Nonprofit Operating Endowment Fund

Community foundations are ideal partners to non-profits in establishing and helping to build a Nonprofit Operating Endowment fund. Our staff will help a non-profit organization build a basic plan to grow its endowment fund, provide endowment-building tools, and assist in planned giving conversations.

Benefits

Economical

Even small nonprofit organizations can benefit from professional investment management, including diversification and lower investment fees.

Efficient

A fund can be established using a simple fund agreement. A nonprofit endowment is a simple mechanism for accepting planned gifts, such as bequests and charitable trusts.

Easy

The organization is not responsible for investing the assets or for any recordkeeping.

Creating an Endowment Fund

Considering establishing an endowment fund for your nonprofit organization?

Our Process

  1. Meet with Foundation staff to learn about the Nonprofit Operating Endowment Fund
  2. Assess organizational readiness before establishing an endowment fund
  3. Meet with the Community Foundation staff to discuss establishing an endowment fund
  4. Ensure the nonprofit is qualified to receive grants according to IRS regulations
  5. Draft an endowment fund agreement
  6. Review, sign, and return the agreement with an establishing gift
  7. Invest the fund in the Community Foundation’s endowment pool
  8. Begin making grants from the generated income when the fund reaches $15,000 and has been invested for at least one year
  9. Option to reinvest the income to help grow the fund
  10. Receive an annual fund statement showing all activity for the prior year

How the Community Foundation Helps

Supporting nonprofit organizations is an important part of our work as a foundation.
  • Presentations to your board
  • Marketing materials and fund promotion documents
  • Responding to inquiries from potential donors
  • Meeting with major or planned gift prospects at the nonprofit’s request
  • Managing complicated gifts (real estate, stock, etc.)
  • Acknowledging all gifts to the fund

Grow Your Community

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