Sound Directions Inc
Sound Directions Inc: Declining Revenue and Asset Base Raise Concerns
EIN: 222663603 · Santa Fe, NM · NTEE: A68M · Updated: 2026-04-04
| Metric | Value |
|---|---|
| Total Expenses | $6K |
| Program Spending | 70% |
| Net Assets | $8K |
| Transparency Score | 45/100 |
Is Sound Directions Inc Legit?
Significant Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Sound Directions Inc directs 70% of its spending to programs. This meets the industry benchmark of 65% for efficient nonprofits.
About Sound Directions Inc
Sound Directions Inc (EIN: 222663603) is a nonprofit organization based in Santa Fe, NM, classified under NTEE code A68M. The organization reported total revenue of $0 and total assets of $0 according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Sound Directions Inc's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Sound Directions Inc is a micro nonprofit that has been operating for 40 years, with 10 years of IRS 990 filings on record (2012–2021). Revenue has grown at a compound annual rate of -8.5%.
Key Financial Metrics (2021)
From the most recent IRS 990 filing on record:
| Total Revenue | $9K |
| Total Expenses | $6K |
| Surplus / Deficit | +$3K |
| Total Assets | $8K |
| Net Assets | $8K |
| Operating Margin | 33.0% |
| Months of Reserves | 15.2 months |
Financial Health Grade: A
In 2021, Sound Directions Inc reported a surplus of $3K with revenue exceeding expenses, holds 15.2 months of operating reserves (strong position).
Financial Trends
Over 10 years of filings (2012–2021), Sound Directions Inc's revenue has declined at a compound annual growth rate (CAGR) of -8.5%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2021 | -62.9% | -73.4% | +63.8% |
| 2020 | +30.8% | +26.6% | +52.3% |
| 2019 | +32.0% | +38.8% | +27.2% |
| 2018 | +49.5% | +10.5% | +93.9% |
| 2017 | -20.3% | +14.9% | -64.6% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 1000 |
| IRS Ruling Date | 1986 |
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 Sound Directions Inc with a Mission Score of 45 out of 100 (Fair). 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: 70%
- fundraising: 15%
According to IRS 990 filings, Sound Directions Inc allocates its expenses as follows: admin: 15%, programs: 70%, fundraising: 15%. Approximately 70% goes to programs, indicating moderate mission focus.
Key Financial Metrics (2021)
From the most recent IRS 990 filing on record:
- The organization reported a surplus of $3K, with revenue exceeding expenses.
Executive Compensation Analysis
Executive compensation is consistently reported as 0%, which, while seemingly positive, warrants further investigation to understand how leadership is compensated or if the organization is entirely volunteer-run.
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 Sound Directions Inc's IRS 990 filings:
- Significant and consistent decline in revenue over the past several years, from $24,250 in 2020 to $9,000 in 2021.
- Total assets have dwindled from $7,617 in 2021 to a low of $433 in 2014, suggesting a long-term erosion of financial stability.
- Expenses frequently exceed revenue, as seen in 2017 ($11,662 expenses vs $9,400 revenue) and 2014 ($18,507 expenses vs $16,715 revenue), indicating operational deficits.
- The consistent reporting of 0% compensation across all years could be a red flag for transparency regarding leadership remuneration or operational sustainability.
Strengths
The following positive indicators were identified for Sound Directions Inc:
- The organization has maintained operations for at least 8 years despite financial challenges, showing resilience.
Frequently Asked Questions about Sound Directions Inc
Is Sound Directions Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Sound Directions Inc (EIN: 222663603) significant concerns. Mission Score: 45/100. 4 red flags identified, 1 strength noted.
How does Sound Directions Inc spend its money?
Sound Directions Inc directs 70% of its spending to programs and services. The remaining budget covers administration and fundraising costs.
Are donations to Sound Directions Inc tax-deductible?
Sound Directions Inc is registered as a tax-exempt nonprofit (EIN: 222663603). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
What percentage of Sound Directions Inc's spending goes to programs?
Sound Directions Inc directs 70% to programs, 15% to fundraising. This meets the 65% industry benchmark for efficient nonprofits.
How does Sound Directions Inc compare to similar nonprofits?
With a transparency score of 45/100 (Fair), Sound Directions Inc is near average for NTEE category A68M nonprofits. The score reflects financial transparency, program spending efficiency, and governance quality based on IRS 990 data.
Where is Sound Directions Inc located?
Sound Directions Inc is headquartered in Santa Fe, New Mexico and files with the IRS under EIN 222663603. It is classified under NTEE code A68M.
How many years of IRS 990 filings does Sound Directions Inc have?
Sound Directions Inc has 10 years of IRS 990 filings on record at NonprofitSpending. This extensive filing history provides a strong basis for evaluating long-term financial trends.
What does Sound Directions Inc do?
Sound Directions Inc is a nonprofit organization in the Arts, Culture & Humanities sector, located in Santa Fe, New Mexico. It is classified under NTEE code A68M.
How much revenue does Sound Directions Inc have?
Sound Directions Inc reported total revenue of N/A. Based on 10 IRS 990 filings on record.
What are Sound Directions Inc's total assets?
Sound Directions Inc holds total assets of N/A as reported in IRS 990 filings.
Where is Sound Directions Inc located?
Sound Directions Inc is based in Santa Fe, New Mexico.
What is Sound Directions Inc's EIN?
Sound Directions Inc's Employer Identification Number (EIN) is 222663603. This is the unique tax ID assigned by the IRS for tax-exempt organizations.
What type of nonprofit is Sound Directions Inc?
Sound Directions Inc is classified under NTEE code A68M (Arts, Culture & Humanities).
