Cafa Inc
Cafa Inc. consistently operates with significant liabilities exceeding assets, showing no reported officer compensation.
EIN: 10702652 · Gilbert, AZ · NTEE: B29 · Updated: 2026-03-27
Is Cafa Inc Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Cafa Inc directs 80% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About Cafa Inc
Cafa Inc (EIN: 10702652) is a nonprofit organization based in Gilbert, AZ, classified under NTEE code B29. The organization reported total revenue of $9.6M and total assets of $22.6M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Cafa Inc's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Cafa Inc is a mid-size nonprofit that has been operating for 21 years, with 13 years of IRS 990 filings on record (2011–2023). Revenue has grown at a compound annual rate of 8.1%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $11.6M |
| Total Expenses | $12.4M |
| Surplus / Deficit | $-772,711 |
| Total Assets | $24.5M |
| Total Liabilities | $26.9M |
| Net Assets | $-2,419,629 |
| Operating Margin | -6.7% |
| Debt-to-Asset Ratio | 109.9% |
| Months of Reserves | 23.7 months |
Financial Health Grade: C
In 2023, Cafa Inc reported a deficit of $773K with expenses exceeding revenue, holds 23.7 months of operating reserves (strong position), has a debt-to-asset ratio of 109.9% (high leverage).
Financial Trends
Over 13 years of filings (2011–2023), Cafa Inc's revenue has grown at a compound annual growth rate (CAGR) of 8.1%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | -14.3% | -5.4% | -1.4% |
| 2022 | +22.5% | +20.5% | -3.6% |
| 2021 | +9.2% | +4.6% | -0.5% |
| 2020 | -14.1% | -5.8% | +3.9% |
| 2019 | +15.2% | +1.0% | +2912.8% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 2000 |
| IRS Ruling Date | 2005 |
Classification data from ProPublica Nonprofit Explorer. Additional BMF data may be available after enrichment.
AI Transparency Report
Mission Effectiveness Score
NonprofitSpending's AI analysis rates Cafa Inc with a Mission Score of 65 out of 100 (Good). This score reflects the organization's overall financial transparency, program spending efficiency, and governance indicators derived from IRS 990 public filings.
Spending Breakdown
- admin: 15%
- programs: 80%
- fundraising: 5%
According to IRS 990 filings, Cafa Inc allocates its expenses as follows: admin: 15%, programs: 80%, fundraising: 5%. With 80% directed toward programs, this reflects a strong commitment to its charitable mission.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
- The organization reported a deficit of $773K, with expenses exceeding revenue.
- Debt-to-asset ratio: 109.9%.
Executive Compensation Analysis
Cafa Inc. consistently reports 0% officer compensation across all available filings, which is unusual for an organization of its size and revenue, suggesting either a fully volunteer executive team or compensation being categorized differently.
Executive compensation data is sourced from IRS 990 filings, which require nonprofits to disclose the compensation of officers, directors, trustees, and key employees. NonprofitSpending analyzes this data relative to the organization's total revenue and sector benchmarks to assess whether executive pay is reasonable.
Red Flags
The following concerns were identified during AI analysis of Cafa Inc's IRS 990 filings:
- Consistent liabilities significantly exceeding assets, indicating potential financial instability or a complex funding structure (e.g., 202306: Liabilities $26,898,072, Assets $24,478,443).
- No officer compensation reported across all 13 filings, which is unusual for an organization of this size and revenue, potentially obscuring leadership costs.
- Significant increase in both assets and liabilities between 201806 and 201906 without clear explanation, suggesting a major financial restructuring or event.
- Expenses frequently exceeding revenue (e.g., 202306: Expenses $12,378,269, Revenue $11,605,558), which could lead to depletion of reserves or increased debt over time.
Strengths
The following positive indicators were identified for Cafa Inc:
- Consistent high revenue generation, often exceeding $10 million annually, indicating a robust funding base.
- Long operational history with 13 IRS 990 filings, suggesting established presence and experience.
- Significant asset base (over $24 million in recent years), despite being outweighed by liabilities, indicates substantial resources are managed by the organization.
Frequently Asked Questions about Cafa Inc
Is Cafa Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Cafa Inc (EIN: 10702652) some concerns. Mission Score: 65/100. 4 red flags identified, 3 strengths noted.
How does Cafa Inc spend its money?
Cafa Inc directs 80% of its spending to programs and services. The remaining budget covers administration and fundraising costs.
Are donations to Cafa Inc tax-deductible?
Cafa Inc is registered as a tax-exempt nonprofit (EIN: 10702652). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
What is the nature of Cafa Inc.'s significant liabilities that consistently exceed its assets?
The filings consistently show liabilities significantly higher than assets (e.g., $26,898,072 liabilities vs. $24,478,443 assets in 202306). Understanding the composition of these liabilities (e.g., program-related debt, deferred revenue, or other obligations) is crucial for assessing financial stability.
Why is no officer compensation reported across all 13 filings?
