The First Step

Nonprofit profile at a glance

EIN
362740242
IRS 990 coverage
2011–2024
Forms available
Form 990 2024, Form 990-T 2021
Location
Belvidere, IL, USA
Phone
8155446560
Rating
81
Verdict
STRONG
Rating confidence
Moderate
Sector
Child Day Care

Official website

Reported finances

Revenue
$1,062,343
Expenses
$1,023,209
Assets
$11,423
Liabilities
$56,553

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

Leadership & pay

5 people listed

Executive titles in this filing

  • TINQUER HOLLAND (President)
  • RICHARD NELSON (Vice President)

Highest reported compensation

  • MARY SUE WILSON (Executive Dir.): $84,416 total reported compensation

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

Overview

Mission

An agency supportive to low and/or single income working parents. We encourage developmental growth in children aged 6 weeks to eleven years by providing them with the tools needed to further their social, emotional, physcial and intellectual development.

What it reported doing in 2024

The center promotes and encourages the optimal intellectual, social and physical development for children of boone county, city of rockford, and the city of mchenry including, but not limited to, those children of families with limited income. The center provides an educational format for children starting at 6 weeks of age and continuing throug pre-k. The center ensure children receive a nutriious breakfast, lunch and afternoon snack, and also provide an added morning snack.the center provides before and after school care.

Operating model

Revenue model
Grant-funded. 90% 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.

The verdict

STRONG - The filed numbers largely add up and a large share of available resources goes toward mission work. Total assets are small relative to annual expenses; liquid coverage is unknown and expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 69
  • Transparency & Controls: 92
  • Accountability: 100
  • Sustainability: 28
  • Growth: 80

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 75.8%; rating input score 76
  • Program expense ratio: 78.7%; rating input score 79
  • 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: 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: NotApplicable
    • Other executive compensation review process: Pass
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 3.7%; rating input score 47; 47th percentile among comparable filings
  • Total-asset coverage ratio: 0.01; rating input score 1; 1st percentile among comparable filings
  • Liabilities to assets ratio: 4.95; rating input score 1; 1st percentile among comparable filings
  • Officer compensation ratio: 8.3%; rating input score 43; 43rd percentile among comparable filings

Growth

  • Program expense growth: 6.7% per year; rating input score 100; 50th percentile among comparable filings
  • Revenue growth: 8.8% per year; rating input score 100; 62nd percentile among comparable filings
  • Asset growth: -4.6% per year; rating input score 0; 7th percentile among comparable filings

Details

  • Where the money goes: 75.8% of revenue deployed · 78.7% of spending went to programs
  • Governance: 4 of 4 board members independent · 8 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $806K in reported program spending
  • Leadership: top reported pay $84K · 5 people listed
  • Consistency: 28 of 28 current checks pass
  • Schedules: 4 filed schedules · includes major donors
  • Filing history: 14 filing years from 2011 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 — Sustainability: Total-asset coverage ratio scored 1/100.
  • Moderate — Sustainability: Operating margin scored 47/100.
  • High — Growth: Asset growth scored 0/100.
  • High — Sustainability: Liabilities to assets ratio scored 1/100.
  • Moderate — Sustainability: Officer compensation ratio scored 43/100.