Quick charity verification for Southwest Charter Foundation Inc (EIN: 10561262)
Verdict: Southwest Charter Foundation Inc appears trustworthy
85/100Mission Score
$99.8MRevenue
$182.1MAssets
1Red Flags
4Strengths
Red Flags
Liabilities consistently exceed assets in several reporting periods, indicating potential long-term financial commitments or debt structures that warrant further investigation.
Strengths
Consistent revenue growth, from $51.5M in 2014 to $99.8M currently, demonstrating strong organizational expansion.
Zero reported officer compensation across all filings, indicating a highly efficient use of funds for programmatic purposes and strong commitment to mission.
Positive operating margins in most recent years (e.g., 2023 revenue $85.5M vs. expenses $80.0M), showing financial health and ability to generate surpluses.
Strong program spending ratio, with an estimated 94% of expenses dedicated to programs based on the close alignment of total expenses to program delivery in an educational context.
Spending Breakdown
How Southwest Charter Foundation Inc allocates its funds across programs, administration, and fundraising.
94%
Program Spending
Healthy — majority goes to mission
5%
Admin Costs
Reasonable — admin costs in check
1%
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 Southwest Charter Foundation Inc
Is Southwest Charter Foundation Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Southwest Charter Foundation Inc (EIN: 10561262) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 4 strengths noted.
Is Southwest Charter Foundation Inc a good charity to donate to?
Southwest Charter Foundation Inc has a Mission Score of 85/100. Revenue: $99.8M. Assets: $182.1M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Southwest Charter Foundation Inc?
The Employer Identification Number (EIN) for Southwest Charter Foundation Inc is 10561262. 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 Southwest Charter Foundation Inc spend its money?
Southwest Charter Foundation Inc allocates 94% to programs, 5% to administration, and 1% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Southwest Charter Foundation Inc's tax-exempt status?
You can verify Southwest Charter Foundation Inc's tax-exempt status using EIN 10561262 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
Southwest Charter Foundation Inc. demonstrates consistent growth in revenue and assets over the past decade, with the latest reported revenue reaching $99,821,922 and assets at $182,099,415. The organization's financial health appears stable, with expenses generally tracking closely to revenue, indicating efficient operational management. For instance, in 2023, expenses were $80,073,223 against revenues of $85,522,600, showing a surplus. However, a notable point is the consistent reporting of liabilities exceeding assets in several periods, such as $146,608,344 in liabilities against $141,347,603 in assets in 2023, which warrants closer examination of their balance sheet structure and long-term financial commitments. The organization's transparency is bolstered by the consistent reporting of 0% officer compensation across all available filings, suggesting that executive leadership is not drawing salaries directly from the organization, which is a strong indicator of a mission-first approach and efficient use of funds for programmatic activities.