Quick charity verification for Sound Alliance (EIN: 203006721)
Verdict: Sound Alliance appears trustworthy
85/100Mission Score
$145KRevenue
$100KAssets
1Red Flags
5Strengths
Red Flags
Consistent 0% officer compensation may indicate alternative compensation structures or a fully volunteer-run organization, which could raise questions about sustainability or reporting completeness for some donors.
Strengths
Consistent 0% officer compensation, indicating high dedication of funds to mission.
Positive net asset growth from $27,728 in 2021 to $83,005 in 2023.
Effective management of liabilities, decreasing from $39,818 in 2022 to $14,590 in 2023.
Consistent filing history over 13 periods, demonstrating transparency and compliance.
Expenses ($93,654 in 2023) significantly lower than revenue ($147,254 in 2023), indicating efficient operations.
Spending Breakdown
How Sound Alliance allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
7%
Admin Costs
Reasonable — admin costs in check
3%
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 Sound Alliance
Is Sound Alliance a legitimate charity?
Based on AI analysis of IRS 990 filings, Sound Alliance (EIN: 203006721) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 5 strengths noted.
Is Sound Alliance a good charity to donate to?
Sound Alliance has a Mission Score of 85/100. Revenue: $145K. Assets: $100K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Sound Alliance?
The Employer Identification Number (EIN) for Sound Alliance is 203006721. 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 Sound Alliance spend its money?
Sound Alliance allocates 90% to programs, 7% to administration, and 3% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Sound Alliance's tax-exempt status?
You can verify Sound Alliance's tax-exempt status using EIN 203006721 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
Sound Alliance demonstrates consistent financial activity, with revenues fluctuating but generally staying within the $100,000-$150,000 range in recent years, though it did see a peak of $322,484 in 2016. The organization has maintained a healthy financial position, with assets growing from $27,728 in 2021 to $83,005 in 2023, indicating prudent management of resources. Liabilities have also been managed effectively, decreasing from $39,818 in 2022 to $14,590 in 2023, which suggests a strong ability to meet short-term obligations.
Spending efficiency appears to be a strength, as evidenced by the 2023 filing where expenses ($93,654) were significantly lower than revenue ($147,254), allowing for an increase in net assets. The consistent reporting of 0% officer compensation across all filings indicates a commitment to directing funds towards programmatic activities rather than executive salaries, enhancing donor confidence. The organization's consistent filing history over 13 periods also points to a high level of transparency and adherence to regulatory requirements.