Democracy Collaborative Foundation Inc
Democracy Collaborative Foundation shows fluctuating financial health with recent surplus after years of deficits.
EIN: 200387511 · Cleveland, OH · NTEE: B032 · Updated: 2026-03-28
| Metric | Value |
|---|---|
| Total Revenue | $983K |
| Total Expenses | $2.5M |
| Program Spending | 80% |
| Net Assets | $1.3M |
| Transparency Score | 70/100 |
Is Democracy Collaborative Foundation Inc Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Democracy Collaborative Foundation Inc directs 80% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About Democracy Collaborative Foundation Inc
Democracy Collaborative Foundation Inc (EIN: 200387511) is a nonprofit organization based in Cleveland, OH, classified under NTEE code B032. The organization reported total revenue of $983K and total assets of $1.1M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Democracy Collaborative Foundation Inc's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Democracy Collaborative Foundation Inc is a small nonprofit that has been operating for 22 years, with 14 years of IRS 990 filings on record (2011–2023). Revenue has grown at a compound annual rate of 18.1%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $3.9M |
| Total Expenses | $2.5M |
| Surplus / Deficit | +$1.4M |
| Total Assets | $2.7M |
| Total Liabilities | $1.4M |
| Net Assets | $1.3M |
| Operating Margin | 36.4% |
| Debt-to-Asset Ratio | 52.8% |
| Months of Reserves | 13.3 months |
Financial Health Grade: A
In 2023, Democracy Collaborative Foundation Inc reported a surplus of $1.4M with revenue exceeding expenses, holds 13.3 months of operating reserves (strong position), has a debt-to-asset ratio of 52.8% (high leverage).
Financial Trends
Over 14 years of filings (2011–2023), Democracy Collaborative Foundation Inc's revenue has grown at a compound annual growth rate (CAGR) of 18.1%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | +4.8% | -36.0% | +48.5% |
| 2022 | +60.4% | -6.5% | -18.9% |
| 2021 | -17.3% | -21.9% | -41.3% |
| 2020 | -49.2% | -16.4% | -30.5% |
| 2019 | -40.0% | +19.4% | -8.7% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 2100 |
| IRS Ruling Date | 2004 |
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 Democracy Collaborative Foundation Inc with a Mission Score of 70 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, Democracy Collaborative Foundation 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 surplus of $1.4M, with revenue exceeding expenses.
- Debt-to-asset ratio: 52.8%.
Executive Compensation Analysis
Executive compensation is reported as 0% for officers across all available filings, indicating that no compensation was paid to officers, which is a strong positive for minimizing overhead in this area relative to the organization's size and revenue fluctuations.
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 Democracy Collaborative Foundation Inc's IRS 990 filings:
- Recurring operating deficits in multiple years (e.g., 2022, 2021, 2020, 2019, 2017, 2014)
- Significant increase in liabilities over time, from $23,298 in 2014 to $1,438,483 in 2023
- Volatile revenue and expense trends, indicating potential instability in funding or operations
- Assets declined significantly from a peak of $6,073,428 in 2018 to $1,833,529 in 2022 before recovering to $2,723,363 in 2023
Strengths
The following positive indicators were identified for Democracy Collaborative Foundation Inc:
- Reported 0% officer compensation across all filings, indicating strong control over executive pay
- Achieved a positive net income in 2023 ($1,409,246 surplus), reversing a trend of deficits
- Substantial asset base of $2,723,363 in 2023, providing some financial cushion
- History of attracting significant funding, with revenues exceeding $9 million in 2018
Frequently Asked Questions about Democracy Collaborative Foundation Inc
Is Democracy Collaborative Foundation Inc a legitimate charity?
Democracy Collaborative Foundation Inc (EIN: 200387511) is a registered tax-exempt nonprofit based in Ohio. Our AI analysis gives it a Mission Score of 70/100. It has 14 years of IRS 990 filings on record. Total revenue: $983K. 4 red flags identified. 4 strengths noted. Financial health grade: A.
How does Democracy Collaborative Foundation Inc spend its money?
Democracy Collaborative Foundation Inc directs 80% of its spending to programs and services. Fundraising costs 5%. This exceeds the 65% industry benchmark.
Are donations to Democracy Collaborative Foundation Inc tax-deductible?
Democracy Collaborative Foundation Inc is registered as a tax-exempt nonprofit (EIN: 200387511). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
What percentage of Democracy Collaborative Foundation Inc's spending goes to programs?
Democracy Collaborative Foundation Inc directs 80% to programs, 5% to fundraising. This exceeds the 65% industry benchmark for efficient nonprofits.
How does Democracy Collaborative Foundation Inc compare to similar nonprofits?
With a transparency score of 70/100 (Good), Democracy Collaborative Foundation Inc is above average for NTEE category B032 nonprofits. The score reflects financial transparency, program spending efficiency, and governance quality based on IRS 990 data.
Where is Democracy Collaborative Foundation Inc located?
Democracy Collaborative Foundation Inc is headquartered in Cleveland, Ohio and files with the IRS under EIN 200387511. It is classified under NTEE code B032.
How many years of IRS 990 filings does Democracy Collaborative Foundation Inc have?
