Quick charity verification for The Madison Center (EIN: 200682355)
Verdict: The Madison Center shows mixed signals
45/100Mission Score
$583KRevenue
$20KAssets
5Red Flags
4Strengths
Red Flags
Consistent operating deficits over multiple years (e.g., 2023, 2022, 2021, 2020, 2019).
Extremely low assets ($140 in 2023) compared to high liabilities ($153,837 in 2023).
Significant increase in liabilities over recent years (from $9,687 in 2019 to $153,837 in 2023).
Negative net asset position, indicating that liabilities exceed assets.
Reliance on revenue growth that has not consistently kept pace with expense growth.
Strengths
Consistent filing of IRS 990 forms, demonstrating transparency in reporting.
No reported officer compensation, potentially indicating a volunteer-driven leadership or dedication to program spending.
Long operating history with 13 filings, suggesting a sustained presence in its community.
Revenue growth in the latest reported period to $582,596, indicating potential for increased funding.
Spending Breakdown
How The Madison Center 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 The Madison Center
Is The Madison Center a legitimate charity?
Based on AI analysis of IRS 990 filings, The Madison Center (EIN: 200682355) shows mixed signals. Mission Score: 45/100. 5 red flags identified, 4 strengths noted.
Is The Madison Center a good charity to donate to?
The Madison Center has a Mission Score of 45/100. Revenue: $583K. Assets: $20K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for The Madison Center?
The Employer Identification Number (EIN) for The Madison Center is 200682355. 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 The Madison Center spend its money?
The Madison Center allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify The Madison Center's tax-exempt status?
You can verify The Madison Center's tax-exempt status using EIN 200682355 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
The Madison Center exhibits a concerning financial trend with consistent operating deficits over the past several years. In 2023, expenses exceeded revenue by $28,148 ($486,262 vs. $458,114), and similar deficits are observed in 2022 ($64,354 deficit) and 2021 ($16,550 deficit). This pattern of spending more than it earns has led to a precarious financial position, as evidenced by its minimal assets of $140 in 2023 against significant liabilities of $153,837. The organization's ability to sustain its operations long-term is questionable given these persistent shortfalls and a negative net asset position.
Regarding spending efficiency, without a detailed functional expense breakdown from the 990 filings, it's challenging to precisely assess program versus administrative and fundraising costs. However, the consistent deficits suggest that current revenue streams are insufficient to cover overall operational costs, regardless of how efficiently funds are allocated internally. The lack of reported officer compensation across all filings indicates that executive leadership is either unpaid or compensated through other means not disclosed as officer compensation, which can be a positive for donor confidence if it means more funds go to programs, but also raises questions about sustainability of leadership.
Transparency appears to be adequate in terms of filing its IRS 990s consistently. However, the financial health itself, characterized by low assets, high liabilities, and recurring deficits, points to significant operational challenges. Donors should be aware of the organization's financial instability and the potential implications for its long-term viability and program delivery.