Rags for Riches Foundation

The Rags for Riches Foundation is a U.S. nonprofit organization that operates as a 501(c)(3) public charity. Established in 1986 by individuals from the garment industry in Los Angeles, California, the foundation has spent over three decades focusing on raising funds for charitable organizations that support children with special needs.

Mission and Activities

The mission of the Rags for Riches Foundation is to raise money for charities. It accomplishes this primarily through grants to various qualified charitable organizations selected by its board of directors. The foundation's activities are centered on philanthropy, with a particular emphasis on benefiting children in need.

Financial Overview

Rags for Riches Foundation's financial operations are primarily supported by contributions, with minimal investment income and no other significant sources of revenue. The organization does not receive income from program services, royalties, or rental properties. Over the years, the foundation has reported varying levels of contributions, often with substantial net fundraising expenses. This indicates that while the organization relies heavily on donations, it also invests significantly in fundraising efforts.

Impact and Achievements

Since its inception, the Rags for Riches Foundation has donated over $24 million to support children with special needs. This substantial philanthropic effort has made it a significant player in its field, with many charities relying on its contributions to further their own work.

Governance and Operations

The foundation operates under the governance of its board of directors, which is responsible for selecting recipient charities. Despite its contribution-driven model, the organization does not report any executive compensation or wages, indicating a volunteer-driven or low-overhead structure.

Grant History

In recent years, the Rags for Riches Foundation has continued to provide grants to various recipients. For instance, in 2023, the foundation awarded grants totaling $122,400 to several organizations.

Overall, the Rags for Riches Foundation has established itself as a dedicated supporter of charitable causes, particularly those benefiting children with special needs, and continues to play a vital role in the nonprofit sector through its philanthropic activities.