Alabama Opportunity Scholarship Fund

What Alabama Opportunity Scholarship Fund does

Alabama Opportunity Scholarship Fund (AOSF) is a Birmingham, Alabama-based 501(c)(3) nonprofit scholarship granting organization (SGO) established in 2013 to administer tax-credit funded K-12 scholarships for low-income Alabama families. The organization operates three core scholarship products: the General Scholarship (income-based, for partner private schools), the Public School Access Scholarship (covering transfer fees for out-of-district public school moves), and the Unique Needs Scholarship (for students with IEP/504 plans, with no income requirement). Funding flows from individual and corporate Alabama taxpayers (C-corporations, pass-through entities) who redirect their state income tax liability to AOSF in exchange for dollar-for-dollar tax credits, within a state-mandated annual cap of $40 million administered by the Alabama Department of Revenue.

AOSF distributes scholarships through a network of 90+ partner schools across Alabama and processes applications on a first-completed, first-served basis with priority for students zoned to underperforming schools. The organization complements its scholarship products with the Choice Navigators Program, a community engagement service that helps families navigate Alabama's broader school choice ecosystem, including the state-administered CHOOSE Act Education Savings Account program ($7,000 per school-based student). The technology footprint is deliberately minimal: AOSF relies on the state's My Alabama Taxes (MAT) portal for donor reservations and ClassWallet for CHOOSE Act ESA administration, with no proprietary technology platform of its own.

Looking forward, AOSF is positioning to participate in the federal Education Freedom Tax Credit (EFTC) program effective January 2027, which will allow it to receive up to $1,700 per individual annually in federal tax credit donations. Since inception, AOSF has awarded over 15,000 scholarships and distributed more than $60 million to students, with 81% of recipients identifying as minorities and 100% of General Scholarship awards going to low-income children. The 9-employee organization is governed by a volunteer board of directors and operates without equity ownership, funded entirely through redirected tax liability donations.

Name

Alabama Opportunity Scholarship Fund

Legal name

Alabama Opportunity Scholarship Fund

Website

https://alabamascholarshipfund.org

Company type

Private

Founded year

2013

Operating status

Operating

Headcount range

1–10 employees

Short description

Alabama Opportunity Scholarship Fund is a 501(c)(3) nonprofit founded in 2013 that administers state and federal tax-credit funded K-12 scholarships for low-income Alabama families through a network of 90+ partner schools, having awarded 15,000+ scholarships totaling $60M+.

Ownership category

akta.pro rank

Product category

K-12 Education Scholarships

NAICS

Educational Support Services (611710)

SIC

Services-Educational Services (8200)

akta.pro primary industry

Tuition Assistance & Voucher/ESA Program Administration (EDADAHAF)

akta.pro secondary industries

College Access, Scholarships & Student Success Nonprofits (BPAGADAE), Scholarship, Financial Aid & FAFSA Support (EDAMAKAF)

Keywords

• Tax credit scholarships
• Scholarship granting organization
• K-12 school choice
• Education savings accounts
• Nonprofit educational funding

Headquarters

HQ city

Birmingham

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Others, Personnel, Marketing or Sales, Operations

Revenue model

1. Tax Credit Donation Program: AOSF receives donations from Alabama taxpayers (individuals, C-corporations, and pass-through entities) who redirect their Alabama state income tax liability to the organization. Donors receive a dollar-for-dollar state income tax credit. The Alabama Department of Revenue allocates $40 million annually in tax credits on a first-come, first-served basis. Individual donations are capped at $100,000; corporations can offset up to 100% of their Alabama income tax liability. Since 2013, AOSF has distributed more than $60 million in scholarships.
2. Education Freedom Tax Credit (EFTC) - Starting 2027: Beginning January 2027, AOSF will receive federal tax credit donations (up to $1,700 per individual annually) through the new federal Education Freedom Tax Credit program. Donors receive a dollar-for-dollar federal income tax credit. This is a new revenue stream building on existing state tax credit programs.

Pricing tiers

Go-to-market motion2 records

Distribution channels5 records

Marketing channels8 records

Core offering

Alabama Opportunity Scholarship Fund (AOSF) is a 501(c)(3) nonprofit scholarship-granting organization that administers tax-credit funded K-12 scholarships for low-income Alabama children to attend public or private schools of choice. The organization raises donations from Alabama taxpayers (individuals, C-corporations, and pass-through entities) who redirect their state income tax liability for dollar-for-dollar credits, and then distributes those funds as three scholarship types: General, Public School Access, and Unique Needs scholarships. AOSF partners with 90+ schools statewide and will also serve as an SGO for the federal Education Freedom Tax Credit program beginning in 2027.

Product overview

Alabama Opportunity Scholarship Fund (AOSF) is a non-profit scholarship-granting organization offering multiple scholarship products for K-12 students: the Public School Access Scholarship (covering transfer fees for out-of-district public school moves), the General Scholarship (income-based awards for partner private schools), and the Unique Needs Scholarship (for students with IEPs/504 plans). The organization also facilitates the Alabama Accountability Act (AAA) Scholarship Program, which enables taxpayers to redirect state tax liability to fund scholarships with dollar-for-dollar credits. A new Education Freedom Tax Credit (EFTC) product is being prepared for launch in 2027. Supporting these products is the Choice Navigators Program, which provides family guidance through the school choice process.

