ACE Scholarships

What ACE Scholarships does

ACE Scholarships (legal name: Alliance for Choice in Education) is a 501(c)(3) nonprofit scholarship granting organization founded in 2000 in Colorado and headquartered in Greenwood Village. It administers need-based K-12 private school scholarships to lower-income families across 13+ US states — Arkansas, Colorado, Delaware, Hawaii, Kansas, Louisiana, Mississippi, Missouri, Montana, New Mexico, Texas, Utah, Wyoming, plus Maryland and Virginia via its DelMarVa region. ACE has delivered over 120,000 scholarships totaling more than $395 million across 26 years, partnering with a network of 1,200+ private schools. The organization is funded through charitable donations that qualify for state income tax credits (Arkansas 100%, Kansas 75%, Louisiana 95%, Montana 100%) and, beginning January 2027, the federal Education Freedom Tax Credit providing up to $1,700 per donor.

The organization's core technology is EmpowerEd, a white-label scholarship management platform launched in May 2026 that handles application processing, eligibility tracking, donor management, compliance, and reporting — offered at no cost to partner scholarship granting organizations in preparation for the federal tax credit. Supporting products include a student/family application portal and an interactive Education Freedom Tax Credit qualification calculator. ACE also maintains a policy advocacy function that supported landmark outcomes including Espinoza v. Montana (2020) and Texas SB2 (2025). The average scholarship was recently raised to $3,500 across all states — the first such increase in 26 years.

ACE's business model is a multi-channel donor-funded pass-through: donations are solicited from individual taxpayers and businesses through state tax credit programs and (forthcoming) the federal credit, with proceeds deployed as scholarships to eligible K-12 students enrolled at partner private schools. Go-to-market combines direct donor outreach via website portals and email, fundraising events (the 2025 Annual Luncheon won a Colorado Event Alliance ICON Award), and CEO-led thought leadership in national media. Customer segments are three-sided: lower-income K-12 families (scholarship recipients), individual/business donors seeking tax benefits, and partner private schools. The organization competes for donor mindshare with other SGOs and adjacent school choice nonprofits but is differentiated by its 26-year track record, multi-state infrastructure, and proprietary technology platform.

Name

ACE Scholarships

Legal name

Alliance for Choice in Education

Website

https://acescholarships.org

Company type

Private

Founded year

2000

Operating status

Operating

Headcount range

11–50 employees

Short description

ACE Scholarships is a 501(c)(3) nonprofit scholarship granting organization operating in 13+ US states, providing need-based K-12 private school scholarships funded by donations eligible for state and federal tax credits, supported by a network of 1,200+ partner schools and a proprietary EmpowerEd management platform.

Ownership category

akta.pro rank

Headquarters

HQ city

Denver

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Technology or R&D, Others

Revenue model

1. Donations and Charitable Contributions: ACE operates as a 501(c)(3) nonprofit organization. Revenue is generated through private donations from individuals and organizations. Donors receive tax benefits through state tax credit programs (varying by state) and the federal Education Freedom Tax Credit (up to $1,700).
2. State Tax Credit Programs: ACE administers state tax credit programs in Arkansas (100% state tax credit), Kansas (75% state tax credit), Louisiana (95% state tax credit), and Montana (100% state tax credit). Donors with state tax liability can donate to ACE and receive state income tax credits.
3. Federal Education Freedom Tax Credit: Beginning January 2027, donors can receive a dollar-for-dollar federal tax credit of up to $1,700 for donating to qualifying nonprofit Scholarship Granting Organizations like ACE. Credits can be carried forward for up to 5 years.

Pricing tiers

Go-to-market motion1 record

Distribution channels4 records

Marketing channels6 records

Core offering

ACE Scholarships is a multi-state 501(c)(3) nonprofit scholarship granting organization that provides need-based K-12 private school scholarships to lower-income families across 13 states. ACE funds these scholarships through private donations, state-level tax credit programs in Arkansas, Kansas, Louisiana, and Montana, and the upcoming federal Education Freedom Tax Credit (effective January 2027). The organization supports its operations with a proprietary scholarship management technology platform called EmpowerEd.

Product overview

ACE Scholarships operates as a multi-state nonprofit scholarship granting organization (SGO) with a unified platform-plus-modules architecture. The core product is EmpowerEd, a white-label end-to-end scholarship management technology platform that provides application processing, eligibility tracking, donor management, compliance, and reporting tools. This platform is complemented by state-specific tax credit programs in Arkansas, Kansas, Louisiana, and Montana, each offering varying state income tax credits to incentivize donations. ACE also provides a student/family application portal, an Education Freedom Tax Credit qualification calculator for donors, and maintains a network of partner schools across 13 states. The organization generates revenue through its proprietary technology platform and the upcoming federal Education Freedom Tax Credit (effective January 2027).

