Cottonwood Artists School
Cottonwood Artists School shows asset growth but faces fluctuating revenues and occasional expense overruns.
EIN: 203132668 · Colorado Spgs, CO · NTEE: A25 · Updated: 2026-03-28
Is Cottonwood Artists School Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Cottonwood Artists School directs 85% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About Cottonwood Artists School
Cottonwood Artists School (EIN: 203132668) is a nonprofit organization based in Colorado Spgs, CO, classified under NTEE code A25. The organization reported total revenue of $813K and total assets of $2.1M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Cottonwood Artists School's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Cottonwood Artists School is a small nonprofit that has been operating for 20 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 | $809K |
| Total Expenses | $854K |
| Surplus / Deficit | $-44,517 |
| Total Assets | $2.2M |
| Total Liabilities | $581K |
| Net Assets | $1.6M |
| Operating Margin | -5.5% |
| Debt-to-Asset Ratio | 26.9% |
| Months of Reserves | 30.4 months |
Financial Health Grade: B
In 2023, Cottonwood Artists School reported a deficit of $45K with expenses exceeding revenue, holds 30.4 months of operating reserves (strong position), has a debt-to-asset ratio of 26.9% (moderate leverage).
Financial Trends
Over 13 years of filings (2011–2023), Cottonwood Artists School's revenue has grown at a compound annual growth rate (CAGR) of 8.1%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | -44.5% | +2.2% | -1.0% |
| 2022 | +44.4% | +16.6% | +108.6% |
| 2021 | +62.9% | +23.0% | +32.9% |
| 2020 | -78.7% | -5.5% | +15.5% |
| 2019 | +200.2% | -25.2% | -77.8% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 2000 |
| IRS Ruling Date | 2006 |
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 Cottonwood Artists School with a Mission Score of 85 out of 100 (Excellent). This score reflects the organization's overall financial transparency, program spending efficiency, and governance indicators derived from IRS 990 public filings.
Spending Breakdown
- admin: 10%
- programs: 85%
- fundraising: 5%
According to IRS 990 filings, Cottonwood Artists School allocates its expenses as follows: admin: 10%, programs: 85%, fundraising: 5%. With 85% 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 $45K, with expenses exceeding revenue.
- Debt-to-asset ratio: 26.9%.
Executive Compensation Analysis
Executive compensation is consistently reported at 0% across all available filings, indicating that no officers receive salaries from the organization, which is highly commendable for a nonprofit of its size with over $800,000 in annual revenue.
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 Cottonwood Artists School's IRS 990 filings:
- Expenses exceeded revenue in 2023 ($853,644 expenses vs. $809,127 revenue), indicating a potential deficit.
- Significant fluctuations in annual revenue, from $402,819 in 2016 to $2,912,970 in 2019, could impact program stability.
- Liabilities have increased substantially from $64,024 in 2021 to $580,563 in 2023, requiring monitoring.
Strengths
The following positive indicators were identified for Cottonwood Artists School:
- Consistent 0% officer compensation demonstrates strong financial integrity and dedication to mission.
- Significant asset growth from $787,404 in 2020 to $2,160,607 in 2023, indicating financial stability.
- Long filing history (13 filings) suggests consistent compliance and transparency.
Frequently Asked Questions about Cottonwood Artists School
Is Cottonwood Artists School a legitimate charity?
Based on AI analysis of IRS 990 filings, Cottonwood Artists School (EIN: 203132668) some concerns. Mission Score: 85/100. 3 red flags identified, 3 strengths noted.
How does Cottonwood Artists School spend its money?
Cottonwood Artists School directs 85% of its spending to programs and services. The remaining budget covers administration and fundraising costs.
Are donations to Cottonwood Artists School tax-deductible?
Cottonwood Artists School is registered as a tax-exempt nonprofit (EIN: 203132668). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
Is Cottonwood Artists School a good charity?
