can verify Marlborough Economic Development Corporation's tax-exempt status using EIN 204407846 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
Marlborough Economic Development Corporation (MEDC) demonstrates consistent financial health, with revenues generally exceeding expenses in recent years, contributing to a stable asset base. For instance, in the 202406 period, revenue was $1,040,121 against expenses of $1,002,816, showing a surplus. The organization's liabilities have fluctuated, notably decreasing significantly from a high of over $1.1 million in 2019-2022 to $81,162 in 2024, indicating improved financial management or resolution of significant obligations.
Spending efficiency appears strong, particularly given the consistent reporting of 0% officer compensation, suggesting that leadership is either volunteer-based or compensated through other means not categorized as officer compensation on the 990, which is a positive indicator for donor confidence. The organization's NTEE code S41 (Economic Development Corporations) aligns with its mission, and the financial data supports its operational capacity to fulfill this role.
Transparency is high due to the consistent filing of IRS Form 990s over 14 periods, providing a clear historical financial record. The absence of reported officer compensation is a significant transparency point, as it indicates either volunteer leadership or that compensation is structured in a way that doesn't appear in this specific line item, which would warrant further inquiry for complete understanding. Overall, MEDC appears to be a financially sound and transparent organization.