Rainbow House Inc

Nonprofit profile at a glance

EIN
581836963
IRS 990 coverage
2011–2023
Forms available
Form 990 2023
Location
Atlanta, GA, USA
Phone
4046405917
Rating
44
Verdict
MIXED
Rating confidence
Moderate

Reported finances

Revenue
$-698,732
Expenses
$25,433
Assets
$0
Liabilities
$286,001

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

Leadership & pay

15 people listed

People named in this filing

  • Neil C Gordon (Bankruptcy Trustee)
  • Monica Scott (Former Board Chair)
  • Arletta Bender (Former Assist Treasurer)

Selected names, not a complete roster or a statement of current roles. Open leadership details for the complete filed list.

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

Overview

Mission

To provide comprehensive services to restore, heal, and rebuild the lives of children and families. The organization filed Chpt 7 bankruptcy on 6/7/2023.

What it reported doing in 2023

Rainbow House operated a shellter which was authorized to accomodate 16 - 20 at-risk children and adolescents, including two infants. The shelter kept an average of 20 children per day with am average stay of 90 to 180 days. The company did not provide any accounting records to the bankruptcy trustee after it filed Chapter 7 bankruptcy on 6/7/2023. No information regardng program revenue and expenses are avaiable. See attached disclosure.

Operating model

Revenue model
Other-operating. 100% of the money available for current operations came from other operating revenue.
Distribution model
No current program activity. The filing reports no program spending for the current year.

The verdict

MIXED - The filed numbers largely add up and most voting board members are independent. A relatively small share of available resources goes toward mission work and a relatively small share of total spending goes to programs.

Rating breakdown

  • Financial Efficiency: 0
  • Transparency & Controls: 90
  • Accountability: 64
  • Sustainability: 18
  • Growth: 60

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 0%; rating input score 0
  • Program expense ratio: 0%; rating input score 0
  • 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: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 64th percentile among comparable filings
  • Governance controls: 1 of 7 controls in place; rating input score 14
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: NotApplicable
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Fail
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: -103.6%; rating input score 21; 21st percentile among comparable filings
  • Total-asset coverage ratio: 0; rating input score 3; 3rd percentile among comparable filings
  • Liabilities to assets ratio: Limited
  • Officer compensation ratio: 0%; rating input score 60; 60th percentile among comparable filings

Growth

  • Program expense growth: 1.7% per year; rating input score 100; 57th percentile among comparable filings
  • Revenue growth: -3% per year; rating input score 0; 51st percentile among comparable filings
  • Asset growth: 5.5% per year; rating input score 100; 69th percentile among comparable filings

Details

  • Where the money goes: 0% of revenue deployed · 0% of spending went to programs
  • Governance: 1 of 1 board members independent · 1 of 7 filing controls reported
  • Programs: 1 filed program accomplishment
  • Leadership: top reported pay $0 · 15 people listed
  • Consistency: 14 of 14 current checks pass
  • Schedules: 4 filed schedules
  • Filing history: 13 filing years from 2011 to 2023
  • Contacts: How to reach this organization
  • 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 — Financial Efficiency: Mission deployment rate scored 0/100.
  • High — Financial Efficiency: Program expense ratio scored 0/100.
  • High — Accountability: Governance controls: 5 of 6 not reported.
  • High — Sustainability: Operating margin scored 21/100.
  • High — Growth: Revenue growth scored 0/100.
  • High — Sustainability: Total-asset coverage ratio scored 3/100.