Is Second Foundation Legit?

Spending Breakdown

How Second Foundation 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 Second Foundation

Is Second Foundation a legitimate charity?

Based on AI analysis of IRS 990 filings, Second Foundation (EIN: 133727668) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 2 strengths noted.

Is Second Foundation a good charity to donate to?

Second Foundation has a Mission Score of 65/100. Revenue: $25K. Assets: $84K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Second Foundation?

The Employer Identification Number (EIN) for Second Foundation is 133727668. 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 Second Foundation spend its money?

Second Foundation allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Second Foundation's tax-exempt status?

You can verify Second Foundation's tax-exempt status using EIN 133727668 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

Second Foundation, a small Sedona-based nonprofit, exhibits a mixed financial picture. While its latest reported revenue is $25,461 and assets are $83,910, its financial activity over the past decade shows significant fluctuations in revenue and expenses. For instance, in 2022, expenses ($19,350) exceeded revenue ($15,513), indicating a deficit. Conversely, in 2023, revenue ($4,675) comfortably covered expenses ($1,950). The organization consistently reports zero officer compensation, which is a positive indicator for a small entity, suggesting resources are not being diverted to high executive salaries. However, without detailed expense breakdowns beyond total expenses, it's challenging to fully assess spending efficiency.

The organization's assets have seen a notable decline over the past decade, from $141,105 in 2011 to $83,910 currently, which warrants further investigation. This trend, coupled with periods of expenses exceeding revenue, suggests potential long-term sustainability challenges if not addressed. The consistent reporting of only $1 in liabilities across all filings is unusual and could indicate a very lean operational structure or a reporting anomaly. Overall, while the lack of executive compensation is a strength, the declining asset base and inconsistent financial performance raise questions about its long-term financial health and operational stability.

Verdict: Second Foundation shows mixed signals

Red Flags

Strengths