Preachit Inc
Preachit Inc. faces persistent operating deficits despite substantial assets and no reported officer compensation.
EIN: 201865059 · Valparaiso, IN · NTEE: B70 · Updated: 2026-03-28
| Metric | Value |
|---|---|
| Total Revenue | $561K |
| Total Expenses | $864K |
| Program Spending | 70% |
| Net Assets | $1.2M |
| Transparency Score | 60/100 |
Is Preachit Inc Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Preachit Inc directs 70% of its spending to programs. This meets the industry benchmark of 65% for efficient nonprofits.
About Preachit Inc
Preachit Inc (EIN: 201865059) is a nonprofit organization based in Valparaiso, IN, classified under NTEE code B70. The organization reported total revenue of $561K and total assets of $2.4M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Preachit Inc's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Preachit Inc 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 -7.4%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $581K |
| Total Expenses | $864K |
| Surplus / Deficit | $-282,847 |
| Total Assets | $1.8M |
| Total Liabilities | $616K |
| Net Assets | $1.2M |
| Operating Margin | -48.7% |
| Debt-to-Asset Ratio | 33.9% |
| Months of Reserves | 25.2 months |
Financial Health Grade: B
In 2023, Preachit Inc reported a deficit of $283K with expenses exceeding revenue, holds 25.2 months of operating reserves (strong position), has a debt-to-asset ratio of 33.9% (moderate leverage).
Financial Trends
Over 13 years of filings (2011–2023), Preachit Inc's revenue has declined at a compound annual growth rate (CAGR) of -7.4%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | -17.4% | -1.7% | +18.8% |
| 2022 | +0.8% | +8.6% | -10.4% |
| 2021 | -30.4% | -13.8% | -8.8% |
| 2020 | +20.3% | +2.6% | +32.1% |
| 2019 | -21.7% | -2.9% | -19.0% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 7200 |
| 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 Preachit Inc with a Mission Score of 60 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: 20%
- programs: 70%
- fundraising: 10%
According to IRS 990 filings, Preachit Inc allocates its expenses as follows: admin: 20%, programs: 70%, fundraising: 10%. Approximately 70% goes to programs, indicating moderate mission focus.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
- The organization reported a deficit of $283K, with expenses exceeding revenue.
- Debt-to-asset ratio: 33.9%.
Executive Compensation Analysis
Preachit Inc. consistently reports 0% officer compensation across all available filings, indicating that no funds are allocated to executive salaries, which is highly unusual for an organization of its size and 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 Preachit Inc's IRS 990 filings:
- Consistent operating deficits (e.g., $282,847 deficit in 2023, $174,937 deficit in 2022).
- Significant increase in liabilities in 2023 ($615,805 from $46,222 in 2022).
- Declining revenue trend in recent years (from $1,003,039 in 2020 to $581,154 in 2023).
- Unusually high asset base relative to recent revenue and expenses, potentially indicating underutilization or a need to draw down assets to cover deficits.
Strengths
The following positive indicators were identified for Preachit Inc:
- Consistent IRS 990 filing history (13 filings) indicates good compliance.
- 0% reported officer compensation across all filings, suggesting resources are not diverted to executive salaries.
- Substantial asset base ($1,815,646 in 2023) provides a buffer, though it's being drawn down.
- Long operational history since 2014.
Frequently Asked Questions about Preachit Inc
Is Preachit Inc a legitimate charity?
Preachit Inc (EIN: 201865059) is a registered tax-exempt nonprofit based in Indiana. Our AI analysis gives it a Mission Score of 60/100. It has 13 years of IRS 990 filings on record. Total revenue: $561K. 4 red flags identified. 4 strengths noted. Financial health grade: B.
How does Preachit Inc spend its money?
Preachit Inc directs 70% of its spending to programs and services. Fundraising costs 10%. This meets the 65% industry benchmark.
Are donations to Preachit Inc tax-deductible?
Preachit Inc is registered as a tax-exempt nonprofit (EIN: 201865059). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
What percentage of Preachit Inc's spending goes to programs?
Preachit Inc directs 70% to programs, 10% to fundraising. This meets the 65% industry benchmark for efficient nonprofits.
How does Preachit Inc compare to similar nonprofits?
With a transparency score of 60/100 (Good), Preachit Inc is above average for NTEE category B70 nonprofits. The score reflects financial transparency, program spending efficiency, and governance quality based on IRS 990 data.
Where is Preachit Inc located?
Preachit Inc is headquartered in Valparaiso, Indiana and files with the IRS under EIN 201865059. It is classified under NTEE code B70.
