Is The Shadow Funders Inc Legit?

Spending Breakdown

How The Shadow Funders Inc allocates its funds across programs, administration, and fundraising.

60%

Program Spending

Below average — room for improvement

30%

Admin Costs

High — over 25% on administration

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 Shadow Funders Inc

Is The Shadow Funders Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, The Shadow Funders Inc (EIN: 202031200) shows mixed signals. Mission Score: 45/100. 3 red flags identified, 3 strengths noted.

Is The Shadow Funders Inc a good charity to donate to?

The Shadow Funders Inc has a Mission Score of 45/100. Revenue: $416K. Assets: $672K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for The Shadow Funders Inc?

The Employer Identification Number (EIN) for The Shadow Funders Inc is 202031200. 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 Shadow Funders Inc spend its money?

The Shadow Funders Inc allocates 60% to programs, 30% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify The Shadow Funders Inc's tax-exempt status?

You can verify The Shadow Funders Inc's tax-exempt status using EIN 202031200 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 Shadow Funders Inc exhibits a concerning financial trend with expenses frequently exceeding revenue, as seen in 2023 where expenses were $56,073 against revenues of $39,563, and in 2022 with $34,637 in expenses versus $10,890 in revenue. This consistent deficit spending, observed in multiple years including 2020, 2019, 2012, and 2011, suggests an unsustainable operational model. While the organization maintains a substantial asset base of $671,893, the consistent draw on these assets to cover operational shortfalls raises questions about long-term financial viability and program sustainability.

The organization's transparency is bolstered by its consistent filing of IRS Form 990s, with 10 filings available, indicating compliance with reporting requirements. However, the lack of reported officer compensation across all available filings, while potentially positive for minimizing overhead, could also suggest a reliance on volunteer leadership or a structure where compensation is not reported in a typical manner, which might warrant further investigation for a complete understanding of operational costs. The NTEE code T20 (Philanthropy, Voluntarism, and Grantmaking Foundations) suggests a focus on funding other organizations, but without detailed program expense breakdowns, it's difficult to assess the efficiency of its grantmaking or direct program activities.

Overall, The Shadow Funders Inc appears to be operating at a deficit for several years, relying on its asset base. While it maintains a strong asset position and has a good filing history, the consistent negative net income and the absence of reported officer compensation are notable aspects that impact the assessment of its financial health and operational efficiency. A deeper dive into the allocation of its expenses (program vs. administrative vs. fundraising) would be crucial for a more comprehensive evaluation of its spending efficiency.

Verdict: The Shadow Funders Inc shows mixed signals

Red Flags

Strengths