Small Magic

Nonprofit profile at a glance

EIN
842967401
IRS 990 coverage
2019–2024
Forms available
Form 990 2024
Location
Birmingham, AL, USA
Phone
2052010619
Rating
71
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Centers to Support the Independence of Specific Populations

Reported finances

Revenue
$2,586,590
Expenses
$1,547,959
Assets
$3,119,618
Liabilities
$377,870

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

Leadership & pay

5 people listed

Executive titles in this filing

  • RUTH ANN MOSS (EXECUTIVE DIRECTOR)

Highest reported compensation

  • RUTH ANN MOSS (EXECUTIVE DIRECTOR): $169,925 total reported compensation

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

Overview

Mission

Small magic works to ensure every child in our community is ready for kindergarten and a life of opportunity.

What it reported doing in 2024

Small magic supports the future stability and prosperity of our community by focusing on our most precious resource: our children. Our innovative programs embrace cutting-edge technology and the deep involvement of parents and teachers to ensure all the children in our community are prepared for kindergarten and a lifetime of economic mobility.

Operating model

Revenue model
Grant-funded. 81% of the money available for current operations came from government grants.
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 - 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 fundraising costs are high for each dollar raised.

Rating breakdown

  • Financial Efficiency: 54
  • Transparency & Controls: 70
  • Accountability: 100
  • Sustainability: 70
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 45.4%; rating input score 45
  • Program expense ratio: 73.7%; rating input score 74
  • Fundraising efficiency: $9.31 raised per $1 spent on fundraising; rating input score 35; 35th 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: 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: 40.2%; rating input score 89; 89th percentile among comparable filings
  • Total-asset coverage ratio: 2.02; rating input score 62; 62nd percentile among comparable filings
  • Liabilities to assets ratio: 0.12; rating input score 55; 55th percentile among comparable filings
  • Officer compensation ratio: 11%; rating input score 27; 27th percentile among comparable filings

Growth

  • Program expense growth: 33.4% per year; rating input score 100; 94th percentile among comparable filings
  • Revenue growth: 34.4% per year; rating input score 100; 95th percentile among comparable filings
  • Asset growth: 44.7% per year; rating input score 100; 97th percentile among comparable filings

Details

  • Where the money goes: 45.4% of revenue deployed · 73.7% of spending went to programs
  • Governance: 4 of 4 board members independent · 8 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $1.1M in reported program spending
  • Leadership: top reported pay $170K · 5 people listed · 1 of 6 pay-setting controls reported
  • Consistency: 34 of 34 current checks pass
  • Schedules: 7 filed schedules · includes major donors and executive pay
  • Filing history: 6 filing years from 2019 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.
  • 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.

  • Moderate — Financial Efficiency: Mission deployment rate scored 45/100.
  • Moderate — Financial Efficiency: Fundraising efficiency scored 35/100.
  • High — Sustainability: Officer compensation ratio scored 27/100.
  • Review — Sustainability: Liabilities to assets ratio scored 55/100.