Rating by External Agencies
Charitable organizations are typically rated on the industry standards of expense to program. This ratio determines the amount of overhead dollars compared to actual program expenses for the organization, sometimes also known as "Cost to raise $100". A typical average for a not-for-profit organization is around 15-20% as adminsitrative expenses. Some organizations also charge the salaries of the people employed by them as part of program expenses thus hiding the real cost of money spent directly on the progaram/cause.
KARNA’s record has been one of minimal to no overhead expenses. We have no employed staff and spend all the money on the programs itself. Other than regulatory and operational costs - government filings, auditor fees and web-site hosting - we do not have any overheads at all.
Even though it is well within our capabilities to handle this in-house, we believe that having professional Auditors review our books would render the exercise more worthwhile and make our financials transparent for our donor community. A copy of the Auditors report is available upon request.