Is National Council Of Textile Organizations Legit?
Quick charity verification for National Council Of Textile Organizations (EIN: 200767664)
Verdict: National Council Of Textile Organizations appears trustworthy
85/100Mission Score
$4.7MRevenue
$6.1MAssets
2Red Flags
4Strengths
Red Flags
Consistent 0% officer compensation reported, which is unusual for an organization of this size and could indicate a lack of transparency in executive pay reporting.
Lack of detailed functional expense breakdown in provided data makes it difficult to fully assess spending efficiency across programs, administration, and fundraising.
Strengths
Consistent revenue growth, increasing from $2,024,406 in 2015 to $2,861,931 in 2024.
Strong asset accumulation, growing from $1,274,929 in 2015 to $5,917,541 in 2024, indicating robust financial health.
Consistently operates with a surplus, as expenses are generally lower than revenue, contributing to asset growth.
Low liabilities relative to assets, demonstrating financial stability (e.g., $233,272 liabilities vs. $5,917,541 assets in 2024).
Spending Breakdown
How National Council Of Textile Organizations 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 National Council Of Textile Organizations
Is National Council Of Textile Organizations a legitimate charity?
Based on AI analysis of IRS 990 filings, National Council Of Textile Organizations (EIN: 200767664) appears trustworthy. Mission Score: 85/100. 2 red flags identified, 4 strengths noted.
Is National Council Of Textile Organizations a good charity to donate to?
National Council Of Textile Organizations has a Mission Score of 85/100. Revenue: $4.7M. Assets: $6.1M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for National Council Of Textile Organizations?
The Employer Identification Number (EIN) for National Council Of Textile Organizations is 200767664. 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 National Council Of Textile Organizations spend its money?
National Council Of Textile Organizations allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify National Council Of Textile Organizations's tax-exempt status?
You can verify National Council Of Textile Organizations's tax-exempt status using EIN 200767664 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 National Council Of Textile Organizations (NCTO) demonstrates consistent financial growth and strong asset accumulation over the past decade. Revenue has steadily increased from $2,024,406 in 2015 to $2,861,931 in 2024, with a peak of $3,059,941 in 2023. This growth is mirrored in its assets, which have grown from $1,274,929 in 2015 to $5,917,541 in 2024, indicating effective financial management and accumulation of reserves. The organization consistently operates with a surplus, as expenses are generally lower than revenue, contributing to its robust asset base.
Regarding spending efficiency, without a detailed breakdown of program, administrative, and fundraising expenses, it's challenging to provide a precise efficiency ratio. However, the consistent surplus suggests that the organization is managing its expenses within its revenue streams. The absence of reported officer compensation across all filings indicates a potential for high efficiency in this area, or that compensation is structured differently and not reported under 'Officer Comp' on the 990, which would require further investigation for full transparency. The organization's liabilities are consistently low relative to its assets, further indicating financial stability.
Overall, NCTO appears to be in strong financial health, with a clear trend of increasing revenue and assets. The lack of reported officer compensation is a notable point for transparency, suggesting either a highly volunteer-driven leadership or a compensation structure that is not categorized as 'Officer Comp' on the 990. Further details on functional expenses would enhance the assessment of spending efficiency.