Is Sound Directions Inc a registered 501(c)(3)?
Yes, Sound Directions Inc is recognized as a tax-exempt organization by the IRS. EIN: 222663603.
Does Sound Directions Inc file IRS Form 990?
Yes, Sound Directions Inc has 10 IRS Form 990 filings on record. The most recent covers tax period 202105.
What was Sound Directions Inc's revenue in 2021?
In the 202105 filing period, Sound Directions Inc reported total revenue of $9,000, total expenses of $6,033, and net assets of $7,617.
Is Sound Directions Inc's revenue growing or declining?
Sound Directions Inc's revenue is declining. Revenue went from $24,250 (202005) to $9,000 (202105), a -62.9% change. Based on 10 filings on record.
What is Sound Directions Inc's most recent 990 filing?
The most recent IRS Form 990 filing for Sound Directions Inc covers tax period 202105. It shows revenue of $9,000, expenses of $6,033, total assets of $7,617, and liabilities of N/A.
How much does Sound Directions Inc spend on programs vs administration?
Based on IRS 990 analysis, Sound Directions Inc allocates approximately 70% of expenses to program services, 15% to administrative costs, and 15% to fundraising. Program spending is moderate relative to overhead.
Is Sound Directions Inc a trustworthy charity?
Based on AI analysis of IRS 990 data, Sound Directions Inc shows mixed signals. Mission Score: 45/100 (Fair). 4 red flags identified. 1 strength noted.
What are the red flags for Sound Directions Inc?
The following concerns were identified: Significant and consistent decline in revenue over the past several years, from $24,250 in 2020 to $9,000 in 2021.. Total assets have dwindled from $7,617 in 2021 to a low of $433 in 2014, suggesting a long-term erosion of financial stability.. Expenses frequently exceed revenue, as seen in 2017 ($11,662 expenses vs $9,400 revenue) and 2014 ($18,507 expenses vs $16,715 revenue), indicating operational deficits.. The consistent reporting of 0% compensation across all years could be a red flag for transparency regarding leadership remuneration or operational sustainability.. These flags are based on automated analysis of IRS 990 public filings and should be verified independently.
What are Sound Directions Inc's strengths?
Positive indicators for Sound Directions Inc include: The organization has maintained operations for at least 8 years despite financial challenges, showing resilience.. These findings are derived from AI analysis of the organization's financial filings.
How does Sound Directions Inc compensate executives?
Executive compensation is consistently reported as 0%, which, while seemingly positive, warrants further investigation to understand how leadership is compensated or if the organization is entirely volunteer-run. Executive compensation data is sourced from IRS 990 filings, which require disclosure of officer, director, and key employee pay.
Given the consistent reporting of 0% compensation, how does Sound Directions Inc. sustain its leadership and operational capacity, and what is the long-term viability of this model?
The consistent 0% compensation suggests either a fully volunteer-run model or that compensation is being reported in a non-standard way. Without further detail, it's difficult to assess the sustainability of this model, especially with declining revenues.
What specific strategies has Sound Directions Inc. implemented to address the continuous decline in revenue and assets, and have these strategies yielded any positive results?
The provided data does not detail specific strategies. The continued decline in revenue and assets suggests that any implemented strategies have not yet reversed the negative financial trends.
Filing History
IRS 990 filing history for Sound Directions Inc showing financial trends over 10 years of public records:
Over 10 years of IRS 990 filings (2012–2021), Sound Directions Inc's revenue has declined by 55%, moving from $20K to $9K. Total assets increased by 160.1% over the same period, from $3K to $8K. Total functional expenses fell by 65.3%, from $17K to $6K. In its most recent filing year (2021), Sound Directions Inc reported a surplus of $3K, with revenue exceeding expenses.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2021 | $9K | $6K | $8K | $0 | — | — |
| 2020 | $24K | $23K | $5K | $0 | — | View 990 |
| 2019 | $19K | $18K | $3K | $0 | — | View 990 |
| 2018 | $14K | $13K | $2K | $0 | — | — |
| 2017 | $9K | $12K | $1K | $0 | — | View 990 |
| 2016 | $12K | $10K | $4K | $0 | — | View 990 |
| 2015 | $17K | $16K | $2K | $0 | — | View 990 |
| 2014 | $17K | $19K | $433 | $0 | — | View 990 |
| 2013 | $10K | $11K | $2K | $0 | — | View 990 |
| 2012 | $20K | $17K | $3K | $0 | — | View 990 |
Year-by-Year Financial Summary
- 2021: Revenue of $9K, expenses of $6K, and assets of $8K (revenue -62.9% year-over-year).
- 2020: Revenue of $24K, expenses of $23K, and assets of $5K (revenue +30.8% year-over-year).
- 2019: Revenue of $19K, expenses of $18K, and assets of $3K (revenue +32.0% year-over-year).
- 2018: Revenue of $14K, expenses of $13K, and assets of $2K (revenue +49.5% year-over-year).
- 2017: Revenue of $9K, expenses of $12K, and assets of $1K (revenue -20.3% year-over-year).
- 2016: Revenue of $12K, expenses of $10K, and assets of $4K (revenue -31.8% year-over-year).
- 2015: Revenue of $17K, expenses of $16K, and assets of $2K (revenue +3.5% year-over-year).
- 2014: Revenue of $17K, expenses of $19K, and assets of $433 (revenue +64.4% year-over-year).
- 2013: Revenue of $10K, expenses of $11K, and assets of $2K (revenue -49.2% year-over-year).
- 2012: Revenue of $20K, expenses of $17K, and assets of $3K.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Sound Directions Inc:
Data Sources and Methodology
This transparency report for Sound Directions 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.