Readers 2 Leaders

Nonprofit profile at a glance

EIN
900641325
IRS 990 coverage
2013–2024
Forms available
Form 990 2024
Location
Dallas, TX, USA
Phone
2149050095
Rating
83
Verdict
STRONG
Rating confidence
Moderate
Sector
Youth Development Programs

Reported finances

Revenue
$2,104,260
Expenses
$2,363,708
Assets
$2,524,136
Liabilities
$539,314

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

Leadership & pay

15 people listed

Executive titles in this filing

  • NORMA NELSON (President & CEO)

Highest reported compensation

  • NORMA NELSON (President & CEO): $143,445 total reported compensation

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

Overview

Mission

To equip students for success through the power of reading.Readers 2 Leaders envisions a world where all students have equitable opportunities to thrive as readers and leaders, but it will require energy and collaboration from across the educational ecosystem to make that dream a reality. Literacy unlocks brighter futures for children, families, and communities. Thats why Readers 2 Leaders mission is to equip all students for success through the power of reading. With evidence-based tutoring methodologies at the heart of all we do, Readers 2 Leaders prepares children, caregivers, and educators with the tools to read and share reading with others. We reach children with crucial literacy intervention and enrichment at schools, in out-of-school time (OST), at partner nonprofits, and at home, and we prioritize reaching children of color and those who are economically disadvantaged to help close systemic resource gaps that affect these students most. Our diverse staff and leadership seek to

What it reported doing in 2024

Readers 2 Leaders (R2L) is a Dallas-based 501(c)(3) nonprofit founded in 2011 to close literacy gaps and help children become confident, grade-level readers. In 20242025, R2L reached more than 2,000 students and 400 adults through Tutoring, Coaching, and Family Literacy programs.Tutoring: R2L provides research-based reading support for elementary students during and after school and in the summer. Instruction builds critical, foundational literacy skills. Students consistently demonstrate measurable gains in reading ability, and schools report stronger engagement and confidence among participants.Coaching: Through its Coaching Program, R2L equips teachers and school leaders to strengthen classroom literacy instruction. Coaches collaborate on lesson planning and reading practices, helping improve instructional quality and student outcomes across multiple campuses.Family & Community Literacy: R2L empowers parents and caregivers through family reading workshops and classes. Participants gain tools to support reading at home and create positive literacy habits that reinforce student learning.

Operating model

Revenue model
Mixed. Its operating money came from several sources; no one source provided a clear majority.
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.
  • Includes noncash contributions: Reported contributions include donated property or goods.

The verdict

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. Fundraising costs are high for each dollar raised and expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 73
  • Transparency & Controls: 92
  • Accountability: 100
  • Sustainability: 27
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 83.7%; rating input score 84
  • Program expense ratio: 74.3%; rating input score 74
  • Fundraising efficiency: $4.26 raised per $1 spent on fundraising; rating input score 14; 14th 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: 8 of 8 controls in place; rating input score 100
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: -12.3%; rating input score 11; 11th percentile among comparable filings
  • Total-asset coverage ratio: 1.07; rating input score 39; 39th percentile among comparable filings
  • Liabilities to assets ratio: 0.21; rating input score 42; 42nd percentile among comparable filings
  • Officer compensation ratio: 6.1%; rating input score 47; 47th percentile among comparable filings

Growth

  • Program expense growth: 14.8% per year; rating input score 100; 77th percentile among comparable filings
  • Revenue growth: 14.1% per year; rating input score 100; 80th percentile among comparable filings
  • Asset growth: 18.4% per year; rating input score 100; 81st percentile among comparable filings

Details

  • Where the money goes: 83.7% of revenue deployed · 74.3% of spending went to programs
  • Governance: 14 of 14 board members independent · 8 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $1.8M in reported program spending
  • Leadership: top reported pay $143K · 15 people listed
  • Consistency: 28 of 28 current checks pass
  • Schedules: 4 filed schedules · includes major donors
  • Filing history: 10 filing years from 2013 to 2024
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • 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.

  • High — Financial Efficiency: Fundraising efficiency scored 14/100.
  • High — Sustainability: Operating margin scored 11/100.
  • Moderate — Sustainability: Total-asset coverage ratio scored 39/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 42/100.
  • Moderate — Sustainability: Officer compensation ratio scored 47/100.