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Houston Minority Business Council Inc

EIN 76-0458224 · Houston, TX

Public records show a registered, tax-exempt organization in good standing.

LegitimacyPassesRegistration and standingFinancial healthGood70 out of 100GovernanceGood85 out of 100Impact evidenceDescribes programsHow well its results are evidenced

What it says it does

The mission of HMSDC is to actively involve its members in efforts that will increase and expand business opportunities and business growth for Minority Business Enterprises and to drive excellence in supplier diversity and supplier development.

Income
$2.0 million
Spending
$2.0 million
Spent on programs
85%
Reserves
6.7 months of spending
Largest source of income
donations and private grants, 71%
Employees
12
Volunteers
130
Highest pay
$217,645, president

Source: Form 990 for the year ending December 31, 2024, filed with the Internal Revenue Service. Rating method 2026.2. How we rate

Financial health

Good: 70 out of 100. Higher than 34% of charities in its peer group (civil rights, $1m to $10m).

  • Reserves

    28 of 35

    Spendable reserves would cover 6.7 months of spending.

  • Debt

    10 of 20

    It owes 33% of what it owns.

  • Living within its means

    12 of 15

    Income exceeded spending by 2% of income.

  • Income trend

    5 of 15

    Income fell 15% on the year before.

  • Spending floor

    15 of 15

    85% of spending went to programs and raising each dollar of donations cost 8 cents.

Source: Form 990 for the year ending December 31, 2024, filed with the Internal Revenue Service. Rating method 2026.2. How we rate

Governance

Good: 85 out of 100. Higher than 32% of charities in its peer group (civil rights, $1m to $10m).

  • Independent board

    25 of 25

    14 of 14 voting board members are independent.

  • Conflict of interest policy

    15 of 15

    Has a written conflict of interest policy.

  • Whistleblower policy

    8 of 8

    Has a written whistleblower policy.

  • Record keeping policy

    7 of 7

    Has a written policy on keeping and destroying records.

  • Board minutes

    5 of 5

    Keeps minutes of board meetings.

  • Board sees the tax return

    10 of 10

    Gave the board a copy of this return before filing it.

  • Pay set independently

    5 of 5

    Sets its chief executive's pay through independent review and comparison.

  • Independent check of accounts

    0 of 15

    Its accounts were not audited or reviewed by an independent accountant.

  • No reported misuse

    10 of 10

    Reports no diversion of assets, excess benefits or loans to insiders.

Source: Form 990 for the year ending December 31, 2024, filed with the Internal Revenue Service. Rating method 2026.2. How we rate

Impact evidence

Describes programs. Its tax return describes what it does but we have found no measurable results in it.

Programs described in its return (3)
  1. $852,530 spent. CERTIFICATION, INFORMATION EXCHANGE, AND NETWORKING - HMSDC IS RESPONSIBLE FOR CERTIFYING MINORITY OWNERSHIP AND MANAGEMENT. IN ADDITION, HMSDC MAINTAINS A DATABASE OF CERTIFIED FIRMS AND THEIR CAPABILITIES. EVENTS SUCH AS EXPO 2023 BUSINESS OPPORTUNITY MARKETPLACE, AND THE QUARTERLY LUNCHEONS PROVIDE MINORITY BUSINESS OWNERS WITH INFORMATION, INSIGHT, AND GUIDANCE IN HOW TO GROW THEIR BUSINESS AND RELATE TO AN EVER CHANGING MARKETPLACE. THESE EVENTS PROVIDE MAJOR CORPORATIONS DIRECT CONTACT WITH MINORITY BUSINESS LEADERS TO INCREASE THEIR SENSITIVITY,UNDERSTANDING, AND SUPPORT. THIS IS ESSENTIAL IN OVERCOMING RACIAL BIASES AND STIMULATING ECONOMIC DEVELOPMENT OF IMPOVERISHED COMMUNITIES. IN 2023, OVER 5,000 INDIVIDUALS ATTENDED THESE EVENTS.
  2. $852,530 spent. EDUCATION AND DEVELOPMENT - HMSDC PROVIDES LOCAL AND NATIONAL CONFERENCES, SEMINARS, AND WORKSHOPS TO EDUCATE MINORITY BUSINESS OWNERS ON CONTEMPORARY BUSINESS AND MANAGEMENT SKILLS AND TO EDUCATE MAJOR CORPORATIONS ON DIVERSITY ISSUES.
  3. THE MBE EXECUTIVE SCHOLARSHIP PROGRAM RAISES FUNDS, THEN AWARDS THOSE FUNDS TO MINORITY BUSINESS OWNERS TO ENCOURAGE AND FACILIATE THEIR CONTINUED EDUCATION IN AREAS SPECIFIC TO THEIR NEXT STAGE OF BUSINESS DEVELOPMENT.

Source: Form 990 for the year ending December 31, 2024, filed with the Internal Revenue Service. Rating method 2026.2. How we rate

Legitimacy checks

  1. Is it registered with the IRS? Passed.

    Listed in the IRS master file of tax-exempt organizations as a 501(c)(3) charitable organization.

    Source: Exempt Organizations Business Master File, Internal Revenue Service, file dated October 13, 2026.

  2. Has the IRS revoked its tax-exempt status? Passed.

    Not on the IRS automatic revocation list.

    Source: Automatic revocation of exemption list, Internal Revenue Service, file dated October 13, 2026.

  3. Are donations tax-deductible? Passed.

    On the IRS list of organizations eligible to receive tax-deductible contributions.

    Source: Publication 78 data: organizations eligible for tax-deductible contributions, Internal Revenue Service, file dated October 13, 2026.

  4. Is it keeping up with its IRS filings? Passed.

    Most recent return on file covers the year ending December 2024.

    Source: Exempt Organizations Business Master File, Internal Revenue Service, file dated October 13, 2026.

  5. How long has it been tax-exempt? Passed.

    Recognized by the IRS since September 1996.

    Source: Exempt Organizations Business Master File, Internal Revenue Service, file dated October 13, 2026.

  6. Is it in good standing with state regulators? Passed.

    Not on California's list of charities barred from soliciting. Other states are not yet checked.

    Source: May Not Operate or Solicit for Charitable Purposes list, California Attorney General, Registry of Charities and Fundraisers, file dated October 21, 2026.

Ratings and checks are our reading of public records, using the published method. They are not a statement about anyone's honesty. If you work for this organization, you can send corrections or results, confirm you want gifts through Veridonate, or ask to be removed from giving.