Baitul Hikmah Academy

Nonprofit profile at a glance

EIN
471222317
IRS 990 coverage
2017–2023
Official website data refreshed
Sep 2026
Forms available
Form 990 2023, Form 990-EZ 2016, Form 990-N 2015
Location
Prior Lake, MN, United States
Phone
+1 (952) 447-7786
Rating
80
Verdict
STRONG
Rating confidence
Moderate
Sector
Islam
Affiliation
Islam

Official website

Reported finances

Revenue
$837,383
Expenses
$850,489
Assets
$630,934
Liabilities
$0

Source: IRS Form 990. Selected filing: tax year 2023. Amounts in USD.

Leadership & pay

3 people listed

Highest reported compensation

  • MUHAMMAD FARAZ AHMAD (CHAIRMAN): $40,818 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2023. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

To preserve the Muslim civic model and to promote healthy coexistence with others as part of God’s will on earth.

What it reported doing in 2023

Weekly educational sermons, weekly classes, occasional seminars, and occasional workshops.

Operating model

Revenue model
Earned-program. 65% of the money available for current operations came from fees and other program revenue.
Distribution model
Direct operator. The filing allocates 100% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. Some filing-based governance responses are negative or unanswered and expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 89
  • Transparency & Controls: 92
  • Accountability: 50
  • Sustainability: 42
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 100%; rating input score 100
  • Program expense ratio: 100%; rating input score 100
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 63rd percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 66.7%; rating input score 67; 13th percentile among comparable filings
  • Governance controls: 2 of 8 controls in place; rating input score 25
    • Conflict-of-interest policy: Fail
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: NotApplicable
    • Other executive compensation review process: Pass
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: -1.6%; rating input score 33; 33rd percentile among comparable filings
  • Total-asset coverage ratio: 0.74; rating input score 33; 33rd percentile among comparable filings
  • Liabilities to assets ratio: 0; rating input score 92; 92nd percentile among comparable filings
  • Officer compensation ratio: 4.8%; rating input score 54; 54th percentile among comparable filings

Growth

  • Program expense growth: 19.7% per year; rating input score 100; 81st percentile among comparable filings
  • Revenue growth: 20.8% per year; rating input score 100; 86th percentile among comparable filings
  • Asset growth: 5.3% per year; rating input score 100; 40th percentile among comparable filings

Details

  • What they do: 7 programs and campaigns described on the official site · 1 operating location identified
  • Where the money goes: 100% of revenue deployed · 100% of spending went to programs
  • Governance: 2 of 3 board members independent · 2 of 8 filing controls reported · 0 of 6 affiliation controls reported
  • Programs: 1 filed program accomplishment · $850K in reported program spending
  • Leadership: top reported pay $41K · 3 people listed
  • Consistency: 19 of 19 current checks pass
  • Schedules: 4 filed schedules · includes major donors
  • Filing history: 7 filing years from 2017 to 2023
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • High — Accountability: Governance controls: 5 of 7 not reported.
  • Moderate — Sustainability: Operating margin scored 33/100.
  • Moderate — Sustainability: Total-asset coverage ratio scored 33/100.
  • Review — Sustainability: Officer compensation ratio scored 54/100.