Quick charity verification for Summit Medina Business Alliance Inc (EIN: 204662225)
Verdict: Summit Medina Business Alliance Inc appears trustworthy
75/100Mission Score
$551KRevenue
$341KAssets
3Red Flags
3Strengths
Red Flags
Recurring operational deficits in multiple years (e.g., 2023, 2022, 2021)
Significant year-over-year fluctuations in revenue and expenses without clear explanation in provided data
Lack of detailed breakdown for program, administrative, and fundraising expenses in the provided summary
Strengths
Consistent reporting of 0% officer compensation, indicating efficient use of funds or volunteer leadership
Growing asset base over the long term, from $62,537 in 2015 to $294,130 in 2023
Relatively low liabilities compared to assets, suggesting good financial solvency
Spending Breakdown
How Summit Medina Business Alliance Inc allocates its funds across programs, administration, and fundraising.
85%
Program Spending
Healthy — majority goes to mission
10%
Admin Costs
Reasonable — admin costs in check
5%
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 Summit Medina Business Alliance Inc
Is Summit Medina Business Alliance Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Summit Medina Business Alliance Inc (EIN: 204662225) appears trustworthy. Mission Score: 75/100. 3 red flags identified, 3 strengths noted.
Is Summit Medina Business Alliance Inc a good charity to donate to?
Summit Medina Business Alliance Inc has a Mission Score of 75/100. Revenue: $551K. Assets: $341K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Summit Medina Business Alliance Inc?
The Employer Identification Number (EIN) for Summit Medina Business Alliance Inc is 204662225. 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 Summit Medina Business Alliance Inc spend its money?
Summit Medina Business Alliance Inc allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Summit Medina Business Alliance Inc's tax-exempt status?
You can verify Summit Medina Business Alliance Inc's tax-exempt status using EIN 204662225 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
Summit Medina Business Alliance Inc. demonstrates a fluctuating financial performance over the past few years. While the organization reported revenue of $554,074 in 2023, its expenses exceeded this at $568,185, resulting in a deficit. This trend of expenses occasionally surpassing revenue is observed in multiple periods, such as 2022 ($132,965 expenses vs. $108,867 revenue) and 2021 ($572,535 expenses vs. $503,759 revenue). However, there are also periods of surplus, like 202209 where revenue was $678,906 against expenses of $585,373, indicating inconsistent financial management or significant project-based fluctuations.
The organization's assets have shown growth, increasing from $62,537 in 2015 to $294,130 in 2023, suggesting some capacity building over time. Liabilities remain relatively low, with the highest reported at $39,691 in 2023, which is a positive indicator of financial stability. A key strength in terms of transparency and efficiency is the consistent reporting of 0% officer compensation across all available filings, which suggests that leadership is either volunteer-based or compensated through other means not categorized as officer compensation, potentially reducing administrative overhead.
Overall, the organization appears to be managing its finances with a focus on its mission, given the lack of officer compensation. However, the recurring deficits in some years warrant closer examination of budgeting and fundraising strategies to ensure long-term sustainability. The significant swings in revenue and expenses year-over-year suggest that the organization may be highly dependent on specific grants or projects, leading to less predictable financial outcomes.