philanthropy.org | 990 Resource | FAQ Verify yourself
Sign in

Hugs Cafe INC FY2023 filing

Tax-deductible

McKinney, TX501(c)(3)Unclassified EIN 46-2332714Revenue $1.9M in FY2023Latest return filed Jul 31, 2025

On file with the IRShugscafe.orgMcKinney, TXTax-exempt since Jul 2014Publicly supported — 509(a)(2)

Claim this org

(tell your story, add context, and more) Claim it free, then get the verified mark for $1,000 a year, plus $10 a year for the ID check.

How does your 990 look to donors? Take the 10-Question Audit

The mission of Hugs Cafe is to create an inviting place of training and employment for adults with special needs while providing dignity, self-worth, and developing respect

501(c)(3) charity; gifts are tax-deductible.
67¢ of each $1 spent went to programs.
Mission: Form 990 Part I, line 1 · Status: IRS Pub. 78 · Programs: Part IX

Before you give

FY2023 · Form 990Independent: from IRS data, not the org
Download 990
IRS status
501(c)(3)
not on the IRS revocation list
Looks good: listed by the IRS and not on the revocation list.
IRS BMF · Auto-Revocation List
Tax-deductible gifts
Yes
Donations are tax-deductible
Looks good: the IRS lists gifts to it as deductible.
IRS Pub. 78 · IRS BMF
Latest return
FY2024
latest Form 990
Looks good: the latest return is for FY2024, 2 tax years back; within 2 tax years.
IRS e-file · Filing history
Surplus or deficit
5 of 5
filings with a surplus
Average surplus $650K a year · 37% of revenue · last 5 filings
Looks good: a surplus in 5 of the last 5 filings.
Pt I · Ln 19 · 5 filings
Spent on programs
67%
of spending
Fine: 67% of spending went to programs; 65% to 75%.
Pt IX · Ln 25 · col B
Cash reserves
12 mo
of spending, in cash
Looks good: 12.2 months of spending in cash; 3 or more.
Pt X · Ln 1–2 · Pt I · Ln 18
Named funders
20
named funders · $1.1M
Looks good: 20 funders name it on their filings; 3 or more.
Funders’ Sch. I, 990-PF
Liabilities
$246K
11% of total assets
Looks good: liabilities are 11% of assets; 50% or less.
Pt X · Ln 26
Independent board members
14
of 14 voting members
Looks good: 14 of 14 voting members are independent, a majority.
Pt VI · Ln 1a–1b
Looks goodFineWorth a lookConcernNo data yetTap a box for the reason.
Revenue
$1.9M
+51% vs prior year
Spent
$1.2M
To programs
67%
Net assets
$2.0M
By yearFY2020–FY2024
Revenue
$1.9M
FY2023▲ +51%
Tap a bar for its year
Revenue by fiscal year
FY2020$909K
FY2021$1.1M
FY2022$1.2M
FY2023$1.9M
FY2024$3.5M
Expenses
$1.2M
FY2023▲ +27%
Tap a bar for its year
Expenses by fiscal year
FY2020$606K
FY2021$750K
FY2022$946K
FY2023$1.2M
FY2024$1.9M
Net assets
$2.0M
FY2023▲ +52%
Tap a bar for its year
Net assets by fiscal year
FY2020$618K
FY2021$998K
FY2022$1.3M
FY2023$2.0M
FY2024$3.6M

From the FY2023 Form 990 · figures checked against the IRS filing · see the original

Give Claim
You’re viewing the FY2023 filing — not the latest on file. See the latest (FY2024) →

Is it real?

Yes. Never revoked by the IRS. Latest filing on record: FY2024. IRS ruling in Jul 2014.

IRS Pub. 78 · IRS Auto-Revocation List · IRS Business Master File

Where the money goes

67 cents of each dollar spent went to programs.

Program services 67% · $803K Management & general 24% · $288K Fundraising 9% · $113K

Form 990 Part IX, line 25, columns B–D. Every line is in By the numbers.

Something off? Claim to add context

Who runs it and what they're paid

14 people listed on the 990.

Part VII, Section A · reportable compensation
$0Pt VII · Sec A
$0Pt VII · Sec A
$0Pt VII · Sec A
$0Pt VII · Sec A
$0Pt VII · Sec A
$0Pt VII · Sec A
$0Pt VII · Sec A
$0Pt VII · Sec A
See Hugs Cafe INC executive salaries →

Questions the 990 asks

The form asks each of these directly. These are the filed answers.

  • Family or business ties among officersPt VI · Ln 2No
  • Top official's pay set by an independent reviewPt VI · Ln 15aNo

Programs and updates

Trains and employs adults with special needs, fostering dignity and self-worth.

Questions for Hugs Cafe INC

Tap to ask. Hugs Cafe INC sees how many people are interested.

Your first name shows with your question. Hugs Cafe INC answers here, for everyone.

