Is Red River Theatres Inc Legit?

Quick charity verification for Red River Theatres Inc (EIN: 20521681)

Verdict: Red River Theatres Inc appears trustworthy

75/100Mission Score

$960KRevenue

$1.5MAssets

3Red Flags

3Strengths

Red Flags

Significant increase in liabilities from $218,339 in 2022 to $758,856 in 2023.
Expenses ($911,490) exceeded revenue ($681,231) in 2023, indicating an operating deficit.
Inconsistent annual operating results, with deficits in 2023, 2020, 2019, 2018, and 2017.

Strengths

Consistent reporting of 0% officer compensation, indicating strong transparency and potentially volunteer leadership.
Maintains substantial assets, consistently over $1 million, reaching $1,690,354 in 2023.
Demonstrated ability to recover from deficit years, as seen by the strong revenue and positive operating margin in 2022.

Spending Breakdown

How Red River Theatres 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 Red River Theatres Inc

Is Red River Theatres Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Red River Theatres Inc (EIN: 20521681) appears trustworthy. Mission Score: 75/100. 3 red flags identified, 3 strengths noted.

Is Red River Theatres Inc a good charity to donate to?

Red River Theatres Inc has a Mission Score of 75/100. Revenue: $960K. Assets: $1.5M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Red River Theatres Inc?

The Employer Identification Number (EIN) for Red River Theatres Inc is 20521681. 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 Red River Theatres Inc spend its money?

Red River Theatres Inc allocates 80% to programs, 10% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Red River Theatres Inc's tax-exempt status?

You can verify Red River Theatres Inc's tax-exempt status using EIN 20521681 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

Red River Theatres Inc. demonstrates a generally stable financial position, with assets consistently over $1 million, reaching $1,690,354 in 2023. However, the organization has experienced fluctuations in its financial performance. For instance, in 2023, expenses ($911,490) significantly exceeded revenue ($681,231), resulting in a deficit. This contrasts with 2022, where revenue ($979,973) comfortably surpassed expenses ($707,605). The organization's liabilities have also seen a notable increase in 2023, rising to $758,856 from $218,339 in 2022, which warrants closer examination. The consistent reporting of 0% officer compensation across all available filings indicates strong transparency regarding executive pay, suggesting that leadership is either volunteer-based or compensated through other means not categorized as officer compensation, which is a positive sign for donor confidence.

While the specific breakdown of program, administrative, and fundraising expenses is not explicitly detailed in the provided summary, the overall financial trends suggest a need for careful management of expenses, especially in years where revenue declines. The organization's ability to maintain substantial assets despite periods of operational deficits indicates a solid underlying financial structure, likely supported by prior surpluses or capital contributions. The increase in liabilities in the latest period, however, is a key area for monitoring to ensure long-term financial health and sustainability.

Overall, Red River Theatres Inc. appears to be a transparent organization regarding executive compensation. Its financial health, while generally stable with strong assets, shows some volatility in annual operating results and a recent increase in liabilities that should be watched. A deeper dive into the nature of the increased liabilities and the specific allocation of expenses would provide a more complete picture of its spending efficiency.

View Full Transparency Report →

Disclaimer

AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.