Lifes Potential Services Inc
Lifes Potential Services Inc shows recent financial growth and no reported officer compensation.
EIN: 201643998 · Westminster, MD · NTEE: O50 · Updated: 2026-03-28
| Metric | Value |
|---|---|
| Total Revenue | $325K |
| Total Expenses | $560K |
| Program Spending | 90% |
| Net Assets | $86K |
| Transparency Score | 85/100 |
Is Lifes Potential Services Inc Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Lifes Potential Services Inc directs 90% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About Lifes Potential Services Inc
Lifes Potential Services Inc (EIN: 201643998) is a nonprofit organization based in Westminster, MD, classified under NTEE code O50. The organization reported total revenue of $325K and total assets of $159K according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Lifes Potential Services Inc's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Lifes Potential Services Inc is a small nonprofit that has been operating for 11 years, with 5 years of IRS 990 filings on record (2019–2023). Revenue has grown at a compound annual rate of 54.4%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $619K |
| Total Expenses | $560K |
| Surplus / Deficit | +$59K |
| Total Assets | $140K |
| Total Liabilities | $54K |
| Net Assets | $86K |
| Operating Margin | 9.6% |
| Debt-to-Asset Ratio | 38.7% |
| Months of Reserves | 3.0 months |
Financial Health Grade: A
In 2023, Lifes Potential Services Inc reported a surplus of $59K with revenue exceeding expenses, holds 3.0 months of operating reserves (adequate), has a debt-to-asset ratio of 38.7% (moderate leverage).
Financial Trends
Over 5 years of filings (2019–2023), Lifes Potential Services Inc's revenue has grown at a compound annual growth rate (CAGR) of 54.4%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | +27.2% | +5.8% | +22.5% |
| 2022 | +346.4% | +169.1% | -23.1% |
| 2021 | -20.1% | +219.8% | -19.9% |
| 2020 | +25.3% | +78.4% | +78.6% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 1200 |
| IRS Ruling Date | 2015 |
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 Lifes Potential Services Inc 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: 7%
- programs: 90%
- fundraising: 3%
According to IRS 990 filings, Lifes Potential Services Inc allocates its expenses as follows: admin: 7%, programs: 90%, fundraising: 3%. With 90% 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 $59K, with revenue exceeding expenses.
- Debt-to-asset ratio: 38.7%.
Executive Compensation Analysis
Lifes Potential Services Inc consistently reports 0% officer compensation across all available filings, indicating that no funds are allocated to executive salaries. This suggests a volunteer-led or very lean executive structure, allowing more resources to be directed towards program services.
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 Lifes Potential Services Inc's IRS 990 filings:
- Fluctuating financial performance with deficits in 2021 and 2022
Strengths
The following positive indicators were identified for Lifes Potential Services Inc:
- Consistent 0% officer compensation across all filings
- Significant revenue growth from 2019 to 2023
- Positive net income in the most recent fiscal year (2023)
- Lean operational model indicated by lack of executive compensation
Frequently Asked Questions about Lifes Potential Services Inc
Is Lifes Potential Services Inc a legitimate charity?
Lifes Potential Services Inc (EIN: 201643998) is a registered tax-exempt nonprofit based in Maryland. Our AI analysis gives it a Mission Score of 85/100. It has 5 years of IRS 990 filings on record. Total revenue: $325K. 1 red flag identified. 4 strengths noted. Financial health grade: A.
How does Lifes Potential Services Inc spend its money?
Lifes Potential Services Inc directs 90% of its spending to programs and services. Fundraising costs 3%. This exceeds the 65% industry benchmark.
Are donations to Lifes Potential Services Inc tax-deductible?
Lifes Potential Services Inc is registered as a tax-exempt nonprofit (EIN: 201643998). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
What percentage of Lifes Potential Services Inc's spending goes to programs?
Lifes Potential Services Inc directs 90% to programs, 3% to fundraising. This exceeds the 65% industry benchmark for efficient nonprofits.
How does Lifes Potential Services Inc compare to similar nonprofits?
With a transparency score of 85/100 (Excellent), Lifes Potential Services Inc is above average for NTEE category O50 nonprofits. The score reflects financial transparency, program spending efficiency, and governance quality based on IRS 990 data.
Where is Lifes Potential Services Inc located?
Lifes Potential Services Inc is headquartered in Westminster, Maryland and files with the IRS under EIN 201643998. It is classified under NTEE code O50.
How many years of IRS 990 filings does Lifes Potential Services Inc have?
Lifes Potential Services Inc has 5 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 $325K in total revenue.
Is Lifes Potential Services Inc financially stable?
While the organization experienced a deficit in 2022, its 2023 filing shows a positive net income ($618,682 revenue vs. $559,506 expenses), indicating improving financial stability. Assets have also grown over the past five years.
How does Lifes Potential Services Inc manage executive compensation?
The organization reports 0% officer compensation in all available filings, suggesting a strong commitment to directing funds towards its programs rather than executive salaries.
What is the trend in the organization's revenue and expenses?
Revenue has shown significant growth, from $108,736 in 2019 to $618,682 in 2023. Expenses have also increased but were outpaced by revenue in the most recent filing, indicating a positive financial trend.
Filing History
IRS 990 filing history for Lifes Potential Services Inc showing financial trends over 5 years of public records:
Over 5 years of IRS 990 filings (2019–2023), Lifes Potential Services Inc's revenue has grown by 469%, moving from $109K to $619K. Total assets increased by 34.8% over the same period, from $104K to $140K. Total functional expenses rose by 1525%, from $34K to $560K. In its most recent filing year (2023), Lifes Potential Services Inc reported a surplus of $59K, with revenue exceeding expenses. The organization holds $54K in liabilities against $140K in assets (debt-to-asset ratio: 38.7%), resulting in net assets of $86K.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $619K | $560K | $140K | $54K | — | View 990 |
| 2022 | $486K | $529K | $114K | $88K | — | View 990 |
| 2021 | $109K | $196K | $149K | $72K | — | View 990 |
| 2020 | $136K | $61K | $186K | $22K | — | View 990 |
| 2019 | $109K | $34K | $104K | $0 | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $619K, expenses of $560K, and assets of $140K (revenue +27.2% year-over-year).
- 2022: Revenue of $486K, expenses of $529K, and assets of $114K (revenue +346.4% year-over-year).
- 2021: Revenue of $109K, expenses of $196K, and assets of $149K (revenue -20.1% year-over-year).
- 2020: Revenue of $136K, expenses of $61K, and assets of $186K (revenue +25.3% year-over-year).
- 2019: Revenue of $109K, expenses of $34K, and assets of $104K.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Lifes Potential Services Inc:
Data Sources and Methodology
This transparency report for Lifes Potential Services 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.