3 programs · $803K · in their own filed words · FY2023
01

Hugs cafe inc. Is composed of four programs. Hugs cafe is our flagship program where we directly employ 23 adults with special needs in a cafe setting. To provide an introductory and social way to interact in the kitchen, we offer cooking classes via our hugs home cooking program.

$443Kprogram expense
02

Hugs greenhouse is our third program that recognizes food service may not be for every person or every ability. We have developed a second social enterprise that trains and educates adults with special needs on gardening, retail sales, and socialization within the community.

$263Kprogram expense
03

Our final addition to the hugs cafe inc family of programs is hugs training academy. This 12 week vocational training program supports adults with disabilities as they learn the basic skills to enter the workforce with an employment partner in the culinary or hospitality industries.

$97Kprogram expense

Funders

Who pays for it.

From grant filings on record. Receipts are incomplete: individual donors are never listed.

Grants

Schedule I · funders on record
Grants received · FY2024
Fidelity Investments Charitable Gift FundFY2024$560K
Firefly Scientists FoundationFY2024$125K
Meadows Foundation IncorporatedFY2024$94K
White Rhino Coffee FoundationFY2024$50K
Communities Foundation of Texas INCFY2024$44K
Players Philanthropy FundFY2024$30K
Troesh Family FoundationFY2024$25K
Charles H Phipps FoundationFY2024$20K
Total grants receivedfrom 20 funders$1.1M
See all 20 funders →

By the numbers

The FY2023 990, line by line.

Download 990
from philanthropy.org
1The main four
Money inPt VIII
$1.9M
Ln 12
Gifts and grantsLn 1h$1.2M
Fees for servicesLn 2g$656K
Investment incomeLn 3$16K
Money outPt IX
$1.2M
Ln 25
Programscol B$803K
Managementcol C$288K
Fundraisingcol D$113K
Owns and owesPt X
$2.0M
net assets · Ln 32
Cash and savingsLn 1–2$1.2M
Total assetsLn 16$2.2M
LiabilitiesLn 26$246K
PeoplePt VI, VII
14
listed · VII A
PaidVII A0
Voting boardVI 1a14
IndependentVI 1b14
2In more detail
Revenue in detailPt VIII
Gifts and grantsLn 1h$1.2M
Fees for servicesLn 2g$656K
Investment incomeLn 3$16K
Gains on assetsLn 7$10K
Total revenueLn 12$1.9M
Assets in detailPt X, end of year
CashLn 1$1.2M
Cash and savings togetherLn 1–2$1.2M
Accounts receivableLn 4$20K
Prepaid expenses and deferred chargesLn 9$12K
Land, buildings, equipmentLn 10c$687K
InvestmentsLn 11–13$114K
Other assetsLn 15$170K
Total assetsLn 16$2.2M
LiabilitiesLn 26$246K
Net assetsLn 32$2.0M
OperationsPt I, VI
EmployeesI 543
VolunteersI 611
Fiscal year endsHeaderDecember
Conflict-of-interest policyVI 12aYes
Whistleblower policyVI 13Yes
Records policyVI 14Yes
3Year over year
Balance sheet, start vs end of yearPt X · col A, B
LineStart FY23End FY23
Cash and savingsLn 1–2$954K$1.2M
InvestmentsLn 11–13$225K$114K
Land, buildings, equipmentLn 10c$113K$687K
Total assetsLn 16$1.5M$2.2M
LiabilitiesLn 26$234K$246K
Net assetsLn 32$1.3M$2.0M
4Every line
Statement of functional expensesPt IX · every line
LineTotalProgramsManagementFundraising
Other salaries and wagesLn 7$540K$381K$160K
Management feesLn 11a$176K$4K$93K$79K
Advertising and promotionLn 12$41K$2K$12K$27K
Office expensesLn 13$30K$17K$6K$7K
Depreciation, depletion and amortizationLn 22$28K$28K
Other expenses (24a–d)Ln 24$389K$371K$18K$494
Total functional expensesLn 25$1.2M$803K$288K$113K

Filing history

YearMoney inMoney outIn minus outNet assetsDownload
FY2024 LatestFiled with the IRS Jul 31, 2025 $3.5M$1.9M$1.6M$3.6M 990 PDF
FY2023 ViewingFiled with the IRS Aug 14, 2024 $1.9M$1.2M$680K$2.0M 990 PDF
FY2022Filed with the IRS Aug 10, 2023 $1.2M$946K$303K$1.3M 990 PDF
FY2021Filed with the IRS Oct 13, 2022 $1.1M$750K$379K$998K 990 PDF
FY2020Filed with the IRS Oct 13, 2021 $909K$606K$304K$618K 990 PDF

