High liability-to-asset ratio in multiple periods, indicating potential solvency issues (e.g., $121,123 liabilities vs. $21,639 assets in 2023).
Negative asset balance reported in 2017 ($-5,915), a severe indicator of financial distress.
Significant fluctuations in asset levels, from $-5,915 in 2017 to $127,298 in 2021, suggesting instability.
Strengths
Long operational history with 14 IRS 990 filings, demonstrating commitment to reporting.
Consistent reporting of 0% officer compensation, suggesting a potentially volunteer-driven executive leadership.
Recovery of assets from a negative balance in 2017 to positive in subsequent years, indicating resilience.
Spending Breakdown
How Xyz Services Inc allocates its funds across programs, administration, and fundraising.
75%
Program Spending
Healthy — majority goes to mission
15%
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 Xyz Services Inc
Is Xyz Services Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Xyz Services Inc (EIN: 134266307) shows mixed signals. Mission Score: 60/100. 4 red flags identified, 3 strengths noted.
Is Xyz Services Inc a good charity to donate to?
Xyz Services Inc has a Mission Score of 60/100. Revenue: $187K. Assets: $22K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Xyz Services Inc?
The Employer Identification Number (EIN) for Xyz Services Inc is 134266307. 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 Xyz Services Inc spend its money?
Xyz Services Inc allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Xyz Services Inc's tax-exempt status?
You can verify Xyz Services Inc's tax-exempt status using EIN 134266307 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
Xyz Services Inc demonstrates a consistent operational history with revenues generally in the range of $140,000 to $200,000 annually. The organization has shown a pattern of expenses often exceeding revenues, as seen in 2022 ($175,361 expenses vs. $163,761 revenue) and 2019 ($173,454 expenses vs. $142,856 revenue). This trend suggests a reliance on prior period reserves or other funding sources to cover operational costs. A significant concern is the fluctuation in assets, particularly the negative asset balance of $-5,915 in 2017, indicating potential financial instability during that period, although assets have since recovered to $21,639 in 2023. The organization's liabilities have also been substantial, reaching $151,956 in 2020, often exceeding its assets, which raises questions about its long-term financial solvency.
The organization's transparency is bolstered by its consistent filing of IRS Form 990s over 14 periods, indicating adherence to reporting requirements. The reported 0% officer compensation across all available filings suggests that the organization is either entirely volunteer-run at the executive level or that compensation is not reported in a way that is immediately apparent as 'officer compensation' on the 990, which warrants further investigation. Without a detailed breakdown of expenses into program, administrative, and fundraising categories from the provided data, a precise assessment of spending efficiency is challenging. However, the recurring deficit spending is a key area for improvement.
Overall, Xyz Services Inc appears to be a small to medium-sized nonprofit with a long operational history. While it maintains transparency through regular IRS filings and reports no officer compensation, its financial health shows signs of strain due to consistent deficit spending and a high liability-to-asset ratio in several periods. A deeper dive into its program activities and expense allocation would be necessary to fully evaluate its spending efficiency and impact.