Choosing The Community Foundation

Philanthropy is a very personal matter. As a professional advisor, you are in a position to explore with your clients their personal interests and goals and personal philosophy about giving. But how do you know if giving through a community foundation is right for your clients?

When does choosing The Community Foundation make sense?

Ask yourself these questions:

• Do I have clients who care deeply about their local community?
• Do they give to more than one charitable cause or organization?
• Are they interested in creating a personal or family legacy in their community?
• Are they considering the creation of a private or family foundation?
• Have they expressed concern about the administrative complexity or expense of a private foundation?
• Do they want to stay personally involved in deciding how the charitable dollars are used?
• Do they want to receive maximum tax advantage for their donation?
• Do they place a priority on sound financial management of their donations?

If you answer "yes" to any of these questions, you have clients who could benefit from knowing more about The Community Foundation. Click here to preview a comparison with other types of giving vehicles.

How can I recommend charitable giving without recommending a specific charity? What's different about The Community Foundation?

A gift to The Community Foundation can perform good works on behalf of your client in many ways. Funds at the Foundation can be created to support a wide variety of causes - from arts to education, environmental programs, human service needs - and organizations, focusing on whatever is important to the client.

Most not-for-profit organizations have a narrow focus on a specific area of community need and have a limited mission. Three features set the Foundation apart:

• Flexible, personalized giving – The Community Foundation can provide a convenient and economical way for your client to fulfill multiple charitable interests and contribute to the community in a variety of ways through a fund that reflects their own personal ideals and values.
• Broad community perspective – The Community Foundation grants support the arts and culture, education, environmental programs, economic development, health and human services, recreation, scholarship, women and girls, and a wide variety of projects for youth and families. Not-for-profit agencies, school-based programs, neighborhood associations and governmental entities are all eligible to receive grants. This broad focus allows The Community Foundation to be responsive to a variety of needs and provide funding where it will have the greatest impact.
• Permanence – Gifts to a permanent endowment at The Community Foundation serve as a lasting source of philanthropic capital - permanent assets set aside for the good of this community. Endowment assets are professionally managed and carefully invested to protect the principal over the long-term. Part of the assets may be used annually for grantmaking in a variety of areas throughout the community. Holding endowment assets in perpetuity enables the Foundation to address important issues and needs, even as they may change over the years.

For more information, contact Bob Roberts.