Share the Magic Foundation Inc

Nonprofit profile at a glance

EIN
811221582
IRS 990 coverage
2016–2024
Forms available
Form 990 2024
Location
Atlanta, GA, USA
Phone
6789742668
Rating
74
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Human Service Organizations

Official website

Reported finances

Revenue
$1,700,734
Expenses
$1,294,239
Assets
$2,699,352
Liabilities
$285,845

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

Leadership & pay

16 people listed

Executive titles in this filing

  • MALCOLM MITCHELL (EXECUTIVE DIRECTOR)

Highest reported compensation

  • MALCOLM MITCHELL (EXECUTIVE DIRECTOR): $200,417 total reported compensation
  • ANNE SAPP (COO): $86,667 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 promote the long-term benefits of reading and book ownership among students in title 1 schools and underserved communities.

What it reported doing in 2024

Free virtual reading challenges, literacy advocacy and programming, book ownership.

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

SUPPORTED - 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 some filing-based governance responses are negative or unanswered.

Rating breakdown

  • Financial Efficiency: 69
  • Transparency & Controls: 70
  • Accountability: 87
  • Sustainability: 63
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 64.1%; rating input score 64
  • Program expense ratio: 82.6%; rating input score 83
  • Fundraising efficiency: $16.96 raised per $1 spent on fundraising; rating input score 54; 54th percentile among comparable filings

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 63rd percentile among comparable filings
  • Pay-setting controls: 1 of 6 controls in place; rating input score 17
    • Compensation committee: Missing
    • Independent consultant: Missing
    • Other Form 990s reviewed: Missing
    • Written employment contract: Missing
    • Compensation survey or study: Missing
    • Board or committee approval: Pass
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 92.9%; rating input score 93; 24th percentile among comparable filings
  • Governance controls: 7 of 9 controls in place; rating input score 78
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: Pass
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: 23.9%; rating input score 80; 80th percentile among comparable filings
  • Total-asset coverage ratio: 2.09; rating input score 66; 66th percentile among comparable filings
  • Liabilities to assets ratio: 0.11; rating input score 42; 42nd percentile among comparable filings
  • Officer compensation ratio: 22.2%; rating input score 12; 12th percentile among comparable filings

Growth

  • Program expense growth: 27.1% per year; rating input score 100; 88th percentile among comparable filings
  • Revenue growth: 25.2% per year; rating input score 100; 90th percentile among comparable filings
  • Asset growth: 31.1% per year; rating input score 100; 91st percentile among comparable filings

Details

  • Where the money goes: 64.1% of revenue deployed · 82.6% of spending went to programs
  • Governance: 13 of 14 board members independent · 7 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $1.1M in reported program spending
  • Leadership: top reported pay $200K · 16 people listed · 1 of 6 pay-setting controls reported
  • Consistency: 26 of 26 current checks pass
  • Schedules: 8 filed schedules · includes major donors and executive pay
  • Filing history: 8 filing years from 2016 to 2024
  • Contacts: How to reach this organization
  • Money network: 2 filed money-flow records
  • 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.
  • Staff and benefit plans: Retirement and health plans the organization files with the Department of Labor, and the people in them.

Key Signals

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

  • Review — Financial Efficiency: Fundraising efficiency scored 54/100.
  • Review — Accountability: Governance controls: 2 of 9 not reported.
  • High — Sustainability: Officer compensation ratio scored 12/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 42/100.