Democracy Collaborative Foundation Inc has 14 years of IRS 990 filings on record at NonprofitSpending. This extensive filing history provides a strong basis for evaluating long-term financial trends. The most recent filing shows $983K in total revenue.
Why did the organization experience significant operating deficits in multiple years, such as 2022 ($157,037 deficit) and 2021 ($1,818,259 deficit)?
The provided data indicates that expenses exceeded revenue in several periods, suggesting either ambitious spending plans not met by fundraising or unexpected cost increases. Further detail from the full 990 filings would be needed to understand the specific causes.
What caused the substantial increase in liabilities, from $23,298 in 2014 to $1,438,483 in 2023?
The rise in liabilities could be due to various factors such as deferred revenue, accounts payable, or loans. A detailed breakdown from the balance sheet in the full 990 would clarify the nature of these obligations.
How does the organization manage its cash flow given the significant fluctuations in annual revenue and expenses?
The large swings in financial activity suggest a need for robust financial planning and reserves to manage periods of lower revenue or higher expenses. The increase in assets in 2023 to $2,723,363 after a period of decline may indicate improved cash management.
What specific programs or initiatives contributed to the significant revenue increase in 2018 to $9,154,725 and the subsequent decline?
The summary data does not provide program-specific details. A review of the organization's program service accomplishments in the full 990 for 2018 would likely shed light on the activities driving that revenue peak.
Filing History
IRS 990 filing history for Democracy Collaborative Foundation Inc showing financial trends over 14 years of public records:
Over 14 years of IRS 990 filings (2011–2023), Democracy Collaborative Foundation Inc's revenue has grown by 635.5%, moving from $527K to $3.9M. Total assets increased by 699.1% over the same period, from $341K to $2.7M. Total functional expenses rose by 362.6%, from $533K to $2.5M. In its most recent filing year (2023), Democracy Collaborative Foundation Inc reported a surplus of $1.4M, with revenue exceeding expenses. The organization holds $1.4M in liabilities against $2.7M in assets (debt-to-asset ratio: 52.8%), resulting in net assets of $1.3M.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $3.9M | $2.5M | $2.7M | $1.4M | — | — |
| 2022 | $3.7M | $3.9M | $1.8M | $2.0M | — | View 990 |
| 2021 | $2.3M | $4.1M | $2.3M | $2.2M | — | View 990 |
| 2020 | $2.8M | $5.3M | $3.9M | $2.0M | — | View 990 |
| 2019 | $5.5M | $6.3M | $5.5M | $1.2M | — | View 990 |
| 2018 | $9.2M | $5.3M | $6.1M | $918K | — | View 990 |
| 2017 | $2.2M | $4.5M | $2.2M | $910K | — | View 990 |
| 2016 | $4.8M | $4.0M | $4.2M | $607K | — | View 990 |
| 2015 | $4.9M | $2.6M | $3.9M | $181K | — | View 990 |
| 2014 | $713K | $1.2M | $1.3M | $23K | — | View 990 |
| 2014 | $2.3M | $1.8M | $1.8M | $24K | — | View 990 |
| 2013 | $1.6M | $1.2M | $1.2M | $28K | — | View 990 |
| 2012 | $802K | $690K | $453K | $0 | — | View 990 |
| 2011 | $527K | $533K | $341K | $0 | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $3.9M, expenses of $2.5M, and assets of $2.7M (revenue +4.8% year-over-year).
- 2022: Revenue of $3.7M, expenses of $3.9M, and assets of $1.8M (revenue +60.4% year-over-year).
- 2021: Revenue of $2.3M, expenses of $4.1M, and assets of $2.3M (revenue -17.3% year-over-year).
- 2020: Revenue of $2.8M, expenses of $5.3M, and assets of $3.9M (revenue -49.2% year-over-year).
- 2019: Revenue of $5.5M, expenses of $6.3M, and assets of $5.5M (revenue -40.0% year-over-year).
- 2018: Revenue of $9.2M, expenses of $5.3M, and assets of $6.1M (revenue +312.5% year-over-year).
- 2017: Revenue of $2.2M, expenses of $4.5M, and assets of $2.2M (revenue -54.1% year-over-year).
- 2016: Revenue of $4.8M, expenses of $4.0M, and assets of $4.2M (revenue -1.3% year-over-year).
- 2015: Revenue of $4.9M, expenses of $2.6M, and assets of $3.9M (revenue +587.7% year-over-year).
- 2014: Revenue of $713K, expenses of $1.2M, and assets of $1.3M (revenue -69.6% year-over-year).
- 2014: Revenue of $2.3M, expenses of $1.8M, and assets of $1.8M (revenue +43.5% year-over-year).
- 2013: Revenue of $1.6M, expenses of $1.2M, and assets of $1.2M (revenue +103.8% year-over-year).
- 2012: Revenue of $802K, expenses of $690K, and assets of $453K (revenue +52.3% year-over-year).
- 2011: Revenue of $527K, expenses of $533K, and assets of $341K.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Democracy Collaborative Foundation Inc:
Data Sources and Methodology
This transparency report for Democracy Collaborative Foundation 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.