The Arkansas Regional Innovation Hub Inc

Nonprofit profile at a glance

EIN
463376034
IRS 990 coverage
2014–2020
Forms available
Form 990 2020, Form 990-T 2020
Location
North Little Rock, AR, USA
Phone
5019076570
Rating
52
Verdict
MIXED
Rating confidence
Moderate
Sector
Economic Development

Official website

Reported finances

Revenue
$1,364,006
Expenses
$1,334,520
Assets
$5,088,957
Liabilities
$3,254,825

Source: IRS Form 990. Selected filing: tax year 2020. Amounts in USD.

Leadership & pay

5 people listed

Executive titles in this filing

  • RODNEY FERGUSON (PRESIDENT)
  • CHRISTOPHER JONES (EXECUTIVE DIRECTOR)

Highest reported compensation

  • RODNEY FERGUSON (PRESIDENT): $660,120 total reported compensation
  • JOYJIT DEB ROY (BOARD MEMBER): $372,935 total reported compensation
  • MIKE MYERS (TREASURER): $340,537 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2020. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

To increase innovative and entrepreneurial activity in Arkansas by creating a collaborative ecosystem that mobilize the resources, programs, and educational opportunities necessary to develop, attract and retain talent to build the state's economy.

What it reported doing in 2020

Manufacturing/production - the innovation hub helps inventors, entrepreneurs, and manufacturers to design, prototype, build, test, and deliver new products. We have worked with a variety of companies and inventors to deliver successful prototypes and projects and we work closely with some of Arkansas's best designers and engineers to meet the needs of our clients. Whether you are in the ideation, prototyping, or manufacturing phase, the innovation hub can help bring your idea to life. Manufacturing uses smart tools like 3d printers, cnc mills, injection molders, and laser cutters to automate and multiply the manufacturing process. Mass manufacturing is designed to create tens of thousands of a product. But, what if you only need a hundred or so items to launch your business? That's micromanufacturing a process which uses many of the same automated tools as big industry on a smaller scale. Much of the work traditionally handled by manufacturing equipment can now be performed by 3d printers. The micromanufacturing process is more efficient, using fewer resources and allowing you to decide just how much product you need and when you need it. It's a combination of old world craftsmanship and 21st century technologies. Our production team offers 2d & 3d design services, ideation and manufacturing consultation, and fabrication services using state-of-the-art technology for rapid prototyping and micromanufacturing.

Operating model

Revenue model
Donor-supported. 74% of the money available for current operations came from contributions and gifts.
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 - The filed numbers largely add up and program spending has grown recently. A relatively small share of available resources goes toward mission work and a relatively small share of voting board members are independent.

Rating breakdown

  • Financial Efficiency: 47
  • Transparency & Controls: 70
  • Accountability: 37
  • Sustainability: 41
  • Growth: 60

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 52.9%; rating input score 53
  • Program expense ratio: 54.1%; rating input score 54
  • Fundraising efficiency: Limited

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: 0%; rating input score 0; 4th percentile among comparable filings
  • Governance controls: 8 of 9 controls in place; rating input score 89
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: Fail
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 2.2%; rating input score 32; 32nd percentile among comparable filings
  • Total-asset coverage ratio: 3.81; rating input score 77; 77th percentile among comparable filings
  • Liabilities to assets ratio: 0.64; rating input score 13; 13th percentile among comparable filings
  • Officer compensation ratio: 24.5%; rating input score 11; 11th percentile among comparable filings

Growth

  • Program expense growth: 10.9% per year; rating input score 100; 74th percentile among comparable filings
  • Revenue growth: -13.9% per year; rating input score 0; 3rd percentile among comparable filings
  • Asset growth: 8.9% per year; rating input score 100; 58th percentile among comparable filings

Details

  • Where the money goes: 52.9% of revenue deployed · 54.1% of spending went to programs
  • Governance: 0 of 4 board members independent · 8 of 9 filing controls reported
  • Programs: 8 filed program accomplishments · $722K in reported program spending
  • Leadership: top reported pay $660K · 5 people listed · 1 of 6 pay-setting controls reported
  • Consistency: 29 of 29 current checks pass
  • Schedules: 6 filed schedules · includes major donors and executive pay
  • Filing history: 7 filing years from 2014 to 2020
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • 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.

  • Review — Financial Efficiency: Mission deployment rate scored 53/100.
  • High — Accountability: Independent voting board scored 0/100.
  • Review — Financial Efficiency: Program expense ratio scored 54/100.
  • High — Growth: Revenue growth scored 0/100.
  • Moderate — Sustainability: Operating margin scored 32/100.
  • Review — Accountability: Governance controls: Other executive compensation review process not reported.
  • High — Sustainability: Officer compensation ratio scored 11/100.
  • High — Sustainability: Liabilities to assets ratio scored 13/100.