Is Somo Endowment Fund Inc Legit?

Quick charity verification for Somo Endowment Fund Inc (EIN: 201295769)

Verdict: Somo Endowment Fund Inc appears trustworthy

90/100Mission Score
$132KRevenue
$594KAssets
2Red Flags
5Strengths

Red Flags

Strengths

Spending Breakdown

How Somo Endowment Fund Inc allocates its funds across programs, administration, and fundraising.

90%
Program Spending
Healthy — majority goes to mission
10%
Admin Costs
Reasonable — admin costs in check
0%
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 Somo Endowment Fund Inc

Is Somo Endowment Fund Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Somo Endowment Fund Inc (EIN: 201295769) appears trustworthy. Mission Score: 90/100. 2 red flags identified, 5 strengths noted.

Is Somo Endowment Fund Inc a good charity to donate to?

Somo Endowment Fund Inc has a Mission Score of 90/100. Revenue: $132K. Assets: $594K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Somo Endowment Fund Inc?

The Employer Identification Number (EIN) for Somo Endowment Fund Inc is 201295769. 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 Somo Endowment Fund Inc spend its money?

Somo Endowment Fund Inc allocates 90% to programs, 10% to administration, and 0% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Somo Endowment Fund Inc's tax-exempt status?

You can verify Somo Endowment Fund Inc's tax-exempt status using EIN 201295769 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

Somo Endowment Fund Inc. demonstrates strong financial health in its most recent filings, particularly in 2023 and 2022, where revenues significantly outpaced expenses. For instance, in 2023, the organization reported $118,170 in revenue against only $5,470 in expenses, indicating a substantial surplus. This trend of healthy surpluses in recent years (e.g., $109,950 revenue vs. $45,487 expenses in 2022) has contributed to a steady growth in assets, reaching $467,736 in 2023 from $355,036 in 2022. However, the organization has experienced periods of significant deficits in the past, such as in 2018 where expenses ($3,656,189) vastly exceeded revenue ($745,929), and in 2017 where expenses ($3,293,074) were also substantial. The NTEE code N117 suggests a focus on endowment funds, which typically involves managing assets for long-term support rather than direct program spending, potentially explaining the low expense figures in some years. The consistent reporting of 0% officer compensation across all available filings indicates a commitment to minimizing administrative overhead in this area. The spending efficiency appears very high in recent years, with expenses being a small fraction of revenue. For example, in 2023, expenses were less than 5% of revenue. This efficiency, combined with the lack of reported officer compensation, suggests that a very high proportion of funds are either being retained for endowment growth or directed towards the organization's underlying purpose, which for an endowment fund is typically asset management and distribution to beneficiaries. The organization's transparency is good, with consistent 990 filings available over a long period, allowing for a clear historical financial review. The absence of officer compensation is a positive indicator of fiscal responsibility and a focus on the endowment's purpose rather than executive remuneration. While the recent financial performance is robust, the historical volatility in revenue and expenses, particularly the large deficits in 2018 and 2017, warrants attention. These fluctuations could be due to significant grants made or received, or market performance impacting the endowment. However, the current trend shows a stable and growing asset base with minimal operational costs, aligning well with the typical function of an endowment fund. The organization's ability to recover and build its asset base after periods of high expenses demonstrates resilience and effective financial management in the long term.

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Disclaimer

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

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