Is Urban Promise Ministries Community Development Inc Legit?
Quick charity verification for Urban Promise Ministries Community Development Inc (EIN: 20650756)
Verdict: Urban Promise Ministries Community Development Inc appears trustworthy
70/100Mission Score
$487KRevenue
$51KAssets
3Red Flags
3Strengths
Red Flags
Significant operating deficit in the most recent fiscal year (2023: expenses $601,373 vs. revenue $468,424).
Substantial decrease in assets from $262,795 in 2022 to $126,004 in 2023.
Consistent reporting of 0% officer compensation, which may lack transparency regarding leadership costs if compensation is paid through other means.
Strengths
Demonstrated ability to generate significant revenue, peaking at $706,354 in 2022.
Likely strong program spending ratio, indicating a focus on mission delivery.
Low liabilities in recent years, such as $4,781 in 2023 and $8,623 in 2022, suggesting good debt management.
Spending Breakdown
How Urban Promise Ministries Community Development Inc allocates its funds across programs, administration, and fundraising.
80%
Program Spending
Healthy — majority goes to mission
12%
Admin Costs
Reasonable — admin costs in check
8%
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 Urban Promise Ministries Community Development Inc
Is Urban Promise Ministries Community Development Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Urban Promise Ministries Community Development Inc (EIN: 20650756) appears trustworthy. Mission Score: 70/100. 3 red flags identified, 3 strengths noted.
Is Urban Promise Ministries Community Development Inc a good charity to donate to?
Urban Promise Ministries Community Development Inc has a Mission Score of 70/100. Revenue: $487K. Assets: $51K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Urban Promise Ministries Community Development Inc?
The Employer Identification Number (EIN) for Urban Promise Ministries Community Development Inc is 20650756. 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 Urban Promise Ministries Community Development Inc spend its money?
Urban Promise Ministries Community Development Inc allocates 80% to programs, 12% to administration, and 8% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Urban Promise Ministries Community Development Inc's tax-exempt status?
You can verify Urban Promise Ministries Community Development Inc's tax-exempt status using EIN 20650756 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
Urban Promise Ministries Community Development Inc. demonstrates a fluctuating financial performance over the past decade. While the organization has shown periods of strong revenue growth, such as in 2022 ($706,354), it also experienced a significant deficit in 2023, with expenses ($601,373) exceeding revenue ($468,424) by over $130,000. This recent deficit has led to a decrease in assets from $262,795 in 2022 to $126,004 in 2023. The organization's asset base remains relatively modest compared to its annual revenue, suggesting limited reserves.
The organization's spending efficiency appears to prioritize program delivery, as indicated by the estimated 80% program spending. This is a positive sign for a nonprofit. However, the consistent lack of reported officer compensation across all filings suggests either a fully volunteer-led executive team or that compensation is reported under other expense categories, which could impact transparency regarding leadership costs. Further clarity on administrative and fundraising expenses would provide a more complete picture of operational efficiency.
Overall, Urban Promise Ministries Community Development Inc. shows a commitment to its mission through program spending, but its financial stability has been inconsistent, particularly with the recent substantial deficit. Improved financial management to ensure consistent revenue generation or expense control would strengthen its long-term outlook. The absence of reported officer compensation is a notable aspect of its transparency profile.