Divinc

Nonprofit profile at a glance

EIN
813052133
IRS 990 coverage
2018–2024
Forms available
Form 990 2024, Form 990-N 2016
Location
Austin, TX, USA
Phone
5129094499
Rating
78
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Urban, Community Economic Development

Official website

Reported finances

Revenue
$1,319,288
Expenses
$1,832,674
Assets
$818,276
Liabilities
$624,966

Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.

Leadership & pay

12 people listed

Executive titles in this filing

  • PRESTON JAMES II (CO-FOUNDER/CEO)

Highest reported compensation

  • PRESTON JAMES II (CO-FOUNDER/CEO): $115,440 total reported compensation
  • ASHLEY DEWALT (MANAGING DIRECTOR): $100,597 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Divinc's mission is to generate social and economic equity through entrepreneurship.

What it reported doing in 2024

Divinc's program includes an intensive 12-week startup accelerator program providing a unique culture of support that equips people of color and women entrepreneurs with strategies critical to creating exceptional companies, driving job creation, and contributing to strong economic growth. Participants receive weekly workshops, one-on-one professional coaching, networking opportunities, and other essential business start-up resources. Approximately 3,000 people were served during the year ending 3/31/25.

Operating model

Revenue model
Donor-supported. 100% of the money available for current operations came from contributions and gifts.
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

SUPPORTED - 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 fundraising costs are high for each dollar raised.

Rating breakdown

  • Financial Efficiency: 75
  • Transparency & Controls: 92
  • Accountability: 74
  • Sustainability: 13
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 93%; rating input score 93
  • Program expense ratio: 67%; rating input score 67
  • Fundraising efficiency: $3.97 raised per $1 spent on fundraising; rating input score 13; 13th percentile among comparable filings

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: 100%; rating input score 100; 63rd percentile among comparable filings
  • Governance controls: 3 of 8 controls in place; rating input score 38
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: Fail
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: -38.9%; rating input score 4; 4th percentile among comparable filings
  • Total-asset coverage ratio: 0.45; rating input score 21; 21st percentile among comparable filings
  • Liabilities to assets ratio: 0.76; rating input score 9; 9th percentile among comparable filings
  • Officer compensation ratio: 11.8%; rating input score 31; 31st percentile among comparable filings

Growth

  • Program expense growth: 29.4% per year; rating input score 100; 90th percentile among comparable filings
  • Revenue growth: 20.5% per year; rating input score 100; 86th percentile among comparable filings
  • Asset growth: 18.6% per year; rating input score 100; 79th percentile among comparable filings

Details

  • Where the money goes: 93% of revenue deployed · 67% of spending went to programs
  • Governance: 9 of 9 board members independent · 3 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $1.2M in reported program spending
  • Leadership: top reported pay $115K · 12 people listed
  • Highest-paid contractors: 1 contractor listed · $107K reported
  • Consistency: 25 of 25 current checks pass
  • Schedules: 3 filed schedules · includes major donors
  • Filing history: 7 filing years from 2018 to 2024
  • Contacts: How to reach this organization
  • Money network: 2 filed money-flow records
  • Related organizations: Filed and resolved organization relationships.
  • 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.

  • Moderate — Accountability: Governance controls: 4 of 7 not reported.
  • High — Financial Efficiency: Fundraising efficiency scored 13/100.
  • High — Sustainability: Operating margin scored 4/100.
  • High — Sustainability: Total-asset coverage ratio scored 21/100.
  • High — Sustainability: Liabilities to assets ratio scored 9/100.
  • Moderate — Sustainability: Officer compensation ratio scored 31/100.