How many years of IRS 990 filings does Preachit Inc have?
Preachit Inc has 13 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 $561K in total revenue.
Is Preachit Inc. financially sustainable given its recurring operating deficits?
Preachit Inc. has consistently reported expenses exceeding revenue in recent years (e.g., $864,001 expenses vs. $581,154 revenue in 2023), raising concerns about its long-term financial sustainability without a clear strategy to reverse these trends.
How does Preachit Inc. cover its operating deficits?
The organization's consistent operating deficits suggest it may be drawing down on its assets or relying on prior year surpluses to cover current expenses. For example, assets decreased from $1,870,803 in 2020 to $1,815,646 in 2023, while liabilities significantly increased in 2023.
What is the reason for the significant increase in liabilities in 2023?
Liabilities jumped from $46,222 in 2022 to $615,805 in 2023. This substantial increase warrants further investigation into the nature of these liabilities, as it could indicate new debt or deferred obligations impacting financial health.
How does Preachit Inc. manage to operate without officer compensation?
The consistent reporting of 0% officer compensation across all filings is highly unusual for an organization with revenues often exceeding $500,000. This could imply a volunteer-led executive team or compensation structured in a way not reported as officer compensation on the 990.
Filing History
IRS 990 filing history for Preachit Inc showing financial trends over 13 years of public records:
Over 13 years of IRS 990 filings (2011–2023), Preachit Inc's revenue has declined by 60.3%, moving from $1.5M to $581K. Total assets increased by 42.7% over the same period, from $1.3M to $1.8M. Total functional expenses fell by 38.4%, from $1.4M to $864K. In its most recent filing year (2023), Preachit Inc reported a deficit of $283K, with expenses exceeding revenue. The organization holds $616K in liabilities against $1.8M in assets (debt-to-asset ratio: 33.9%), resulting in net assets of $1.2M.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $581K | $864K | $1.8M | $616K | — | — |
| 2022 | $704K | $879K | $1.5M | $46K | — | View 990 |
| 2021 | $698K | $809K | $1.7M | $49K | — | View 990 |
| 2020 | $1.0M | $938K | $1.9M | $102K | — | View 990 |
| 2019 | $834K | $915K | $1.4M | $270K | — | View 990 |
| 2018 | $1.1M | $942K | $1.7M | $522K | — | View 990 |
| 2017 | $934K | $955K | $1.7M | $281K | — | View 990 |
| 2016 | $1.3M | $979K | $1.7M | $299K | — | View 990 |
| 2015 | $1.1M | $956K | $1.7M | $305K | — | View 990 |
| 2014 | $1.1M | $1.0M | $1.6M | $375K | — | View 990 |
| 2013 | $1.3M | $1.2M | $1.6M | $55K | — | View 990 |
| 2012 | $1.3M | $982K | $1.5M | $0 | — | View 990 |
| 2011 | $1.5M | $1.4M | $1.3M | $0 | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $581K, expenses of $864K, and assets of $1.8M (revenue -17.4% year-over-year).
- 2022: Revenue of $704K, expenses of $879K, and assets of $1.5M (revenue +0.8% year-over-year).
- 2021: Revenue of $698K, expenses of $809K, and assets of $1.7M (revenue -30.4% year-over-year).
- 2020: Revenue of $1.0M, expenses of $938K, and assets of $1.9M (revenue +20.3% year-over-year).
- 2019: Revenue of $834K, expenses of $915K, and assets of $1.4M (revenue -21.7% year-over-year).
- 2018: Revenue of $1.1M, expenses of $942K, and assets of $1.7M (revenue +14.1% year-over-year).
- 2017: Revenue of $934K, expenses of $955K, and assets of $1.7M (revenue -27.4% year-over-year).
- 2016: Revenue of $1.3M, expenses of $979K, and assets of $1.7M (revenue +20.1% year-over-year).
- 2015: Revenue of $1.1M, expenses of $956K, and assets of $1.7M (revenue -5.8% year-over-year).
- 2014: Revenue of $1.1M, expenses of $1.0M, and assets of $1.6M (revenue -14.5% year-over-year).
- 2013: Revenue of $1.3M, expenses of $1.2M, and assets of $1.6M (revenue -0.7% year-over-year).
- 2012: Revenue of $1.3M, expenses of $982K, and assets of $1.5M (revenue -8.6% year-over-year).
- 2011: Revenue of $1.5M, expenses of $1.4M, and assets of $1.3M.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Preachit Inc:
Data Sources and Methodology
This transparency report for Preachit 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.