Is Rochester Yacht Club Legit?

Quick charity verification for Rochester Yacht Club (EIN: 160613575)

Verdict: Rochester Yacht Club appears trustworthy

75/100Mission Score

$3.7MRevenue

$7.3MAssets

3Red Flags

4Strengths

Red Flags

Significant increase in liabilities in the most recent filing period (from $486,121 in 2022 to $1,982,381 in 2023) without immediate explanation.
Lack of reported officer compensation for an organization with over $3 million in annual revenue, which could indicate alternative compensation structures or a fully volunteer-led executive team that warrants further inquiry.
Absence of an NTEE code, hindering direct comparison with similar organizations.

Strengths

Consistent positive net income, with revenues generally exceeding expenses over the past decade.
Substantial growth in assets, nearly doubling from $3,428,888 in 2020 to $6,952,549 in 2023, indicating strong financial health and investment.
Regular and consistent filing of IRS Form 990s, demonstrating a commitment to public transparency.
Strong revenue generation, with latest reported revenue at $3,721,613.

Spending Breakdown

How Rochester Yacht Club 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 Rochester Yacht Club

Is Rochester Yacht Club a legitimate charity?

Based on AI analysis of IRS 990 filings, Rochester Yacht Club (EIN: 160613575) appears trustworthy. Mission Score: 75/100. 3 red flags identified, 4 strengths noted.

Is Rochester Yacht Club a good charity to donate to?

Rochester Yacht Club has a Mission Score of 75/100. Revenue: $3.7M. Assets: $7.3M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Rochester Yacht Club?

The Employer Identification Number (EIN) for Rochester Yacht Club is 160613575. 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 Rochester Yacht Club spend its money?

Rochester Yacht Club allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Rochester Yacht Club's tax-exempt status?

You can verify Rochester Yacht Club's tax-exempt status using EIN 160613575 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 Rochester Yacht Club demonstrates consistent financial activity, with revenues generally exceeding expenses over the past decade, contributing to a steady growth in assets. For instance, in 2023, revenue was $3,065,283 against expenses of $2,553,292, leading to an increase in net assets. The organization's assets have shown significant growth, nearly doubling from $3,428,888 in 2020 to $6,952,549 in 2023, indicating sound financial management and potentially successful capital improvements or investments. Liabilities have also seen an increase, particularly in 2023, reaching $1,982,381, which warrants closer examination to understand the nature of these obligations.

Spending efficiency appears reasonable given the nature of a yacht club, which often involves significant operational costs for facilities and services. Without a detailed breakdown of program service expenses versus administrative and fundraising costs, a precise efficiency assessment is challenging. However, the consistent positive net income suggests that the club is managing its expenses effectively relative to its revenue streams. The absence of reported officer compensation is a notable aspect, suggesting that leadership may be volunteer-based or compensated through other means not categorized as officer compensation on the 990.

Transparency is generally good through its consistent filing of IRS Form 990s. However, the lack of an NTEE code makes it difficult to benchmark against similar organizations. Further transparency could be enhanced by providing more detailed breakdowns of expenses, particularly regarding how much is directly spent on activities related to its mission (e.g., sailing education, regattas, facility maintenance for member use) versus general overhead. The significant increase in liabilities in the most recent filing period also presents an area where more detailed disclosure would improve transparency.

View Full Transparency Report →

Disclaimer

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