Is Modern Motion A Nj Non Profit Corporation Legit?
Quick charity verification for Modern Motion A Nj Non Profit Corporation (EIN: 203024596)
Verdict: Modern Motion A Nj Non Profit Corporation shows mixed signals
55/100Mission Score
$371KRevenue
$16KAssets
3Red Flags
3Strengths
Red Flags
Persistent negative net asset position (liabilities significantly exceed assets, e.g., $65,374 liabilities vs $14,614 assets in 2023).
History of operating deficits where expenses exceeded revenue in multiple years (e.g., 2022, 2021, 2020, 2017, 2014).
High liabilities relative to the organization's size and revenue, indicating potential solvency risks.
Strengths
Consistent revenue growth over the past decade, from $72,254 in 2014 to $284,020 in 2023.
Reports 0% officer compensation across all filings, indicating low executive overhead or volunteer leadership.
Demonstrates operational resilience by continuing to operate and grow revenue despite financial challenges.
Spending Breakdown
How Modern Motion A Nj Non Profit Corporation 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 Modern Motion A Nj Non Profit Corporation
Is Modern Motion A Nj Non Profit Corporation a legitimate charity?
Based on AI analysis of IRS 990 filings, Modern Motion A Nj Non Profit Corporation (EIN: 203024596) shows mixed signals. Mission Score: 55/100. 3 red flags identified, 3 strengths noted.
Is Modern Motion A Nj Non Profit Corporation a good charity to donate to?
Modern Motion A Nj Non Profit Corporation has a Mission Score of 55/100. Revenue: $371K. Assets: $16K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Modern Motion A Nj Non Profit Corporation?
The Employer Identification Number (EIN) for Modern Motion A Nj Non Profit Corporation is 203024596. 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 Modern Motion A Nj Non Profit Corporation spend its money?
Modern Motion A Nj Non Profit Corporation allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Modern Motion A Nj Non Profit Corporation's tax-exempt status?
You can verify Modern Motion A Nj Non Profit Corporation's tax-exempt status using EIN 203024596 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
Modern Motion A Nj Non Profit Corporation demonstrates a concerning financial trend with persistent liabilities significantly outweighing its assets. For instance, in 2023, assets were $14,614 while liabilities stood at $65,374, indicating a negative net asset position. This suggests potential long-term solvency issues and reliance on debt or short-term funding. While the organization has shown growth in revenue, increasing from $72,254 in 2014 to $284,020 in 2023, its expenses have often outpaced revenue, leading to deficits in multiple years, such as 2022 where expenses ($217,540) exceeded revenue ($197,855).
The organization's transparency is commendable in one aspect: it consistently reports 0% officer compensation across all filings. This indicates that executive leadership is either volunteer-based or compensated through other means not classified as officer compensation, which can be a positive sign for donor confidence regarding administrative overhead. However, without a detailed breakdown of expenses (program, administrative, fundraising) in the provided data, a full assessment of spending efficiency is challenging. The consistent growth in revenue over the decade, despite financial challenges, suggests a degree of operational resilience and donor support.
Overall, Modern Motion faces significant financial challenges, primarily due to its high liabilities relative to assets and a history of operating deficits. While the lack of officer compensation is a positive transparency indicator, the overall financial health requires careful monitoring and strategic planning to improve its net asset position and ensure long-term sustainability. Donors should be aware of the organization's financial structure and its ability to cover its obligations.