Schedules filed Part IV

III · Programs R · Related orgs G · Fundraising L · Interested persons I · Grants A · Public support O · Explanations
See the full FY2023 990 (6 parts)
Part I · Summary $1,884,616 revenue, 12 lines filed
I-8 Contributions and grantsPrior year $819,700$1,213,075
I-9 Program service revenuePrior year $461,668$655,805
I-10 Investment incomePrior year $7,873$15,736
I-11 Other revenuePrior year −$39,650$0
I-12 Total revenuePrior year $1,249,591$1,884,616
I-13 Grants and similar amounts paidPrior year $0$0
I-14 Benefits paid to membersPrior year $0$0
I-15 Salaries and benefitsPrior year $440,141$540,461
I-16a Professional fundraising feesPrior year $0$0
I-17 Other expensesPrior year $506,003$664,033
I-18 Total expensesPrior year $946,144$1,204,494
I-19 Revenue less expensesPrior year $303,447$680,122
Part VI · Governance 14 of 14 board members independent, 1 to look at
VI-1a Voting members of the governing body14
VI-1b Independent voting members14
VI-15a Process for setting top official's payNo
VI-2 Family or business relationship among officers or directorsNo
VI-12a Written conflict of interest policyYes
VI-13 Written whistleblower policyYes
VI-14 Document retention and destruction policyYes
Part VIII · Statement of revenue $1,884,616 across 5 lines filed
Lines not itemized here account for $655,805 of total revenue; see the IRS return.
VIII-1f All other contributions, gifts and grants$1,213,075
VIII-1h Total contributions, gifts and grants$1,213,075
VIII-3 Investment incomeUnrelated business $5,549$5,549
VIII-7 Net gain or loss on sales of assetsUnrelated business $10,187$10,187
VIII-12 Total revenueRelated to mission $655,805 · Unrelated business $15,736 · Excluded from tax $0$1,884,616
Part IX · Statement of functional expenses $1,204,494 across 6 lines filed
IX-7 Other salaries and wagesPrograms $380,563 · Management $159,898$540,461
IX-11a Management feesPrograms $4,351 · Management $92,662 · Fundraising $78,605$175,618
IX-12 Advertising and promotionPrograms $2,496 · Management $11,560 · Fundraising $27,173$41,229
IX-13 Office expensesPrograms $17,037 · Management $6,464 · Fundraising $6,995$30,496
IX-22 Depreciation, depletion and amortizationPrograms $27,847$27,847
IX-24 Other expenses (24a–d)Programs $370,631 · Management $17,718 · Fundraising $494$388,843
IX-25 Total functional expensesPrograms $802,925 · Management $288,302 · Fundraising $113,267$1,204,494
Part X · Balance sheet $2,226,852 assets, 14 lines filed
X-1 Cash, non-interest-bearingStart of year $953,827$1,222,717
X-4 Accounts receivableStart of year $30,112$20,000
X-9 Prepaid expenses and deferred charges$12,500
X-10c Land, buildings and equipment, netStart of year $112,800$687,292
X-11 Publicly traded securitiesStart of year $224,993$113,863
X-15 Other assetsStart of year $213,172$170,480
X-16 Total assetsStart of year $1,534,904$2,226,852
X-17 Accounts payable and accrued expensesStart of year $175,516$184,626
X-19 Deferred revenueStart of year $58,318$61,034
X-26 Total liabilitiesStart of year $233,834$245,660
X-27 Net assets without donor restrictionsStart of year $971,601$1,763,007
X-28 Net assets with donor restrictionsStart of year $329,469$218,185
X-32 Total net assets or fund balancesStart of year $1,301,070$1,981,192
X-33 Total liabilities and net assetsStart of year $1,534,904$2,226,852
Part XI · Reconciliation of net assets $1,981,192 net assets at year end
XI-1 Total revenue$1,884,616
XI-2 Total expenses$1,204,494
XI-3 Revenue less expenses$680,122
XI-4 Net assets at start of year$1,301,070
XI-9 Other changes in net assets$0
XI-10 Net assets at end of year$1,981,192

Form 990 e-file (XML) FY2023 from the IRS · Classification, formation year and address from the IRS Business Master File

Similar organizations you could support · Compare with another nonprofit

Names, privacy, and removal requests More

The names, titles, and compensation shown on this page are reproduced from IRS Form 990 filings, which are public records.

Philanthropy.org does not alter the content of those filings. All information appears exactly as reported by the filing organization for the tax year shown.

We publish only information contained in the public IRS filing — and less than the filing contains. Our profile pages do not display street addresses, telephone numbers, personal email addresses, or other personal contact information, even where the filing includes them.

Many people share the same name. A name shown on this page reflects only what one organization reported in one IRS filing for one tax year. It should not be interpreted as identifying any other individual with the same or a similar name.

If you are no longer affiliated with the organization, your name will generally stop appearing in future IRS filings once the organization no longer reports you. Pages for tax years in which you were reported remain published because those filings remain part of the public record.

Philanthropy.org does not alter or remove IRS filing records. Removing a page from this website would not remove the underlying IRS filing, which remains publicly available from the IRS and other publishers of the same information.

If you believe the IRS filing itself is inaccurate, corrections must be made by the filing organization or the IRS directly.

All figures are derived from public IRS Form 990 filings and are presented without evaluation of any organization. philanthropy.org does not rate, score, or rank organizations, including the pay comparisons above.