Based on the available data, Cottonwood Artists School appears to be a good charity, particularly due to its commitment to transparency with 0% officer compensation and significant asset growth. However, potential donors should consider the fluctuations in revenue and occasional expense overruns.
How does Cottonwood Artists School manage its liabilities?
The organization's liabilities have increased significantly from $64,024 in 2021 to $580,563 in 2023, which warrants closer examination to understand the nature of these liabilities and the organization's strategy for managing them.
What caused the large revenue spike in 2019?
In 2019, Cottonwood Artists School reported an exceptionally high revenue of $2,912,970, which is significantly higher than other years. Further investigation into the 990 filing for that period would be needed to identify the specific source of this substantial income, such as a major grant or capital campaign.
Filing History
IRS 990 filing history for Cottonwood Artists School showing financial trends over 13 years of public records:
Over 13 years of IRS 990 filings (2011–2023), Cottonwood Artists School's revenue has grown by 153.9%, moving from $319K to $809K. Total assets decreased by 40.5% over the same period, from $3.6M to $2.2M. Total functional expenses rose by 55.7%, from $548K to $854K. In its most recent filing year (2023), Cottonwood Artists School reported a deficit of $45K, with expenses exceeding revenue. The organization holds $581K in liabilities against $2.2M in assets (debt-to-asset ratio: 26.9%), resulting in net assets of $1.6M.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $809K | $854K | $2.2M | $581K | — | — |
| 2022 | $1.5M | $835K | $2.2M | $577K | — | — |
| 2021 | $1.0M | $716K | $1.0M | $64K | — | View 990 |
| 2020 | $620K | $582K | $787K | $99K | — | View 990 |
| 2019 | $2.9M | $616K | $681K | $31K | — | — |
| 2018 | $970K | $824K | $3.1M | $4.7M | — | View 990 |
| 2017 | $494K | $747K | $3.2M | $5.0M | — | View 990 |
| 2016 | $403K | $688K | $3.2M | $4.8M | — | View 990 |
| 2015 | $435K | $738K | $3.3M | $4.6M | — | View 990 |
| 2014 | $480K | $851K | $3.4M | $4.4M | — | View 990 |
| 2013 | $384K | $640K | $3.5M | $4.0M | — | View 990 |
| 2012 | $321K | $609K | $3.5M | $3.9M | — | View 990 |
| 2011 | $319K | $548K | $3.6M | $3.7M | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $809K, expenses of $854K, and assets of $2.2M (revenue -44.5% year-over-year).
- 2022: Revenue of $1.5M, expenses of $835K, and assets of $2.2M (revenue +44.4% year-over-year).
- 2021: Revenue of $1.0M, expenses of $716K, and assets of $1.0M (revenue +62.9% year-over-year).
- 2020: Revenue of $620K, expenses of $582K, and assets of $787K (revenue -78.7% year-over-year).
- 2019: Revenue of $2.9M, expenses of $616K, and assets of $681K (revenue +200.2% year-over-year).
- 2018: Revenue of $970K, expenses of $824K, and assets of $3.1M (revenue +96.3% year-over-year).
- 2017: Revenue of $494K, expenses of $747K, and assets of $3.2M (revenue +22.7% year-over-year).
- 2016: Revenue of $403K, expenses of $688K, and assets of $3.2M (revenue -7.3% year-over-year).
- 2015: Revenue of $435K, expenses of $738K, and assets of $3.3M (revenue -9.4% year-over-year).
- 2014: Revenue of $480K, expenses of $851K, and assets of $3.4M (revenue +25.1% year-over-year).
- 2013: Revenue of $384K, expenses of $640K, and assets of $3.5M (revenue +19.7% year-over-year).
- 2012: Revenue of $321K, expenses of $609K, and assets of $3.5M (revenue +0.6% year-over-year).
- 2011: Revenue of $319K, expenses of $548K, and assets of $3.6M.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Cottonwood Artists School:
Data Sources and Methodology
This transparency report for Cottonwood Artists School 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.