Michigan Capital Network Association

Nonprofit profile at a glance

EIN
861255672
IRS 990 coverage
2022–2024
Forms available
Form 990 2024
Location
Grand Rapids, MI, USA
Phone
6165661770
Rating
58
Verdict
MIXED
Rating confidence
Moderate
Sector
Chambers of Commerce & Business Leagues

Official website

Reported finances

Revenue
$297,226
Expenses
$225,670
Assets
$176,828
Liabilities
$3,999

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

Leadership & pay

5 people listed

Executive titles in this filing

  • Paul D'Amato (CEO & Former Director)

Highest reported compensation

  • Paul D'Amato (CEO & Former Director): $304,369 total reported compensation
  • Meagan Malm (Board Director): $120,422 total reported compensation
  • Emily Gilbert (Board Member): $56,864 total reported compensation

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

Overview

Mission

Establish a community of individuals and groups engaged in the trade and business of early-stage investing by creating an association that empowers its members with the tools, resources, and support to advance the business conditions for the assocation and its members.

What it reported doing in 2024

The largest service program we have is grand angels. It generated 55 members of the 98 total members in our organization. This program focuses on investors in the greater grand rapids area. We provide monthly meetings for our grand angels where we host 1-3 ceos from various companies. This supports our mission to educate, grow and diversify investors. We focus on early-stage investing in Michigan and the surrounding areas as well as a focus on attracting members in advanced manufacturing, alternative energy, consumer goods, life science and other technologies.

Operating model

Revenue model
Membership-supported. 82% of the money available for current operations came from membership dues.
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

MIXED - A large share of available resources goes toward mission work and the filed numbers largely add up. Few specific pay-setting methods are documented in the filing; unanswered boxes are not proof of absence and a relatively small share of voting board members are independent.

Rating breakdown

  • Financial Efficiency: 70
  • Transparency & Controls: 60
  • Accountability: 43
  • Sustainability: 51
  • Growth: 20

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 71.2%; rating input score 71
  • Program expense ratio: 92.7%; rating input score 93
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 64th percentile among comparable filings
  • Pay-setting controls: 0 of 6 controls in place; rating input score 0
    • Compensation committee: Missing
    • Independent consultant: Missing
    • Other Form 990s reviewed: Missing
    • Written employment contract: Missing
    • Compensation survey or study: Missing
    • Board or committee approval: Missing
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 50%; rating input score 50; 16th percentile among comparable filings
  • Governance controls: 3 of 9 controls in place; rating input score 33
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: Fail
    • Other executive compensation review process: Fail
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: 24.1%; rating input score 78; 78th percentile among comparable filings
  • Total-asset coverage ratio: 0.78; rating input score 34; 34th percentile among comparable filings
  • Liabilities to assets ratio: 0.02; rating input score 39; 39th percentile among comparable filings
  • Officer compensation ratio: Limited

Growth

  • Program expense growth: -11.6% per year; rating input score 0; 9th percentile among comparable filings
  • Revenue growth: -7.9% per year; rating input score 0; 7th percentile among comparable filings
  • Asset growth: 53.5% per year; rating input score 100; 97th percentile among comparable filings

Details

  • Where the money goes: 71.2% of revenue deployed · 92.7% of spending went to programs
  • Governance: 2 of 4 board members independent · 3 of 9 filing controls reported
  • Programs: 3 filed program accomplishments · $209K in reported program spending
  • Leadership: top reported pay $304K · 5 people listed · 0 of 6 pay-setting controls reported
  • Consistency: 18 of 18 current checks pass
  • Schedules: 3 filed schedules · includes executive pay
  • Filing history: 3 filing years from 2022 to 2024
  • Contacts: How to reach this organization
  • Related organizations: 1 filed related-organization link
  • 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 — Transparency & Controls: Pay-setting controls scored 0/100.
  • Review — Accountability: Independent voting board scored 50/100.
  • Moderate — Accountability: Governance controls: 5 of 8 not reported.
  • High — Growth: Program expense growth scored 0/100.
  • High — Growth: Revenue growth scored 0/100.
  • Moderate — Sustainability: Total-asset coverage ratio scored 34/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 39/100.