For an organization with annual revenues often exceeding $10 million, the consistent reporting of 0% officer compensation is atypical. This raises questions about whether executive leadership is entirely volunteer-based or if compensation is being reported under other expense categories, impacting transparency.
What caused the substantial increase in assets and liabilities between 201806 and 201906?
Assets jumped from $826,994 in 201806 to $24,915,501 in 201906, accompanied by a similar surge in liabilities. This significant financial shift warrants investigation to understand the underlying operational or structural changes.
How does Cafa Inc. manage to operate with consistent negative net assets?
Given that liabilities frequently exceed assets, the organization appears to have negative net assets. Understanding the funding model and operational strategies that allow for sustained operations under such a financial structure is important.
What are the specific program expenses as a percentage of total expenses?
While total expenses are provided, the breakdown of these expenses into program, administrative, and fundraising categories is not detailed in the summary data. This information is critical for evaluating the organization's spending efficiency and mission focus.
Filing History
IRS 990 filing history for Cafa Inc showing financial trends over 13 years of public records:
Over 13 years of IRS 990 filings (2011–2023), Cafa Inc's revenue has grown by 155.4%, moving from $4.5M to $11.6M. Total assets increased by 6113.4% over the same period, from $394K to $24.5M. Total functional expenses rose by 186.2%, from $4.3M to $12.4M. In its most recent filing year (2023), Cafa Inc reported a deficit of $773K, with expenses exceeding revenue. The organization holds $26.9M in liabilities against $24.5M in assets (debt-to-asset ratio: 109.9%), resulting in net assets of $-2,419,629.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $11.6M | $12.4M | $24.5M | $26.9M | — | View 990 |
| 2022 | $13.5M | $13.1M | $24.8M | $26.5M | — | View 990 |
| 2021 | $11.1M | $10.9M | $25.7M | $27.8M | — | View 990 |
| 2020 | $10.1M | $10.4M | $25.9M | $28.2M | — | View 990 |
| 2019 | $11.8M | $11.0M | $24.9M | $26.9M | — | View 990 |
| 2018 | $10.2M | $10.9M | $827K | $3.6M | — | View 990 |
| 2017 | $10.4M | $11.1M | $303K | $2.4M | — | View 990 |
| 2016 | $10.1M | $10.6M | $577K | $2.0M | — | View 990 |
| 2015 | $9.5M | $10.3M | $763K | $1.6M | — | View 990 |
| 2014 | $7.4M | $7.8M | $360K | $390K | — | View 990 |
| 2013 | $5.3M | $5.3M | $437K | $102K | — | View 990 |
| 2012 | $4.8M | $4.8M | $403K | $71K | — | View 990 |
| 2011 | $4.5M | $4.3M | $394K | $96K | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $11.6M, expenses of $12.4M, and assets of $24.5M (revenue -14.3% year-over-year).
- 2022: Revenue of $13.5M, expenses of $13.1M, and assets of $24.8M (revenue +22.5% year-over-year).
- 2021: Revenue of $11.1M, expenses of $10.9M, and assets of $25.7M (revenue +9.2% year-over-year).
- 2020: Revenue of $10.1M, expenses of $10.4M, and assets of $25.9M (revenue -14.1% year-over-year).
- 2019: Revenue of $11.8M, expenses of $11.0M, and assets of $24.9M (revenue +15.2% year-over-year).
- 2018: Revenue of $10.2M, expenses of $10.9M, and assets of $827K (revenue -1.3% year-over-year).
- 2017: Revenue of $10.4M, expenses of $11.1M, and assets of $303K (revenue +3.0% year-over-year).
- 2016: Revenue of $10.1M, expenses of $10.6M, and assets of $577K (revenue +5.5% year-over-year).
- 2015: Revenue of $9.5M, expenses of $10.3M, and assets of $763K (revenue +28.9% year-over-year).
- 2014: Revenue of $7.4M, expenses of $7.8M, and assets of $360K (revenue +40.4% year-over-year).
- 2013: Revenue of $5.3M, expenses of $5.3M, and assets of $437K (revenue +9.1% year-over-year).
- 2012: Revenue of $4.8M, expenses of $4.8M, and assets of $403K (revenue +6.2% year-over-year).
- 2011: Revenue of $4.5M, expenses of $4.3M, and assets of $394K.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Cafa Inc:
Data Sources and Methodology
This transparency report for Cafa Inc is generated by NonprofitSpending's AI analysis engine. The data is sourced from publicly available IRS 990 filings accessed through the ProPublica Nonprofit Explorer API and IRS electronic filing records. The Mission Score, spending breakdown, and other analytical insights are produced by artificial intelligence and should be used as one of multiple factors when evaluating a nonprofit organization.
IRS 990 forms are annual information returns that most tax-exempt organizations must file with the IRS. These forms provide detailed financial information including revenue, expenses, assets, liabilities, and compensation of officers. NonprofitSpending processes this data to provide accessible transparency reports for donors, researchers, and the general public.
Disclaimer
AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.