Quick charity verification for Watertown Business Association Inc (EIN: 205073275)
Verdict: Watertown Business Association Inc appears trustworthy
70/100Mission Score
$0Revenue
$0Assets
2Red Flags
3Strengths
Red Flags
Latest filing shows $0 revenue and $0 assets, indicating potential inactivity or cessation of operations.
Declining revenue trend from $26,824 in 2010 to $11,998 in 2014 before reaching $0.
Strengths
Consistent reporting of 0% officer compensation across all filings.
No reported liabilities in any of the available filings, indicating financial stability when active.
Consistent IRS 990 filing history demonstrates transparency.
Spending Breakdown
How Watertown Business Association Inc allocates its funds across programs, administration, and fundraising.
80%
Program Spending
Healthy — majority goes to mission
10%
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 Watertown Business Association Inc
Is Watertown Business Association Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Watertown Business Association Inc (EIN: 205073275) appears trustworthy. Mission Score: 70/100. 2 red flags identified, 3 strengths noted.
Is Watertown Business Association Inc a good charity to donate to?
Watertown Business Association Inc has a Mission Score of 70/100. Revenue: $0. Assets: $0. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Watertown Business Association Inc?
The Employer Identification Number (EIN) for Watertown Business Association Inc is 205073275. 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 Watertown Business Association Inc spend its money?
Watertown Business Association Inc allocates 80% to programs, 10% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Watertown Business Association Inc's tax-exempt status?
You can verify Watertown Business Association Inc's tax-exempt status using EIN 205073275 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 Watertown Business Association Inc. appears to be a very small, community-focused organization with minimal financial activity. Its latest filing shows $0 in revenue and assets, suggesting it may be inactive or operating on an extremely limited scale. In previous years, its revenue consistently hovered around $12,000-$26,000, with expenses closely matching. The organization has consistently reported $0 in liabilities, indicating a healthy balance sheet without debt. Given its small size and the absence of reported officer compensation, its financial operations seem straightforward and focused on its stated mission without significant overhead.
Spending efficiency is difficult to fully assess without a detailed breakdown of expenses, but the consistent reporting of $0 officer compensation across all available filings suggests that administrative costs related to executive salaries are non-existent. This is a positive indicator for a small, volunteer-driven organization. However, with $0 revenue and assets in its latest filing, its current operational efficiency is effectively zero, as it appears to not be conducting any financial activities.
Transparency is generally good, as the organization has consistently filed its IRS Form 990s. The lack of officer compensation further enhances its transparency by showing that no individuals are drawing salaries from the organization. However, the current inactive financial status (zero revenue and assets) raises questions about its ongoing operations and future viability, which isn't fully clarified by the available data.