Seven Hills Preparatory Academy
Seven Hills Preparatory Academy shows consistent revenue growth but maintains significant liabilities exceeding assets.
EIN: 203107105 · Bloomington, MN · NTEE: B29 · Updated: 2026-03-28
Is Seven Hills Preparatory Academy Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Seven Hills Preparatory Academy directs 90% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About Seven Hills Preparatory Academy
Seven Hills Preparatory Academy (EIN: 203107105) is a nonprofit organization based in Bloomington, MN, classified under NTEE code B29. The organization reported total revenue of $17.8M and total assets of $9.4M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Seven Hills Preparatory Academy's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
AI Transparency Report
Mission Effectiveness Score
NonprofitSpending's AI analysis rates Seven Hills Preparatory Academy with a Mission Score of 75 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: 7%
- programs: 90%
- fundraising: 3%
According to IRS 990 filings, Seven Hills Preparatory Academy 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.
Executive Compensation Analysis
Seven Hills Preparatory Academy consistently reports 0% officer compensation across all available filings, which is unusual for an organization of its size with over $16 million in annual revenue. This suggests that executive leadership may be compensated through other entities, or the organization relies heavily on volunteer or externally funded leadership.
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 Seven Hills Preparatory Academy's IRS 990 filings:
- Consistent negative net asset position (liabilities exceeding assets), e.g., $14.8M liabilities vs. $11.0M assets in 2023.
- 0% reported officer compensation for an organization with over $16 million in annual revenue, which is atypical and may obscure compensation structures.
Strengths
The following positive indicators were identified for Seven Hills Preparatory Academy:
- Strong and consistent revenue growth over the past decade, from $4.8M in 2014 to $16.4M in 2023.
- High operational efficiency, with expenses closely tracking revenue (e.g., $16.2M expenses vs. $16.4M revenue in 2023).
- Consistent filing of IRS Form 990s, indicating good transparency regarding financial operations.
Frequently Asked Questions about Seven Hills Preparatory Academy
Is Seven Hills Preparatory Academy a legitimate charity?
Based on AI analysis of IRS 990 filings, Seven Hills Preparatory Academy (EIN: 203107105) some concerns. Mission Score: 75/100. 2 red flags identified, 3 strengths noted.
How does Seven Hills Preparatory Academy spend its money?
Seven Hills Preparatory Academy directs 90% of its spending to programs and services. The remaining budget covers administration and fundraising costs.
Are donations to Seven Hills Preparatory Academy tax-deductible?
Seven Hills Preparatory Academy is registered as a tax-exempt nonprofit (EIN: 203107105). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
What is the nature of Seven Hills Preparatory Academy's significant liabilities, which consistently exceed its assets?
The filings consistently show liabilities exceeding assets (e.g., $14,870,078 in liabilities vs. $11,016,543 in assets in 2023). Understanding the composition of these liabilities (e.g., bonds, mortgages, program-related debt) is crucial for assessing long-term financial health.
How is executive leadership compensated if officer compensation is consistently reported as 0%?
Given the organization's scale, the absence of reported officer compensation on the 990s warrants investigation into how key management personnel are compensated, whether through related organizations, stipends not classified as 'officer compensation,' or if the leadership is entirely volunteer-based.
What is the organization's strategy for addressing its negative net asset position?
With liabilities consistently higher than assets, the organization has a negative net asset position. It would be important to understand their financial strategy to improve this balance and ensure long-term solvency.
Filing History
IRS 990 filing history for Seven Hills Preparatory Academy showing financial trends over 13 years of public records:
Over 13 years of IRS 990 filings (2011–2023), Seven Hills Preparatory Academy's revenue has grown by 276.6%, moving from $4.4M to $16.4M. Total assets increased by 622.6% over the same period, from $1.5M to $11.0M. Total functional expenses rose by 291.3%, from $4.1M to $16.2M. In its most recent filing year (2023), Seven Hills Preparatory Academy reported a surplus of $188K, with revenue exceeding expenses. The organization holds $14.9M in liabilities against $11.0M in assets (debt-to-asset ratio: 135.0%), resulting in net assets of $-3,853,535.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. | |
|---|---|---|---|---|---|---|
| 2023 | $16.4M | $16.2M | $11.0M | $14.9M | — | View 990 |
| 2022 | $15.4M | $15.1M | $12.0M | $16.7M | — | View 990 |
| 2021 | $13.7M | $13.3M | $10.1M | $15.7M | — | View 990 |
| 2020 | $12.8M | $13.8M | $9.2M | $14.7M | — | View 990 |
| 2019 | $11.6M | $10.4M | $10.6M | $15.2M | — | View 990 |
| 2018 | $10.6M | $12.7M | $10.8M | $16.6M | — | View 990 |
| 2017 | $9.4M | $11.6M | $11.6M | $15.4M | — | View 990 |
| 2016 | $8.1M | $8.4M | $2.8M | $4.5M | — | View 990 |
| 2015 | $7.4M | $7.2M | $2.9M | $4.3M | — | View 990 |
| 2014 | $4.9M | $4.7M | $1.3M | $249K | — | View 990 |
| 2013 | $4.3M | $4.3M | $1.1M | $246K | — | View 990 |
| 2012 | $4.0M | $4.1M | $1.4M | $632K | — | View 990 |
| 2011 | $4.4M | $4.1M | $1.5M | $694K | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $16.4M, expenses of $16.2M, and assets of $11.0M (revenue +6.4% year-over-year).
- 2022: Revenue of $15.4M, expenses of $15.1M, and assets of $12.0M (revenue +12.6% year-over-year).
- 2021: Revenue of $13.7M, expenses of $13.3M, and assets of $10.1M (revenue +6.7% year-over-year).
- 2020: Revenue of $12.8M, expenses of $13.8M, and assets of $9.2M (revenue +10.4% year-over-year).
- 2019: Revenue of $11.6M, expenses of $10.4M, and assets of $10.6M (revenue +9.5% year-over-year).
- 2018: Revenue of $10.6M, expenses of $12.7M, and assets of $10.8M (revenue +12.5% year-over-year).
- 2017: Revenue of $9.4M, expenses of $11.6M, and assets of $11.6M (revenue +16.5% year-over-year).
- 2016: Revenue of $8.1M, expenses of $8.4M, and assets of $2.8M (revenue +10.4% year-over-year).
- 2015: Revenue of $7.4M, expenses of $7.2M, and assets of $2.9M (revenue +50.4% year-over-year).
- 2014: Revenue of $4.9M, expenses of $4.7M, and assets of $1.3M (revenue +12.9% year-over-year).
- 2013: Revenue of $4.3M, expenses of $4.3M, and assets of $1.1M (revenue +7.2% year-over-year).
- 2012: Revenue of $4.0M, expenses of $4.1M, and assets of $1.4M (revenue -7.2% year-over-year).
- 2011: Revenue of $4.4M, expenses of $4.1M, and assets of $1.5M.
Data Sources and Methodology
This transparency report for Seven Hills Preparatory Academy 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.