Differentiator

Problem solved

Functional benefit

Products and services

• ACE K-12 Scholarships Need-based private school tuition scholarships awarded to lower-income K-12 students across 13 states. Students must be enrolled in or eligible to enroll in public school; household income eligibility varies by state program. Average scholarship amount is $3,500 (2026).
• Arkansas Tax Credit Program (Philanthropic Investment in Arkansas Kids) State tax credit program allowing Arkansas donors to receive a 100% state income tax credit while directing funds to K-12 scholarships for Arkansas students. Annual sponsorship tiers range from $3,500 (one child) to $35,000 (ten children).
• Kansas Low Income Student Scholarship Tax Credit Program State tax credit program offering Kansas donors a 75% state income tax credit on contributions to ACE for K-12 scholarships.
• Louisiana Tuition Donation Tax Credit (TDC) Program State tax credit program offering Louisiana donors a 95% state income tax credit on donations to ACE, with combined federal deductions yielding up to 97% effective tax benefit.
• Montana Tax Credit for Qualified Education Contributions State tax credit program offering Montana taxpayers a 100% state income tax credit on donations to ACE, with individual donation limits up to $200,000 and married filing jointly up to $400,000.
• Federal Education Freedom Tax Credit (EFTC) Federal tax credit program (effective January 2027) offering donors a dollar-for-dollar federal tax credit of up to $1,700 on contributions to ACE, with five-year carry-forward.
• EmpowerEd Scholarship Management Platform White-label end-to-end scholarship management technology platform offering application processing, eligibility tracking, donor management, compliance, and reporting tools to Scholarship Granting Organizations. Offered at no cost to partner SGOs in preparation for the federal Education Freedom Tax Credit.

Quantifiable outcome

• 3.5x higher 4th grade reading proficiency vs FRL public school peers
• +3 more outcomes

Named customers9 records

Segments3 records

Ideal customer profiles3 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature1 record

Partnerships

One partnership is on record.

• Stand TogethercoreStrategic or Co-development Partner · 1 January 2017Stand Together is a strategic partnership that helped establish ACE programs in Texas (2017), Missouri (2017), and Wyoming (2016). The partnership supports ACE's educational freedom mission and school choice initiatives.

Scale indicators7 records

Recent moves17 records

Expansion highlights6 records

Direct peers

• Scholarship America: One of the largest U.S. private-sector scholarship and tuition assistance organizations, operating both directly and as a back-office administrator for corporate, foundation, and nonprofit scholarship programs; overlaps with ACE on scholarship administration technology and national K-12/postsecondary reach.
• BLOCS (Business Leaders Organized for Catholic Schools): Philadelphia-area SGO that channels corporate and individual donations into K-12 scholarships for low-income students at Catholic and other private schools; directly comparable tax-credit scholarship granting model and K-12 scholar focus.
• Step Up For Students: Largest Florida-based SGO administering the Florida Tax Credit Scholarship and other K-12 private-school scholarship programs funded by state tax credits; directly comparable to ACE in mission, tax-credit mechanism, and K-12 scholarship delivery model.
• AAA Scholarship Foundation: Multi-state SGO administering K-12 tax-credit scholarships across Florida, Georgia, and other states; competes with ACE for donor share in overlapping geographies and uses a similar tax-credit-driven scholarship granting model.
• Children's Scholarship Fund: National nonprofit providing need-based K-12 scholarships to lower-income families for private school tuition; closest national-mission peer to ACE with comparable scholar demographic, urban focus, and donor-funded model.

Emerging players

• Foundant Technologies: Provider of cloud software for scholarship, grant, and donor management used by community foundations and SGOs; overlapping feature set with EmpowerEd (application processing, eligibility, reporting) and a likely competitive platform if ACE moves to monetize EmpowerEd to outside organizations.

Others

• Bonterra / Network for Good: Suite of nonprofit technology products (donor CRM, grants management, fundraising) used by charities and SGOs; adjacent infrastructure provider rather than direct competitor, but relevant as an alternative tech stack for organizations weighing EmpowerEd adoption.

Broad incumbents

• EdChoice: National 501(c)(3) that conducts research, public education, and advocacy for school choice and tax-credit scholarship programs; not a direct grantmaking peer but highly comparable as the broader school-choice ecosystem incumbent that shapes ACE's regulatory and donor environment.
• National School Choice Week: National awareness organization that promotes K-12 school choice options including tax-credit scholarships; sister advocacy entity that amplifies demand for ACE's services without directly granting scholarships.

Regional players

• School Choice Wisconsin: Wisconsin-based SGO running a state tax-credit scholarship program for K-12 students; functionally identical to ACE's state-level SGO model but limited to a single state, making it a comparable operating analogue.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• YouTubevimeo.com/acescholarships

Compliance1 record

Revenue estimate

Valuation estimate

Number of profiles

Profiles16 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about ACE Scholarships