Is Westbay Housing Corporation Legit? —…

Red Flags

Consistent operating deficits over multiple years (e.g., 202206: $13,173 revenue vs. $25,314 expenses).
Liabilities consistently exceed assets, indicating a negative net asset position and potential insolvency (e.g., 202206: $433,230 liabilities vs. $313,639 assets).
Declining asset base over the past decade (from $581,443 in 201306 to $313,639 in 202206).
Significant reliance on external funding or debt to cover operational shortfalls, as evidenced by the growing liabilities.
Unexplained sudden spike in 'Latest Revenue' ($201,759) without corresponding expense data or context, making it difficult to assess its impact.

Spending Breakdown

How Westbay Housing Corporation 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 Westbay Housing Corporation

Is Westbay Housing Corporation a legitimate charity?

Based on AI analysis of IRS 990 filings, Westbay Housing Corporation (EIN: 201110283) has notable concerns. Mission Score: 35/100. 5 red flags identified, 2 strengths noted.

Is Westbay Housing Corporation a good charity to donate to?

Westbay Housing Corporation has a Mission Score of 35/100. Revenue: $202K. Assets: $307K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Westbay Housing Corporation?

The Employer Identification Number (EIN) for Westbay Housing Corporation is 201110283. 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 Westbay Housing Corporation spend its money?

Westbay Housing Corporation allocates 60% to programs, 30% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Westbay Housing Corporation's tax-exempt status?

You can verify Westbay Housing Corporation's tax-exempt status using EIN 201110283 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

Westbay Housing Corporation exhibits a concerning financial trend, consistently operating at a deficit over the past decade. In the 202206 period, the organization reported expenses of $25,314 against revenue of only $13,173, indicating a significant shortfall. This pattern is not isolated, as evidenced by the 202106 period where expenses ($24,252) exceeded revenue ($26,948), and the 202006 period with expenses ($20,031) far outstripping revenue ($8,264). The organization's liabilities have also consistently exceeded its assets, with liabilities of $433,230 against assets of $313,639 in 202206, suggesting potential long-term solvency issues. While the latest reported revenue is $201,759, this figure is an outlier compared to the historical trend of much lower revenues, and without corresponding expense data for this period, it's difficult to assess its impact on overall financial health.

The consistent operating deficits and the negative net asset position raise questions about the sustainability of Westbay Housing Corporation's operations. The lack of reported officer compensation across all filings indicates a potential reliance on volunteer leadership, which can be a positive for efficiency, but doesn't mitigate the underlying financial challenges. The organization's ability to cover its expenses with its revenue has been consistently poor, which is a critical indicator of financial instability. The significant increase in the latest reported revenue needs further context to understand if it represents a sustainable shift or a one-time event.

Given the available data, Westbay Housing Corporation appears to be struggling with financial sustainability. The consistent deficits and the growing gap between liabilities and assets are significant concerns. While the absence of officer compensation suggests a lean operational structure in terms of executive pay, it does not offset the broader financial challenges. Transparency is generally good with consistent filings, but the financial performance itself is a major area of concern.

Is Westbay Housing Corporation Legit?

Verdict: Westbay Housing Corporation has notable concerns