Differentiator

Problem solved

Functional benefit

Products and services

• General Scholarship An income-based scholarship for low-income K-12 students to attend any of the organization's partner private schools across Alabama, awarded on a first-completed, first-served basis.
• Public School Access Scholarship A scholarship program for low-income students interested in transferring from their current public school to a qualifying non-priority public school in a different district, covering all mandatory transfer fees annually.
• Unique Needs Scholarship A scholarship for students with unique needs who have an IEP or 504 plan, with no income requirements, covering mandatory fees and tuition at partner schools (K-5: $7,000, 6-8: $8,000, 9-12: $9,000).
• Alabama Accountability Act (AAA) Scholarship Program A scholarship program funded by redirected Alabama state income tax liability from individual and corporate donors, providing dollar-for-dollar tax credits while supporting K-12 scholarships for low-income students.
• Education Freedom Tax Credit (EFTC) Program A federal tax credit program (effective 2027) allowing taxpayers to receive a dollar-for-dollar federal tax credit of up to $1,700 for donations to scholarship-granting organizations, supporting K-12 scholarships for families earning up to 300% of area median income.
• Choice Navigators Program A program that helps Alabama families navigate educational opportunities including the CHOOSE Act, AAA tax credit scholarships, and other school choice options, with trained navigators serving as trusted resources.

Quantifiable outcome

• Over 15,000 scholarships awarded and $60 million distributed since 2013
• +3 more outcomes

Named customers10 records

Segments5 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Seven partnerships are on record, tiered core and minor.

• Children's Scholarship FundcoreStrategic or Co-development Partner · 27 April 2026AOSF joined partners at CSF Partner Summit in New York City. Executive Director Andy Ryan spoke on EFTC potential for states, schools, and families. CSF is a national organization expanding educational opportunity access.
• Invest in Education Coalition (IIEC)coreStrategic or Co-development Partner · 3 July 2025National organization dedicated to advancing school choice at the federal level. Applauded passage of Educational Choice for Children Act (ECCA) as part of the One Big Beautiful Bill. IIEC's advocacy supports federal tax credit scholarship programs that AOSF participates in.
• Alabama State Government (CHOOSE Act)coreStrategic or Co-development Partner · 2 July 2025AOSF participates in Alabama's ESA program alongside state-administered CHOOSE Act. Governor Kay Ivey signed executive order confirming Alabama's participation in federal EFTC program. CHOOSE Act provides up to $7,000 for school-based students and $2,000 for homeschool students.
• Alabama Department of RevenuecoreStrategic or Co-development PartnerRegulatory partner administering the $40 million annual tax credit allocation. Operates My Alabama Taxes (MAT) portal for donor reservations. Publishes list of participating non-public schools.
• Alabama School of Fine ArtsminorOthersPublic magnet school partner accepting AOSF scholarships for out-of-district students. AOSF covers transfer fees for students attending this school.
• Alabama School of Math and ScienceminorOthersPublic magnet school partner accepting AOSF scholarships for out-of-district students. AOSF covers transfer fees for students attending this school.
• Black Alabamians for EducationminorGTM or Marketing PartnerNonprofit organization hosting 'The Advocate's Chair' podcast. Host Neonta Williams interviewed AOSF's Tonya Jones on school choice access. Partnership amplifies school choice messaging to Black Alabama families.

Scale indicators8 records

Recent moves6 records

Expansion highlights6 records

Direct peers

• ACE Scholarships: Multi-state Scholarship Granting Organization operating in Colorado, New Hampshire, Georgia, and other states to provide K-12 scholarships funded through state tax credit programs. ACE is a structurally comparable peer to AOSF as it administers similar tax-credit-funded scholarship products across multiple state regulatory regimes.
• Step Up For Students: Florida-based Scholarship Granting Organization (SGO) and the largest tax-credit scholarship organization in the United States, administering the Florida Tax Credit Scholarship and other K-12 choice programs. AOSF's Director of Implementation and Operations Tonya Jones previously worked at SUFS, underscoring the direct operational comparability between the two organizations.
• Georgia GOAL Scholarship Program: Georgia's largest Scholarship Granting Organization administering the Georgia Tax Credit Scholarship program for K-12 students. GOAL is a directly comparable peer operating under a similar state tax credit SGO framework and serving an analogous student population in an adjacent Southeast state.
• BLOCS (Boat People SOS): Multi-state Scholarship Granting Organization administering K-12 tax-credit scholarship programs, with deep experience across several states. Operates a structurally similar SGO model and represents a comparable peer to AOSF in scale and program design.
• School Choice Wisconsin: Wisconsin-based SGO administering the state's tax-credit scholarship program for K-12 students. Comparable to AOSF in mission, structure, and operating model, though serving a different state.
• AAA Scholarship Foundation: Multi-state Scholarship Granting Organization administering tax-credit scholarship programs across several states including Florida and Georgia. Operates a very similar SGO model to AOSF and represents a credible new-entrant threat to AOSF as federal EFTC rolls out.

Broad incumbents

• EdChoice: National advocacy organization working on school choice policy at the state and federal level, including support for the federal Educational Choice for Children Act that underpins EFTC. Operates in adjacent policy space rather than direct administration, but its work directly affects AOSF's operating environment.
• Children's Scholarship Fund: National nonprofit that partners with Scholarship Granting Organizations across the country to expand K-12 educational choice. AOSF has joined CSF Partner Summits and CSF's Executive Director spoke at AOSF events, indicating a national-level relationship and structural adjacency.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat4 records

Key risks5 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/alabama-opportunity-scholarship-fund

Revenue estimate

Valuation estimate

Number of profiles

Profiles8 records

Funding overview

Funding rounds

Investors

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M&A

Investments

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Frequently asked questions about Alabama Opportunity Scholarship Fund