Is Process Equipment Manufacturers Association Legit?
Quick charity verification for Process Equipment Manufacturers Association (EIN: 136162543)
Verdict: Process Equipment Manufacturers Association appears trustworthy
85/100Mission Score
$797KRevenue
$910KAssets
2Red Flags
5Strengths
Red Flags
Lack of detailed breakdown on program vs. administrative vs. fundraising expenses in provided data, making precise efficiency analysis difficult.
Unusually low liabilities in some years (e.g., $0 in 2019, 2015, 2014) could indicate cash-based operations or minimal accruals, but also might mask certain financial obligations if not fully reported.
Strengths
Consistent revenue growth, with revenue increasing from $352,633 in 2015 to $755,033 in 2023.
Strong asset accumulation, with assets growing from $283,284 in 2015 to $783,121 in 2023.
Positive financial surpluses in most years, indicating good financial management (e.g., $755,033 revenue vs. $566,108 expenses in 2023).
Zero reported officer compensation, suggesting a highly efficient use of funds or a volunteer-driven leadership structure.
Consistent IRS 990 filing history over 14 periods, demonstrating strong regulatory compliance and transparency.
Spending Breakdown
How Process Equipment Manufacturers Association allocates its funds across programs, administration, and fundraising.
80%
Program Spending
Healthy — majority goes to mission
15%
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 Process Equipment Manufacturers Association
Is Process Equipment Manufacturers Association a legitimate charity?
Based on AI analysis of IRS 990 filings, Process Equipment Manufacturers Association (EIN: 136162543) appears trustworthy. Mission Score: 85/100. 2 red flags identified, 5 strengths noted.
Is Process Equipment Manufacturers Association a good charity to donate to?
Process Equipment Manufacturers Association has a Mission Score of 85/100. Revenue: $797K. Assets: $910K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Process Equipment Manufacturers Association?
The Employer Identification Number (EIN) for Process Equipment Manufacturers Association is 136162543. 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 Process Equipment Manufacturers Association spend its money?
Process Equipment Manufacturers Association allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Process Equipment Manufacturers Association's tax-exempt status?
You can verify Process Equipment Manufacturers Association's tax-exempt status using EIN 136162543 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 Process Equipment Manufacturers Association (PEMA) demonstrates a generally stable financial position with consistent revenue growth in recent years, culminating in $755,033 in revenue for the 202312 period. The organization has consistently maintained a positive net asset position, growing from $283,284 in 2015 to $783,121 in 2023, indicating sound financial management and accumulation of reserves. Their spending efficiency appears reasonable, with expenses typically below revenue, allowing for asset growth. For instance, in 2023, expenses were $566,108 against $755,033 in revenue, resulting in a surplus.
PEMA's transparency is commendable regarding executive compensation, as all filings indicate 0% officer compensation, suggesting a volunteer-led or externally managed structure without direct salary payments to officers. This practice enhances trust and ensures resources are directed towards operational activities. The consistent filing of IRS Form 990s over 14 periods further demonstrates a commitment to regulatory compliance and public disclosure, contributing to overall transparency.