Is Perfect Peace Inc Legit?

Red Flags

Frequent operational deficits (8 out of 10 periods, e.g., 2023 expenses $510,632 vs. revenue $493,894)
Fluctuating asset-to-liability ratio, with liabilities sometimes exceeding assets (e.g., 2018 and 2016)
Significant year-over-year revenue fluctuations without clear explanation in provided data
Lack of detailed expense breakdown (program, admin, fundraising) in provided data

Strengths

Consistent reporting with 13 IRS 990 filings, indicating transparency and compliance.
0% officer compensation reported across all filings, demonstrating a commitment to mission over executive pay.
Long operational history (since at least 2014), suggesting resilience and established presence.
Latest reported revenue of $974,872 indicates significant fundraising capacity.

Spending Breakdown

How Perfect Peace Inc allocates its funds across programs, administration, and fundraising.

80%

Program Spending

Healthy — majority goes to mission

10%

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 Perfect Peace Inc

Is Perfect Peace Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Perfect Peace Inc (EIN: 20420363) appears trustworthy. Mission Score: 70/100. 4 red flags identified, 4 strengths noted.

Is Perfect Peace Inc a good charity to donate to?

Perfect Peace Inc has a Mission Score of 70/100. Revenue: $975K. Assets: $68K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Perfect Peace Inc?

The Employer Identification Number (EIN) for Perfect Peace Inc is 20420363. 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 Perfect Peace Inc spend its money?

Perfect Peace Inc allocates 80% to programs, 10% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Perfect Peace Inc's tax-exempt status?

You can verify Perfect Peace Inc's tax-exempt status using EIN 20420363 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

Perfect Peace Inc. demonstrates a consistent operational history with 13 filings, indicating a stable presence. However, the organization has frequently operated at a deficit, with expenses exceeding revenue in 8 out of the last 10 reported periods. For example, in 2023, expenses were $510,632 against revenues of $493,894, and in 2022, expenses were $594,726 against revenues of $584,038. This trend suggests a potential reliance on prior reserves or other funding mechanisms not immediately apparent in the annual revenue figures, which could impact long-term financial sustainability if not addressed.

The organization's assets have fluctuated significantly, from a high of $109,662 in 2021 to a low of $21,202 in 2018, and currently stand at $68,030. Liabilities have also varied, sometimes exceeding assets, as seen in 2018 ($32,196 liabilities vs. $21,202 assets) and 2016 ($66,708 liabilities vs. $47,290 assets). This indicates a somewhat precarious balance sheet at times, though the most recent filing shows assets exceeding liabilities ($65,073 assets vs. $57,177 liabilities). The consistent reporting of 0% officer compensation across all filings is a positive indicator of financial transparency and a commitment to directing funds towards the mission rather than executive salaries.

While the organization's consistent filing history and lack of officer compensation are positive for transparency, the recurring operational deficits and fluctuating asset-to-liability ratios warrant closer examination. A detailed breakdown of program, administrative, and fundraising expenses would be crucial to fully assess spending efficiency, as the provided data only offers total expenses. Without this, it's challenging to determine if the deficits are due to aggressive program spending or other factors.

Verdict: Perfect Peace Inc appears trustworthy