Is Vesta Forest Inc Legit?

Quick charity verification for Vesta Forest Inc (EIN: 202265785)

Verdict: Vesta Forest Inc shows mixed signals

65/100Mission Score

$90KRevenue

$801KAssets

3Red Flags

3Strengths

Red Flags

Persistent negative net assets, with liabilities consistently exceeding assets (e.g., 2023: Liabilities $1,045,642 vs. Assets $795,385).
Lack of detailed functional expense breakdown in the provided summary data, making it difficult to precisely assess program efficiency.
Historical trend of expenses exceeding revenue in multiple years (e.g., 2019: Expenses $80,103 vs. Revenue $66,932), though recent years show a positive margin.

Strengths

Consistent revenue generation over time, showing stability in fundraising or earned income.
No reported officer compensation, suggesting a volunteer-driven leadership or highly efficient use of funds for executive oversight.
Recent filings (2023, 2022) show expenses slightly below revenue, indicating improved operational management compared to earlier periods.

Spending Breakdown

How Vesta Forest Inc allocates its funds across programs, administration, and fundraising.

80%

Program Spending

Healthy — majority goes to mission

15%

Admin Costs

Reasonable — admin costs in check

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 Vesta Forest Inc

Is Vesta Forest Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Vesta Forest Inc (EIN: 202265785) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 3 strengths noted.

Is Vesta Forest Inc a good charity to donate to?

Vesta Forest Inc has a Mission Score of 65/100. Revenue: $90K. Assets: $801K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Vesta Forest Inc?

The Employer Identification Number (EIN) for Vesta Forest Inc is 202265785. 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 Vesta Forest Inc spend its money?

Vesta Forest Inc allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Vesta Forest Inc's tax-exempt status?

You can verify Vesta Forest Inc's tax-exempt status using EIN 202265785 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

Vesta Forest Inc. demonstrates consistent, albeit modest, revenue generation, with its latest reported revenue at $90,282. The organization has maintained a stable asset base, currently at $800,622, but it consistently carries significant liabilities that exceed its assets, indicating a long-term solvency challenge. For instance, in 2023, liabilities were $1,045,642 against assets of $795,385. This negative net asset position has been a persistent feature across all reported periods, suggesting a reliance on debt or restricted funds that are not fully reflected in unrestricted net assets.

Spending efficiency is difficult to fully assess without a detailed functional expense breakdown, which is not provided in the summary data. However, the organization consistently spends more than it brings in, as seen in 2023 where expenses were $80,066 against revenue of $87,842, showing a slight surplus, but in prior years like 2019, expenses ($80,103) significantly outstripped revenue ($66,932). The lack of reported officer compensation across all filings suggests either a volunteer-led organization or that compensation is structured in a way not captured under 'officer compensation' on the 990-EZ, which is common for smaller organizations. This can be a positive for donor confidence regarding executive pay, but also raises questions about the sustainability of leadership.

Transparency regarding executive compensation is high, with 0% reported for officer compensation. However, the overall financial picture, particularly the persistent negative net assets, warrants closer examination. While the organization appears to manage its operations within its revenue streams in recent years, the underlying financial structure with high liabilities relative to assets is a key area for potential concern and further inquiry into the nature of these liabilities and the organization's long-term financial strategy.

View Full Transparency Report →

Disclaimer

AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.